Download Sample, Rise in Automotive Sensor Sale and Strict Laws Drives Growth of Automotive Oxygen Sensors
Demand for automotive oxygen sensors is increasing as vehicle emission regulations tighten, fuel efficiency becomes a priority, and eco-friendly technologies are prioritized by consumers and manufacturers. Furthermore, as per the data of the Office of Scientific and Technical Information, the two key trends of automation and electrification in the vehicle industry are projected to drive the demand for the automotive oxygen sensor market. As per the data, the global sale of automotive sensors for the year 2017 was 7.5 billion units and is expected to reach 11 billion by the end of 2024. Thus, with the rising sensory market, the demand for automotive oxygen sensors is expected to grow. Strick emissions rules globally is also a major driver for the automotive oxygen sensor market.
Governments like the EPA of the United States and Euro standards of the European Union impose strict vehicle emission limits to tackle air pollution and climate change. Automakers invest in advanced sensor technology like wideband oxygen sensors to improve combustion efficiency and meet standards. Demand rises for vehicles with advanced sensors, with a large aftermarket for replacements. In economies such as the United States, Germany, and France, manufacturers face fines for violations of emission laws, pushing them to prioritize emissions control. Also, users increasingly care about the environment, fuelling a strong market for oxygen sensors to boost sustainability in the automotive industry.
Governments like the EPA of the United States and Euro standards of the European Union impose strict vehicle emission limits to tackle air pollution and climate change. Automakers invest in advanced sensor technology like wideband oxygen sensors to improve combustion efficiency and meet standards. Demand rises for vehicles with advanced sensors, with a large aftermarket for replacements. In economies such as the United States, Germany, and France, manufacturers face fines for violations of emission laws, pushing them to prioritize emissions control. Also, users increasingly care about the environment, fuelling a strong market for oxygen sensors to boost sustainability in the automotive industry.
Zirconia Oxygen Sensors to Lead the Automotive Oxygen Sensor Market
The rising demand for automotive oxygen sensors is expected to rise due to the rise in global vehicle production. The rise in global commercial and personal vehicles has been experienced due to rising economic growth and higher disposable incomes. As per the data of the International Organization of Motor Vehicle Manufacturers (OICA), a total of 95.11 million units of vehicles were produced in the year 2023, which is a growth of 10% compared to 2022. Zirconia oxygen sensors are essential in automotive and industrial applications, detecting oxygen levels in exhaust gases with zirconium dioxide. They play a crucial role in optimizing engine performance and controlling emissions, operating effectively in high-temperature environments.
With stricter emission regulations and a rise in fuel-efficient demands, the demand for these sensors is expected to increase. Despite advancements in electric vehicles, the need for efficient combustion systems will sustain the market for zirconia oxygen sensors in the coming years. Thus, the rising production of vehicles and various advancements in zirconia oxygen sensors are expected to boost the overall automotive oxygen sensor market.
With stricter emission regulations and a rise in fuel-efficient demands, the demand for these sensors is expected to increase. Despite advancements in electric vehicles, the need for efficient combustion systems will sustain the market for zirconia oxygen sensors in the coming years. Thus, the rising production of vehicles and various advancements in zirconia oxygen sensors are expected to boost the overall automotive oxygen sensor market.
Recent Trends in the Automotive Oxygen Sensor Industry
- The integration of IoT in vehicles is leading to smarter oxygen sensors
- Development in improving accuracy, durability, and performance, aligning with modern automotive technologies.
- Shifting towards electric vehicles, increasing demand for advanced oxygen sensors
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Replacement and Labour Cost Caps the Overall Automotive Oxygen Sensor Market Expansion
One of the major challenges faced by the automotive oxygen sensor market is the challenge regarding their replacement. Oxygen sensors are mostly fitted in highly inaccessible regions of the vehicle, especially in powertrain systems and exhaust systems. This indeed makes accessing the particular region a big problem. Hence, in most cases, replacing a damaged sensor often turns into removing several other components, which is time-consuming and laborious. For example, the up-and-downstream oxygen sensors coming from the catalytic converter may also have variants in the temperature ranges. In general, these will range between 300°F to 1,500°F or 150°C to 800°C, which will make it even more difficult to remove and replace.
Furthermore, the labour charges also have a major impact on the automotive oxygen sensor market. These costs keep the effective overall cost of automobile maintenance and service high. Consumers may become less willing to replace an oxygen sensor as labour costs rise. Increased labour charges raise costs charged for services, sometimes forcing owners to do the service themselves or look for some low-cost alternative.
Furthermore, the labour charges also have a major impact on the automotive oxygen sensor market. These costs keep the effective overall cost of automobile maintenance and service high. Consumers may become less willing to replace an oxygen sensor as labour costs rise. Increased labour charges raise costs charged for services, sometimes forcing owners to do the service themselves or look for some low-cost alternative.
Niterra and DENSO Drive Innovation in Automotive Oxygen Sensors
In January 2024, Ignition and vehicle electronics specialist Niterra added 35 new cutting-edge oxygen sensors to its NTK Vehicle Electronics brand. The latest inclusions to the company’s O2 sensor portfolio were linear and belonged to the so-called wideband sensors. The 35 new sensors were already in stock and ready for sale. They could also be found on TecDoc. They were fitted to models from major automakers around the globe, including Toyota, Nissan, Renault, and Volvo, and were available for a cross-section of vehicles, including the popular Qashqai and RAV 4 crossovers from Nissan and Toyota respectively, the larger XC60 SUV from Volvo, and the bigger Land Cruiser off-roader from Toyota. They were suitable for vehicles with petrol, diesel, and hybrid powertrains.
In September 2021, DENSO Products and Services Americas added 65-part numbers to its comprehensive line of First Time Fit oxygen sensors to cover 2022 models. With 27 new replacement units available by the end of September and another 38 coming in mid-2022, DENSO increased its product line to 1,362-part numbers and continued to lead the industry with its high-quality oxygen sensors covering 99% of vehicles made in the U.S., Europe, and Asia. DENSO said its First Time Fit oxygen sensors met or exceeded both the needs of today's highly sophisticated engines controlled by state-of-the-art onboard computers.
In September 2021, DENSO Products and Services Americas added 65-part numbers to its comprehensive line of First Time Fit oxygen sensors to cover 2022 models. With 27 new replacement units available by the end of September and another 38 coming in mid-2022, DENSO increased its product line to 1,362-part numbers and continued to lead the industry with its high-quality oxygen sensors covering 99% of vehicles made in the U.S., Europe, and Asia. DENSO said its First Time Fit oxygen sensors met or exceeded both the needs of today's highly sophisticated engines controlled by state-of-the-art onboard computers.
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North America and Asia Pacific region Presents Lucrative Opportunity
North America looks like a lucrative market due to the rise in environmental standards, which boosts the automotive oxygen sensor marker. North American automotive manufacturers have oxygen sensors mainly because of the stringent Clean Air Act requirements set by the EPA and the very intense emissions standards set by the CARB. It also seeks to eliminate harmful emissions from vehicles and to ensure everyone meets environmental standards. Failure to fulfill these laws, the manufacturer to face very severe action, including heavy fines, an enforced recall of non-compliant vehicles, and even a trial by the regulatory agencies, among others. Manufacturers may also be banned from selling their vehicles in states and, in some cases, have to face jail. Asia Pacific is also considered a lucrative market due to the rise in vehicle manufacturing. Various countries in the Asia-Pacific region are considered automotive hubs driven by both local consumption and export opportunities.
As per the reposts of the International Organization of Motor Vehicle Manufacturers, the top global vehicle manufacturers include China, Japan, India, and South Korea. Out of the top five, four belong to Asia Pacific, which makes it a lucrative market. As per the data for the year 2023, China, which tops the list, produced a total of 30 million units of cars, while Japan, which holds the third rank annually, produces 8.9 million units, followed by India, which produces a total of 5.8 million units, and South Korea secured the fifth rank and produced 4.2 million units. This statistic makes Asia-Pacific a lucrative market.
As per the reposts of the International Organization of Motor Vehicle Manufacturers, the top global vehicle manufacturers include China, Japan, India, and South Korea. Out of the top five, four belong to Asia Pacific, which makes it a lucrative market. As per the data for the year 2023, China, which tops the list, produced a total of 30 million units of cars, while Japan, which holds the third rank annually, produces 8.9 million units, followed by India, which produces a total of 5.8 million units, and South Korea secured the fifth rank and produced 4.2 million units. This statistic makes Asia-Pacific a lucrative market.
The report provides a detailed overview of the automotive oxygen sensor market insights in regions including North America, Latin America, Europe, Asia-Pacific, and the Middle East and Africa. The country-specific assessment for the automotive oxygen sensor market has been offered for all regional market shares, along with forecasts, market scope estimates, price point assessment, and impact analysis of prominent countries and regions. Throughout this market research report, Y-o-Y growth and CAGR estimates are also incorporated for every country and region, to provide a detailed view of the automotive oxygen sensor market. These Y-o-Y projections on regional and country-level markets brighten the political, economic, and business environment outlook, which are anticipated to have a substantial impact on the growth of the automotive oxygen sensor market. Some key countries and region included in the automotive oxygen sensor market report are as follows:
| North America | United States, Canada |
| Latin America | Brazil, Mexico, Argentina, Colombia, Chile, Rest of Latin America |
| Europe | Germany, United Kingdom, France, Italy, Spain, Russia, Poland, Netherlands, Belgium, Sweden, Austria, Slovakia, Hungary, Romania, Czech Republic, Rest of Europe |
| Asia Pacific | China, India, Japan, South Korea, Australia & New Zealand, Indonesia, Malaysia, Vietnam, Thailand, Rest of Asia Pacific |
| Middle East and Africa | GCC Countries, South Africa, Egypt, Turkey, Morocco, Nigeria, Iran, Rest of MEA |
Automotive Oxygen Sensor Market Research Report Covers In-depth Analysis on:
- Automotive oxygen sensor market detailed segments and segment-wise market breakdown
- Automotive oxygen sensor market dynamics (Recent industry trends, drivers, restraints, growth potential, opportunities in automotive oxygen sensor industry)
- Current, historical, and forthcoming 10 years market valuation in terms of automotive oxygen sensor market size (US$ Mn), volume (Units), share (%), Y-o-Y growth rate, CAGR (%) analysis
- Automotive oxygen sensor market demand analysis
- Automotive oxygen sensor market pricing analysis over the forecast period (by key segment and by region)
- Automotive oxygen sensor market regional insights with region-wise market breakdown
- Competitive analysis – key companies profiling including their market share, product offerings, and competitive strategies.
- Latest developments and innovations in the automotive oxygen sensor market
- Regulatory landscape by key regions and key countries
- Supply chain and value chain analysis in the automotive oxygen sensor market
- Automotive oxygen sensor market sales and distribution strategies
- A comprehensive overview of the parent market
- A detailed viewpoint on the automotive oxygen sensor market forecast by countries
- Mergers and acquisitions in the automotive oxygen sensor market
- Essential information to enhance market position
- Robust research methodology
- Frequently Asked Questions -
Why is the automotive oxygen sensor market growing?
The market is expanding due to stricter emission regulations, rising demand for fuel-efficient vehicles, and the increasing adoption of advanced automotive technologies.
How do advancements in technology impact the oxygen sensor market?
Innovations such as miniaturization, integration with IoT, and improved sensor materials enhance accuracy, durability, and compatibility with modern engines.
What factors should manufacturers consider when investing in this market?
Manufacturers should focus on evolving regulations, technological advancements, cost optimization, and strategic partnerships for long-term market penetration.
