Automotive Brake Pads Market Trends

Growth Drivers

• Increasing incidences of road accidents - Governments around the world have been implementing strict measures due to an increase in traffic accidents and fatalities. According to the statistics by World Health Organization, road traffic accidents kill around 1.19 million people a year. Governmental rules were put in place with a view to ensuring the safety of drivers and pedestrians, as well as reducing the adverse environmental impact of vehicles. As a result, new players have been given the opportunity to enter the automotive brake pads market.
  
  Smaller manufacturers have been able to take on bigger, existing brands by offering innovation and cost-effective solutions due to the growing demand for higher-quality brake pads. Consequently, consumers and the entire industry have been given a more diversified and competitive market.
• Growing incorporation of advanced automotive sensors and software - One of the major emerging trends that is shaping the future of automotive safety and braking systems is integrating advanced sensors and software into brake technology. The use of advanced sensor software in the braking system enables proactive maintenance and early detection of potential problems, improving safety as well as reducing the risk of brake failure.
  
  Key manufacturers are at the forefront of utilizing software to drive innovation in brake system design, development, and performance. For instance, in 2021 Brembo announced the introduction of a new innovative intelligent braking system, SENSIFYTM, integrating the most advanced software based on artificial intelligence with the world-renowned brake components of Brembo.
• Surge in the demand for eco-friendly brake pads - Harmful asbestos is a raw material that has been widely used as an additive during the manufacturing process of brake pads. Natural fiber-reinforced composite brake pads are becoming more and more popular since they are biodegradable, have low energy use, and are renewable.
  
  Furthermore, increasing oil usage and environmental concerns encourage the adoption of brake pads composed of naturally occurring resources that are sustainable, including natural fibers. In addition, the use of brake pads based on sustainable natural resources like fibers is promoted by increasing concerns about environment and rising oil consumption.

Challenges

• High manufacturing costs - Advanced electronic braking systems offer the shortest stopping distance and improve vehicle stability, which is widely used in most premium vehicles nowadays. However, for use in economy class vehicles the cost of brake pads is significantly higher. Also, for the development and commercialization of new braking materials like ceramic or steel, considerable capital expenditure is needed.
• Growing use of regenerative braking systems - The majority of hybrid and fully electric cars use regenerative braking. By recovering energy and replenishing batteries, these systems lessen the need for frequent braking, which in turn lessens the amount of wear and strain on the brake pads. In the long term, this might result in fewer people needing replacement brake pads, which may restrain the market growth of automotive brake pads.