Industry Trend Report|Electric Vehicle Demand Drives Taiwan's Automotive Electronics Manufacturers to Connect with the World
The demand for electronic components in the automotive industry continues to grow, from self-driving functions to entertainment functions. Since the safety requirements for automotive products are much higher than those for consumer products, the quality requirements for electric vehicle electronic components such as environmental tolerance, performance consistency, and service life have also increased, which in turn drives up the high technical barriers and high gross profit margins of automotive components. The value of the automotive electronics market will reach US$287 billion in 2025 at a CAGR of 12%; the demand for automotive cameras, optical sensors, semiconductor memory, and wireless connectivity devices from automated driving will drive the related products, including optical and sensors, power electronics, thermal management, and automotive semiconductors, to become the fastest-growing group in the next five years. It is estimated that by 2025, the value distribution of the automotive electronics market will be led by automotive semiconductors, which will account for 34%, followed by power electronics, which will account for 17%, and trend wiring harnesses, which will account for 13%.