Europe Automotive Aftermarket size exceeded USD 166 billion in 2021 and is expected to expand at a CAGR of 5% from 2022 to 2028.
The market growth is credited to the presence of industry contenders in the region. The recent years have registered a considerable upsurge in automotive sales, including OEM parts and aftermarket. The market expansion can be attributed to the escalating component production for meeting the soaring demand.
Get more details on this report - Request Free Sample PDF
Furthermore, the increasing vehicle age has opened new opportunities for participants across the European market. While older cars are touted to provide a better opportunity for industry players, auto part suppliers in Europe are focused on the usage of standardized and modern architecture for numerous vehicle components. This comes amid the rising consumer inclination toward availing products from across the globe.
Impact of COVID on Europe automotive aftermarket industry outlook
The SARS-CoV-2 pandemic led to a disruptive impact on the companies in the European Union. According to statistics, the automotive industry in the European Union comprised half a million companies with over 4.3 million employees.
The region has also registered an upsurge in regulatory initiatives for the assessment of the COVID impact on the industry and examining the market demand. As part of the same, the Commission requested trade associations in Europe to undertake research initiatives.
The DIY segment in the Europe automotive aftermarket industry will cross USD 71.8 billion revenue by 2028. DIY recorded substantial expansion during the SARS-CoV-2 period owing to the rising preference for at-home projects. The free time led to the commencement of easy tasks like polishing, washing, changing oil & filters, and waxing their vehicles.
In addition, the availability of vital information on the internet on car wash and ways to touch up auto paint will drive the industry expansion. The escalating average lifestyle of vehicles, enhanced service experience, and the rising consumer awareness of product pricing are anticipated to boost the market growth.
The car interiors segment will register substantial demand through 2028, attributed to the increasing efforts of manufacturers toward the development of automotive interiors and the visions of the future. As per German carmaker Audi, the deployment of new technologies has led to a change in the way people move by means of the potential for autonomous driving, transition to e-mobility, and all-encompassing digitalization.
France automotive aftermarket will gain remarkable momentum during the forecast timeline, due to the presence of major companies in the region and their initiatives to expand the regional industry. For instance, Faurecia, a French auto parts supplier, rolled out a capital surge of USD 758 million for financing its acquisition of the German competitor Hella. The company closed the purchase in February, leading to the creation of a combined group, dubbed Forvia.
Prominent participants operating across the Europe automotive aftermarket are Magna International Inc., Continental AG, Magneti Marelli S.p.A., ZF Friedrichschafen AG, Robert Bosch GmbH, Valeo SA, Faurecia and MAHLE.
These companies are depicting a keen interest in the adoption of various initiatives such as mergers, acquisitions, product developments, and partnership agreements for driving industry growth. Furthermore, these participants are also taking an active part in conferences and research activities for strengthening their industry position.