Techno World Automotive-Glass-Market | Page 2

which is further boosting growth of the automotive glass market. For instance, according to the World Bank Group, GDP per capita has increased globally from US$ 9,509.4 in 2010 to US$ 10,150.8 in 2016. This is an indicator of increasing standard living, which in turn has aided in high sales of vehicles. Therefore, strong and consistent sales growth of in the automotive industry, is further expected to fuel the market growth during the forecast period (2018–2026). Global Automotive Glass Market: Key Trend One of the latest trend gaining attraction in the market is the exponential rise in adoption of solar control glasses for vehicles. Major benefits associated with use of solar control glasses is that it helps in improving fuel efficiency. The usage of solar control glass helps in keeping the vehicle cooler on the inside, which reduces the need for air conditioner, which in turns makes the car fuel efficient. For instance, in 2014, SEKISUI S-LEC, LLC introduced S-LEC Solar Control Films. This glass help in reducing the transmission of heat (mid-infrared) rays from the sun, effectively controlling the in-car temperature, while reducing demand on air conditioning and increasing the fuel economy by 3%. Additionally, another benefit of solar control glass is that it reduces the effect of ultraviolet radiation. This solar glass controls up to 99% of solar radiation, which is similar to the benefit associated with SPF 50+ sunscreen. This rise in the adoption of these glasses will, in turn, augment growth in the global automotive glass market in the near future. Fluctuating prices of raw materials is one of the major challenges for growth of the automotive glass market Fluctuation in the prices of glass raw material is one of the factors affecting demand for glasses in the automotive sector. As the changes in the pricing of material directly affects the expense of the automakers, which proportionally affects the profit margins of the automakers. For instance, in May 2018, according to a press release of Producer Price Index (PPI), the PPI for specialty glass, which includes auto glass, witnessed a rise by 1.4 % year-over-year basis in terms of price. Global Automotive Glass Market: Segment Trends Among vehicle types, passenger vehicles segment is the fastest growing segment, owing to increasing sales of these vehicles worldwide. According to International Organization of Motor Vehicle Manufacturers, in 2016, around 70 million units of passenger car were sold worldwide. Growing passenger cars per thousand inhabitants over the past few years have reached to 182 per thousand inhabitants in 2015 from 178 in 2014, which is major factor fuelling the growth of passenger cars. Hence, the increasing sales of passenger vehicles will inadvertently increase the demand of automotive glass for this segment. Global Automotive Glass Market: Regional Insights