Market Overview
Every year, more than 1.3 million people die in traffic accidents around the world, and the number is rapidly climbing. Passenger safety is a top priority for the government and the firm when it comes to consumer safety and security. As a result, car manufacturers are required to add safety features to their automobiles.
Before deploying the relevant restraint systems, the airbag control unit detects and analyses the severity of the accident. This gadget, on the other hand, will stop working if it is damaged by causes such as dampness, physical force, or other circumstances. When a collision happens, improper wiring between the airbag module and the body control module, for example, leads the airbags to deploy without experiencing the impact. Before driving the car, these components will need to be examined.
The global airbag control unit market is predicted to increase at a CAGR of 5.7 per cent from USD 6,927 million in 2020 to USD 11,050 million in 2026, from USD 6,927 million in 2020 to USD 11,050 million in 2026. By 2030, with an expected valuation of USD 3168.21 million, Europe will be the second-largest market for Airbag Control Units. For the period 2022 to 2030, the expected CAGR of Airbag Control Units for the regions of Europe is 5.35%.
Market Dynamics
Europe Airbag Control Unit Market Drivers
With 25.05 per cent of the global car airbag market, Europe is currently the second-largest region. This is owing to a significant concentration of well-known manufacturers as well as numerous current R&D projects. Furthermore, the European market has experienced a considerable increase in demand for electric vehicles (EVs) and increased driver safety systems, resulting in the widespread use of airbags. On the other hand, the European automotive airbag market is nearing maturity, indicating that the industry will continue to grow slowly.
Airbag systems in passenger cars have one of the biggest market share due to the high demand for passenger automobiles in the region. When the rest of the globe saw low sales and a negative growth rate in 2019, the European market outpaced the rest of the world and expanded at a rate of 1.2 per cent over the previous year. The number of new passenger vehicle registrations in the European Union (EU) grew by 180,000 automobiles to 15,340,199 in 2019.
Many significant players in the region, such as Volkswagen, Audi, and BMW, are partnering with major market participants and investing extensively in upgrading passenger safety features in order to attract greater demand. For example,
The world's first pre-crash exterior side airbag system, which deploys milliseconds before a collision, was released by ZF in June 2019. It adds a lateral crumple zone to the vehicle, which can help save lives and minimise occupant injury severity by up to 40%.
In April 2020, the Honda Jazz became the first of the brand's European vehicles to come standard with a new front-centre airbag, potentially reducing injury levels for rear passengers in the event of an accident.
The European Union proposed a change in the tax regime, which resulted in a 5% increase in passenger car sales, bringing the total to 3,607,258 cars, the highest increase in the country in the last decade. In the year 2019, Germany produced approximately 4.7 million automobiles.
In November 2018, Robert Bosch launched the Bosch MEMS sensor, which allows for faster airbag deployment in motor vehicles, improving driver and passenger safety.
Europe Airbag Control Unit Market Restraints
Airbags are intended to protect both the driver and the passengers in the event of a collision. They may, however, fail to do so on occasion. Airbags might deploy unexpectedly or not deploy at all when they are needed. When the airbag deploys, it may inflict severe injuries because the passengers' heads or bodies are too close to it.
Airbags are intended to save lives, yet they can occasionally cause injuries. Depending on the severity of the collision and whether or not the airbag was malfunctioning, airbag injuries can range from facial lacerations to broken noses.
Moreover, Customers seek speed and elegance in the automotive business. However, there is a growing trend for greater security. OEMs are juggling cost, performance, and safety. Due to legal requirements, OEMs have begun to include driver airbags as a piece of standard equipment, which was previously an extra cost. Knee airbags, rear passenger airbags, and other airbags are standard on all premium vehicles. Due to malfunctioning airbags and seatbelts, several vehicles have been recalled.
The automobile industry slammed on the brakes during the early months of the global COVID-19 outbreak. The European automobile industry declined by more than 20% in 2020. Because the demand for automobile airbags is linked to the total number of vehicles manufactured, the airbag market saw a similar influence on demand.
Europe Airbag Control Unit Market Opportunities
Autoliv introduced airbags in November 2019, which stop passengers from colliding during a car collision. The new Autoliv Front Center Airbag helps to prevent collisions between the driver and the interior and between the driver and the passenger. In the event of a side-impact, the inboard seat-mounted airbag deploys in the gap between the driver and the front-seat passenger, protecting them from colliding and reducing the risk of head, shoulder, and chest harm. This is comparatively a new technology but is surely going to boost the market in the near future.
