Automotive TIC Market Trends, Disruptors & Competitive Strategy

Automotive TIC Market Trends, Challenges & Strategic Recommendations

The automotive TIC market is projected to reach USD 25.74 billion by 2034, growing from USD 18.98 billion in 2025, at a CAGR of 3.44% during the forecast period from 2025 to 2034.

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Introduction

The automotive TIC market is a crucial sector of the automotive services industry. This industry deals in providing TIC services to automotive sector. There are several types of services provided by this sector comprising of testing services, inspection services and certification services. These services are used for inspecting passenger vehicles and commercial vehicles. It is highly adopted by automotive companies to ensure vehicle and component quality, performance, safety and compliance with regulations and standards. The rising sales of electric vehicles in different parts of the world has contributed to the industrial expansion. This market is expected to rise significantly with the growth of the automotive sector across the globe.

• According to the International Energy Agency, around 2.7 million EVs were sold in Europe during 2022 that increased to 3.4 million units in 2024.

Highlights of the Automotive TIC Market

• Asia Pacific held the dominant share of the automotive TIC market due to the growing sales of automotives in this region.
• Europe is expected to grow with the highest CAGR due to the presence of numerous automotive brands in this region.
• The passenger cars segment dominated the market due to the rising production of passenger vehicles across the world.
• The testing segment led the market due to the increasing focus of automotive companies towards testing of vehicles before launching it into the market.

Automotive TIC: Stats and Figures

• According to the OICA, around 304783 passenger cars and 305942 commercial vehicles were manufactured in Argentina during 2023.
• According to the India Brand Equity Foundation, around 25.9 million vehicles were produced in India during 2023.
• According to the Alliance for Automotive Innovation, EVs represent 10.2 percent of new light-duty vehicle sales during 4th quarter of 2023 in the U.S.
• According to the SMMT, around 82997 vehicles were manufactured in UK during 2024.

Industry Leader Announcement

In July 2024, Shaju S, the Vice President and Head of the Transportation Business Unit at Tata Elxsi made announcement stating that, “India is emerging as a global hub for next-generation automotive development with the presence of global R&D centers of the entire mobility ecosystem from OEMs to silicon vendors. The shift in vehicle E/E architecture, electrification, and connectivity is driving the need for advanced software development and testing capabilities.”

Geographical Insights

Asia Pacific held the dominant share of the automotive TIC market. The market is generally driven by the rising investment in automotive sector coupled with the presence of numerous car manufacturing companies in this region. Moreover, the growing demand for luxury cars along with availability of cheap labor and raw materials has driven the industrial expansion. In Asia Pacific, Japan, China, South Korea and India are the major contributors of this industry. The rising sales and production of vehicles has driven the market growth in these nations.

Competitive Landscape

The automotive TIC market is a highly fragmented industry with the presence of several dominating players. Some of the crucial players in this industry consists of Dekra SE (Stuttgart, Germany), TÜV SÜD (Munich, Germany), Applus Services, S.A (Madrid, Spain), SGS Group (Geneva, Switzerland), Bureau Veritas Group (Neuilly-sur-Seine, France) and some others. These companies are constantly engaged in providing TIC services for automotives and adopting numerous strategies to maintain their dominant position in this industry.

• According to the annual report of Dekra Group, the revenue of the company in 2022 was 3796.50 million euros that increased to 4101.40 million euros in 2023.

Market Segmentations

By Range

• Short-Range Radar
• Medium-Range Radar
• Long-Range Radar

By Application

• Adaptive Cruise Control (ACC)
• Autonomous Emergency Braking (AEB)
• Forward-Collision Warning System (FCWS)
• Blind Spot Detection (BSD)
• Intelligent Parking Assistance

By Frequency

• 24 GHz
• 77 GHz

By Region

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