Global automotive aftermarket size is expected to reach US$ 950.09 billion by 2027
Automotive aftermarket consists of vehicle parts and components generally replaced after sale of the car. These parts help in maintaining the efficiency and its mobility affordable throughout the life of a vehicle. There are chain of operators in the automotive aftermarket that include multi-brand repairers, providers of technical information, parts distributors, tools manufacturers, parts manufacturers, and roadside rescue service providers.
According to market research report, the global automotive aftermarket size is expected to reach US$ 950.09 billion by 2027 growing at a CAGR of 4.61%.
Various growth factors are:
- Increasing sales of pre-owned and new vehicles
- Ageing of vehicles
- Rising adoption of electric vehicle and safety technologies
- Integration of advanced technologies
With the technological evolution in the automobile sector, demand for aftermarket parts such as catalytic converters and electronic chips to increase fuel economy on older vehicles has increased. More and more owners are inclined on adding new features to their older cars which is further driving market growth of automotive aftermarket industry.