The increasing preference for lightweight design and optimized efficiency, while also providing relaxation for the driver and passengers, is a major factor driving the growth of the automotive interior leather market. In response to the increasing demand for aesthetically pleasing vehicle interiors, automakers are using artificial leather in vehicle interior parts such as steering wheels and door panels.
For example, car seats play a significant part in reducing a vehicle’s overall weight and increasing its fuel consumption. Additionally, it is anticipated that increasing consumer desire for convenience, security, and style would increase demand for leather in automobile interiors.
In its most recent analysis, Future Market Insights (FMI), an ESOMAR-certified market research and consultancy business, provides information on the key factors influencing consumer interest in global automotive interior leather.
Key Takeaways:
· Over the historical period, the global market grew at a CAGR of 3.9%.
· By 2033, the global market is expected to be worth US$ 54.27 Billion.
· In 2022, Asia Pacific had the highest proportion of revenue of more than 42%.
· In terms of revenue, the passenger vehicle segment surpassed the automotive interior leather marketplace with a share of more than 51.5% in 2022.
· The sum vehicle sales in the United States reached 16.60 Million in January 2021, up from 16.30 Million in December 2020, as reported by Trading Economics.
“Growing demand for replacement and aftermarket deployment of interior leather is expected to benefit the market substantially. This creates prospects for both newcomers and veteran competitors to gain traction. As a result, better custom demand solutions for drivers are anticipated to emerge,”- says an analyst at FMI.
Competitive Landscape:
Some of the market’s strongest competitors are making investments in studies and research (R&D) in order to facilitate the provision of an extensive selection of leather manufactured in a variety of colors and substances for a variety of applications. Companies hope to keep up with the changing environment by doing so. For instance,
· Sage-ONF, a synthetic leather creator and vendor, began serial manufacturing of silicone artificial leather for automobile interiors in July 2022. In response to high demand from consumers, the sage-ONF plant has begun manufacturing in Shanghai, China.
· ILM organized an exclusive virtual forum in December 2021 that brought together important stakeholders from across the automobile leather distribution network to shed illumination on the key advancements as well as short to long-term circumstances that will impact the sector in the months and decades to come.
These insights are based on a report on the Automotive Interior Leather Market by Future Market Insights