Market Overview

The automotive oxygen sensor market is witnessing steady growth, driven by the increasing demand for fuel-efficient and low-emission vehicles. An oxygen sensor is a critical component of the vehicle’s emission control system, which measures the oxygen content in the exhaust gases and sends signals to the vehicle’s engine control unit (ECU). Based on the oxygen content in the exhaust, the ECU adjusts the air-fuel ratio, thereby ensuring optimal engine performance while reducing emissions.

The global automotive oxygen sensor market is expected to grow at a CAGR of 6.8% during the forecast period (2021-2026). The market was valued at USD 2.22 billion in 2020 and is expected to reach USD 3.15 billion by 2026. The increasing adoption of electric vehicles (EVs) is expected to create new opportunities for the market during the forecast period.

Meaning

An automotive oxygen sensor is an electronic device that measures the oxygen content in the exhaust gases of a vehicle. The sensor sends signals to the vehicle’s ECU, which adjusts the air-fuel ratio accordingly to ensure optimal engine performance while reducing emissions. Oxygen sensors are crucial components of the vehicle’s emission control system and play a vital role in reducing harmful pollutants from the vehicle’s exhaust.

Executive Summary

The global automotive oxygen sensor market is expected to grow at a CAGR of 6.8% during the forecast period (2021-2026). The market was valued at USD 2.22 billion in 2020 and is expected to reach USD 3.15 billion by 2026. The increasing adoption of electric vehicles (EVs) is expected to create new opportunities for the market during the forecast period. Key market players include Robert Bosch GmbH, Denso Corporation, NGK Spark Plug Co., Ltd., Continental AG, Delphi Technologies, and Hitachi Automotive Systems, among others.

Important Note: The companies listed in the image above are for reference only. The final study will cover 18–20 key players in this market, and the list can be adjusted based on our client’s requirements.

Key Market Insights

The global automotive oxygen sensor market is driven by the increasing demand for fuel-efficient and low-emission vehicles. The rising concerns over environmental pollution and the stringent emission norms implemented by various governments across the globe have led to the increased adoption of oxygen sensors in vehicles. Additionally, the increasing adoption of EVs is expected to create new opportunities for the market during the forecast period.

However, the high cost of oxygen sensors and the complexity involved in their installation and maintenance are some of the factors that are likely to restrain the growth of the market. Moreover, the availability of counterfeit oxygen sensors in the market is a significant challenge faced by the market players.

Market Drivers

1. Increasing demand for fuel-efficient and low-emission vehicles
2. Rising concerns over environmental pollution
3. Stringent emission norms implemented by various governments across the globe
4. Increasing adoption of EVs
5. Advancements in sensor technology

Market Restraints

1. High cost of oxygen sensors
2. Complexity involved in installation and maintenance
3. Availability of counterfeit oxygen sensors in the market

Market Opportunities

1. Increasing adoption of EVs
2. Growing demand for oxygen sensors in emerging economies
3. Advancements in sensor technology

Market Dynamics

The global automotive oxygen sensor market is driven by various factors, including the increasing demand for fuel-efficient and low-emission vehicles, rising concerns over environmental pollution, and the stringent emission norms implemented by various governments across the globe. The market is also witnessing significant growth due to the increasing adoption of EVs.

The high cost of oxygen sensors and the complexity involved in their installation and maintenance are some of the factors that are likely to restrain the growth of the market. Moreover, the availability of counterfeit oxygen sensors in the market is a significant challenge faced by the market players.

Regional Analysis

The global automotive oxygen sensor market is segmented into North America, Europe, Asia Pacific, and the Rest of the World (RoW).

Asia Pacific is expected to hold the largest share of the market during the forecast period, owing to the presence of major automotive manufacturers in the region, such as Toyota, Honda, and Hyundai, among others. The increasing demand for passenger and commercial vehicles in the region is also expected to drive the growth of the market.

North America and Europe are also significant markets for automotive oxygen sensors, owing to the stringent emission norms implemented by the governments in these regions. The increasing adoption of EVs and advancements in sensor technology are also expected to create new opportunities for the market in these regions.

Competitive Landscape

Leading Companies in the Automotive Oxygen Sensor Market:

1. Robert Bosch GmbH
2. Denso Corporation
3. Continental AG
4. NGK Spark Plug Co., Ltd.
5. Delphi Technologies (BorgWarner Inc.)
6. Walker Products, Inc.
7. NTK (NGK Spark Plug Co., Ltd.)
8. ACDelco (General Motors Company)
9. Spectra Premium Industries Inc.
10. Hella GmbH & Co. KGaA

Please note: This is a preliminary list; the final study will feature 18–20 leading companies in this market. The selection of companies in the final report can be customized based on our client’s specific requirements.

Segmentation

The global automotive oxygen sensor market is segmented based on type, application, and region.

By type, the market is segmented into zirconia and titanium dioxide sensors. The zirconia sensors are widely used in gasoline-powered vehicles, while the titanium dioxide sensors are used in diesel-powered vehicles.

By application, the market is segmented into passenger cars, light commercial vehicles, and heavy commercial vehicles.

Category-wise Insights

Based on the type, the zirconia sensors segment held the largest share of the market in 2020 and is expected to continue its dominance during the forecast period. The increasing demand for gasoline-powered vehicles and advancements in zirconia sensor technology are expected to drive the growth of the segment.

Based on the application, the passenger cars segment held the largest share of the market in 2020 and is expected to continue its dominance during the forecast period. The increasing demand for passenger cars and the stringent emission norms implemented by the governments are expected to drive the growth of the segment.

Key Benefits for Industry Participants and Stakeholders

1. The report provides a comprehensive analysis of the global automotive oxygen sensor market, including market trends, drivers, restraints, opportunities, and challenges.
2. The report includes a detailed analysis of the competitive landscape of the market, including market share analysis, competitive benchmarking, and company profiles of key players operating in the market.
3. The report provides valuable insights into the key trends and developments in the market, including the impact of Covid-19 on the market.

SWOT Analysis

Strengths:

1. Increasing demand for fuel-efficient and low-emission vehicles
2. Advancements in sensor technology

Weaknesses:

1. High cost of oxygen sensors
2. Complexity involved in installation and maintenance

Opportunities:

1. Increasing adoption of EVs
2. Growing demand for oxygen sensors in emerging economies
3. Advancements in sensor technology

Threats:

1. Availability of counterfeit oxygen sensors in the market

Market Key Trends

1. Increasing adoption of EVs
2. Advancements in sensor technology
3. Growing demand for oxygen sensors in emerging economies

Covid-19 Impact

The Covid-19 pandemic has had a significant impact on the global automotive industry, including the automotive oxygen sensor market. The lockdowns and supply chain disruptions caused by the pandemic have led to a decline in the production and sales of vehicles, thereby affecting the demand for automotive oxygen sensors.

However, the increasing adoption of EVs and the stringent emission norms implemented by various governments are expected to drive the growth of the market during the post-pandemic period.

Key Industry Developments

1. In May 2020, Robert Bosch GmbH announced the launch of its new oxygen sensor for hybrid and electric vehicles, which is expected to provide more accurate measurement of the oxygen content in the exhaust gases.

2. In September 2020, Denso Corporation announced the launch of its new oxygen sensor, which is designed to reduce emissions and improve fuel efficiency in gasoline-powered vehicles.
3. In October 2020, NGK Spark Plug Co., Ltd. announced the launch of its new oxygen sensor, which is designed to provide improved accuracy and durability in diesel-powered vehicles.

Analyst Suggestions

The analysts suggest that the market players should focus on product innovations and collaborations to maintain their position in the market. The increasing adoption of EVs and the growing demand for oxygen sensors in emerging economies are expected to create new opportunities for the market during the forecast period.

Future Outlook

The global automotive oxygen sensor market is expected to grow at a CAGR of 6.8% during the forecast period (2021-2026). The increasing adoption of EVs and advancements in sensor technology are expected to drive the growth of the market during the forecast period. However, the high cost of oxygen sensors and the complexity involved in their installation and maintenance are some of the factors that are likely to restrain the growth of the market.

Conclusion

The global automotive oxygen sensor market is witnessing steady growth, driven by the increasing demand for fuel-efficient and low-emission vehicles. Oxygen sensors play a critical role in the vehicle’s emission control system and help reduce harmful pollutants from the vehicle’s exhaust. The market is highly competitive, with the presence of several large and small players. The increasing adoption of EVs and advancements in sensor technology are expected to create new opportunities for the market during the forecast period. However, the high cost of oxygen sensors and the complexity involved in their installation and maintenance are some of the factors that are likely to restrain the growth of the market.