Automotive Interior Ambient Lighting Market Size, Share and Trends 2024 to 2034

Automotive Interior Ambient Lighting Market Size and Forecast 2024 to 2034

The global automotive interior ambient lighting market size accounted for USD 1.86 billion in 2024 and is expected to exceed around USD 5.44 billion by 2034, growing at a CAGR of 11.34% from 2024 to 2034. The increasing automobile consumer base and the demand for attractive interiors with aesthetic lighting are driving the growth of the automotive interior ambient lighting market.

Automotive Interior Ambient Lighting Market Key Takeaways

• Asia Pacific dominated the global market with the largest market share of 65% in 2023.
• North America is projected to host the fastest-growing market during the forecast period.
• By vehicle, the conventional cars segment contributed the highest market share of 90% in 2023.
• By vehicle, the green cars segment is projected to witness the fastest growth during the forecast period.
• By application, the footwell segment captured the biggest market share of 62% in 2023.
• By application, the dashboard segment is expected to grow at the fastest CAGR during the forecast period.

How Can Artificial Intelligence (AI) Impact the Automotive Interior Ambient Lighting Market?

The integration of artificial intelligence into the automotive interior ambient lighting market is revolutionizing the industry's different profiles from production to end-product. Modernization in vehicles and the integration of intelligent devices are accelerating the efficiency of the automobile. The innovations in intelligent and AI-powered ambient lighting expand the function of ambient lighting with enhanced optical effects, providing alert, animated effects, guidance for interaction, aesthetic enhancement, and communication.

• In October 2023, AMS OSRAM developed the OSIRE® intelligent LED technology to make the latest vision of ambient lighting possible.

Asia Pacific Automotive Interior Ambient Lighting Market Size and Growth 2024 to 2034

The Asia Pacific automotive interior ambient lighting market size is evaluated at USD 1.21 billion in 2024 and is projected to be worth around USD 3.56 billion by 2034, growing at a CAGR of 11.36% from 2024 to 2034.

Asia Pacific dominated the global automotive interior ambient lighting market in 2023. The growth of the market is attributed to the rising population of regional countries such as India and China and the increasing economic growth in the country; disposable income in the population is driving the automobile industry. There is a rising demand for customization of car interiors with ambient lighting, advanced gadgets, and smart screens to enhance the aesthetics and performance of the vehicle. Additionally, there is an increasing foreign investment in the development of automobile manufacturing units in regional countries.

• The automobile industry is the rapidly growing industry in India with the significant share. India aims to double its automobile industry with, reaching the size of INR 15 lakh crore by the year end of 2024.
• Passenger cars account for 17.6% of the market share, and passenger car sales are dominated by midsized and small cars. The automobile export in 2023-24 was recorded at 45,00,492 units.
• The passenger cars market in India was valued at USD 32.7 billion in 2021 and is predicted to reach USD 54.84 billion by 2027 with a CAGR of 9% between 2022-27.

• The automobile component industry registered a turnover of INR 6.14 lakh crore (USD 74.1 billion) during FY24, with a revenue growth of 9.8% as compared to FY23. 
• According to the Automobile Component Manufacturers Association (ACMA) forecast, the export of the auto component from India is predicted to reach USD 30 billion by 2026.
• The total number of automobiles sold between 2023-24 was 19.72 million units, while the total production of commercial vehicles, passenger vehicles, two-wheelers, three-wheelers, and quadricycles was 23.36 million units.

North America is projected to host the fastest-growing automotive interior ambient lighting market during the forecast period. The growth of the market owing to the higher presence of the leading market players in the regional countries such as the United States and Canada and the increased consumer base for the automobile in the countries due to the higher per capita income is driving the growth of the automobile industry.

• In October 2024, there is a 9.5% growth in the sales of new vehicles, with about 1,327,307 units of new vehicles. 
• The sales of passenger cars increased by 2.8% to 73,653 units in 2022, while the sales of passenger cars increased by 8.1% to 3,227,425 units in 2023.

Market Overview

Automotive interior ambient lighting is an efficient and advanced lighting system that is used in the automobile's different parts to provide illuminating and radiant lighting in the vehicle interior. The ambient lighting covers LEDs in areas such as footwells, doors, and the decorative inserts in door panels. It transforms the overall interior of the vehicle. In recent years, there has been a rise in demand for personalization in cars.

Automotive Interior Ambient Lighting Market Growth Factors

• Increasing automobile industry: The increasing global population, rising economic stability, and rising disposable income are driving the demand for the automobile industry, and continuous advancements in automobile technologies are accelerating the demand for the automotive interior ambient lighting market.
• Increasing demand for aesthetics: The rising demand for customizing or personalizing their own vehicles by consumers with enhanced style and features, upgrading the lighting, installing advanced GPS systems, and smart screens on the vehicles are contributing to the expansion of the market.
• Increasing market competition: The increasing market competition in the automotive industry with the expanding manufacturing units, development of the new features vehicles and the increasing interference of the new market entrants with the advanced automobile products launch is fueling the growth of the market.

Market Scope

Market Dynamics

Driver

Benefits associated with the automotive interior ambient lighting

The rising advancements and features in the automobile and the demand for ambient lighting to enhance aesthetics, reduce the risk of accidents, and others drive the growth of the automotive interior ambient lighting market. Ambient lighting is one of the important parts in the automobile dash, footwell, and other parts. Ambient lighting promotes good vibes; it enhances good communication by offering signaling alerts to the potential damage. It offers increased visibility, which contributes to overall safety. 

Restraint

High cost

The high cost of interior ambient lighting due to technological advancements and customization costs is limiting the growth of the automotive interior ambient lighting market.

Opportunity

Increasing electric vehicle demand

The rising concern over environmental pollution due to gasoline vehicles is driving the preference towards the adoption of electric vehicles that emit zero-carbon emissions into the environment. EVs are equipped with advanced technologies and features such as Smart screen and ambient lighting with different color lights and specifications, and the rising preference for customization in cars is driving the potential opportunities in the automotive interior ambient lighting market.

Vehicle Insights

The conventional cars segment led the global automotive interior ambient lighting market in 2023. The increasing number of automobiles in the world and the rising consumer interest in personalizing their vehicles according to their style and choices boost the demand for aesthetic interiors and lighting, which drives the growth of the market. The ambient lighting comes in different forms, designs, and colors that elevate the interior look of the vehicle. The rising disposable income in the population and the shifting lifestyle preferences cause the increased demand for enhanced automobile features.

The green cars segment will show the fastest growth in the automotive interior ambient lighting market during the predicted period. The increasing awareness regarding the environmental pollution caused by fuel-based vehicles is driving the adoption of green cars. The increasing interference of the leading automobile players in the manufacturing of green cars is owing to the continuous rise in the demand for zero-emission vehicles. Green cars come with different advanced features and lighting, and consumers are further requesting customization of the interiors.

Application Insights

The footwell segment dominated the automotive interior ambient lighting market in 2023. The rising consumer base for the automobile due to the rising disposable income in the population is driving the demand for automotive interior ambient lighting. These types of lighting are used for enhancing the interiors of the vehicles. The footwell accent lights provide instant upgradation to the vehicle lighting. It gives a premium look to the automobile. The footwell lighting comes in different colors and designs. The footwell ambient lighting is controlled by the remote for selecting light colors, selecting from fade modes, music sync, and adjusting brightness.

The dashboard segment is expected to grow at the fastest rate in the automotive interior ambient lighting market during the forecast period. Dashboard lighting is one of the important elements of vehicles; it provides information about the vehicle and offers alerts. These lights are installed in a straight sight to the driver. These lights show and indicate the alert regarding the fuel level, faulty battery, engine problems, and others. The dashboard lights play an essential role in indicating the vehicle's performance. These lights are energy and cost-efficient, durable, and provide illuminating lighting. There are a number of different types of dashboard lighting available on the market, according to vehicle standards and requirements.

Automotive Interior Ambient Lighting Market Companies

• TOSHIBA CORPORATION
• DRAXLMAIER Group
• Oshino Lamps America Ltd
• VALEO SERVICE
• HELLA GmbH & Co. KGaA
• OSRAM GmbH
• LSI Industries
• EVERLIGHT ELECTRONICS CO., LTD.
• Innotec
• Antolin

Latest Announcements by the Industry Leaders 

• In March 2024, Ivalua, a leading player in spend management, announced they had been selected as a platform by the technological leader in the automotive premium segment ‘DRÄXLMAIER Group’ to digitize its procurement operations.
• In April 2024, ams OSRAM, a leading player in intelligent sensors and emitters, collaborated with DOMINANT Opto Technologies, a Malaysia-based automotive LED solution, to integrate OSRAM’s Open System Protocol (OSP) into DOMINANT Opto Technologies’ for its latest generation of intelligent RGB LEDs customized for the automotive ambient lighting.

Recent Development

• In November 2024, electronica, the largest biennial event for electronic components in the world, collaborated with the SEMICON Europa. The show mainly focused on the products and applications related to automobile LEDs, infrared sensing, and electronic components, encompassing fields such as semiconductors, medical electronics, touchscreens, embedded systems, wireless modules, and other electronic modules and components. 

Segments Covered in the Report  

By Vehicle

• Conventional Cars
• Green Cars

By Application

• Dashboard
• Footwell
• Doors
• Others

By Geography

• North America
• Asia Pacific
• Europe
• Latin America
• Middle East and Africa