The auto wiring harness market is anticipated to witness significant growth over the forecast period owing to increased automobile demand. Auto wiring harness is used to assemble wiring of different electronic and electrical devices mounted onto automobiles and machines. Surging demand across a diverse range of applications such as automobiles, construction, aircrafts, industrial machines, and other complex machinery is expected to be a key force driving the auto wiring harness market over the forecast period. The auto wiring harness market is expected to witness substantial growth owing to a decline in raw material price, particularly copper.
Rapidly growing automobile industry has resulted in increased demand for electronic components, which is further expected to impel the auto wiring harness market growth. Auto wiring harness provides several benefits over conventional loose wire connections, which may spur the adoption-rate in automobiles. Further, auto wiring harness provides reliable and secure connection and enables optimum utilization of space by bundling connected wires together. This wire bundling ensures safety against wear & tear, temperature and moisture, consequently increasing wire durability. Further, auto wiring harness is easy and quick to install as well as replace, and bears easy fault detection mechanism. Therefore, the market is anticipated to witness high growth owing to the aforementioned benefits offered by auto wiring harness.
Growing demand for connectivity and car digitalization will favorably impact market growth over the forecast period. Further, high-growth potential across the compact car segment due to space constraints has also driven the auto wiring harness demand extensively. Stringent government regulations mandating the use of certain electronic safety systems such as Anti-locking Braking System (ABS) and Electronic Stability Program (ESP) to reduce harmful fuel emissions offer avenues for market growth. In addition, growing popularity of electric vehicles has also spurred the auto wiring harness market demand. Rise in manufacturing cost can pose to be a challenge to the auto wiring harness market growth. This includes per unit cost as well as special processing costs involved in delivering mechanical strength, electricity transmission capacity, insulation protection, and electromagnetic compatibility, which leads to increase in cost significantly.
Auto wiring harness is used across light and heavy duty vehicles. These further are classified into passenger vehicles, electric vehicles, commercial vehicles, and hybrid vehicles. Hybrid vehicle wiring harness market growth may be negatively impacted owing to high costs as compared to other commercial vehicles. Auto wiring harness has several applications and are primarily used in chassis wiring, engine wiring, body wiring, HVAC wiring, and speed sensors. HVAC harness includes heating, ventilation, air conditioning, and chassis.
Asia Pacific exhibits a high growth potential, which may be attributed to high vehicle demand in this region. Increasing automobile demand in Asia Pacific, particularly China, and Japan is expected to drive regional market growth over the forecast period. Further, Europe is also expected to witness substantial growth owing to a strong growth across the automotive sector.