Collision Avoidance System Market size is estimated to cross USD 202.28 Billion by the end of 2035, growing at a CAGR of 10.74% during the forecast period, i.e., 2023-2035. In the year 2022, the industry size of collision avoidance system was USD 59.47 Billion. The growth of the market can be attributed to the increasing demand for autonomous vehicles. Moreover, driverless vehicles need a proper system in order to reduce traffic accidents, and it is expected to boost the growth of the market. By the end of 2040, more than 30 million autonomous vehicles will be sold around the world.
In addition to these, factors that are believed to fuel the market growth of collision avoidance system include the growing integration of innovative technologies in the vehicle, followed by growing demand for smart assisting features in the car. By 2030, it is projected that globally around 9 out of 10 cars are going to have advanced safety systems. Vehicle partial automation is expected to expand in the future years as advanced driver assistance systems (ADAS) become more popular. Any ADAS must include advanced emergency braking (AEB) and lane-keeping assistance (LKA). Adoption of these features is rapidly increasing, owing primarily to consumer demand for safer vehicles. Other than this, even the manufactures are happy to provide the advanced safety features, as they directly increase the average selling price of the vehicles. Therefore, all these factors are expected to increase the growth of the market during the forecast period.
Growth Drivers
Challenges
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Base Year |
2022 |
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Forecast Year |
2023-2035 |
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CAGR |
~10.74% |
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Base Year Market Size (2022) |
~ USD 59.47 Billion |
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Forecast Year Market Size (2035) |
~ USD 202.28 Billion |
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Regional Scope |
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Type (Adaptive Cruise Control, Parking Assistance, Lane Departure Warning, Autonomous Emergency Braking)
The market is also segmented and analyzed for demand and supply by type into adaptive cruise control, parking assistance, lane departure warning, autonomous emergency braking, and others. Amongst these three segments, the parking assistance segment is expected to garner a significant share over the forecast period. The segment is expanding as a result of the growing difficulties consumers are having with basic car parking. Moreover, owing to an increase in the number of people and automobiles, parking space in major cities has either remained the same or decreased. Where there is a shortage of affordable land, such as in large cities, where parking demand is increasing, issues are more noticeable. The increase in car collisions is the main cause of the market expansion. In a parking lot or garage, a car accident happens one out of every five times in the world. Additionally, it is estimated that more than 50,000 crashes in parking lots happen worldwide each year, resulting in hundreds of fatalities and thousands of injuries. This, as a result, is anticipated to create numerous opportunities for the growth of the segment in the coming years.
Application (Marine, Automotive, Aerospace, Railway, Construction)
The global collision avoidance system market is segmented and analyzed for demand and supply by application into marine, automotive, aerospace, railway, construction, and others. Out of these types of collision avoidance system, the automotive segment is estimated to gain the largest market share by the year 2035. The growth of the segment can be attributed to the surging sale of passenger as well as commercial cars, along with the surging disposable income of the people. Moreover, there has been a rise in sales of sports utility vehicles and luxury cars, that is further expected to boost the growth of the market over the forecast period. In addition, the increasing demand for autonomous cars across the globe is also expanding the demand for collision avoidance system.
Our in-depth analysis of the global market includes the following segments:
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By Application |
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By Technology |
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By Type |
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North American Market Forecast
The market share of collision avoidance system in North America, amongst the market in all the other regions, is projected to be the largest with a share of about 34% by the end of 2035. The market's expansion can be traced mostly to an increase in the number of car incidents and road accidents. According to the National Highway Traffic Safety Administration, in the year 2022, 38,824 people will be killed in motor vehicle accidents in the United States. On the other side, increased bus deployment is expected to drive market expansion in the region. Zero-emission bus deployment in the United States is predicted to expand by around 27% by 2021, reaching over 3,500. In addition, there have been presence of key players in the region providing advanced mid-air collision solutions, which is estimated to rise the market’s growth in the region.
Europe Market Forecast
The European collision avoidance system market is estimated to be the second largest, registering a share of about 26% by the end of 2035. The government's measures to decrease traffic accidents have contributed significantly to the market's growth. The European Commission intends to save at least 140,000 lives and avoid at least 140,000 serious injuries by 2038 by increasing passenger, pedestrian, and bicycle safety across the EU. On the other side, market growth in the region is projected as a result of increased car crashes, which are anticipated to result in a greater number of individuals dying in road accidents. According to Eurostat estimates, around 18, 800 individuals were killed in road accidents in the EU in 2020, with 44.2% being passenger car drivers or passengers and 19.2% being pedestrians. Furthermore, 85 individuals were killed in traffic accidents in 2020.
APAC Market Statistics
Further, the market in the Asia Pacific, amongst the market in all the other regions, is projected to hold a majority of the share by the end of 2035. The market's expansion can be traced mostly to increased government measures to improve automotive brake systems and maintain vehicle security. According to India's Ministry of Road Transport and Highways, heavy vehicles must now have modern braking systems. Furthermore, existing vehicles will be required to accept the new standards starting in April 2021, followed by all new vehicles starting in April 2022. Furthermore, increased car sales in the region are anticipated to boost market growth in Asia Pacific. China's auto sales upsurged by 9.5% by 2022, with electric vehicle purchases nearly doubling. Furthermore, in 2021, around 56 million passenger cars were sold in China.
Author Credits: Ipsheeta Dash, Sadaf Naaz
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