The automotive fasteners market is estimated to increase by U.S. $8,379.8 million at a CAGR of 8% until 2027, as per a new report by Technavio. The growth of the market depends on serval factors, including the cost advantages of using plastic automotive fasteners, the growing popularity of structural blind fasteners, and the stringent regulations to control emissions.
Technavio categorizes the global automotive fasteners market as a part of the global automotive components and accessories market — which covers companies engaged in the production of parts and accessories for vehicles including passenger cars, electric vehicles (EVs), commercial vehicles (CVs), heavy-duty vehicles, off-road vehicles, motorcycles, scooters, quad bikes, and three-wheelers.
OEMs held the highest share of the global automotive fasteners market in 2022, a trend that’s expected to continue during the forecast period. In the automotive industry, OEMs use fasteners for several applications, including in EVs. Download a sample of the report here.
Technavio’s researcher analyzed the data with 2022 as the base year, along with the key drivers, trends, and challenges. The holistic analysis of drivers is designed to help companies refine their marketing strategies to gain a competitive advantage.
Material matters
The cost advantages of using plastic automotive fasteners are notably driving market growth. In many automotive applications, plastic is replacing metal.
Plastic clips, for example, are replacing metal brackets as mounting supports for heating, ventilation, air-conditioning, and brake lines in automotive fluid routing assemblies. Using plastic instead of metal offers several cost advantages, including material and labor costs. A rubber insert/grommet must be used in certain places in vehicle assemblies to prevent contact between two metal parts, which leads to galvanic corrosion. A rubber insert/grommet is not required for plastic parts.
As a result, the use of plastics eliminates the entire material and lowers the material and labor costs associated with grommet installation. Additionally, plastics have a faster turnaround and throughput time than metal. This increases production volume while lowering the cost per part manufactured, lowering the manufacturing cost.
There are other material cost advantages — such as material, labor, manufacturing, and shipping coupled with the non-corrosive nature and versatility of plastic — which allows these fasteners to be designed into complex shapes, adding to the market growth.
Lightweight choices
The growing popularity of lightweight fastener solutions is another factor supporting the market growth in the forecast period. Fasteners should provide lightweight solutions without compromising strength as the automotive industry moves toward the trend of lighter vehicles. Lightweight materials are commonly used in vehicle applications such as the body, chassis, interior, and powertrain components.
The report includes the adoption lifecycle of the market, covering the innovator’s to the laggard’s stages. It focuses on adoption rates in different regions and includes key purchase criteria and drivers of price sensitivity to help companies evaluate and develop their growth strategies.
To join these components, manufacturers use various technologies such as clinching, flow drilling screws for metal, and thread-forming screws for plastics. Self-piercing riveting is used by automakers to join a variety of parts. The weight of the vehicle can be reduced because of these automotive fastening technologies. Though these technological advancements are widely accepted and used in the automotive industry, they are restricted to luxury vehicles.
During the forecast period, these fastening technologies are expected to be expanded to mid-segment vehicles as well, accelerating the market growth.
Market segment
The OEM segment was valued at $14,778.56 million in 2017 and continued to grow by 2021. Automotive fasteners allow dissimilar materials to join without using adhesives, which can be messy, and bonds may not be as strong as those created by screws or automotive bolts.
With the increasing production activities in the automotive sector, the demand for automotive fasteners will also increase during the forecast period. In most cases, these automotive fasteners are first tested to ensure they will perform well once the vehicle hits the market.
The growth in automotive vehicle production in this region is driven by automobile manufacturers, such as GM, Ford, Volkswagen, and Daimler.
The report also includes detailed analyses of the competitive landscape of the market and information about 15 market vendors, including:
- Acument Global Technologies Inc.
- Bulten AB
- EJOT HOLDING GmbH & Co. KG
- Illinois Tool Works Inc.
- KAMAX Holding GmbH & Co KG
- Koninklijke Nedschroef Holding BV
- Nifco Inc.
- Norm Holding
- Penn Engineering
- Phillips Screw Co.
- Precision Castparts Corp.
- Raygroup SASU
- Rocknel Fastener Inc.
- SBE VARVIT Spa
- Simmonds Marshall Ltd.
Qualitative and quantitative analysis of vendors has been conducted to help clients understand the wider business environment as well as the strengths and weaknesses of key market players. Data is qualitatively analyzed to categorize vendors as pure play, category-focused, industry-focused, and diversified; it’s quantitatively analyzed to categorize vendors as dominant, leading, strong, tentative, and weak.
Overall, this report extensively coversmarket segmentation by end-user (OEM and aftermarket), vehicle type (passenger cars and commercial vehicles), and geography (APAC, Europe, North America, South America, and Middle East and Africa). It also includes an in-depth analysis of drivers, trends, and challenges. Furthermore, the report includes historic market data from 2017 to 2021.
Click here to learn more and download a sample of the new Technavio report.
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