Market Trends of China Automotive Camera Industry
This section covers the major market trends shaping the China Automotive Camera Market according to our research experts:
Increasing Demand for Safety Features
The passenger car active and passive safety systems market is in its growth stage, consumers are demanding for cars to be equipped with advanced features. China being the largest producer of automobiles, has many automobile companies which has created intense competition. To attract more customers OEMs are providing automobiles with cameras as a basic feature, this has led to introduction of low-cost automobile cameras. OEMs have started to install more advanced active safety systems in an extensive range of passenger vehicle mid-price segments to differentiate their products in the highly competitive Chinese automotive market. This would also help to change the market dynamics of the automotive safety systems in the Chinese industry, where safety would be the most critical issue addressed in the forecast period. Thereby, an increased focus on automotive safety is predicted to help to augment the market for automotive camera significantly.
The growth in the market is also characterized by the increase in the demand for passenger luxury vehicles in the country. The industry is characterized by significant machinery and equipment, which is used for researching, developing, manufacturing, and testing new equipment. The growth of the Chinese automotive camera industry is attributed to foreign investment as China has low labour and production cost. China acts as a major hub for automotive camera manufacturing and supplier for western automakers. Chinese camera market is also well known for their supply to aftermarket stores across the world.
The Chinese automotive camera market is expected to grow at a high rate because China has a huge camera market which is part of China's automotive components industry. It has been one of the pillars for Chinese economy, China has rolled out string of policies to guarantee healthy and sustainable growth of the industry.
Increasing Autonomous Vehicles Will Help Market Grow
Automotive cameras have evolved significantly to integrate with the other safety systems of the vehicles and assist the driver. The automotive industry is transitioning to advance technology of autonomous vehicles. Autonomous emergency breaking, parking assistance, 360 degree vision and blind spot detection are part of autonomous vehicle system. Automotive camera can be used for all the mentioned functions with proper software integration. However, they require high precision cameras for this which are very expensive. During the forecasted period, cost of these cameras is expected to reduce as they are becoming increasingly available.
For instance, the ZF TRW's lane departure warning system uses video camera technology that is integrated with an electrically powered steering to enable quick feedback for active lane-keeping assistance. The video camera detects when the vehicle is drifting toward the lane markings, and the electric steering provides the driver with guidance through the steering wheel to stay in the lane. The camera-based forward collision warning identifies the closest object in the vehicle's path and determines its scale change. If the size and optical growth of the object indicate a potential collision, a warning is given to the driver.
Although due to COVID-19 economic crisis the automobile production has reduced, during the forecasted period the car production is expected to grow steadily which will help automotive camera market to grow.
