INDUSTRY REPORT
Image : BMW .
“ Global automotive markets have seen seismic shifts , in recent years , which are having a huge impact on manufacturers .”
INDUSTRY REPORT
MEETING NEW CHALLENGES
We highlight seismic shifts , challenges and opportunities in global automotive markets for manufacturers .
BMW iX5 Hydrogen model .
According to analyst Business Research Insights , the global automotive market size was valued at US $ 2085.78 billion in 2022 and is projected to reach US $ 2746.49 billion by 2032 , at a CAGR of 2.79 % during the forecast period .
“ Asia-Pacific held a leading position in automotive market share in 2023 . Europe is estimated to show the second-highest growth in the global market , attributable to the rising disposable income of the population . North America is expected to show sizable growth in the global market owing to the rising adoption of electric vehicles in the region ,” outlined the analyst in December 2024 .
However , global automotive markets have seen seismic shifts , in recent years , which are having a huge impact on manufacturers . The European automotive supply industry , for example , is facing its most severe job losses since the COVID-19 crisis . These losses are driven by declining demand , rising production costs and delayed investments in new technologies .
“ Today , our industry is undergoing the most transformative shift in its history : the transition from conventional combustion engines to zero-emission powertrains , such as battery-electric and hydrogenpowered models . This is a monumental challenge — one that requires the complete reimagination of an entire ecosystem . From suppliers and customers to energy providers , grid operators , and policymakers — every stakeholder must move in sync toward a common goal ,” commented Christian Levin ( President and CEO of Scania ) on 14 January 2025 . He is also the newly elected chair of the Commercial Vehicles Board of ACEA ( European Automobile Manufacturers ’ Association ), which represents the 16 major Europe-based car , van , truck and bus-makers .
“ For this transition to succeed , policies and regulations must be forward-thinking , pragmatic and relevant . Bold , visionary targets are essential to lead the way , but they must be paired with enabling conditions and predictable , long-term incentives to create stability and drive investment ,” he added .
18 | ismr . net | ISMR February 2025