Report: Automotive collision repair market revenue to surpass $340 billion by 2026
Key automotive collision repair market players include 3M, DuPont, Eastman Chemical Company, Henkel, Honeywell & Huntsman Corp.
SELBYVILLE, Del., Jan. 28, 2020 /PRNewswire/ — According to a new report, the market valuation of automotive collision repair will rise to $340 billion by 2026.
A continuous focus on offering environment-friendly and cost-effective products to the consumer will induce collision repair demand.
Global Market Insights, Inc., produced the report: “Automotive Collision Repair Market by Product (Paints & Coatings, Adhesives & Sealants, Abrasives, Finishing Compounds), Vehicle (PCV, LCV, HCV, Two Wheelers), End-Use (New OEM, Aftermarket, Recycled, Remanufactured), Auto Body Shops (Dealer Owned Shops, Independent Repair Shops), Regional Outlook, Competitive Market Share & Forecast 2026.”
Growing commercial vehicle fleets with rising trade activities are escalating revenue generation. The emergence of e-commerce activities is proliferating transportation and logistics demand. Moreover, the availability of multiple high-quality medium and large workshops with advanced collision repairing techniques for painting, denting, and body repair will drive automotive collision repair market growth.
The availability of abrasives in various shapes and sizes for easier application in complex structures will drive the product demand. Abrasives offering easier accessibility and cooler sanding processes significantly reduce the overall rework time, thereby enhancing operational productivity.
Rising accident rates in heavy commercial vehicles are driving the demand for collision repair products. Improper maintenance of these vehicles leads to component and parts failures contributing to accidents. The increasing requirement for refurbishment, corrosion coatings, paint removal, and large body repairs are expected to boost the segment penetration.
Recycled collision repair parts will witness steady growth with the growing demand for developing environment-friendly automotive products. Substantial reduction in the amount of resources owing to the elimination of multiple manufacturing processes will positively influence the adoption of recycled automotive products.
The automotive collision repair market will foresee strong growth with industry participants expanding their product lines and service network to serve a larger consumer base. For instance, in May 2017, Valeo introduced cabin air filters, clutch segments, and a range of automotive gaskets for commercial & passenger vehicle aftermarkets. Furthermore, the low cost of aftermarket products further induces high product demand.
Independent collision repair shops will witness a steady growth with facilities offering economical repairing services. Many large fleet consumers prefer independent repair shops over dealer-based shops owing to low service costs. Moreover, independent collision repair shop owners are offering warranties through various parts suppliers as well as associations to escalate sales.
Europe constitutes a significant share in global demand for collision repair products. The requirement for periodic maintenance & servicing of automobiles will support regional growth during the forecast timeframe. The presence of several automotive OEMs including Volkswagen, BMW, and Daimler, among others, offering a wide range of vehicles & customized services for customers will further boost the regional share for automotive collision repair market.