Automotive Power Liftgate Market Share, Size, Growth & Trends | 2032

The global Automotive Power Liftgate Market was valued at approximately USD 2.34 billion in 2023 and is forecasted to experience significant growth, expanding at a compound annual growth rate (CAGR) of 14% from 2024 to 2032, reaching an estimated USD 7.51 billion by 2032. This growth can be attributed to the increasing adoption of luxury vehicles, rising consumer demand for convenient and automated features, and advancements in automotive technology. This article explores the key benefits, industry developments, driving and restraining factors, market segmentation, and more, offering a complete picture of the automotive power liftgate market’s current and future landscape.

Key Benefits of Automotive Power Liftgates

1. Enhanced Convenience: Power liftgates provide a convenient hands-free experience, enabling users to open or close the rear door with ease. This feature is especially beneficial for those with limited mobility or when carrying heavy items.
2. Improved Safety: Modern power liftgates are equipped with sensors that prevent accidents by stopping or reversing if an obstruction is detected. This adds a layer of safety, especially in family vehicles.
3. Increased Vehicle Appeal: Power liftgates are often associated with luxury and innovation, making them a desirable feature that enhances the aesthetic and functional appeal of vehicles.
4. Customization and Versatility: Some power liftgates allow users to adjust the height, making it easier to operate in low-ceiling spaces like garages.

Key Industry Developments

• Integration of AI and IoT Technologies: Several automotive manufacturers are incorporating artificial intelligence and Internet of Things (IoT) technologies in power liftgates, enabling smart features such as remote access through mobile apps.
• Expansion in Electric Vehicle (EV) Market: With the surge in electric vehicles, manufacturers are also designing power liftgates optimized for EVs, further boosting market growth.
• Product Launches and Collaborations: Companies such as Magna International and Brose Fahrzeugteile have been innovating with lightweight, energy-efficient liftgate systems. Collaborations with automakers are on the rise to bring advanced liftgate solutions to the market.

Driving Factors

1. Growing Demand for Luxury Vehicles: Increasing disposable income and consumer preference for high-end features drive the demand for power liftgates, particularly in premium and luxury vehicle segments.
2. Advancements in Automotive Technology: Newer technologies, like automatic sensors and smart connectivity, make power liftgates a feasible option for a wide range of vehicles, from compact cars to SUVs.
3. Rising Urbanization and Vehicle Ownership: With urban populations expanding and vehicle ownership increasing globally, consumers are demanding features that offer convenience, safety, and efficiency.

Restraining Factors

1. High Costs: Power liftgate systems are relatively expensive, making them less accessible for budget-conscious buyers or for integration into lower-end vehicle models.
2. Complexity and Maintenance: The sophisticated electronic components in power liftgates require regular maintenance and technical expertise, which can increase ownership costs.
3. Limited Awareness in Emerging Markets: In some developing countries, awareness and demand for power liftgates remain limited, slowing growth in these regions.

Market Segmentation

• By Vehicle Type:
  • Passenger Vehicles: Luxury, mid-range, and entry-level models.
  • Commercial Vehicles: Light commercial vehicles and heavy-duty trucks.
• By Sales Channel:
  • OEM (Original Equipment Manufacturer): Automakers directly integrating power liftgates into new vehicles.
  • Aftermarket: Retrofits for vehicles not initially equipped with power liftgates.
• By Technology:
  • Fully Automatic: Opens and closes automatically with sensors or remote control.
  • Semi-Automatic: Requires manual effort to initiate or complete the action.

Market Outlook

The automotive power liftgate market is anticipated to maintain robust growth through the forecast period, driven by increasing consumer preference for automated and hands-free features in vehicles. Innovations focused on making liftgates more energy-efficient and compatible with electric vehicles will further boost the market. The trend of integrating AI and IoT capabilities will open new growth avenues, making power liftgates smarter and more connected.

Market Overview

Power liftgates are becoming a standard feature in modern vehicles, particularly in SUVs, crossovers, and luxury vehicles. These systems, which allow remote and hands-free operation of a vehicle’s rear door, are gaining popularity due to the convenience, safety, and technology they provide. Additionally, the growing focus on vehicle aesthetics and user experience is accelerating their adoption in mid-range and even some entry-level models.

Trends in the Automotive Power Liftgate Market

1. Shift Towards Lightweight Materials: Manufacturers are increasingly using lightweight materials like aluminium and carbon fibre for liftgates, enhancing fuel efficiency without compromising durability.
2. Integration with Smart Technologies: Automotive power liftgates with voice recognition, AI-assisted sensors, and IoT connectivity are gaining traction, offering enhanced safety and functionality.
3. Increasing Demand for Retrofitting: A growing aftermarket for power liftgates enables vehicle owners to upgrade their cars with power liftgate systems, increasing the product’s accessibility.

Recent News and Top Impacting Factors

1. Technological Innovation: The development of sensor-enabled and AI-powered liftgates has caught the attention of consumers and automakers, reshaping the market landscape.
2. Environmental Regulations: New regulatory standards in Europe and North America focusing on sustainability have pushed companies to innovate in energy-efficient liftgate systems.
3. Strategic Partnerships: Leading companies are forming alliances to advance the design and functionality of power liftgates, reducing production costs while maintaining high standards.

Target Audience

• Automakers: Manufacturers who aim to integrate advanced technology and improve user experience in their vehicles.
• Vehicle Owners: Especially those with a preference for convenience features and luxury additions.
• Fleet Operators: Commercial vehicle operators seeking efficiency and ease of use for fleet management.
• Aftermarket Providers: Companies supplying retrofitting services and power liftgate components for older vehicle models.

Major Key Players

1. Faurecia SE
2. Magna International Inc.
3. Huf Group
4. Strattec Security Corporation
5. Woodbine Manufacturing
6. Autoease Technology
7. Brose Fahrzeugteile
8. Others

Opportunities

1. Expansion in Emerging Markets: Increasing disposable incomes and automotive sales in emerging economies provide growth opportunities.
2. Rising Electric Vehicle Demand: EVs offer a promising growth avenue, with manufacturers adapting power liftgates to complement electric and autonomous vehicle systems.
3. Growing Aftermarket Demand: The aftermarket offers substantial potential for retrofitting power liftgates in vehicles that were initially sold without them.

Challenges

1. High Manufacturing Costs: Developing power liftgates involves advanced technology and high-grade materials, making cost management challenging.
2. Maintenance Requirements: The electronic components in power liftgates can face wear and tear, leading to higher maintenance costs.
3. Competition from Conventional Systems: Traditional liftgate systems still dominate lower-end vehicles due to their simplicity and lower costs.