These advancements are critical as manufacturers aim to balance efficiency, durability, and safety. The automobile seminar is utilized by a lot of experts working in the automotive industry, researchers, and people with an affinity for the carmaker as a forum for sharing knowledge and collaboration. They are discussing the prospect of AI for driving systems, the implications of some regulatory changes for automotive innovation, and the potentials of renewable sources for energy for the automobiles. Traditional internal combustion engine (ICE) vehicles are steadily losing ground as governments worldwide implement stricter regulations, including the EU’s upcoming ban on new ICE vehicle sales by 2035. This regulatory advancement, combined with growing environmental awareness, is accelerating the shift towards electric mobility.
Automotive Events Worldwide
- Singapore’s adaptive traffic signal systems, along with real-time monitoring, ERP pricing, and predictive analytics, improve traffic efficiency.
- This decision also highlights a broader trend toward diversification in battery production hubs.
- By 2030, automotive industry trends 2030 will witness a significant shift towards electric and autonomous vehicles, driving sustainable growth in the car market.
- Automakers are also adopting hyper-personalized features to offer customized experiences through infotainment systems, user profiles, and real-time navigation updates.
- The Starkenn Brake Safe, a collision mitigation system features automatic emergency braking in critical scenarios.
- Advanced Driver Assistance Systems (ADAS) and autonomous driving technologies continue to evolve, bringing unprecedented changes to vehicle safety and functionality.
- The global automotive semiconductor market is expected to grow at a rate of 8.1% between 2023 and 2030.
- While fully autonomous vehicles (AVs) are not yet standard on the roads, significant advancements are being made in 2025 toward realizing the vision of driverless cars.
This data-driven research provides innovation intelligence that helps you improve strategic decision-making by giving you an overview of emerging technologies in the automotive industry. In the Automotive Innovation Map below, you get a comprehensive overview of the innovation trends & startups that impact your company. Vietnamese startup Phenikaa-X creates autonomous electric vehicles with AI and multi-sensor technology for safe transportation. Its system uses functional modules, combining LiDAR, radar, cameras, and ultrasonic sensors to perceive surroundings, analyze traffic, and navigate efficiently. A 5G connection transmits data to a remote control station, which allows operators to monitor and intervene when needed. As the industry advances, 2025 will be a defining year in the automotive manufacturing sector.
Mercedes-Benz CLA EV Feels Lighter Than It Is
- This both lowers costs and improves vehicle performance, addressing both market demands and sustainability goals.
- However, that number is smaller than it was in 2019 when more than 80% of people commuted by car.
- However, an SSAB survey reveals that cost and investment challenges remain significant barriers to widespread adoption.
- It provides grants, loans, and incentives to expand domestic fabs, semiconductor R&D, and the broader supply chain.
- Increasing battery efficiency as well as EV charging infrastructure can speed up adoption.
Self-driving taxis are already available in parts of China and several US cities. More driverless journeys will occur as technology continues to be enhanced and refined. Global passenger EV sales grew 60% from 6.5 million units in 2021 to 10.5 million in 2022. EV sales are going to increase aggressively in 2025, providing a bright spot in the automotive industry. Governments are implementing innovative policies to encourage sales without increasing costs or benefiting high-income households.
Software-defined Vehicles (SDV): Market Set to Reach USD 3.3T by 2034
Whilst these acts have been active for some years now, the landscape has not changed drastically. Until these efforts bear fruit, the industry will need to focus on mitigating risks and prioritising demand effectively. Whilst the U.S. may be bucking it, there is certainly a global trend towards a more sustainability-forward manufacturing scene. However, as with all complex bodies of rulesets, differing rules and regulatory mandates across the globe make it easier for international automakers to fall foul of compliance.
Shift to an “Agency model”
One of the most significant shifts in the automotive industry is the widespread adoption of electric vehicles (EVs). The automotive industry leads in technological innovation that will reshape vehicle design, construction, and user experience in 2025. Emerging automotive industry trends include the increased adoption of electric vehicles (EVs), advanced semiconductors, and the growing focus on vehicle cybersecurity.
Connected Vehicle Technologies
Expected to produce batteries for up to 800,000 vehicles annually, the plant will be powered entirely by renewable energy, demonstrating a dual focus on production efficiency and sustainability. The SDVs market is set to reach 7.6 million units in 2025 from 6.2 million units in 2024. North America is commanding a 43% share as new-age OEMs focus on BEVs and software-driven architectures. Major technology providers are also solidifying their roles in key areas such as ADAS, electrical/electronic (E/E) architectures, and cloud computing solutions.
Hydrogen May Fuel the Future of the Automotive Industry
Moreover, Asia-Pacific is the fastest-growing region, with a projected CAGR of 14.8%. This is fueled by increased vehicle production and sales in China, Japan, and South Korea. The adoption of augmented reality (AR) in head-up displays and automated parking systems is expanding, which is advancing ADAS technologies.
Optimizing mobile experiences & personalization
Let’s have a closer look at the top automotive trends poised to dominate the landscape in 2025. Supplemented by the categorisation of our experts, a clear picture emerges of where the industry stands – and where it should develop in order to remain fit for the future. Automakers are also adopting hyper-personalized features to offer customized experiences through infotainment systems, user profiles, and real-time navigation updates. Many of these vehicles will feature over-the-air (OTA) upgrades and V2X communication. Xaba’s proprietary process and AI-driven large-scale 3D printer enable sustainable materials, such as fibers, fiber-reinforced polymers, and metals, to create functional car chassis. Toyota intends to power its battery plant in North Carolina with renewable energy by 2025.
Electric vehicle trends in 2025
The Tree Map below illustrates the top 10 automotive trends that will impact companies in 2024. Emerging companies are working to build the first fully autonomous vehicle for city roads, which in turn accelerates the advancements in-vehicle connectivity and IoT. It incorporates an intuitive infotainment system for efficient power management while minimizing driver distractions. The control system includes safeguards like automatic overheating prevention, battery depletion protection, and real-time torque and speed calibration for optimal performance on challenging terrains.
- Also, additive manufacturing makes prototyping more rapid, which enables faster design and testing periods for new vehicles.
- Blockchain secures supply chains and in-car data, and extended reality (XR) advances design, testing, and training.
- It processes these tasks in real time at over 120 frames per second on consumer-grade graphics processing units (GPUs).
- The next decade will undoubtedly see dramatic changes in how we drive, how we share vehicles, and how we engage with the technology that powers our transportation systems.
- Additionally, infrastructure developments like Toyota‘s new battery plant in North Carolina underscore the industry’s dedication to scaling EV output.
- EloySignals utilizes AI to optimize traffic flow, advising drivers on stopping or proceeding, and prioritizing emergency vehicles and vulnerable road users.
- After demand started coming back, there simply wasn’t an adequate supply of chips, and the auto industry has been feeling the effects ever since.
- Manufacturing was not spared either, representing 29% of global ransomware targets, an alarming 56% rise over the previous year.
Avvenire designs Light Electric Vehicles (LEVs)
- And with about two-thirds of people saying they would rather drive than ride in an autonomous car, much of the near-term focus is on trucking.
- And TuSimple is hoping to begin selling completely autonomous Level 4 trucks to fleet operators in 2024.
- They are discussing the prospect of AI for driving systems, the implications of some regulatory changes for automotive innovation, and the potentials of renewable sources for energy for the automobiles.
- The best-selling vehicle in the US, the Ford F-Series pickup, has an average price of $66,451, placing it in the luxury category.
- Brands need to provide specific offers by analyzing their customer’s needs, preferences, and behavior.
- The kit maintains original vehicle features to ensure a seamless transition and familiar driving experience.
This process enables us to identify the most impactful and innovative trends in the automotive industry. Volvo Cars has announced plans to adopt large aluminium castings for its next-generation electric vehicles, aiming to simplify production and enhance sustainability. Meanwhile, Toyota is reported to be cautiously evaluating the technology, balancing its benefits against potential risks. Sustainability has evolved from a competitive advantage to an existential necessity for the automotive industry.
In addition, the IoT’s potential in the automotive industry presents a significant chance for manufacturers to revamp their marketing strategies. IoT solutions can offer numerous benefits to end-users by utilizing interconnected systems, such as better safety, driving assistance, and predictive maintenance. Collecting user data through these sensors creates ample opportunities for marketers to promote upselling.
Chip Shortages Continue to Plague Auto Manufacturers
Meanwhile, Carlos Tarves, CEO of automaker Stellantis, has said the chip shortages will continue to plague his industry next year. Virtual car shopping is the new norm and will remain a significant car industry trend for years. The booming e-commerce industry is essential to the global online car buying demand. This is further fueled by increasing awareness of convenience and supported by rising digital literacy, internet accessibility, urbanization, and disposable income levels.
Q) What are the new trends in the automotive industry?
From electrification to IoT connectivity, these shifts are changing the way cars are manufactured, sold, repaired, and driven. Shared micromobility vehicles are becoming a popular mode of transportation in cities where the pollution from cars and traffic congestion is particularly evident. Chip shortages have been causing myriad changes to trends that affect the automotive trends that are not all positive.
Localized production and sourcing are gaining momentum as companies aim to mitigate risks and ensure a steady supply of components. Automakers are adopting greener processes, from sourcing eco-friendly materials to utilizing renewable energy in manufacturing plants. Many of those trends will be on display at the Consumer Electronics Show next week in Las Vegas. Honda will be showing its Series 0 platform that will be used for its SAE Level 4 driverless car in 2026.
Xaba builds Industrial AI-driven Control Systems
These sensors measure distances, identify obstructions, and capture crucial traffic and road condition data. When paired with high-resolution cameras, these tools allow self-driving cars to identify objects, lane markers, and even pedestrians with unprecedented precision. While full autonomy is still on the horizon, advanced driver assistance systems (ADAS) are already transforming how we drive. In 2025, the focus will be enhancing ADAS features, such as adaptive cruise control, lane-keeping assistance, automatic emergency braking, and more. As autonomous vehicles become more mainstream, governments and regulatory bodies will need to create new laws to ensure their safe deployment.
Advanced Driver Assistance Systems (ADAS)
This kind of adoption should lead to much-improved 5G infrastructure, which could support vehicle connectivity. And with about two-thirds of people saying they would rather drive than ride in an autonomous car, much of the near-term focus is on trucking. Large automakers like Tesla, Alphabet, Ford, GM, and Volvo have all entered the autonomous vehicle space. VIN decoder peace of mind The AV industry itself is just in its infancy, as there are only 17,000 self-driving cars on the road in the US today.
