The automotive radar market in Europe is expected to grow from US$ 1,355.8 million in 2019 to US$ 2,940.5 million by 2027; it is estimated to grow at a CAGR of 14.0% from 2020 to 2027.
Road traffic injuries are a key public health concern faced by governments, and the increasing prevalence of the same hinders the development of countries. Millions of people die each year because of road traffic accidents, which also lead to considerable economic loss at macro as well as micro level. According to the World Health Organization (WHO), road traffic injuries cost most countries 3% of their Gross Domestic Product (GDP). To create awareness about road safety and rising death count due to road accidents, many national and international organizations are running awareness campaign. For instance, the WHO is promoting safe system campaign with a mission to create awareness about road safety measures. Governments of various countries are also promoting and implementing laws and regulations to reduce the instances of road accidents. These activities involve promotion of the incorporation of advanced automotive radar systems in vehicles. The radar systems facilitate advanced cruise control, collision warning, and lane change assistance; the systems also help drivers in getting alerts about the unseen incidents. Radar-based OEMs have been striving to develop advanced radar solutions. OEMs are also investing in R&D to develop advanced solutions for tapping the growing opportunities in the Europe automotive radar market. Additionally, rising demand for passenger cars is among the other factors expected to fuel the growth of the Europe automotive radar market during the forecast period.
Based on frequency, 77 GHZ segment led the Europe automotive radar market in 2019. This band has the benefit of high-allowed equivalent isotropic radiated power (EIRP). This band is available for fixed transport infrastructure radar systems to enable applications such as vehicle counting, traffic jam or accident detection, vehicle speed measurement, and vehicle detection for traffic light activation. A few of the key manufacturers of 77 GHZ are HELLA GmbH & Co. KGaA and NXP Semiconductor. HELLA GmbH & Co. launched its latest 77 GHZ radar technology in February 2020. The technology is characterized by its high performance and range as well as its compact design. This simplifies its integration into the vehicle body and enables 360-degree perception of the vehicle environment.
Europe has been severely affected by the ongoing COVID-19 outbreak. Spain, Italy, Germany, the UK, and France are among the worst affected member states in the Europe. Businesses in the region are facing severe economic difficulties as they have to either suspend their operations or reduce their activities in a substantial manner. Owing to business shutdown, the region witnessed an economic slowdown in 2020 and it continuing in 2021 as well. Europe witnessed a varying pandemic impact across its economically diverse countries. For instance, Germany, the UK, Netherlands, France, and other developed countries imposed stringent government restrictions and closed their borders to curb the spread of the novel coronavirus, hence plummeting the demand as well as the availability of various automotive components, such as radar systems. A few countries such as Italy, Russia, and Spain witnessed a significant surge in confirmed cases that notably negatively impacted the demand for passenger vehicle sales during the April and July, 2020. However, numerous European countries recovered swiftly in recent months. They witnessed a reliable surge in demand for automotive sales and its associated components among the OEMs and aftermarket sales. On the other side, Germany, the UK, France, and Belgium witnessed a second wave of the outbreak; therefore, they announced second lockdown in November 2020. The situation amid the COVID-19 pandemic is hindering the growth of the Europe automotive radar market.
The overall Europe automotive radar market size has been derived using both primary and secondary sources. To begin the research process, exhaustive secondary research has been conducted using internal and external sources to obtain qualitative and quantitative information related to the market. The process also serves the purpose of obtaining an overview and forecast for the Europe automotive radar market with respect to all the segments pertaining to the region. Also, multiple primary interviews have been conducted with industry participants and commentators to validate the data, as well as to gain more analytical insights into the topic. Participants of this process include industry experts such as VPs, business development managers, market intelligence managers, and national sales managers, along with external consultants such as valuation experts, research analysts, and key opinion leaders, specializing in the Europe automotive RADAR market. Aptiv Plc, Continental AG, Denso Corporation, HELLA KGaA Hueck & Co., Infineon Technologies AG, Nidec Corporation, Robert Bosch GmbH, Valeo, Veoneer Inc, and ZF Friedrichshafen AG are among the key players operating in the market.