In 2022, the global automotive fabric market was valued at approximately US$ 41,513.83 million and is anticipated to grow to around US$ 60,722.34 million by 2030, reflecting a compound annual growth rate (CAGR) of 4.9% during the period from 2022 to 2030.
The automotive sector is increasingly advocating for the adoption of sustainable fabric alternatives.
Advanced fabrics used in vehicles play a vital role in enhancing both safety and performance. The rising awareness regarding environmental issues, waste management, and the need for sustainable materials has led to a growing demand for eco-friendly fabric options. This demand is significantly influenced by stringent regulations imposed by governments aimed at mitigating the negative effects of traditional fabric materials. Numerous initiatives promoting sustainability are driving advancements in the manufacturing sector. Campaigns led by organizations such as People for the Ethical Treatment of Animals (PETA), Plant and Animals Welfare Society (PAWS), and the World Wildlife Fund (WWF) are increasing the demand for environmentally friendly fabrics. Additionally, the enforcement of animal rights legislation in various countries is prompting manufacturers to seek out animal-free and sustainable alternatives for materials used in vehicles. For instance, in February 2023, Lenzing and Natural Fiber Welding Inc (NFW) collaborated to create a sustainable leather alternative suitable for automotive applications.
Manufacturers are significantly investing in research and development to create cost-effective, eco-friendly, and high-performance automotive fabrics. The European Commission reported that in August 2023, the European Investment Fund allocated approximately US$ 52 million to enhance circularity within the plastics and polymers sector, which is expected to facilitate the large-scale commercialization of plastic recycling initiatives. In 2020, UK Research and Innovation invested around US$ 24 million to support interdisciplinary research aimed at addressing plastic pollution and fostering sustainable development. Regulatory frameworks promoting a circular economy and sustainable practices have encouraged automotive manufacturers to focus on the recovery and recycling of end-of-life vehicles. For example, in 2022, Renault Group set a goal to increase the proportion of recycled materials in their vehicle production. Consequently, the shift towards sustainable automotive materials is projected to significantly boost the growth of the automotive fabric market throughout the forecast period.
The global automotive fabric market is categorized by material type into textiles, artificial leather, genuine leather, and artificial suede. In 2022, the textiles segment dominated the market share. The genuine leather segment is also expected to be a lucrative area from 2022 to 2030, as it is regarded as a premium fabric choice for automotive upholstery. Recently, genuine leather has gained popularity among affluent consumers for various automotive components. This type of leather undergoes processing and tanning to make it suitable for diverse industrial applications, including automotive interiors.
Regionally, the global automotive fabric market is divided into North America, Europe, Asia Pacific, the Middle East & Africa, and South & Central America. In 2022, the Asia Pacific region accounted for the largest share of revenue in the global automotive fabric market. North America is projected to be another key region in the near future, supported by a robust presence of established automotive manufacturers such as Audi AG, Bayerische Motoren Werke AG, Stellantis NV, Ford Motor Company, Honda Motor Co Ltd, Hyundai Motor Company, Mercedes Benz, and Volkswagen Group. This strong automotive industry presence is expected to drive the demand for automotive fabrics in North America.
Key players in the global automotive fabric market include Lear Corp, Bader GmbH & Co KG, BOXMARK Leather GmbH & Co KG, AUNDE Group SE, Grupo Empresarial Copo SA, Classic Soft Trim Inc, Dual Borgstena Textile Portugal Unipessoal Lda, Shawmut Corp, Apex Mills Corp, and Seiren Co Ltd. These companies are employing various strategies, including investments in research and development and launching new products, to maintain a competitive edge in the market. They are particularly focused on developing high-quality and innovative products to meet customer demands.
The overall size of the global automotive fabric market has been determined through a combination of primary and secondary research methods. The research process began with extensive secondary research utilizing both internal and external sources to gather qualitative and quantitative data related to the market. Additionally, numerous primary interviews were conducted with industry stakeholders to validate the findings and gain deeper analytical insights. Participants in this research included industry experts such as vice presidents, business development managers, market intelligence managers, and national sales managers, as well as external consultants like valuation experts, research analysts, and key opinion leaders specializing in the global automotive fabric market.