The auto parts industry is no longer just a booming industry, because it is already an established one after analysts and experts reveal that it will reach the $1 Trillion Mark by 2010 if steady growth continues.

New Report by Global Industry Analysts, Inc. made the fearless forecast for the future of the auto parts industry, which is basically comprised of auto parts and accessories. Amongst the biggest markets of this industry, the United States remains on top accounting for 30% of the world-wide demand. Coming in at the bridesmaid spot is Europe with US$180 billion in 2006, while the Asia-Pacific region is fast becoming another aftermarket parts market registering a compound annual growth rate of about 9% over the next five years.

A comprehensive report and analysis called “Auto Parts and Accessories: A Global Strategic Business Report” has been already released by the Global Industry Analysts, Inc. The report will zero in on the trends, growth, drivers, issues, businesses opportunities, and the challenges attached with the auto parts industry. Not only that, the report will also include strategic industries such as mergers and acquisitions and alliances, amongst others.

Included in the industry is the original equipment manufacturer or known as the OEM. An OEM directly supplies automobile manufacturers for line-fit while the aftermarket involves parts supplied to the replacement needs of customers. Principal demand driver for the OE market is the number of new vehicles manufactured that is hugely governed by the prevailing economic condition of the market.

Numerous add-ons and accessories are also made available by the auto parts industry. Installing additional electronic features into automobiles of owners and enthusiasts is fast becoming a trend. Growing at the industry’s fastest compounded annual rate, the electronic parts and accessories market is poised to generate revenues of US$240 billion in 2010. Mechanical auto parts market, the largest in the overall auto parts and accessories market, is projected to reach US$111 billion by 2010.

OEM parts and accessories suppliers have started to focus on growing markets of Asia-Pacific, Latin America, and Eastern Europe.

This entry was posted on Monday, July 23rd, 2007 at 5:16 pm and is filed under Aftermarket parts news. You can follow any responses to this entry through the RSS 2.0 feed. You can leave a response, or trackback from your own site.