Automotive Body in White Market

Automotive Body in White Market Outlook (2023 to 2033)

In 2022, the automotive body in white market is anticipated to be worth US$ 61.5 Billion. Between 2023 and 2033, the market is expected to increase at a 3.5% CAGR, from US$ 63.5 Billion in 2023 to US$ 89.4 Billion in 2033.

Some of the factors propelling the market growth for the automotive body in white include:

• The introduction of lightweight and advanced components will not only reduce the overall weight of a vehicle but boost its efficiency and fuel performance.
• Vehicles made from sustainable and lightweight body components/structures are predicted to be more performance-oriented and provide better fuel efficiency. This is predicted to boost the demand for the product in the global market.
• The global population and per capita income have been steadily increasing. The vehicle industry has been spurred by changing economic conditions, an increase in employment, and an increase in the number of industries.
• Rising job levels have increased per capita income and people's spending power, which has encouraged the sale of premium vehicles.
• Premium sedans and utility vehicles have a greater quantity of automotive body-in-white components composed of high-quality materials. Thus, an increase in the sale of premium automobiles, combined with increased consumer buying power, is boosting the global body-in-white market.

Increasing Commercial Vehicle Sales to Drive the Demand for Automotive Body in White

Globalization, industrialization, and expanded supply chains have all strengthened the logistics and transportation sector. Environmental laws and emission standards, as well as the increasing use of lightweight materials in automobiles to improve fuel efficiency, are likely to drive market demand over the forecast period. Moreover, continuous research and development on new alloys and efficient manufacturing procedures, as well as increased investments in automation and robotics in the manufacturing process, are likely to open new prospects for market participants. Automotive body-in-white is anticipated to have high tensile strength as well as stiffness against bending, torsional, static, and dynamic forces. As a result, high-strength materials are used in the production of the automotive body in white.

Rising Use of Lightweight and Cost-effective Materials to Create Growth Prospects for Players

For all types of vehicles, from commercial trucks to passenger cars, and from gasoline-powered vehicles to electric vehicles, lightweight materials such as lightweight steels, fiber-reinforced plastics, and aluminum and magnesium alloys are replacing traditional metallic materials of the body in white structural components. The increased demand for fuel-efficient automobiles, combined with severe pollution and safety standards, is the key driving force behind this progress.

Stringent emission requirements in both developing and established countries are driving demand for lightweight automobiles. To meet higher emissions and fuel economy criteria, automobile manufacturers are working on reducing overall vehicle weight and improving fuel efficiency, resulting in the expansion of the automotive body in the white market.

Nikhil Kaitwade

Principal Consultant

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Automotive Body in White Market Sales from 2017 to 2022 Compared to 2023 to 2033 Prospects for the Future

Due to increased production of automobiles such as passenger cars, commercial vehicles, and electric vehicles, the automotive body in the white market is predicted to develop at a stable rate of US$ 25.9 Billion over the forecast period at a CAGR of 1.7% from 2017 to 2022.

The phase of automotive manufacturing in which the sheet metal body components of an automobile have been welded together is referred to as automotive body-in-white.

In other words, the automotive body-in-white is the vehicle's frame structure before the painting and installation of the engine, chassis, glass, seat, doors, hood, and other sub-assemblies.

Automakers are spending on research and development to increase vehicle fuel efficiency by lowering vehicle weight with lightweight materials, which is expected to boost market growth. Aside from that, the body in white is a vital structure for all automobiles, thus the rise of the automobile sector will also contribute to the growth of the worldwide body in the white market.

The automobile manufacturers' focus on vehicle weight reduction without sacrificing quality is expected to further fuel the expansion of the body in the white market.

On the other hand, the rising cost of lightweight materials is expected to stymie the expansion of the automotive body-in-white market throughout the forecast period. Furthermore, advancements in manufacturing procedures for high-strength materials and component weight reduction will give further potential prospects for the expansion of the body in the white market in the future years. However, technical tests and reduced formability in connecting other materials with steel components may pose additional challenges to the body's expansion in the white market soon.

Key Trends in Automotive Body in White Technology Market

• Increasing usage of aluminum: Aluminum's light weight and excellent strength have led to an increase in its use in automotive body-in-white. It is also recyclable and resistant to corrosion.
• Use of cutting-edge materials: To lighten the weight of cars, BIW uses cutting-edge materials like carbon fiber and composites. These materials are also very strong and long-lasting.
• Use of robotics and automation: Automotive body-in-white uses robots and automation to increase production efficiency. Additionally, automation lessens the likelihood of human error.
• 3D printing is being used: BIW uses 3D printing to make prototypes and production parts. The lead time and production costs are being lowered with the aid of this technology.

Challenges for Automotive Body in White Market

Compared to other industries, the supply chains of automobile companies are more complicated. The operations of automakers are dispersed over several places. The supply chains of automotive manufacturers have been made more complex by the globalization trend they have followed.

As a result, there are variations in the sizes, specifications, and other features of the vehicle parts, including the automotive body in white. Because of this, automotive bodies in white manufacturing and assembly engineers confront numerous difficulties in identifying mistakes and taking corrective action for assembly distortions. As a result, the global automotive body in the white market is hampered by automotive firms' dispersed supply networks.

Category-wise Insights

Which Vehicle Type Drives the most Demand for Automotive Body in White?

Passenger vehicles are anticipated to hold close to 3.3% of the global market share in 2023. Passenger vehicles have gained significance, especially in developing regions such as India, Brazil, Mexico, and ASEAN countries. Passenger vehicles, especially small and mid-sized cars are compact, cost-efficient, and provide good fuel mileage owing to which its demand is expected to rise significantly in the coming years.

The rising disposable income in developing regions and the availability of lucrative offers provided by car retailers and manufacturers is further expected to spur the sales of passenger vehicles worldwide, which in turn is projected to bolster the growth of the automotive body in white in the global market.

Which Product Type is Anticipated to Remain the Top-choice?

A chassis forms an integral part of an automobile. It is the main supporting framework of a vehicle to which all other components are attached. The chassis segment is anticipated to hold a major chunk of the global market share comprising nearly 3.0% of the total market share.

The chassis provides the rigidity and stiffness required to sustain the various vehicle components as well as the payload. The various research and development activities aimed at improving the quality and reducing the weight of the chassis to provide optimum performance have led to the introduction of advanced chassis made from sustainable materials.

A Glimpse of Country-wise Insights

Asia Pacific to Register the Highest Growth Rate in Automotive Body in White Industry

The body in white is anticipated to have the highest global market in the Asia Pacific region. Even if the production of passenger cars has slowed, this market has grown quickly year over year. The other vehicle sectors, however, have continued to grow, and the adoption of lightweight solutions has not hurt market revenue.

With around US$ 23.1 Billion in car production per year, China has been the biggest contributor to the Asia Pacific automotive body-in-white market. It is the market's top revenue generator. However, with the adoption of strict pollution rules and the purchase of electric vehicles with lightweight solutions, Japan is expected to be the fastest-growing market, making the area the largest revenue market for automotive body-in-white internationally.

The market for automotive robotics is also expanding at the highest rate in the Asia-Pacific region, where South Korea, Taiwan, China, and India are among the emerging leaders. Leading vendors are establishing the region as their operational hub, including ABB and KUKA. Infrastructure improvement initiatives have also been made possible by government funding and laws. Due to these factors, Asia-Pacific is now the preferred location for the manufacture of automobiles, which will continue to boost the need for automotive body-in-white in the coming years.

Additionally, government programs in nations like China and India will support manufacturing and help this industry expand. More than half of the market share for the body in white is anticipated to be held by the regions of Europe, North America, and Asia Pacific. According to estimates, the rest of the world only makes up a minor portion of the body in the white market. Additionally, government programs in nations like China and India will support manufacturing and help this industry expand. More than half of the market share for bodies in white is anticipated to be held by the regions of Europe, North America, and Asia Pacific. According to estimates, the rest of the world only makes up a minor portion of the body in the white market.

The USA market is growing in Automotive Body in White Market

Due to the market participants' quick investments, the North American market is anticipated to develop significantly over the projected period, reaching US$ 17.0 Billion. Numerous advanced economies in North America have extremely sophisticated car manufacturing sectors. Several significant automakers with headquarters in North America make significant investments in the creation of automobiles with cutting-edge features. These main companies will have a significant impact on the creation of cutting-edge and new products, which will fuel the market's expansion.

Why is China Considered a Prominent Region for Automotive Body in White?

China is predicted to remain one of the most lucrative markets during the forecast period, according to Future Market Insights. The country is expected to be the biggest manufacturer of the automotive body in white in East Asia. According to the assessment, China is anticipated to create an absolute $ opportunity of US$ 7.4 Billion from 2021 to 2031.

The availability of low-cost raw materials and the increasing investment in the upgradation of manufacturing plants and facilities have increased the sales of automobiles. This factor is projected to provide ample opportunities for the automotive body in the white industry to prosper in China throughout the forecast period.

What is the Demand Outlook for Automotive Body in White in Germany?

Europe is expected to be one of the fastest-growing markets. Germany is predicted to lead the sales of the automotive body in white in the region due to the existence of significant automakers and an emphasis on research and development activities on new technology.

High sales of passenger vehicles combined with supporting rules for the production and usage of these vehicles are expected to propel the market forward throughout the forecast period.

Germany is projected to account for the highest sales of the automotive body in white in Europe in 2021. Germany is estimated to generate sales worth US$ 2.8 Billion in 2021.

What is Driving the Market for Automotive Body in White in the USA?

The automotive body in white market in the USA is anticipated to expand at a significant rate. The market is projected to grow steadily in 2021, and with key players adopting additional initiatives, the market is predicted to rise throughout the forecasted period.

The majority of the revenue is generated from passenger vehicles and light commercial vehicle sales in the country and this trend is expected to continue over the projected timeframe. The market in the US is projected to register an impressive absolute $ opportunity worth US$ 4,439 Million from 2021 to 2031.

What is Driving Sales of Automotive Body in White in India?

The Indian market is expected to grow at a CAGR of 3.9% from 2021 through 2031. The rise in disposable income is anticipated to create healthy conditions for the growth of the automotive body in the white industry in India. The rising population and increasing urbanization in India are anticipated to fuel the demand.

Due to the availability of inexpensive labor, raw materials, and favorable government regulations, many worldwide OEMs are attempting to establish manufacturing operations in India. The cost of raw materials such as steel, aluminum, and magnesium is substantially lower than in other parts of the world. This has attracted OEMs from all around the world to establish manufacturing facilities in the South Asia & Pacific region.

What is the Outlook of Japan's Automotive Body in White Market?

Although China accounts for the majority of the market share in East Asia, Japan is among the leading markets for the automotive body in white globally. With the implementation of stringent emission control rules and the increasing purchase of passenger vehicles, Japan is expected to exhibit healthy growth throughout the forecast period.

Japan also hosts a large number of automotive car manufacturers, some of which are considered among the global market leaders. The market for the automotive body in white in Japan is predicted to grow at a CAGR of 3.7% from 2021 through 2031.

Manufacturers to Try out Various Growth Strategies to Thrive in the Industry

To manufacture body structures and components that are lightweight and performance-focused, companies that operate in the automotive body market in the white market are focusing on technical advancements and enhancing the production processes. To increase their reach and worldwide visibility, several firms are now forming strategic alliances with top automobile OEMs and tier 1 suppliers.

Some of the major companies operating in the market are

• Kirchhoff Automotive GmbH
• Benteler International
• ThyssenKrupp AG
• Voestalpine AG
• Martinrea International Inc.
• Gestamp Automocion, Magna International Inc.
• CIE Automotive, Autokiniton Global Group
• H-One Co., Ltd
• JBM Auto
• Dura Automotive Systems
• Futaba Industrial Co., Ltd.
• Shiloh Industries and Multimatic Inc.

Recent Developments in the Automotive Body in White Industry:

• Magna Cosma Casting announced in April 2021 that it intended to spend USD 31.9 million to build around 50,000 square feet of its Battle Creek factory to create more production capacity for producing lightweight automobiles.
• Thyssenkrupp introduced the Automotive Body Solutions business unit in March 2021. This division focuses on body assembly solutions and the creation of lightweight body components for clients in the car industry.
• Mercedes-Benz gave KUKA a substantial order in January 2021 for the engineering, building, assembling, and commissioning of several body-in-white manufacturing lines for upcoming Mercedes vehicles in North America.

Scope of Report

Automotive Body in White Market by Category

By Product Type:

• Body Structure
  • Bumper Beam
  • Crossmember
  • Roof Frame
  • Cross Car Beam
  • Others
• Body Component
  • Quarter Panel
  • Floor Panel
  • Rocker Panel
• Chassis

By Vehicle Type:

• Passenger Vehicles
• Light Commercial Vehicles (LCVs)
• Heavy Commercial Vehicles (HCVs)

By Region:

• North America
• Latin America
• Europe
• East Asia
• South Asia & Pacific
• Middle East and Africa (MEA)