Market Trends of China Automotive Sunroof Industry
Increased Adoption of Sunroofs in Sports Utility Vehicles will Drive the Segment Growth
A rise in the adoption of sunroofs in vehicle rooftops globally is expected to augment the automotive sunroof market during the forecast period. The rise in the use of sunroofs from the aftermarket is also significantly driving the demand for the automotive sunroof system.
SUVs (Sports Utility Vehicles) are big cars, ideal for rough surfaces and off-road. These cars can accommodate about five to seven people. The automotive sunroof market for SUVs includes the scope for the multi-utility vehicle (MUV). At present, original equipment manufacturers (OEMs) are developing advanced technologies to manufacture sunroofs, including composite materials for developing lightweight sunroof solutions installed in SUVs. It focuses on the launch of new models in the market to cater to the high demand.
For instance, in May 2023, Shanghai Auto Show 2023, various companies BYD showcased its Yangwang U8 and U9 SUV models for launch in China deployed with panoramic sunroofs.
Similarly, in August 2023, the Kia compact electric SUV was introduced in China with features like Sunroof and LED headlamps to be launched later in 2023.
Moreover, sunroofs are linked to the increasing craze for SUVs, which is driving car sales in recent years. According to our analysis, more than 50% of the SUVs in the market feature sunroofs, and big car manufacturers now introduced sunroofs in the compact SUVs segment. Considering the scenario, sunroof makers are expecting the demand will continue to grow exponentially as people are getting more fascinated by SUV culture with high demand for sunroofs installed in it.
Increase in production of Vehicles will Boost the Market
China dominated the Asia-Pacific region as an automaker. Dealerships are rapidly expanding into China's interior parts, and the market is not witnessing any contraction. According to the China Association of Automobile Manufacturers (CAAM), automotive sales in China increased by 9.3% in the first 2 quarters of 2023 as compared to last year. It was boosted by more substantial discounts and tax incentives for electric vehicles.
Webasto, Yachiyo, and Inteva are the major players in the Chinese sunroof industry. Webasto tried to maintain China as its high-priority production site. Over the years, the company focused on establishing new automated plants in China while upgrading the existing ones to extend its production capacity. The company also enjoys support from major automotive giants, such as Beijing Benz, BMW, Shanghai GM, Chang'an Ford, Shanghai Volkswagen, and Wuhan Shelong.
Moreover, according to the company Webasto, the share of vehicles produced in China with sunroofs is very high. It holds a market share of more than 50%, which continues to grow with increasing vehicle sales.
Growing car customization trends and higher younger population demand for aftermarket sunroof installations are some of the major factors driving the market for sunroofs in the country.
Thus, the above factors, coupled with high sales and growing adoption of sunroof, will drive the market growth.
