Automotive Interior Materials Market Report

Bio prepregs are gaining traction in automotive interior materials due to increased regulations and consumer demand for sustainability. Bio prepregs incorporate polymers produced from organisms or bio-based monomers, providing durability and lightweight properties. Porcher Industries created Polypreg flax/TP thermoplastic composites with flax roving’s, perfect for car interiors like dashboards, improving aesthetics. Bio prepregs contain natural lignocellulosic fibers for reinforcement and use polymers sourced from organisms or bio-based monomers. They offer a sustainable solution for industries such as automotive.

Also, the Integration of smart features in automotive interiors is transforming the interior materials market. Demand is rising for advanced materials supporting high-tech functionalities such as infotainment systems, voice recognition, and adaptive climate controls. Materials must accommodate electronics and enhance user experience. Features like touch-sensitive surfaces and gesture controls require specialized materials. Automakers prioritize these technologies to meet consumer expectations, driving growth in the automotive interior materials market for innovative, high-performance materials.

UV radiation poses the most significant challenges to dyes and pigments contained within automobile interior materials. This would result in fading and marking, which affect the interior of the vehicle as well as its resale value. Heat build-up inside the vehicle further accelerates material breakdowns caused by UV exposure. Resistance to ultraviolet impact is very important in keeping the automotive interior enduring in terms of quality and looks. Chemical-based interiors in automobiles are needed to avoid problems such as stains from spills, degradation from chemical exposure for a long time, and odor retention. Strain from coffee spills or oil stains is difficult to remove which affects the interior and the resale value of the vehicle. Chemical exposure for a long time leads to the weakening of material with contributions towards cracking and peeling that lowers durability and safety. Residual chemical fumes affect comfort inside a car as well as may affect the overall driving experience. Overcoming these challenges helps preserve the functionality and lifespan of the interiors.

In March 2020, Sage Automotive Interiors, an Asahi Kasei company, signed an agreement to acquire the automotive fabric business of Adient with the goal of expanding capacity and capability for automotive interior products to the European market. With a number of locations in Europe, the textile facilities were ideally suited to supply the automotive cut-and-sew facilities in Central and Eastern Europe.

In January 2020, Faurecia announced that it had completed the acquisition of the remaining 50% of SAS from Continental, a project that had been announced on October 14, 2019. This acquisition reinforced Faurecia’s Cockpit of the Future strategy and its systems integration offer, which then covered all interior modules as well as functionalities such as lighting and thermal management. It also strengthened Faurecia’s Just in Time plant network with 20 facilities in Europe, North and South America, and China. SAS had an order book showing strong growth potential, and sales growth would be further accelerated through regional and customer diversification, particularly in China.

Asia Pacific can be considered a lucrative market due to the rising production of cars and commercial vehicles. Various countries of Asia Pacific are becoming major automotive hubs, driven by both local consumption and export opportunities. According to the report of the International Organization of Motor Vehicle Manufacturers, out of the top five global vehicle manufacturers, four belong to the Asia Pacific region. As per the data in 2023, China tops the list of global production of cars and commercial vehicles and has combined produced 30 billion units, followed by Japan, which holds the third rank and annually produces 8.9 billion units. India held the fourth rank and produced a total of 5.8 billion units, while South Korea secured the fifth rank and produced 4.2 billion units. This makes the Asia-Pacific region promising for the automotive interior material market. Furthermore, the European union can also be considered a promising market as the European automotive interior material market experienced growth in 2023, due to an increase in the production and sales of automobiles.

According to the Association des Constructeurs Européens d’Automobiles, about 15 million vehicles were produced in the EU in the year 2023 which is more by 2 million units compared to 2022. Additionally, the market share of European automobiles increased by more than 21% in 2023 from 20% in 2022. Also, North America can be compared as a lucrative market due to the rise in car sales. As per the data of the Association des Constructeurs Européens d’Automobiles car sales in North America have experienced a growth of 15% in their total car sale where the major contributor to this growth is the United States which has recorded a 14.4% growth in new car sales compared to 2022.