Shock Absorber Market By Vehicle (Passenger Cars, LCVs, HCVs, Two Wheelers) By Product Type (Hydraulic Type, Gas-filled Type) By Design (Twin Tube Design, Mono-Tube Design) By Sales Channel (OEMs, Aftermarket) - Growth, Future Prospects & Competitive Analysis, 2016 - 2028

The global shock absorber market report takes an in-depth look at the industry and its key parameters. The report includes investment strategies, the advantages of investing in this industry, and recommendations for investment. Importantly, this report covers major changes in the global technical regulations for the shock absorber industry and how economic and non-economic barriers are helping the market grow. Moreover, the report examines global, regional, and country-level historic and forecasted market sizes. It also provides a comprehensive analysis of key investment propositions, the demand and supply gap, competitor positioning, the STAR analysis, the SRC analysis, and the Tornado analysis. The report includes technological developments and other analyses such as Porter's five-force analysis and the PESTEL framework.

Key Highlights of the Report

How are the major segments performing in the shock absorber market?

• In 2021, the passenger car vehicle segment will lead the global market. The passenger vehicle segment has dominated the shock absorber market since the beginning of the automobile industry. The general public uses these vehicles for various reasons, while only a few commercial vehicles are used for specific tasks. Its dominance is also demonstrated in the shock absorber market, where demand for shock absorbers increases in tandem with the demand for passenger vehicles.
• In 2021, hydraulic product types will account for the largest global market share. Vehicles typically use hydraulic shock absorbers, which are more cost-effective than gas-filled ones. The earliest style is still used today, especially for large industrial vehicles used off-road or on construction sites.
• The OEM sales channel category is expected to grow faster due to the significance of shock absorbers in vehicles and the implementation of advanced suspension solutions. Shock absorbers are in high demand among OEMs. OEM demand for shock absorbers is consistent, and substitute market demand is stable; however, it accounts for one-third of total shock absorber sales.
• The monotube design category dominated the market in 2021 due to its cost-effectiveness in vehicles. Mono-tube twin shocks have a single cylinder filled with oil, detached from the other by a piston valve. Mono-tube shocks dampen more effectively and provide a smoother ride than twin-tube shocks.

Region dominated the shock absorber market

Asia Pacific dominated the global shock absorber market in 2021, owing to rising automotive production and an increase in disposable income, particularly in regional economies such as India, China, and Japan, which paved the way for market growth. Besides, rapid industrialization and technological advances in the automotive production sector are expected to fuel the market in the region's countries. China is a major supplier of shock absorbers globally, with many local manufacturers collaborating with international firms. The country's increasing car ownership and vehicle age also drive growth in the replacement aftermarket.

US market performance in the shock absorber market

In 2021, the United States will be the highest revenue generator in the North American shock absorber market. Two important contributing factors are the growing number of cars on the road and the aftermarket for shock absorbers. As one of the world's biggest automotive markets, the United States has many OEMs and a significant aftermarket industry. The United States continues to be one of the world's largest automotive shock absorbers markets, consistently making it a profitable niche for manufacturers. General Motors Company, Ford Motor Company, and other major automobile manufacturers in the United States provide a profitable market for off-road vehicle shock absorber manufacturers.

Competitive environment of the shock absorber market

The market is extremely competitive, with many players providing cost-effective automobile shock absorbers. Leading shock absorber producers aim to have a sizable presence in all automotive markets, such as OEMs, aftermarkets, and export markets. They systematically continue their strategic realignment and increase their footprint in areas with abundant labor and raw material resources to increase the production of shock absorber components. Market participants use a variety of strategies, such as mergers and acquisitions, collaborations, partnerships, funding, and the introduction of new products, to stay competitive and significantly contribute to global market growth. For example, on July 31, 2021, the Damping Technology business unit of the AL-KO Vehicle Technology Group was acquired by the KW Automotive Group, a major producer of alloy wheels. AL-KO Damping Technology produces shock absorbers for commercial vehicles with various body designs and chassis configurations. The KW Automotive Group will profit from AL-KO's cutting-edge manufacturing facilities in China and Europe and the commercial vehicle specialists in the business unit's Damping Technology division.

Executive Summary

Technical developments in the global shock absorber market

Manufacturers of shock absorbers are advancing technical suspension system components like shock absorber design, acceleration, grip, and smoothness. The assessment of suspension system technical problems and the prompt replacement of shock absorbers have also gained momentum in recent years. Modern innovations like regenerative shock absorbers for electric cars have significantly raised the demand for automotive shock absorbers. Leading producers use cutting-edge production technologies and procedures to solve operational problems and give customers high-quality shock absorbers. For instance, ZF Friedrichshafen AG introduced SDC3 (Selective Damping Control), a frequency-selective technology, in November 2019. SDC3 offers improved handling and comfort while maintaining sporty dynamics. Likewise, in 2018, Koni Shock Absorbers, a significant innovator in adjustable suspension technology, announced its brand-new special active damper product line, the most recent development for its prestigious portfolio of efficiency suspension solutions. The latest version of Koni Engineering's proven, proprietary frequency-selective damping technology was integrated into the company's already highly effective Koni special dampers to produce an exceptional ride and handling experience. The active dampers monitor the state of the road and a driver's driving habits to deliver a stable, comfortable, and exclusive ride.

Key investments by the shock absorber market players

Stakeholders in the current automotive shock absorber industry are investing substantial resources in improving the design features of their suspension systems to improve their vehicles' safety and comfort. They also establish strong design and engineering capabilities that can aid clients in addressing the sector's changing technological requirements by producing lighter, more durable, and fuel-efficient shock absorbers that guarantee passenger satisfaction and security. Players in the shock absorber market concentrate on creating new products and funding innovations to broaden their product offerings. For instance, KYB invested in R&D and announced the launch of the KYB Actimatic Damper System (KADS), an electronically monitored semi-active suspension system, in 2021. It is intended for motorcycles and integrates hydraulic and control technology. KADS gives the rider a sense of being rooted to the ground, enhancing control and stability.

Some major shock absorber market players are KYB Corporation, ZF Friedrichshafen AG, Tenneco Inc., Hitachi Group, ThyssenKrupp AG, Showa Corporation, Samvardhana Motherson Automotive Group, BMW Group, ITT Corporation, Gabriel India Limited, Meritor Inc., Endurance Complete Solutions, BWI Group, Magneti Marelli S.p.A., Duro Shox Pvt. Ltd., Arnott Inc., ACDelco Inc., and Zhejiang Sensen Auto Parts Co. Ltd.

Major driving factors for the shock absorber market

The increased number of vehicles on the road is expected to increase global demand for shock absorbers in the coming years. Besides, increased vehicle production and demand are expected to provide significant growth opportunities for the global shock absorbers market. The use of advanced technology in electric vehicles, such as regenerative shock absorbers, is anticipated to contribute to the increase in demand for shock absorbers. Another significant factor anticipated to drive growth in the global shock absorbers market is the rise in demand among car owners for improved ride quality and vehicle safety.

Major risks for the shock absorber market

The high maintenance costs of sophisticated suspension systems and changes in the price of raw materials constrain the market's expansion. The fundamental components in shock absorbers are silicon, carbon, magnesium, chromium, nickel, molybdenum, and lead. The cost of these raw materials is higher than that of plastic shock absorbers. Plastic shock absorbers also impact the environment, even though they are economical. They are susceptible to global plastic price changes, which are likely to hinder the production of shock absorbers.

Key vehicle segment in the shock absorber market

The passenger car segment is presumed to dominate the market in the coming years, from 2022 to 2028. Shock absorbers are critical automotive safety features. They help to control the vehicle and provide a smoother ride by absorbing excess energy from bumps, dips, potholes, or sudden turning movements. Drivers may feel every bump through their steering wheel without shock absorbers, which would be uncomfortable, especially on long trips. The greater emphasis on electric and hybrid vehicles is anticipated to be advantageous to manufacturers. Companies like ZF Friedrichshafen AG, KYB Corporation, Tenneco Inc., and Hitachi Automotive Systems offer automotive shock absorbers for various vehicle types and designs.

Shock absorber market performance in different regions

The Asia-Pacific region is the highest revenue contributor due to emerging countries such as Japan, India, China, and South Korea. The region is the most populous and is home to major automobile manufacturers such as Honda, Toyota, Nissan, Tata, and others. The regional vehicle market and competitiveness among market players are growing in tandem with people's improved financial situations. This has increased the demand for shock absorbers to improve the smoothness of the driving experience, as well as other features for staying competitive. OICA data show that in 2021, 46,732,785 vehicles were produced in the Asia Pacific region, accounting for 58.3% of all vehicles produced globally.

The North American region is presumed to witness significant growth. The growth is attributed to increased disposable income and rising vehicle production in the U.S., Canada, and Mexico. The growth in demand from end-users, such as original equipment manufacturers (OEMs) and aftermarket service providers across industries, including automotive OEMs, is also anticipated to fuel product penetration over the forecast period. There are also a lot of tier-1 auto component suppliers in the region, like Tenneco Inc., ZF TRW Automotive, and Tower International, who sell their goods to aftermarket customers, like companies that rebuild and recycle auto parts. An increase in the volume of strategic transactions between top market players, such as mergers and acquisitions and partnerships, also supports regional market shares.

Regulatory landscape for the shock absorber market

New research and product development methods are employed to improve and differentiate the products. The R&D process becomes extremely important as manufacturers must abide by the regulations set forth by regulatory bodies due to the strict laws governing drone design. Conceptualization is the first step in the product development process, followed by product design, development, and testing. Intense competition and frequent changes in government policies and regulations are major factors influencing the market's growth. Product quality, cost, dependability, and aftermarket services are all factors in vendor competition. Vendors provide cost-effective and high-quality automotive shock absorbers to maintain their presence in a highly competitive market. Moreover, industry players are constantly under pressure to create energy-efficient vehicles due to growing environmental concerns. As a result, automakers are placing more emphasis on raising the caliber of their automotive parts.

Market Size of Shock Absorbers regarding value

The worldwide market for shock absorbers is expected to drastically grow by 4.5% in the upcoming years. The global shock absorber industry is estimated to be worth $12.6 billion in 2021 and is expected to be worth $16.4 billion by 2028.

Major players' future plans for the shock absorber market

The global shock absorber market is competitive, and despite the existence of several well-established players, it appears to be fragmented. Manufacturers are forming strategic alliances with regional distributors and OEMs to meet the demand for increasing vehicle production. New entrants in this market face challenges from aggressive marketing and brand consciousness. Leading industry players continually invest in creating automated and clever off-road vehicle shock absorbers. In addition, it is anticipated that the introduction of online distribution platforms will boost demand for shock absorbers. Off-road vehicle shock absorbers with higher levels of efficiency are clearly on the rise, and this trend has been associated with increased safety and stabilization. Companies are changing to focus on creating customized solutions to accomplish this. They enable integrated sales channels to reduce the number of stakeholders throughout the supply chain and produce higher profit margins.

Segmentation of Global Shock Absorber Market -

Global Shock Absorber Market – By Vehicle

• Passenger Cars
• LCVs
• HCVs
• Two Wheelers

Global Shock Absorber Market – By Product Type

• Hydraulic Type
• Gas-filled Type

Global Shock Absorber Market – By Design

• Twin Tube Design
• Mono-Tube Design

Global Shock Absorber Market – By Sales Channel

• OEMs
• Aftermarket

Global Shock Absorber Market – By Region

• North America
  • US
  • Canada
• Europe
  • Germany
  • France
  • UK.
  • Italy
  • Spain
  • Rest of Europe
• Asia Pacific
  • China
  • Japan
  • India
  • South Korea
  • South-east Asia
  • Rest of Asia Pacific
• Latin America
  • Brazil
  • Mexico
  • Rest of Latin America
• Middle East & Africa
  • GCC Countries
  • South Africa
  • Rest of the Middle East and Africa