Automotive Brake Systems Market Report

Automotive Brake Systems Market Analysis By Brake Type (Disc, Drum), By Vehicle Type, By Technology (ABS, TCS, ESC, EBD), By Region, And Segment Forecasts, 2014 - 2025

Published: October 2017  |  110 Pages  |  Format: PDF  |  Report ID: GVR-2-68038-214-3

Industry Insights

The global automotive brake systems market size was valued at USD 19,471.6 million in 2016 and is expected to grow at a CAGR of 5.5% over the forecast period. The market is expected to witness a significant upsurge over the next eight years, owing to the implementation of advanced systems such as Antilock Braking System (ABS), Traction Control System (TCS), Electronic Stability Control (ESC), and Electronic Brake-Force Distribution (EBD), among others. The introduction of smart braking systems has led to a decrease in the number of accidents and loss of lives. These can be integrated with other safety systems that enable speed control and prevent skidding of vehicles to minimize risks of a potential accident. The increasing production of vehicles and sales, coupled with regulations over stopping distances, have contributed magnanimously to the growth and development of the industry.

There is an increase in demand for the installation of active as well as passive safety in automobiles. According to World Health Organization (WHO), approximately 1.3 million deaths occur due to accidents and a majority of the deaths could be reduced with the integration of robust safety features into vehicles. The growing concerns over deaths due to road traffic crashes has prompted an increase in stringency of safety regulations. For instance, the National Highway Traffic Safety Administration (NHTSA), an agency of the U.S. Department of Transportation (DOT), has mandated the adoption of Automatic Emergency Braking (AEB) from 2022. 

U.S. automotive brake systems market by technology, 2014 - 2025 (USD million)

U.S. automotive brake systems market

Type Insights

The NCAP rating for automobiles equipped with safety systems is a key driver of the industry growth. However, high costs of the latest technologies prove to be challenging for automakers, as they are unable to incorporate the technologies into low-priced vehicles. Another crucial problem faced by manufacturers is counterfeit of parts, which can hamper the vehicle performance and safety. Widespread awareness of the adverse effects of using counterfeit parts and reduction in prices of genuine auto parts are crucial in curbing counterfeiting.

The market can be classified into two types namely disc and drum. Disc brakes use a slim rotor and caliper to halt wheel movement; whereas, drum brakes have an enclosed design and use circular components (brake shoes) to generate the necessary friction for reducing speed. The enclosed design of drum retains heat while operating. This leads to a dip in performance. Disc based systems are superior to drum based systems regarding braking power but, the use of drum is quite popular among automakers as they are cost-effective.

The disc brakes segment is expected to grow at the fastest rate over the forecast period. There has been an increase in the usage of disc brakes in the recent years, primarily, due to their ability to function in adverse weather conditions without overheating or fading. Additionally, the ability to integrate with other advanced systems is expected to drive their demand. Furthermore, the introduction of front-disc/rear-drum setup, which can be mounted on low- and medium-priced vehicles, is presumed to drive the market growth. 

Vehicle Type Insights

The market is broadly segmented into passenger cars and commercial vehicles. The brake systems are integral parts of a vehicle. Hence, an increase in vehicle production and sales would have a direct impact on the market. According to OICA, in 2016, the sales of passenger cars increased by approximately 4.8% and reached 69.46 million units. Similarly, the commercial vehicles segment showed a steady upsurge as the sales reached 24 million units in 2016 from 23 million units in 2015.

Technological advancements and introduction of electro-mechanical brakes, which incorporated the precision of digital microcontrollers and sensors, have enabled automakers to deliver utmost safety for passengers. However, this has increased the cost of braking systems and subsequently, the overall vehicle cost. Passenger cars owners extravagantly spend on enhanced braking systems and thus, the segment is expected to grow at the highest CAGR of 5.9% during the forecast period.

Technology Insights

Based on technologies, the market is divided into four categories namely Anti-Lock Braking System (ABS), Traction Control System (TCS), Electronic Stability Control (ESC), and Electronic Brake-Force Distribution (EBD). The ABS segment held the largest market share in 2016. The active efforts of various automotive associations toward mandatory implementation of ABS in prominent regions have led to the growth of the ABS technology. Likewise, the rising adoption of ESC technology, owing to its perceived benefits in gaining vehicle control during an emergency situation, is expected to drive the growth of the automotive brake systems market over the forecast period.

The TCS technology ensures traction in adverse road conditions, thereby, providing additional safety. Thus, the TCS segment is expected to register the highest CAGR over the forecast period. Moreover, the technology can be implemented using the same infrastructure used for ABS. It enables the widespread adoption of TCS. Thus, the incorporation of advanced braking systems would enable automakers to achieve higher NCAP rating for a vehicle.

Global automotive brake systems market, by vehicle type, 2016 (%)(USD million)

Global automotive brake systems market

Regional Insights

The Asia Pacific region dominated the market in 2016 and is expected to grow at the highest CAGR of 6.7% over the forecast period. The manufacturers in the region offer high-cost reduction, owing to the availability of low-cost labor and raw materials. Furthermore, the region comprises countries, such as China and India, which accounted for approximately 34% of the total vehicle production in 2016. Increasing popularity of active braking systems, coupled with a boost in sales of luxury and premium vehicles, is presumed to drive the market.

The North American region is expected to grow at a CAGR of 4.7% over the forecast period. This can be attributed to the increasing demand for improved performance in adverse weather conditions. Additionally, the mandatory implementation of the ESC technology, since 2016, in all light vehicles is driving the regional market.

Competitive Insights

The market is dominated by prominent manufacturers such as Autoliv, Inc., Continental AG, Robert Bosch, Akebono Brake Industry Co., Ltd., Brembo S.p.A., Federal-Mogul LLC, and ZF Friedrichshafen AG, among others.

The companies are primarily focused toward developing eco-friendly, reliable, and robust braking systems. The key players have made heavy investments in the field of research & development for increasing their market share and ensuring healthy growth. Furthermore, they are actively engaged in extending their geographical presence to high-growing markets and strengthening their production capabilities. For instance, in April 2017, Continental North America, a business unit of Continental AG operating in the U.S., invested approximately USD 40 million to expand the Morganton automobile plant. The company has also received a job development incentive grant of USD 1.6 million from The State of North Carolina. The added production capacity would be utilized for manufacturing the MK C1 braking systems.

Report Scope

Attribute

Details

Base year for estimation

2016

Actual estimates/Historical data

2014 - 2015

Forecast period

2017 - 2025

Representation

Revenue in USD Million & CAGR from 2017 to 2025

Regional scope

North America, Europe, Asia Pacific, and South America

Country scope

U.S., Mexico, Canada, UK, Germany, China, India, Japan, and Brazil

Report coverage

Revenue forecast, company ranking, competitive landscape, growth factors, and trends

15% free customization scope (equivalent to 5 analyst working days)

If you need specific market information that is not currently within the scope of the report, we will provide it to you as a part of the customization


Segments Covered in the Report

This report forecasts revenue growth at global, regional, and country levels and provides an analysis of industry trends in each of the sub-segments from 2017 to 2025. For the purpose of this study, Grand View Research has segmented the global automotive brake systems market based on types, technologies, vehicle types, and regions:

  • Brake Type Outlook (Revenue, USD Million; 2014 - 2025)

    • Disc

    • Drum

  • Vehicle Type Outlook (Revenue, USD Million; 2014 - 2025)

    • Passenger Cars

    • Commercial Vehicles

  • Technology Outlook (Revenue, USD Million; 2014 - 2025)

    • ABS

    • TCS

    • ESC

    • EBD

  • Regional Outlook (Revenue, USD Million; 2014 - 2025)

    • North America

      • U.S.

      • Mexico

      • Canada

    • Europe

      • UK

      • Germany

    • Asia Pacific

      • China

      • India

      • Japan

    • South America

      • Brazil

Key questions answered by the report
Request for Customization

Choose License Type:

Single User - $4,950
Multi User - $7,950
Enterprise User - $9,950

Special Pricing & Discounts

Avail customized purchase options to meet your research needs:

  • Buy sections of this report
  • Buy country level reports
  • Request for historical data
  • Request discounts available for Start-Ups & Universities

Why Choose Us

  • Research support

    24/5 Research support

    Get your queries resolved from an industry expert. Request for a free product review before report purchase.

  • Custom research service

    Custom research service

    Speak to the report author to design an exclusive study to serve your research needs.

  • Quality assurance

    Quality assurance

    A testimonial for service excellence represented in the form of BBB "A" Accreditation.

  • BBB Rating dandb
  • Information security

    Information security

    Your personal and confidential information is safe and secure.

  • BOA