Automotive Film Market Analysis By Product (Tinting Films, Paint Protection Films, NVH Film Laminates, Wrap Films), By Application (Interior, Exterior), By Function (Protection, NVH), By Channel (OEM, Aftermarket), And Segment Forecasts, 2018 - 2021

Industry Insights

The global automotive film market size was estimated at USD 5.84 Million in 2016. The growing utilization of automotive wraps to protect vehicles with booming automotive industry and applications of automotive films in transit advertising is expected to drive growth over the next four years.

The growing automotive industry coupled with the increasing consumer awareness, need for maintaining vehicles, and increasing demand for paint protection owing to higher maintenance costs is expected to have a positive influence on the growth. Furthermore, industrialization and population growth have led to the rise in living standards and income levels increasing demand for vehicles.

U.S. automotive film market revenue, by product, 2011 - 2021 (USD Million)

The industry is expected to witness high growth owing to the increasing demand for passenger vehicles, primarily from Asia Pacific on account of the rising disposable income, and rapid urbanization.

The market is expected to grow at a high rate owing to customer awareness through marketing and expansion into the OEM market. In addition, applications of paint protection films in protection exterior auto-body of the vehicle in increasingly rapidly in the developed regions, driving product growth.

The industry for automotive NVH laminates is expected to grow on account of changing consumer preference towards ride quality and comfort. The changes in consumer buying decisions, and shift towards harshness & noise cancellation, and overall ride quality is expected to increase the demand for NVH materials and products in aftermarkets.

The major manufacturers of paint protection products such as 3M, Tekra, and Xpel require installers to complete training or sign exclusivity agreements, which make the cost of installation very high. Regulations with respect to visible light transmission have led the ban on window tints in few countries, which are expected to restrain growth over the forecast period.

Product Insights

Components such as protective release liner, adhesives, polyester sheet, scratch-resistant coating, dyes, alloys, metals, and UV inhibitors, improves the durability and performance of window tints recast period and enhance the shelf life of the product, which in turn is expected to aid market growth for window tints.

The market is expected to be driven by increasing spending in automotive and industry across emerging markets such as India and China. Increasing demand is attributable to expanding manufacturing base coupled with economic growth in these economies. The cost-benefit ratio is expected to drive demand.

The industry for automotive NVH laminates is expected to grow on account of availability of raw materials in abundance such as polyester, polyethylene, polyurethane, polyolefin, and neoprene among others. Further, increasing use of automotive wraps on account of their lightweight, easy availability, and low cost is anticipated to drive its demand.

Changing consumer lifestyle coupled with rising disposable income plays a major role in increasing demand for automotive wraps. Manufacturers provide a wide range of colors and textures for the vehicles, which are not possible through paint. As a result, the demand for automotive wraps is expected to grow over the forecast period.

Application Insights

The demand for interior application of the product is primarily driven by the demand for tinting films and NVH film laminates. On the other hand, exterior application of the product is driven by the demand for wrap and paint protection films. Increasing consumer preference for vehicle personalization is driving the demand in exterior applications.

The interior application of the product is expected to dominate the demand for the product over the forecast period. Interior application of the product comprises laminates and window tints used for sunlight protection, and reduction of noise and harshness of vehicles respectively are driving the market owing to the growing awareness among consumers.

Exterior films are expected to witness significant growth in demand on account of the increasing demand for designer wraps in the automotive industry. Light-duty vehicles dominated the demand owing to the high penetration of the LCVs in Asia Pacific and Europe. In addition, the high on-road density of LCVs is expected to propel growth.

The product is widely used in the automotive industry owing to its benefits, such as protection from debris, gravel, and dust particles, which aid in maintaining the aesthetic value of vehicles, which is expected to drive demand over the forecast period.

Function Insights

The protection function of the product accounted for the largest revenue share in 2016 and is expected to drive the market over the projected period. The demand for noise reduction and the smooth functioning of the vehicles is likely to aid growth for the films.

The exponential growth in the demand for wraps to provide protection to the exterior components from dust and other natural elements is driving the growth of the automotive film market. The demand for paint protection and wrap films is growing in developed regions on account of high consumer purchasing power.

Automotive film market revenue, by function, 2016 (%)

The demand for paint protection and wrap films is high in Europe due to the prevalence of extreme weather conditions in most of the countries in the region. However, the demand for tinting films is high in regions with high heat conditions such as countries in the Middle East & Africa and Asia Pacific regions.

The demand for NVH in the industry is catered by NVH laminates, which are majorly used indoors and other components of vehicles. The product is primarily used to reduce friction, leading to a reduction in the noise and vibration of the vehicle. The utilization of the product indoors and interiors of vehicles is expected to complement growth.

Channel Insights

The aftermarket is expected to dominate the overall industry over the forecast period. The sale of automotive films through OEM channel is dominant in NVH film laminates product segment as the use of the product is directly related to the number of vehicles manufactured.

The high cost associated with installation and product is the major factor hindering the market demand at the OEM stage. However, increasing installation of protection films in premium vehicles at OEM level is expected to drive demand for the product through OEM channels over the forecast period.

The demand for paint protection or wraps is high through aftermarket channels on account of the low cost of the products coupled 50% of the overall cost of installation. Furthermore, the consumer tendency to install protective products after the purchase is expected to complement the demand for the product in the aftermarket.

The demand for NVH laminates in the aftermarket is lower compared to that in the OEM market on account of the use of the product to help in noise reduction by the automotive manufacturers. The overall application cost of paint protection or window tints is almost twice the aftermarket cost which results in low demand for the product through OEM channel.

Regional Insights

North America accounted for the majority of the revenue share in 2016 owing to the high demand for tinting, paint protection and wraps. This can be attributed to the increasing application of wraps for personalization of the vehicles in the region coupled with low vehicle maintenance cost associated with vehicles using paint protection films.

Growing demand for the product in developing economies of Asia Pacific is expected to drive market growth as the cost of the product is declining with increasing consumer awareness with respect to the benefits offered by the product. Furthermore, demand for smooth vehicle performance is expected to aid the growth for NVH laminates.

The presence of a variety of sizes and grades of the products is expected to provide customers with a number of choices, resulting in the increased demand for paint protection films. The presence of key product manufacturers in the U.S. and Canada including BRC Rubber & Plastics Inc., Wolverine Advanced Materials, and Hematite enable the easy availability of supreme quality products.

Europe is the second major market for automotive wraps after North America. A color change or paint-replacement products for vehicles is a very new trend in Europe. In addition, Europe is the largest producer of motor vehicles, and a number of R&D activities in the development of automotive vehicles create huge opportunities for automotive wraps in the region.

Competitive Insights

The industry is highly competitive with the presence of a large number of multinationals operating their businesses through high production volumes. The companies in the automotive NVH laminates market lay high emphasis on the research and development to produce advanced products providing better noise and vibration insulation in automobiles.

Companies such as 3M provide specialized services and expertise to the consumer to meet customized requirements. Avery Dennison and others enable the easy availability of supreme quality of the product. Major companies in the industry are striving towards the introduction of new products with vibrant colors and features to cater to changing consumer demands.

Report Scope

Segments Covered in the Report

This report forecasts revenue growth at global, regional & country levels and provides an analysis of the industry trends in each of the sub-segments from 2011 to 2021. For the purpose of this study, Grand View Research has segmented the global automotive film market on the basis of product, application, function, channel, and region:

• Product Outlook (Volume in ‘000 Sq. Meters, Revenue, USD Million, 2011 - 2021)

  • Tinting Films

  • Paint Protection Films

  • NVH Film Laminates

  • Wrap Films

• Application Outlook (Volume in ‘000 Sq. Meters, Revenue, USD Million, 2011 - 2021)

  • Interior

  • Exterior

• Function Outlook (Volume in ‘000 Sq. Meters, Revenue, USD Million, 2011 - 2021)

  • Protection

  • NVH

• Channel Outlook (Volume in ‘000 Sq. Meters, Revenue, USD Million, 2011 - 2021)

  • OEMs

  • Aftermarket

• Regional Outlook (Revenue, USD Million, 2011 - 2021)

  • North America

    • The U.S.

  • Europe

  • Asia Pacific

    • China

    • India

    • Japan & Korea

  • Rest of World