Driven by the objective to offer customers an enhanced travelling experience, the OEMs are developing innovative solutions for all kinds of passenger vehicles. One of the features offered is the automotive sunroof, a specially designed movable panel installed in vehicle roofs that enables improved ventilation and lighting, thus providing an appeasing experience to passengers. As a result, the sunroof quickly gained prominence, resulting in its broader adoption among several automotive manufacturers globally, eventually driving the demand for the automotive sunroof market to grow at a CAGR of 5.7% during 2020–2027.
According to The Insight Partners' study on Automotive Sunroof Market Forecast to 2028 – COVID-19 Impact and Global Analysis – by type, material, application, and geography, the market is projected to reach $ 5.13 billion by 2027 from $ 3.7 billion in 2019.
In addition to the escalated demand for enhanced aesthetics, a rise in disposable income has significantly driven the automotive sunroof market growth, the report said.
Furthermore, the growing middle-class income group, especially in several fast-growing economies, also contributes to the market growth.
Some of the key players in this space include Webasto, Yachiyo Industry, ACS France, Aisin Seiki, Automotive Sunroof-Customcraft, Corning, and Inalfa Roof Systems.
The semiconductors and automotive industries are among the hardest-hit businesses by the COVID-19 pandemic, and since the start of 2020, these industries have been experiencing a declining trend. The imposition of lockdown across countries in North America, Europe, and Asia has shattered the industrial sectors in these countries. The automotive industry requires a significant number of human labourers, and the social restrictions imposed by governments created substantial challenges for these industries to continue operations with the same strength of the workforce, which led to underperformance of these industries. The low performance of the automotive and semiconductors industries is hindering the automotive sunroof market growth.
SUVs Drive Market Growth
The shift in preference from sedan or hatchbacks to SUVs began about seven years ago and is still progressing rapidly. As a result, the SUV manufacturers are emerging as prominent consumers of large panoramic sunroofs. Thus, the growing demand for SUVs across the world is aiding the automotive sunroof market growth.
The global automotive sunroof market, based on material, is segmented into fabric and glass. According to the industry research provider, the glass segment held a larger market share, in terms of revenue and volume, in 2019. Several glass materials manufactures have developed innovative and improved sunroof panels that offer superior protection against UV light, greater energy efficiency and insulation, and enhanced visual appeasement. Moreover, the segment is also expected to register a lucrative CAGR in the automotive sunroof market during the forecast period.
The report said that leading companies are focusing on the expansion and diversification of their market presence and acquiring a new customer base, thereby tapping prevailing business opportunities.
Courtesy: The Insight Partners. NB: Photo is representational; courtesy: Webasto.