Automotive Industry Changes

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Global Automotive Interior Materials Trends

5 emerging trends in the global automotive interior materials industry include significant uptick in the use of leather, incorporation of green or eco-friendly materials, increasing demand for plastics, emergence of lightweight materials driven by the use of electric vehicle and the use of smart textiles.

Findings:

Trend#1: leather is seeing a significant uptick

Trend 2 : The use of 'green' or eco-friendly materials

  • According to FactMR's 'Automotive Interior Trims Market Forecast' (2018–2027) automotive interior material markets is seeing a significant trend emerging in the for of incorporation of green technology in the automotive interior trim market.

Trend 3 : increased demand for plastics

Trend 4 : the emerging trend of lightweight materials

Trend 5 : Smart Textiles

Research Strategy:

To find out the trends as asked for in the request, we started the search by looking into industry reports pertaining to trends in the global automotive interior materials industry. We found that information related to trend only came as a sub-segment of market sizing reports as published by sites such as MarketResearch, Transparency Market research, Grandview research, factMR etc. These market research agencies published reports that were mostly behind paywall; therefore, one report hardly contained one or two trends for the overall industry without providing much insight into which companies were battling for the trend. We identified one industry report that highlighted the key market players such as Johnson Controls, Inc, DK Leather Corporation Berhad, Toyota Boshoku Corporation, Lear Corporation, Faurecia S.A., Grammer AG, and many others.

While we identified some trends form multiple research reports, we also looked for trend reports from more specialized sources that cover automotive-related topics such as automotive-iq.com and automobileindustry24.com etc. These sources also provided trends but hardly mentioned any company who was the prominent promoter of these trends. We then evaluated each trend as obtained from the market research reports in terms of their importance among the listed key players in the market. We also studied the annual reports, articles and media releases issued by these companies to understand which of these trends were gaining prominence in terms of high adoption rate. In this way, we identified 5 top trends that greatly impact market leaders such as Toyota Boshoku Corporation, Lear Corporation, Faurecia S.A., and Sage Automotive Interiors Inc.
Sources
Sources

Quotes
  • "Johnson Controls, Inc, DK Leather Corporation Berhad, Toyota Boshoku Corporation, Lear Corporation, Faurecia S.A, Grammer AG, Grupo Antolin-Irausa, S.A, Sage Automotive Interiors Inc, Toyoda Gosei Co., Ltd, Borgers Se and Co. KGaA, International Textile Group Inc., Minda Industries Limited, NTF (India) Private Limited, Guilford Performance Textiles, Inc., Zschimmer and Schwarz Holding GmbH and Co Kg, Sabic, Celanese Corporation, Eagle Ottawa, LLC"
Quotes
  • "The aesthetic appearance of automobiles is a highly valued USP that the sellers focus upon in their marketing pitches. End users highly demand the use of good quality materials that are long-lasting, attractive and efficient. Focus on authentic materials such as leather is seeing a significant uptick, which is among the key trends driving the market."
Quotes
  • "When talking about new technologies Faurecia has developed over the past 20 years, leather wrapping technologies creating some of the best cars interiors in the market, by working and developing together with the main premium OEM’s and some on new OEM’s, complete and top-quality leather interiors. The Company believes that leather will have a role to play in the cockpit of the future as consumers combine traditional materials with new technology. It will be the job of companies such as Faurecia to deliver these interiors."
Quotes
  • "Eagle Ottawa by Lear is the world’s largest supplier of premium automotive leather. For decades, our passion for fine leather has driven us to the highest levels of craftsmanship and customer service. Today, we blend that foundation with the industry’s latest technologies to deliver the world’s most luxurious, durable, and performance-tested leathers with custom design enhancements to automakers around the world."
  • "We are completely focused on producing the most luxurious, durable, and high-performing leather in the global automotive industry. Through a culture empowered by innovation, creativity and operational excellence, we pledge an unrelenting commitment to exceed our customers’ expectations of quality, service and accountability. By meeting these standards, Eagle Ottawa by Lear is seen as the most respected automotive leather supplier in the world."
  • "By working with our Crafted by Lear and Guilford Performance Textiles by Lear teams, Eagle Ottawa by Lear offers customers a strategic solution by collaborating from the very beginning of the creative interior/seat design and styling stage. By doing so, we help ensure that the ultimate product has a perfect marriage of innovation and exceptional build quality right from the initial launch."
Quotes
  • "Lear Corporation (NYSE: LEA), a leading global supplier of automotive seating and electrical distribution systems, today announced the completion of its acquisition of Eagle Ottawa, the world's leading supplier of premium automotive leather."
  • "Eagle Ottawa is the world's largest supplier of premium automotive leather with a rich 150-year history and stable private ownership for nearly 50 years. The company has an experienced management team, modern facilities, a low-cost footprint, diversified customers and a reputation for superior quality, product innovation and craftsmanship. Eagle Ottawa will complement Lear's leading position in luxury and performance automotive seating."
Quotes
  • "Incorporation of green technology in the automotive industry is a major opportunity for the growth of automotive interior trim market. "
Quotes
  • "The Toyota Boshoku group is pushing ahead with the promotion of readily disassemblable and recyclable design, the development of technologies for material recycling and the replacement of materials with a range of plant-derived materials in an effort to help curb the depletion of fossil fuels and minerals."
  • "Kenaf is an annual grass that grows quickly and has high CO2 absorption capabilities. The Toyota Boshoku group turned its attention to kenaf early on and has been working to develop products using kenaf since the latter part of the 1990s. Kenaf fibres were first used in the base material for door trim for the Celsior in 2000. "
  • "Since then, it has been employed in more models and used for different applications. In 2012, it was employed in an air cleaner case, which is an engine-related part. In addition, adding in microcapsules to the conventional kenaf base material led to a light weight that is world class and the development of high rigidity natural fibre base material. It has been used in the base material for the door trim of the LEXUS LS launched into market in 2017. "
Quotes
  • "Demand for aesthetically appealing interiors in cars has risen, which will increase demand for plastics in automotive interiors over the forecast period."
  • "Need for lightweight vehicles is expected to increase demand for automotive plastics and composites over the forecast period."
  • "A number of automakers are turning their focus towards a new technology called smart textiles. Smart textiles are being increasingly used to replace heavier components in vehicles. For example, textiles that can automatically heat and cool themselves could replace thermo-conductive layers, which automakers are currently installing in seats for the same function."
Quotes
  • "In materials development, Toyota Boshoku and Mitsui Chemicals, Inc. progressed with the partnership for the commercialisation of “high impact-resistant plastic” that we announced in fiscal 2016. This plastic realises the world’s top level of high impact resistance and is expected to contribute to the high functionality and lighter weights of automotive components such as doors and seat backboards. We have expectations that this material will find applications in fields other than automobiles as a widely used material following kenaf. "
  • "In fiscal 2016 and fiscal 2017, we will streamline development and standardise design processes through actual development. I also believe that initiatives through which staff from development, production technology and production for each product line such as door trims and headliners combined their strengths will help enhance design and product capabilities in the future. "
Quotes
  • "Another trend benefiting Japanese car seat material suppliers is the increasing number of electric vehicles being sold. One of the focuses in electric cars is keeping them light in order to increase vehicular range per battery charge. Alcantara, which weighs significantly less than either polyvinyl chloride (PVC) or leather, is mandated by several manufacturers of electric vehicles, Takagi says."
  • "To satisfy the expected rise in demand, Alcantara initiated an investment program in Italy last year that will see the firm spend $350 million over five years to expand its facility. In Japan, meanwhile, Toray is increasing production of Ultrasuede by 60%. In October, Ultrasuede got an important boost when Toyota announced that it would start using it in several Lexus models."
  • "Other Japanese manufacturers of high-end fabrics are also cashing in on the growth of the luxury car market. Asahi Kasei is currently raising capacity by 50% in Japan for its Lamous brand of synthetic suede, also sold by the Italian firm Miko and its U.S. parent Sage Automotive Interiors, under the name Dinamica."
Quotes
  • "Guilford Performance Textiles by Lear delivers body cloth capabilities, headliner and specialty applications that complement our product line-up."
  • "Lear continues to invest in fabric innovations, creating products like TeXstyle™ Enhance, DEFENSE, LITE and TOUGH. Guilford’s advanced automotive interior solutions are unmatched in quality with laser-focused ,top-of-the-line design and engineering."
Quotes
  • "TeXstyle™ Defense is a Layered System that can be customized to include any –or all– of the following protective attributes: Anti-odor to absorb odors and inhibit growth of mildew and bacteria; Anti-static to eliminate static electricity; Anti-dusting to resist dust; Release to allow cleaning of oil-based stains and avoid odors; Repellency to avoid stains and allow quick clean up of spills."
  • "TeXstyle™ enhance offers a wide range of secondary embellishment technologies to enhance a common ground material, enabling unique design emphasis within an array of fabric base choices, from economy to luxury. Technologies include: Embossing, Printing, Laser Etching, Embroidery, and Sonic Welding."
  • "TeXstyle™ Lite is an engineered fabric system achieved through expertise in yarn selection, technical construction design, and coating chemistries to optimize cost. Applicable to all cloth seats, TeXstyle™ Lite is strategically utilized in the low wear areas of the seat complete, offering a consistently appearing alternative to over-engineered program fabrics."
  • "TeXstyle™ Tough brings together key expertise in yarn selection, technical construction design, and coating chemistries to develop fabrics that offer styling range, seat craftsmanship, and product longevity. Whether strategically placed in high wear areas only, or featured throughout the seat, TeXstyle™ Tough fabrics are a robust and resilient solution to high performance requirements."