The global automotive industry is going through a major transition. Advances in automation and artificial intelligence have generated key challenges and opportunities. However, with the global impact of the COVID-19 pandemic, the situation for automotive actuator manufacturers has become dire owing to extended disruptions in supply chains and considerable downtime at production facilities.

The massive impact of the outbreak on China for materials and parts production has made the industry vulnerable. Increased pressure to outsource or offshore supply chain operations will have a substantial effect on the automotive actuators market throughout the pandemic. Emergency cost cutting measures coupled with supply chain disruptions has put a sudden halt on manufacturing processes. Demand is likely to gradually recover after the pandemic, driven by the move towards automated transport.

“Top automotive OEMs including Ford, GM, Daimler, and Toyota, are transitioning to self-driving technologies to enable advancements in transport. Automotive actuators will be widely used for automated cars, which will cause the demand for automotive actuators in the near future to grow substantially.” says the FACT.MR analyst.

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Automotive Actuators Market – Important Takeaways

  • Passenger car applications of automotive actuators will lead, while commercial vehicle segment will display rapid growth.
  • BLDC actuators are anticipated to witness a steady decline owing to a slump in electronics prices.
  • Seat adjustment actuators are set to contribute substantially to market revenue, driven by the growing focus by OEMs towards automotive interiors, and user safety and comfort.
  • Despite the threat of the coronavirus outbreak, Asia Pacific is expected to display a rapid rate of growth, with India, Japan, and China being the key hubs of automotive actuator suppliers for global OEMs.

Automotive actuators Market – Driving Factors

  • Tech advancements in sensor and microcontrollers is a key factor supporting the applications of automotive actuators.
  • OEMs focus on the downsizing of vehicle component sizes will contribute to market developments.
  • Strict government regulations associated with vehicular emissions and fuel efficiency will support the adoption of automotive actuators.
  • Higher incidences of road accidents, and the advent of multiple safety technologies will supplement market growth.

Automotive actuators Market – Leading Constraints

  • Fast wear and tear of automotive actuators will restrain market growth in the near future.
  • High costs of development for automotive actuator technologies also hinders market development.

Anticipated Market Impact of COVID-19

A growing number of manufacturers have been forced by the outbreak to bring down production activities in facilities globally. The shortage of essential components from China has put a dent in key manufacturing operations. With low-cost countries such as China being hit hard by the pandemic, the industry is likely to face delays in terms of delivery schedules.

Also, the pandemic has eaten into automotive sales by around 80%, which has had a major impact on the demand for automotive actuators. Companies will have to invest in contingency plans to mitigate losses during this period. However, the overall effect of the outbreak is still largely uncertain as the after-effects continue to ripple through the supply chain.

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Competition Landscape

Top manufacturers in the global automotive actuators market are Denso Corporation, Robert Bosch GmbH, Hitachi Ltd., Nidec Corporation, CTS Corporation, Johnson Electric, Delphi Automotive LLP, WABCO Holdings Inc., Mitsubishi Electric Corporation, Hella KGaA, Hueck & Co., Continental AG, and Mahle GmbH. Market players are pushing for strategic collaborations and acquisitions for product development initiatives. For instance, Continental AG has acquired Katherine Automotive GmbH for the development of smart antenna services. Similarly, Robert Bosch GmbH has entered into a collaboration with Daimler for development of auto driving vehicle services.

More on the Report

Fact.MR provides detailed data on automotive actuator market. The market is divided in terms of product (waste gate actuators, VGT actuators, throttle actuator, brake actuator, EGR actuator, power seat actuator, grille shutter, HVAC actuator, headlamp actuator, and others), vehicle (passenger vehicles, commercial vehicles, and heavy commercial vehicles) working (pneumatic, hydraulic, electromagnetic, and gear motors or electric), and sales channel (OEM and aftermarket) across six key regions (North America, Latin America, Europe, APEJ, Japan, and Middle East and Africa).

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