Automotive Front End Module Market Size
| Study Period | 2019 - 2029 |
| Base Year For Estimation | 2023 |
| CAGR | > 5.00 % |
| Fastest Growing Market | Asia-Pacific |
| Largest Market | Asia Pacific |
| Market Concentration | High |
Major Players
*Disclaimer: Major Players sorted in no particular order |
Automotive Front End Module Market Analysis
The Automotive Front-End Module Market was valued at USD 124.95 billion in 2021 and is expected to reach USD 176.4 billion by 2027 registering a CAGR f above 5% during the forecast period (2022 - 2027).
The COVID-19 pandemic hindered the growth of the automotive industry and associated component industry like the front-end module market as lockdowns and shutdown of manufacturing facilities in 2020 resulted in the decline of vehicle production and sales worldwide. However, key markets opening up by the first half of 2021 and key players' short-term strategies to revive their business operations across various countries have helped the market to regain its momentum.
Over the medium term, expanding the automotive industry and growing awareness about safety in vehicles across all major regions in the world are expected to drive demand in the market. In addition, the rising need for vehicle weight reduction and increasing demand for technically advanced lightweight front-end modules are likely to offer lucrative opportunities for players in the market. However, heavy expenditures are being made in the automotive front-end module market as manufacturers choose to miniaturize their goods in response to rising consumer interest in vehicle front-end modules likely to restrict market growth during the forecast period.
Further, as key automotive players are actively looking to adopt the latest front-end modules in their vehicles to gain competitive edge to support market growth in coming years. Besides, these rise in ADAS technology and autonomous cars to enhance overall market growth as they accomodate more sensors than conventional vehicles and hence more opportunity for conducting extensive research activities in this regard.
Asia-Pacific, Europe followed by North America region expected to play key role in the development of the market during the forecast period as growth across these regions is supported by notable vehicle production both passenger cars and commercial vehicles. In addition, the growth of market is likely to be spurred by key automotive OEM launches with latest front module innovations and key manufacturers in the region.
Automotive Front End Module Market Trends
This section covers the major market trends shaping the Automotive Front End Module Market according to our research experts:
Increasing Demand for Lightweight Automotive Front-End Modules
The growing demand for lightweight vehicles is also the driving force for the automotive front-end module (FEM) market. As lightweight auto parts reduce the overall weight of the vehicles, they can, in turn, reduce CO2 emissions and cost. So, as several governments across the globe have introduced stringent emission and fuel economy regulations such as corporate average fuel economy (CAFÉ), BS-VI norms, etc. such regulations are likely to encourage automotive OEMs to increase the usage of lightweight materials such as lightweight metals, composites, and plastics. Experimenting with front-end module materials in auto parts has predominately contributed to achieving 20%-30% of vehicle weight reduction.
Nowadays instead of heavy steel and iron carriers, lightweight components are used which are responsible for fuel efficiency and vehicle performance enhancement. Commonly used materials for lightweight thermoplastics are polypropylene and nylon. For instance,
- In July 2020, a highly integrated bolster produced with a 'hybrid' plastic-metal composite technology for the Ford Kuga SUV, is produced with steel panels and Durethan BKV30H2.0EF, an easy-flowing, fiberglass-reinforced nylon 6 from Lanxess, Pittsburgh, Penn. The bolster and the fully assembled front-end module were developed and are produced by Germany's Montaplast GmbH, a global system supplier of the automotive industry.
Hybrid composite/metal designs are preferably used for heavy-end vehicles. Environmental regulations for green initiatives and the digital lifestyle of consumers is also playing a vital part in increasing demand for lightweight vehicles and in turn the demand for composite/ hybrid front-end module (FEM). For example,
- In April 2021, Webasto announced that, at Auto Shanghai, it is presenting a concept vehicle as a vision of the mobility of the future. The concept car brings together numerous technical solutions for autonomous driving, electrification and comfort: roof sensor module with a working lidar and working camera, a large openable panorama roof, a smart lightweight front-end module, a battery and charging solution, and an integrated thermal management system.
Currently, several vehicles are launched in the market with front-end modules made of composite materials. The recently launched Hyundai and two small segment cars from Mercedes use a lightweight front-end construction that allows for the integration of additional functionality in components, which in turn saves assembly time, reduces costs, and lowers mass. Carriers for all three vehicles make use of injection-molded pelletized LFT-PP. For instance,
- In February 2020, Geely Philippines introduced its very own gasoline-electric hybrid technology into its upcoming compact SUV, which will pair with a 1.5-liter turbo-charged gasoline engine, complemented by a 48-volt belt-starter generator (BSG) integrated in the Front-End Accessory Drive (FEAD) of the engine, a 48-volt to 12 DC/DC converter, a 48-volt lithium-ion battery module and battery management system (BMS), along with a recuperation braking system and a hybrid module control system.
Considering such developments and technologies in the market, the trend of light weight components in vehicles anticipated to push manufacturers to offer innovative solutions for their customers. Owing to such trends , the market expected to grow at decent rate during the forecast period.
Asia-Pacific Region Expected to Witness Significant Growth in the Market
The Asia-Pacific region is expected to dominate the automotive front-end module market -owing to the strong presence of key front-end module manufacturers in Japan, South Korea, China, and India. The demand in the market is further supported by growing vehicle production across key countries in the region coupled with the growing focus of various automotive OEMs to produce lightweight vehicles. For instance,
- According to CAAM, the China Association of Automobile Manufacturers (CAAM) stated that in July 2022, the PMI of the automobile industry was higher than 52.0%, which was better than that of the overall manufacturing industry. Overall vehicle production and sales in July totaled 2.455 million units and 2.42 million units, representing a 31.5% and 29.7% y/y increase, respectively. Passenger vehicle production reached 2.21 million units, up 42.6% y/y, while sales were 2.174 million units, up 40.0% y/y. Passenger vehicle production for the January to July period totaled 12.645 million units, up 10.9% y/y, while sales were 12.529 million units, up 8.3% y/y.
- According to SIAM, total Passenger Vehicle Sales in India increased from 2,711,457 to 3,069,499 units and during the same period 113,265 units of Vans were sold compared to 108,841 units in April 2020 to March 2021 indicating positive trends in the market.
Apart from China and India South Korea, Japan are also gaining the importance owing to the presence of big players of automobile industry like Nissan. This region is expected to show strong double digit CAGR for the automotive front end module (FEM) market. Further, demand in the market expected to be supported by key players expansion strategy, production facilities expansion, etc. For instance,
- In March 2022, the first ever Malaysia-assembled CKD unit of Porsche Cayenne has rolled off the production line at Sime Darby's assembly plant in Kulim, Kedah, the first assembly facility for Porsche outside of Europe. The base Cayenne is currently the only model being produced locally in CKD form. Six key modules sourced locally include center console and cockpit (Clarion), front and rear axles (ZF), and the front-end module assembly.
Such developments, anticipated to create positive outlook for the market during the forecast period.
Automotive Front End Module Industry Overview
The Automotive front-end module market is moderately consolidated and the majority share of the market is dominated by major players, such as Denso Corporation, Faurecia SA, Group, Magna International, and Plastic Omnium Group, among others. Various players around the world are investing in new R&D projects, making joint ventures, and partnerships for being ahead of the competition. For instance,
- In May 2021, Mother son Group completes the acquisition of a majority stake in Turkey's Plast Met Group through its subsidiary Samvardhana Motherson Reflectec With the successful closure of this acquisition, Motherson Group now has access to the significant Turkish automotive market.
- In October 2020, Plastic Omnium announced that numerous new programs for 100% electric vehicles are coming on stream. Plastic Omnium equips the Tesla Model 3 and Model Y with front and rear bumpers and front-end modules. These models are manufactured in China and North America. It also provides front-end module, centre console, front and rear bumpers for VW ID.3 and ID.4.
Automotive Front End Module Market Leaders
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Denso Corp
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HBPO GMBH
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HYUNDAI MOBIS CO. LTD
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Magna International Inc.
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Compagnie Plastic Omnium SA
*Disclaimer: Major Players sorted in no particular order
Automotive Front End Module Market News
- In July 2022, Hella GmbH & Co. KGaA (Hella), which operates under the umbrella brand FORVIA, agreed the sale of its 33.33% stake in HBPO Beteiligungsgesellschaft GmbH ('HBPO') to its co-shareholder, Plastic Omnium. The agreed purchase price amounts to EUR 290 million. The transaction is subject to customary regulatory approvals. Closing is expected in the fourth quarter of 2022. Plastic Omnium will own 100% of HBPO and will be well positioned to develop new modules and systems taking advantage of the new lighting capabilities. HBPO assembles one in five front-end modules produced worldwide.
- In January 2022, Opel announced that its new Grandland X Hybrid4 is ow a permanent all-wheel-drive vehicle offering optimal grip on slippery surfaces with high torque of the electric motors. The Opel Grandland X Hybrid4 is powered by a 1.6-liter turbo gasoline engine and two electric motors that provide the system with an overall output of 221 kW (300 hp). The power of the front electric module corresponds to 81 kW (110 hp) and that of the rear to 83 kW (113 hp).
- In October 2021, ElringKlinger AG (ElringKlinger) announced that it has developed an innovative front-end module carrier, which is used in a vehicle produced by US electric car manufacturer Lucid Motors for its first electric vehicle model Air. The front-end module support, which is manufactured in a hybrid design, can act as a support for the charge air cooler, the headlamp modules, the spray water tank, the horn, the distance radar module or the air intake.ElringKlinger manufactures the front-end module carrier using a single-shot injection molding process.
- In April 2021, Webasto unvieled a concept vehicle as a vision of the mobility of the future. The concept car brings together numerous technical solutions for autonomous driving, electrification and comfort i.e., roof sensor module with a working lidar and working camera, a large openable panorama roof, a smart lightweight front-end module, a battery and charging solution, and an integrated thermal management system.
Automotive Front End Module Market Report - Table of Contents
1. INTRODUCTION
1.1 Study Assumptions
1.2 Scope of the Study
2. RESEARCH METHODOLOGY
3. EXECUTIVE SUMMARY
4. MARKET DYNAMICS
4.1 Market Drivers
4.2 Market Restraints
4.3 Industry Attractiveness - Porter's Five Force Analysis
4.3.1 Threat of New Entrants
4.3.2 Bargaining Power of Buyers/Consumers
4.3.3 Bargaining Power of Suppliers
4.3.4 Threat of Substitute Products
4.3.5 Intensity of Competitive Rivalry
5. MARKET SEGMENTATION (Market Size in Value - USD billion)
5.1 By Vehicle Type
5.1.1 Passenger Cars
5.1.2 Light Commercial Vehicle
5.1.3 Heavy Commercial Vehicle
5.2 By Raw Material Type
5.2.1 Metal
5.2.2 Composite
5.2.3 Others
5.3 By Geography
5.3.1 North America
5.3.1.1 United States
5.3.1.2 Canada
5.3.1.3 Rest of North America
5.3.2 Europe
5.3.2.1 Germany
5.3.2.2 United Kingdom
5.3.2.3 France
5.3.2.4 Italy
5.3.2.5 Rest of Europe
5.3.3 Asia-Pacific
5.3.3.1 China
5.3.3.2 India
5.3.3.3 Japan
5.3.3.4 South Korea
5.3.3.5 Rest of Asia-Pacific
5.3.4 Rest of the World
5.3.4.1 South America
5.3.4.2 Middle-East and Africa
6. COMPETITIVE LANDSCAPE
6.1 Vendor Market Share
6.2 Company Profiles
6.2.1 Denso Corporation
6.2.2 Hirschvogel Automotive Group
6.2.3 HYUNDAI MOBIS CO. LTD
6.2.4 Magna International Inc.
6.2.5 Hanon Systems
6.2.6 Compagnie Plastic Omnium SA
6.2.7 SL Corporation
6.2.8 Valeo SA
6.2.9 Marelli Corporation
6.2.10 MAHLE GmbH
6.2.11 Calsonic Kansei Corporation
- *List Not Exhaustive
7. MARKET OPPORTUNITIES AND FUTURE TRENDS
Automotive Front End Module Industry Segmentation
Automotive front-end modules are the type of assembly pieces that combine and involve a number of components into one. These components are forward lighting, radiators & cooling fans, grille-opening reinforcement (GOR) panels, air conditioning (A/C) condensers, crumple zones, hood latches, bumpers, and electronics & wiring.
The front-end module (FEM) is a complex assembly with very high demands on functionality, technology & fitting accuracy. The Scope of the report covers segmentation based on Vehicle Type, Raw Material and Geography.
By Vehicle Type, the market is segmented into Passenger Cars, Light Commercial Vehicles, and Heavy Commercial Vehicles. By Raw Material type, the market is segmented into Metal, Composite, and Others. By Geography, the market is segmented into North America, Europe, Asia-Pacific, and Rest of the World. For each segment, market sizing and forecast have been done on basis of value (USD billion).
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| Passenger Cars | |
| Light Commercial Vehicle | |
| Heavy Commercial Vehicle |
| By Raw Material Type | |
| Metal | |
| Composite | |
| Others |
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Automotive Front End Module Market Research FAQs
What is the current Automotive Front End Module Market size?
The Automotive Front End Module Market is projected to register a CAGR of greater than 5% during the forecast period (2024-2029)
Who are the key players in Automotive Front End Module Market?
Denso Corp, HBPO GMBH, HYUNDAI MOBIS CO. LTD, Magna International Inc. and Compagnie Plastic Omnium SA are the major companies operating in the Automotive Front End Module Market.
Which is the fastest growing region in Automotive Front End Module Market?
Asia-Pacific is estimated to grow at the highest CAGR over the forecast period (2024-2029).
Which region has the biggest share in Automotive Front End Module Market?
In 2024, the Asia Pacific accounts for the largest market share in Automotive Front End Module Market.
What years does this Automotive Front End Module Market cover?
The report covers the Automotive Front End Module Market historical market size for years: 2019, 2020, 2021, 2022 and 2023. The report also forecasts the Automotive Front End Module Market size for years: 2024, 2025, 2026, 2027, 2028 and 2029.
Automotive Front End Module Industry Report
Statistics for the 2024 Automotive Front End Module market share, size and revenue growth rate, created by Mordor Intelligence™ Industry Reports. Automotive Front End Module analysis includes a market forecast outlook to 2029 and historical overview. Get a sample of this industry analysis as a free report PDF download.
