Automotive Brake Pads Market size was over USD 5 Billion in 2023 and is anticipated to exceed USD 8.5 Billion by the end of 2036, growing at over 4.5% CAGR during the forecast period i.e., between 2024-2036. In the year 2024, the industry size of automotive brake pads is assessed at USD 5.22 Billion.
The growing demand for vehicles worldwide is a major factor that has contributed to this growth. In 2023, global vehicles production is estimated to reach around 26,413,029 vehicles as reported by International Organization of Motor Vehicle Manufacturers (OICA). The number of car buyers has increased significantly, which is leading to an increase in demand for brake drums as a result of rising incomes and urbanization.
Growth Drivers
Challenges
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Base Year |
2023 |
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Forecast Year |
2024-2036 |
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CAGR |
4.5% |
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Base Year Market Size (2023) |
USD 5 Billion |
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Forecast Year Market Size (2036) |
USD 8.5 Billion |
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Regional Scope |
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Vehicle Type (Passenger Cars, Light Commercial Vehicles, Heavy Commercial Vehicles)
Passenger cars segment is estimated to dominate automotive brake pads market share of over 50% by 2036. The segment growth can be credited to the growing production of passenger vehicles and increasing safety concerns. According to estimates, more than 68 million passenger cars will be manufactured around the world by 2028. Furthermore, to improve the performance and longevity of the brake pad, the design and material of the brake pad have evolved over the years.
The ceramic or semi-metallic brake pad is used by the majority of new passenger cars, to ensure safety, performance, and maintenance of the vehicle, brake pad is a key component. The safety of the driver and passengers is not only ensured, but also contributes to a more effective and environment friendly vehicle by regularly maintaining and replacing brake pads. Therefore, altogether these factors are contributing to the market’s growth in this segment.
Material Type (Semi Metallic, Non-Asbestos Organic (NAO), Low-metallic, Ceramic)
Ceramic segment in the automotive brake pads market is estimated to exceed USD 4.35 Billion by the end of 2036. The ceramic brake pad is made from a combination of ceramic fibers, filler material, and a binding agent. The ceramic brake pad is highly durable and efficient at stopping a moving vehicle because of its unique composition. Ceramic brake pad has a higher melting point than traditional brake pads, which is made from organic materials such as rubber, carbon, and metal, and can withstand extreme temperatures without losing its effectiveness.
They are one of the most sought-after vehicles by vehicle manufacturers and drivers due to their ability to cope with high temperatures, durability, improvement in performance, low dust production, and environmental friendliness. Therefore, ceramic brake pads are estimated to continue to be a favorite choice in the automotive industry, due to increased demand for higher performance and safety vehicles.
Our in-depth analysis of the market includes the following segments:
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Material Type |
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Position Type |
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Sales |
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Vehicle Type |
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APAC Market Statistics
APAC region in automotive brake pads market is estimated to dominate revenue share of over 36% by 2036. The market growth in the region is also expected on account of growing technological advancements in the automotive components industry. Also, the growing vehicle production and sales in the automotive sector in the region make it a potential market for brake pads. Moreover, the aftermarket segment plays a substantial role in the APAC automotive brake pad market.
The automotive brake pads market is projected to grow majorly in China. The market growth in the region is impelled by growing vehicle sales. The region maintained its position as the world’s largest automobile seller. As reported by International Trade Administration; By both yearly sales as well as production volume, China is the leading automotive industry in the world, and by 2025, it is predicted that 35 million automobiles will be produced there.
The Japan automotive brake pads market is anticipated to grow at a substantial rate over the forecasted timeframe. As technology advances, automotive brake pad manufacturers will have opportunities to expand their product portfolio and meet the changing needs of consumers in Japan.
The Korean market is anticipated to hold a significant share between 2024 to 2036. Numerous industry participants are investing extensively in the establishment of new manufacturing facilities in the country in order to meet increased demand for local and international markets while also increasing their profitability and market share.
North America Market Analysis
The North America region will also observe huge growth for the automotive brake pads market in the projection period and will hold the second position owing to the increased innovation and full use of the upcoming brake pad technology. Also, the need for commercial vehicles is being driven by an expansion in trade operations that require longer travel lengths, which is fostering market growth in North America.
Increased regulation by the United States’ government agencies such as the EPA to make copper-free brakes is also driving the vehicle brake pad market to reclaim its prominence in the United States. For instance, in 2015, the EPA, states, and the automobile industry reached an agreement to minimize the use of copper and other materials in motor vehicle brake pads. The agreement aims to reduce copper in brake pads to less than 5% by weight in 2021 and 0.5% by 2025.
The automotive brake pad market is highly conquered by major key players. These industry leaders are continuously releasing improved products to keep their competitive advantage, and they are actively spending in R&D to incorporate cutting-edge technology into their products.
Author Credits: Saima Khursheed
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