Market Size of China Automotive Seats Industry
| Study Period | 2019 - 2029 |
| Base Year For Estimation | 2023 |
| Forecast Data Period | 2024 - 2029 |
| Historical Data Period | 2019 - 2022 |
| CAGR | 4.00 % |
| Market Concentration | Medium |
Major Players
*Disclaimer: Major Players sorted in no particular order |
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China Automotive Seats Market Analysis
The China Automotive Seat Market was valued at USD 3392.12 million in 2021 and is expected to reach USD 4370.09 million in 2027 registering a CAGR of around 4% during the forecast period.
The COVID-19 pandemic had a negative impact on the market during the first half of 2020 as a shutdown of manufacturing facilities and lockdowns resulted in a decline in vehicle production across the country. However, by end of 2020, vehicle sales increased creating a positive outlook for the vehicle manufacturers and seat manufacturers. For instance, In December 2020, a report released by the China Association of Automobile Manufacturers (CAAM) stated that
Overall vehicle production in December 2020 totaled 2.84 million units, reflecting a 5.7% year-on-year increase, while sales totaled 2.831 million units, reflecting a 6.4% year-on-year increase. However, 2020 year total production for January through December totaled 25.2 million units with a 2.0% decline compared to the same period in the previous year, and sales were 25.311 million units, reflecting a 1.9% y/y decline.
Over the medium term, growing consumer inclination toward safety and comfort coupled with recovering sales and a positive outlook for the automotive industry especially premium and luxury cars expected to drive demand for the market. In addition, increased adoption of electric vehicles is also likely to contribute to the growth of the market.
Moreover, the shift in focus of automotive manufacturers to reduce the overall vehicle weight with the use of advanced fabric material for seats is anticipated to offer new opportunities for players operating in the market. The majority of luxurious vehicles are generally equipped with leather seats, which provide premium quality seats and look to the vehicle. For example, According to data from the China Automobile Dealers Association, China's luxury vehicle sales in the first 11 months of the year 2021 exceeded 2 million units with a year-on-year increase of over 5%. This also marked the third consecutive year for luxury brands to register growth in the wake of downward pressure in China's overall automotive market.
Further, advancements in seat technology like Smart Seats and simultaneous innovations in seats to suit connected cars and autonomous cars are anticipated to offer new opportunities for players operating in the market. Apart from this, the emerging trend of autonomous vehicles is encouraging manufacturers to design intelligent seating systems with superior comfort and ergonomics and light and sustainable materials.
