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New Revenue Pockets: Automotive Multi-Wheel Drive Systems Market
Increasing Safety Standards to Drive Demand
Rise in safety regulations across the globe, fuel efficiency, and vehicle stability are expected to drive the demand for multi-wheel drive systems. Additionally, the New Car Assessment Program (NCAP), where vehicles are awarded with ratings based on its safety performance, is expected to drive demand for multi-wheel drive systems as well as is expected to increase its awareness. To promote the adoption of automatic and manual multi-wheel drive systems, OEMs are creating awareness about these systems by putting forth its advantages over traditional RWD systems. Advanced super handling AWD systems from Honda Motor Company is expected to would prove to be a new revenue pocket in the future.
Asia-Oceania: Fast Growing Market
The Asia-Oceania region is expected to be the largest market for multi-wheel drive systems in the next few years, with China accounting for a majority of the market share. Countries such as India, Japan, and South Korea have also made the automotive safety norms/regulations stricter than before in the Asia- Oceania region. The luxury car market in Asian countries is witnessing a positive growth, thus pushing the demand for AWD systems. In America and Europe, the market for multi-wheel drive systems is well-established and is expected to grow at a steady rate.
Automatic All-Wheel Drive Systems: Opportunistic Market
All-wheel drive systems majorly find their application in the premium car segment and multi-utility vehicles, such as crossovers. The improving economic conditions, increasing industrialization, and growing living standard have surged the demand for automatic all-wheel drive systems. The automatic all-wheel drive system provides increased grip and control under all road conditions. It has better handling and works all the time. With new technologies being introduced in the market, these systems have become more intelligent, as they automatically change to rear or front wheel drive based on vehicle requirement. This further opens opportunities in related markets such as the sensors and electronic markets, which help in sensing requirements of the vehicle. These reasons make the automatic all-wheel drive market a market with immense opportunities.
Automotive Multi-Wheel Drive Systems Market by Vehicle Type (Passenger Car, Light & Heavy Commercial Vehicle), by System Type (Automatic and Manual) and by Geography (Asia-Oceania, Europe, North America, RoW) - Global Trends and Forecast to 2020
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