Automotive Ambient Lighting Market by IC & Electric Vehicle (BEV, FCEV, PHEV), Application (Footwell, Door, Dashboard, Centre Console), Passenger Car (C, D, E & F), Aftermarket (Country & Application (Interior & Exterior), and region (North America, Europe, Asia-Pacific, Middle East, and Africa and South America).
The global Automotive Ambient Lighting Market size is 3.8 billion USD in 2022 and is projected to reach a CAGR of 11.4% from 2023-2030.
Automotive ambient lighting is used in the interior of the vehicle which directs the illumination of the lights for more liveliness inside the vehicle. It is primarily responsible for the illumination of the vehicle’s interior such as the dashboard, controls, footwells, door handles, cup holders, and others. Moreover, it enables better recognition of interior parts & controls, along with the added benefit of creating a better & bright ambiance inside. Furthermore, ambient lighting serves the purpose of providing better visibility of the driver for the internal components and also creates an aesthetic atmosphere for the passengers. Most of the vehicles come with minimal interior ambient lighting and can be further customized according to the need of the owner. Also, the lightning can be controlled depending upon the driver’s mood, on the basis of the outside lighting, and the interior appearance of the vehicle. In addition, ambient lighting gives a pleasing effect to the driver and facilitates improved functionality and comfort, thereby illuminating necessary functions to be performed in the dark.
The growth in the sales of ultra-luxurious vehicles, owing to the increasing disposable income among the population is the key factor for the market growth. In addition, the increasing awareness of vehicle safety and security is another factor imposing a positive outlook on the market. Moreover, the increasing demand for conventional and green cars and adaptions of LED lights in cars are some other factors propelling the market growth.
On the other hand, the high cost of ambient lighting offered by OEMs may impact the growth of the market. The ambient lighting market is most prominent for high-end variants of C, D, and all E and F segment vehicles. Also, the cost difference between ambient lighting and non-ambient lighting models is huge. Many OEMs like Daimler Benz, BMW, Ford Volkswagen, and Hyundai among others charge extra amounts for the installation of ambient lighting in their high-end vehicles.
Due to the COVID-19 pandemic, governments across all the major countries have announced lockdowns and various other strict regulations. Thus, leading to the shutdown of manufacturing units in the automobile sector and delaying production & weakening the sale of automotive ambient lighting. Moreover, due to the lockdown, there was the unavailability of raw materials required for manufacturing automotive ambient lighting which further disrupted the process. Since the outbreak, curfews have been imposed in almost every country, wherein only a few authorized individuals are allowed to travel, resulting in a further decline in the sale of automobiles. Also, due to social distancing norms and other restrictions, there was an unavailability of labour for manufacturing at the factories. However, new innovations along with the rise in the production of vehicles, and the heavy demand for advanced & luxury features in vehicles can boost the expansion rate of the automotive ambient lighting market.
A rise in disposable income has raised customer desire for cutting-edge technologies. In order to boost passenger comfort, OEM manufacturers are always conducting R&D to enhance ambient lighting in vehicle interiors. The market is also driven by a rise in demand for luxury vehicles by customers and hence there is an increased scope for growth opportunities automotive ambient lighting market to grow and expand. But the high cost of ambient lightning can put a constraint on the expansion of the market.
Asia Pacific to Dominate the Market