Automotive TIC Market Size & Share Analysis - Growth Trends & Forecasts (2025 - 2030)

Automotive TIC Market is Segmented by Service Type (Testing and Inspection, Certification, and More), Sourcing Type (In-House and Outsourced), Application (Vehicle Periodic Inspection Services, Electrical and Electronics Systems Testing, and More), Vehicle Type (Passenger Vehicles and Commercial Vehicles), Propulsion Type (Internal-Combustion-Engine Vehicles, Hybrid Electric Vehicles, and More), and Geography.

Automotive TIC Market Size and Share

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Automotive TIC Market Analysis by Mordor Intelligence

The Automotive TIC Market size is estimated at USD 22.87 billion in 2025, and is expected to reach USD 29.46 billion by 2030, at a CAGR of 5.20% during the forecast period (2025-2030). Escalating global regulations, especially UNECE R155/R156 cybersecurity rules and new battery-safety protocols, continue to expand the scope of testing beyond mechanical validation. Demand is rising fastest for virtual homologation, lifecycle carbon-footprint certification, and over-the-air (OTA) update validation as software-defined vehicles gain traction. Europe remains the largest regional hub, supported by robust rule-making, while Asia-Pacific is the fastest growing, due to aggressive electrification targets and battery-safety mandates. Outsourcing gains momentum because emerging technologies require expertise and infrastructure that OEMs prefer to buy rather than build. However, the increasing use of digital twins poses a revenue-mix risk as simulation gradually replaces some physical tests.

Key Report Takeaways

  • By service type, Testing and Inspection held 63.2% of the Automotive TIC market share in 2024, while Certification is projected to expand at an 8.4% CAGR to 2030.
  • By sourcing type, In-House accounted for 54.6% share of the Automotive TIC market size in 2024, whereas Outsourced services grew at a 7.8% CAGR through 2030.
  • By application, Vehicle Periodic Inspection Services represented 29.4% of the Automotive TIC market size in 2024, and Power-train and Battery Safety Testing is advancing at a 7.5% CAGR through 2030.
  • By vehicle type, Passenger Vehicles captured 70.3% of the Automotive TIC market share in 2024; the same segment is forecast to record a 6.7% CAGR to 2030.
  • By propulsion type, Internal-Combustion-Engine Vehicles held 67.3% share of the Automotive TIC market size in 2024, while Fuel-Cell Electric Vehicles show the highest 6.9% CAGR to 2030.
  • By geography, Europe led with 34.7% of the Automotive TIC market share in 2024; Asia-Pacific is forecast to post an 8.1% CAGR to 2030.

Segment Analysis

By Service Type: Certification Drives Digital Transformation

Testing and Inspection held the majority 63.2% share of the Automotive TIC market size in 2024, anchored by compulsory brake, chassis, and emissions tests at every program gateway. Certification expanded at an 8.4% CAGR as OEMs sought end-to-end guidance through evolving UNECE regulations. The Automotive TIC market sees recurring demand for cybersecurity certificates, virtual homologation approvals, and software process audits that reduce overall development risk. Certification’s growth also reflects the broader shift toward cloud-connected vehicles needing continuous compliance records.

Regulators require extensive documentary evidence for electric-vehicle type approval, a task best handled by specialized certification bodies. TÜV SÜD’s ISO 24089 audit service helps OEMs document safe update processes, illustrating how TIC firms pivot to software governance. The segment’s expansion opens higher-margin advisory and training layers, which supplement basic report issuance.

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Note: Segment shares of all individual segments available upon report purchase

By Sourcing Type: Outsourcing Accelerates Specialization

In-house labs accounted for 54.6% of the Automotive TIC market share in 2024, yet Outsourced engagements grow at a 7.8% CAGR because electromagnetic compatibility chambers, battery fire rigs, and hydrogen refuelling bunkers demand high capital. OEMs retain core acoustics and ride-handling tracks but contract TIC partners for specialized modules. UL Solutions’ recent hydrogen acquisition underlines the premium clients place on one-stop expertise in nascent fields.

Remote collaboration tools allow TIC engineers to witness tests digitally, lowering travel costs and making outsourcing more attractive. As cloud-based data capture becomes the norm, providers embed themselves deeper in customer workflows through always-on portals that track compliance milestones across model years.

By Application: Battery Testing Emerges as Growth Engine

Vehicle Periodic Inspection Services held the largest 29.4% slice of the Automotive TIC market size in 2024, supported by mandatory road-worthiness schemes in Europe and Japan. Nevertheless, Power-train and Battery Safety Testing shows the strongest 7.5% growth through 2030, driven by multi-cell module fire-propagation protocols and accelerated aging cycles. Tier-one suppliers and start-ups both tap external labs to qualify chemistries, coatings, and fast-charging schemes.

Regulatory attention on connected-car functions fuels growth for Telematics compliance. Each over-the-air release triggers new security sign-offs, feeding incremental demand. Meanwhile, Fuels, Fluids, and Lubricants Analysis plateaus as electric propulsion reduces hydrocarbon complexity, yet remains critical for residual ICE platforms in emerging markets.

By Vehicle Type: Commercial Vehicles Drive Testing Innovation

Passenger Vehicles dominated with 70.3% Automotive TIC market share in 2024, and the segment continues at a 6.7% CAGR owing to fast EV and ADAS penetration. SUVs and crossovers lift sensor-calibration workloads because of ride-height variability and unique radar reflections. Commercial Vehicles, although smaller, pioneer hydrogen fuel-cell validation for depot-based fleets. The shift creates opportunities to refine high-pressure tank cycle tests and autonomous highway pilot assessments.

Bus and truck regulations diverge from passenger rules, demanding additional blind-spot monitoring and advanced emergency braking validation. TIC providers cultivating heavy-vehicle expertise secure durable revenue lines because global harmonization is slow and local rules persist.

Automotive TIC Market
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By Propulsion Type: Fuel Cells Signal Future Direction

Internal-Combustion-Engine Vehicles held 67.3% share of the Automotive TIC market size in 2024, yet efficiency standards like Euro 7 keep testing workload high through tighter particulate limits. [3]InterRegs Ltd, “EU Euro 7 Emissions Regulation Published,” interregs.com Fuel-Cell Electric Vehicles, although early-stage, expand the Automotive TIC market at a 6.9% CAGR as hydrogen pilot fleets receive policy support. The technology introduces 700-bar burst tests, permeation analysis, and stack durability cycles that legacy facilities lack, pushing investment in new rigs.

Battery Electric Vehicles remain the volume growth story, covering dielectric withstand tests for 800-volt systems and interoperability checks with megawatt chargers. Each propulsion pathway demands distinct skill sets, prompting providers to segment their labs by technology rather than by vehicle platform.

Geography Analysis

Europe remains the primary revenue center with a 34.7% share of the Automotive TIC market in 2024. Early adoption of UNECE cybersecurity rules, upcoming Euro 7 emissions limits, and a mature premium OEM base sustain high-value engagements. Germany, France, and Sweden house integrated TIC campuses that couple environmental chambers with virtual-homologation hubs, enabling seamless workflows between physical and digital artefacts. Proximity to Brussels regulators gives providers early insight into draft amendments, reinforcing Europe’s leadership.

Asia-Pacific is the fastest-growing theatre at 8.1% CAGR through 2030. China’s strict “No Fire, No Explosion” battery rule, South Korea’s advanced ADAS mandates, and Japan’s focus on fuel-cell buses create multi-layered demand. Major TIC players such as TÜV Rheinland invested EUR 28 million in Taicang to meet LiDAR performance and EMC testing needs. Domestic start-ups also seek export certificates to meet UNECE norms, driving outsourced volumes.

North America is a mature but evolving market. NHTSA’s draft FMVSS 307 hydrogen integrity standard adds hydrogen leak and fire tests, while California’s Advanced Clean Car II program tightens EV range and degradation metrics. TIC labs in Michigan and California lead with combined battery abuse and OTA cybersecurity offerings, reflecting the region’s push for software-defined platforms. The United States benefits from a deep pool of software specialists, accelerating virtual homologation adoption.

Automotive TIC Market
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Competitive Landscape

The Automotive TIC market is moderately fragmented. SGS, Bureau Veritas, and TÜV SÜD leverage global footprints and deep regulator relationships to handle cross-border programs. A potential USD 35 billion merger between SGS and Bureau Veritas could create an unprecedented one-stop shop, prompting rivals to strengthen niche capabilities. [4]CTOL Digital, “SGS and Bureau Veritas Near USD 35 Billion Merger,” ctol.digital UL Solutions acquired TesTneT to bolster its hydrogen credentials, while Element scales up battery cell aging services for high-volume players.

Competitive differentiation shifts toward digital twin mastery and AI-driven analytics. Ansys and Microsoft built an end-to-end virtual homologation pipeline that reduces prototype runs, giving early adopters a time-to-market edge. Small specialists enter with cloud-native cybersecurity audits, targeting Tier 2 suppliers that large TIC firms overlook. Incumbents respond by integrating start-up software into legacy portals and offering subscription dashboards for compliance status, locking customers into multi-year frameworks.

Investment in regional mega-labs continues. TÜV SÜD debuted its hydrogen “H2-Readiness” certificate at the 2025 World Hydrogen Summit, positioning itself early in fuel-cell validation. Applus+ upgraded its ADAS proving ground with ISO 10844 surfaces to keep pace with scenario-based assessments. As virtual validations rise, companies blend sim-first workflows with selected track confirmation, preserving revenue while reducing cost per approval for customers.

Automotive TIC Industry Leaders

  1. SGS SA

  2. Bureau Veritas SA

  3. Dekra SE

  4. TÜV SÜD AG

  5. Applus+ Services SA

  6. *Disclaimer: Major Players sorted in no particular order
TÜV SÜD Applus Services, S.A Dekra SE SGS Group Bureau Veritas Group
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Recent Industry Developments

  • May 2025: TÜV SÜD introduced H2-Readiness Certification covering materials and system compatibility for hydrogen technologies.
  • April 2025: Infineon bought Marvell’s Automotive Ethernet business for USD 2.5 billion to enhance software-defined vehicle test offerings.
  • March 2025: Toyota opened the USD 2.0 billion Shimoyama test center, featuring digital collaboration tools for integrated validation.
  • January 2025: Ansys, Kontrol, TÜV SÜD, and Microsoft launched a simulation-based homologation toolchain.
  • December 2024: Nissan and Honda signed a USD 79.9 billion merger memorandum, signaling potential realignment of TIC demand.
  • November 2024: Rivian and Volkswagen lifted joint-venture investment to USD 5.8 billion for software-defined vehicles, expanding validation scope.
  • October 2024: Schaeffler merged with Vitesco Technologies, enlarging internal test resources and external service purchases.
  • September 2024: Applus+ IDIADA enhanced its proving ground with new ADAS lanes and ISO 10844 compliance.

Table of Contents for Automotive TIC Industry Report

1. INTRODUCTION

  • 1.1 Study Assumptions and Market Definition
  • 1.2 Scope of the Study

2. RESEARCH METHODOLOGY

3. EXECUTIVE SUMMARY

4. MARKET LANDSCAPE

  • 4.1 Market Overview
  • 4.2 Market Drivers
    • 4.2.1 Integration of ADAS and autonomous electronics
    • 4.2.2 UNECE R155/R156 cybersecurity and OTA update mandates
    • 4.2.3 Surge in high-voltage battery safety testing
    • 4.2.4 OEM shift to software-defined vehicles needs OTA validation
    • 4.2.5 Lifecycle carbon-footprint certification demand
    • 4.2.6 AI-enabled virtual homologation shortening test cycles
  • 4.3 Market Restraints
    • 4.3.1 Dependence on cyclical vehicle production volumes
    • 4.3.2 Divergent global standards inflate compliance cost
    • 4.3.3 Shortage of EV battery test engineers
    • 4.3.4 Virtual validation cannibalising physical TIC revenues
  • 4.4 Industry Value Chain Analysis
  • 4.5 Regulatory Landscape
  • 4.6 Technological Outlook
  • 4.7 Industry Attractiveness – Porter’s Five Forces Analysis
    • 4.7.1 Threat of New Entrants
    • 4.7.2 Bargaining Power of Suppliers
    • 4.7.3 Bargaining Power of Buyers
    • 4.7.4 Threat of Substitutes
    • 4.7.5 Intensity of Competitive Rivalry
  • 4.8 Coverage: In-house vs Outsourced TIC
  • 4.9 Impact of Macroeconomic Factors on the Market

5. MARKET SIZE AND GROWTH FORECASTS (VALUES)

  • 5.1 By Service Type
    • 5.1.1 Testing and Inspection
    • 5.1.2 Certification
    • 5.1.3 Auditing/Consulting/Training
  • 5.2 By Sourcing Type
    • 5.2.1 In-House
    • 5.2.2 Outsourced
  • 5.3 By Application
    • 5.3.1 Vehicle Periodic Inspection Services
    • 5.3.2 Electrical and Electronics Systems Testing
    • 5.3.3 Power-train and Battery Safety Testing
    • 5.3.4 Telematics and Connected-car Compliance
    • 5.3.5 Homologation and Type-Approval
    • 5.3.6 Fuels, Fluids and Lubricants Analysis
  • 5.4 By Vehicle Type
    • 5.4.1 Passenger Vehicles
    • 5.4.1.1 Hatchbacks
    • 5.4.1.2 Sedans
    • 5.4.1.3 SUVs and Crossovers
    • 5.4.2 Commercial Vehicles
    • 5.4.2.1 Light Commercial Vehicles
    • 5.4.2.2 Heavy Commercial Vehicles
  • 5.5 By Propulsion Type
    • 5.5.1 Internal-Combustion-Engine Vehicles
    • 5.5.2 Hybrid Electric Vehicles
    • 5.5.3 Battery Electric Vehicles
    • 5.5.4 Fuel-Cell Electric Vehicles
  • 5.6 By Geography
    • 5.6.1 North America
    • 5.6.1.1 United States
    • 5.6.1.2 Canada
    • 5.6.1.3 Mexico
    • 5.6.2 South America
    • 5.6.2.1 Brazil
    • 5.6.2.2 Argentina
    • 5.6.2.3 Chile
    • 5.6.2.4 Rest of South America
    • 5.6.3 Europe
    • 5.6.3.1 Germany
    • 5.6.3.2 United Kingdom
    • 5.6.3.3 France
    • 5.6.3.4 Italy
    • 5.6.3.5 Spain
    • 5.6.3.6 Russia
    • 5.6.3.7 Rest of Europe
    • 5.6.4 Asia-Pacific
    • 5.6.4.1 China
    • 5.6.4.2 India
    • 5.6.4.3 Japan
    • 5.6.4.4 South Korea
    • 5.6.4.5 Malaysia
    • 5.6.4.6 Singapore
    • 5.6.4.7 Australia
    • 5.6.4.8 Rest of Asia-Pacific
    • 5.6.5 Middle East and Africa
    • 5.6.5.1 Middle East
    • 5.6.5.1.1 United Arab Emirates
    • 5.6.5.1.2 Saudi Arabia
    • 5.6.5.1.3 Turkey
    • 5.6.5.1.4 Rest of Middle East
    • 5.6.5.2 Africa
    • 5.6.5.2.1 South Africa
    • 5.6.5.2.2 Nigeria
    • 5.6.5.2.3 Rest of Africa

6. COMPETITIVE LANDSCAPE

  • 6.1 Market Concentration
  • 6.2 Strategic Moves
  • 6.3 Market Share Analysis
  • 6.4 Company Profiles (includes Global level Overview, Market level overview, Core Segments, Financials as available, Strategic Information, Market Rank/Share for key companies, Products and Services, and Recent Developments)
    • 6.4.1 SGS SA
    • 6.4.2 Bureau Veritas SA
    • 6.4.3 Dekra SE
    • 6.4.4 TÜV SÜD AG
    • 6.4.5 Applus+ Services SA
    • 6.4.6 TÜV Nord Group
    • 6.4.7 TÜV Rheinland AG
    • 6.4.8 Intertek Group plc
    • 6.4.9 Eurofins Scientific SE
    • 6.4.10 UL Solutions Inc.
    • 6.4.11 Element Materials Technology Group
    • 6.4.12 ALS Limited
    • 6.4.13 MISTRAS Group Inc.
    • 6.4.14 DNV AS
    • 6.4.15 Lloyd’s Register Group Ltd.
    • 6.4.16 RINA SpA
    • 6.4.17 Kiwa N.V.
    • 6.4.18 CSA Group
    • 6.4.19 BSI Group
    • 6.4.20 NSF International
    • 6.4.21 Apave Group
    • 6.4.22 CATARC (Co., Ltd.)
    • 6.4.23 DQS Holding GmbH
    • 6.4.24 PONY Testing International Group
    • 6.4.25 SouthWest Research Institute

7. MARKET OPPORTUNITIES AND FUTURE TRENDS

  • 7.1 White-Space and Unmet-Need Assessment
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Global Automotive TIC Market Report Scope

The report provides a comprehensive analysis of the market segmented by the service type, vehicle type, and geography.

The automotive testing, certification, and knowledge services optimize quality and safety in accordance with national and international standards and regulations like TS 16949 and ISO 26262. The International standard-setting bodies composed of representatives from various national standards organizations define the different testing, inspection, and certification services in the international standard series ISO/IEC 17000:2004. 

By Service Type Testing and Inspection
Certification
Auditing/Consulting/Training
By Sourcing Type In-House
Outsourced
By Application Vehicle Periodic Inspection Services
Electrical and Electronics Systems Testing
Power-train and Battery Safety Testing
Telematics and Connected-car Compliance
Homologation and Type-Approval
Fuels, Fluids and Lubricants Analysis
By Vehicle Type Passenger Vehicles Hatchbacks
Sedans
SUVs and Crossovers
Commercial Vehicles Light Commercial Vehicles
Heavy Commercial Vehicles
By Propulsion Type Internal-Combustion-Engine Vehicles
Hybrid Electric Vehicles
Battery Electric Vehicles
Fuel-Cell Electric Vehicles
By Geography North America United States
Canada
Mexico
South America Brazil
Argentina
Chile
Rest of South America
Europe Germany
United Kingdom
France
Italy
Spain
Russia
Rest of Europe
Asia-Pacific China
India
Japan
South Korea
Malaysia
Singapore
Australia
Rest of Asia-Pacific
Middle East and Africa Middle East United Arab Emirates
Saudi Arabia
Turkey
Rest of Middle East
Africa South Africa
Nigeria
Rest of Africa
By Service Type
Testing and Inspection
Certification
Auditing/Consulting/Training
By Sourcing Type
In-House
Outsourced
By Application
Vehicle Periodic Inspection Services
Electrical and Electronics Systems Testing
Power-train and Battery Safety Testing
Telematics and Connected-car Compliance
Homologation and Type-Approval
Fuels, Fluids and Lubricants Analysis
By Vehicle Type
Passenger Vehicles Hatchbacks
Sedans
SUVs and Crossovers
Commercial Vehicles Light Commercial Vehicles
Heavy Commercial Vehicles
By Propulsion Type
Internal-Combustion-Engine Vehicles
Hybrid Electric Vehicles
Battery Electric Vehicles
Fuel-Cell Electric Vehicles
By Geography
North America United States
Canada
Mexico
South America Brazil
Argentina
Chile
Rest of South America
Europe Germany
United Kingdom
France
Italy
Spain
Russia
Rest of Europe
Asia-Pacific China
India
Japan
South Korea
Malaysia
Singapore
Australia
Rest of Asia-Pacific
Middle East and Africa Middle East United Arab Emirates
Saudi Arabia
Turkey
Rest of Middle East
Africa South Africa
Nigeria
Rest of Africa
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Key Questions Answered in the Report

What is the current size of the automotive TIC market and its growth outlook?

The automotive TIC market stands at USD 22.87 billion in 2025 and is projected to reach USD 29.46 billion by 2030, reflecting a 5.20% CAGR.

Which region leads the automotive TIC market and which grows fastest?

Europe holds the largest 34.7% share, while Asia-Pacific posts the fastest 8.1% CAGR through 2030.

Which service segment is expanding most rapidly in the automotive TIC market?

Certification services show the strongest momentum, advancing at an 8.4% CAGR as electric and autonomous vehicles increase regulatory complexity.

Why are OEMs increasing outsourcing of automotive TIC services?

Specialized battery, hydrogen and cybersecurity tests require costly infrastructure and expertise, prompting OEMs to outsource work that is non-core yet compliance-critical.

How do new cybersecurity regulations influence demand in the automotive TIC market?

UNECE R155/R156 rules mandate lifecycle cybersecurity certification, turning one-time tests into recurring validation programs and generating steady revenue for TIC providers.

What drives the surge in battery testing within the automotive TIC market?

Stricter safety rules such as China’s “No Fire, No Explosion” standard and global fast-charging adoption elevate demand for advanced thermal-runaway and abuse testing.

Page last updated on: June 23, 2025

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