From the period of 2022 to 2028, the Global Automotive Fasteners Market is expected to reach USD 24.2 Billion in terms of revenue, growing at a Compound Annual Growth Rate (CAGR) of 1.90%.
The global Automotive Fastener Market is expanding due to an increase in vehicle sales and manufacturing. Due to the rise of urbanization, consumers' spending power has increased dramatically in recent years, and they have begun to change their lifestyles. This has resulted in increased demand for passenger vehicles, which in turn leads to the expansion of the Automotive Fastener Market. Furthermore, with the growth of technology, new technological advancements in the field of automobile fasteners have occurred. The employment of cutting-edge technologies and superior materials in the production of automobile fasteners has seen tremendous expansion. Moreover, the ability to replace Automotive Fasteners in automobiles is an added benefit that is driving the growth of the Automotive Fastener Market. Vehicle maintenance firms and MRO service providers are significant players in the Automotive Fasteners industry, driving up demand. With an increase in aftermarket repair and service activities for commercial and passenger cars, demand for Automotive Fasteners is expected to rise over the next assessment period. Additionally, mechanical developments and improvements in the quality and sturdiness of fasteners are expected to drive market demand. Furthermore, the increasing demand for lighter automobiles and their stability would drive a preference for Automotive Fasteners over welding, creating market growth potential.
Key Highlights from the Report
- On the basis of Application, the market is segmented into Engine, Chassis, Transmission, Steering, Front/rear axle, Interior trim, and Others. In terms of value, the interior trim segment is expected to be the fastest-growing segment of the fastener market by application. Automobile manufacturers are currently emphasizing the use of lightweight fasteners in main application areas to reduce vehicle weight. The focus of automakers is on interior trims, where the use of plastic and aluminum fasteners is increasing to achieve weight reduction, which will fuel the need for fasteners.
- On the basis of Vehicle Type, the market is segmented into Passenger Car (PC), Light Commercial Vehicle (LCV), and Heavy Commercial Vehicle (HCV). By vehicle type, the passenger car category is expected to be the largest segment in the automotive fastener market. The increasing need for lightweight fasteners, government mandates for fuel economy and emission reduction, and rising per capita income are driving demand for passenger cars in developing countries like China and India. In developing countries, passenger car production has increased dramatically. SUVs and premium automobiles are in great demand in developed countries such as Europe and North America, which will increase demand for the passenger car market. Furthermore, luxury car demand has surged in India and China in recent years. These reasons have increased global demand for fasteners in the passenger automobile industry.
- Asia Pacific is the fastest regional segment in terms of growth. Due to its high vehicle production and sales, Asia Pacific is expected to be the largest market for Automotive Fasteners over the forecast period. Government rules for lightweight cars have resulted in technological improvements in the region for making lightweight and durable items. In addition, manufacturers are turning away from conventional parts and toward customized parts, which will fuel demand for customized fasteners in the Asia Pacific area. Rising demand for fuel-efficient vehicles in the Asia Pacific is expected to drive the region's Automotive Fasteners industry. Increased aftermarket sales of vehicle fasteners across the area will also enhance demand for the Automotive Fasteners industry.
Battery Powered Trains are Becoming more Prevalent
Fasteners are critical components of battery-powered trains. Because of escalating energy costs, battery-powered trains are being used on a significant scale. Automotive Fasteners contribute to increased train efficiency. The effectiveness of battery-powered trains is also rising thanks to the use of automotive fasteners. Thus, the increasing adoption of battery-powered trains is driving the worldwide Automotive Fasteners Market's rise over the forecast period.
Stainless Steel Demand in Automotive Manufacturing
The rising service sector and changing lifestyles have put emphasis on the benefits of automotive and public transportation solutions to our growing mobility needs. Using stainless steel for auto components, automotive fasteners, and chassis construction is an example of material selection that takes into account social, economic, and environmental factors in order to provide a long-term technical solution. Because of its fire resistance, ease of manufacture, and high strength-to-weight ratio, stainless steel is the most popular choice for automotive fasteners. Since the chassis of most new automobiles are made of steel or has steel as a major component, pacing steel with steel fasteners becomes easy. It also has high recyclability. In addition, high-strength stainless steel has great energy absorption with respect to strain rate. Stainless steel is used in a variety of threaded and non-threaded fasteners to assist against corrosion and other external causes.
With strong car sales in countries such as New Zealand, Australia, India, China, Japan, South Korea, and Indonesia, Asia-Pacific is likely to provide opportunities for the fasteners industry. The Automotive Fasteners Market is expanding due to increased demand for vehicles that are safer and more fuel-efficient. Furthermore, government rules for lightweight cars have resulted in technological improvements in the region for making lightweight and durable items. Furthermore, the presence of significant car manufacturers in this region, combined with the availability of sophisticated technologies, allows Automotive Fasteners to grow in this region. The government rules in this region addressing car safety and emission encourage manufacturers to develop modern and cost-effective solutions, resulting in an increase in demand for automotive fasteners.