Automotive Lighting Market Size and Trend Insights by 2034

Automotive Lighting Market Size, Shares & Regional Insights

The global automotive lighting market is anticipated to grow from USD 36.66 billion in 2025 to USD 61.88 billion by 2034, with a compound annual growth rate (CAGR) of 5.99% during the forecast period from 2025 to 2034.

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Key Takeaways

• North America dominated the automotive lighting market due to the presence of numerous automotive brands such as Tesla, Ford, Rivian, Chevrolet and some others.
• Asia Pacific is expected to grow with a significant CAGR due to the rising sales of passenger cars in India and China.
• The LED segment held the largest share of the market due to the growing demand for efficient lighting systems from the automotive sector.
• The passenger vehicle segment led the market due to the increasing focus of automotive companies towards developing affordable passenger cars.

Introduction

The automotive lighting market is rapidly evolving as advancements in vehicle technology and growing consumer demand for safety and aesthetics drive innovation. Automotive lighting systems, which include headlights, taillights, interior lighting, and indicator lights, play a crucial role in enhancing visibility, safety, and the overall driving experience. The increasing adoption of LED and OLED technologies is transforming the market, offering energy-efficient, long-lasting, and customizable lighting solutions. These modern lighting systems not only improve visibility for drivers in low-light conditions but also add a distinct, stylish element to vehicle design.

Moreover, stringent government regulations aimed at improving road safety are pushing automakers to integrate advanced lighting systems into their vehicles. Innovations like adaptive lighting, automatic high beams, and matrix LED headlights are gaining traction as they enhance driver visibility and reduce the risk of accidents. The growing popularity of electric vehicles (EVs) is also contributing to the demand for more energy-efficient lighting solutions that align with the overall sustainability goals of the automotive industry.

As automakers continue to focus on vehicle aesthetics, safety, and energy efficiency, the automotive lighting market is expected to witness significant growth. Technological advancements and the increasing integration of intelligent lighting systems are reshaping the market, offering new opportunities for manufacturers and suppliers to develop cutting-edge lighting solutions for the next generation of vehicles.

• According to the International Organization of Motor Vehicle Manufacturers, around 3792444 passenger cars were sold in 2022 that increased to 4101600 in 2023.

Automotive Lighting Market Trends- 2025

• According to the India Brand Equity Foundation, the auto components industry is projected to contribute around 5-7% of India’s GDP in 2026.
• According to the ACMA, In FY 2023-24, the Indian auto component industry grew to USD 74.1 billion, reflecting a 9.8% increase from USD 69.7 billion in the previous fiscal year (2022-23).
• According to the ICEX, the Spanish companies manufactured around 2.45 million vehicles in the year 2023.
• According to the International Energy Agency, around 9500000 BEVs were sold globally in 2023.

Industry Leader Announcement

In November 2024, Didier Keskas, Head of Business Group Lighting APAC at FORVIA HELLA made an announcement stating that, “This aerodynamic rear wing lighting does not only fulfill innovative functions but also has to withstand the pressure and drag force generated by airflow during high-speed driving, posing even higher requirements to its robustness, durability, and reliability. We are consistently committed to providing high-quality products and services to the automotive market and our customers. This innovative rear lamp further demonstrates our commitment to the Chinese market, representing technological innovation and our relentless pursuit to meet the unique needs of the Chinese market and enhance customer experience."

Competitive Landscape

The automotive lighting market is a fragmented industry with the presence of several dominant players. Some of the prominent market players in this industry consists of Sony Corporation, Samsung Electronics, Bosch Sensortec, Texas Instruments Incorporated., Hella, STMicroelectronics and some others. These market players are constantly engaged in developing advanced lighting systems for automotives and adopting numerous strategies such as product launches, partnerships, joint ventures and some others to maintain their dominant position in this industry.

• According to the annual report of Hella, the lighting segment generated a revenue of 2139 million euros in 2022 that rose to 3887 million euros in 2023.

Key Segments

By Vehicle

• Passenger Vehicle
• Commercial Vehicle

By Sales Channel

• Original Equipment Manufacturers
• Aftermarket

By Application

• Front Lighting/Headlamps
• Rear Lighting
• Side Lighting
• Interior Lighting

By Technology

• Halogen
• Xenon/HD
• LED

By Region

• North America
• Latin America
• Europe
• Asia Pacific
• The Middle East and Africa