Automotive Active Suspension System Market

Automotive Active Suspension System Market Size

The automotive active suspension system market was valued at USD 4.2 billion in 2023 and is projected to grow at a CAGR of 4.6% between 2024 and 2032. The use of active suspension systems certainly enhances comfort and performance and is a major contributor to development in the automotive sector.

Active suspension systems are unique in that actuators and software are used to make alterations rather than the static suspension systems, which are simple, therefore enabling all four wheels to reflexively move to the conditions of the road. This results in smoother rides over bumpy surfaces as well as better stability when moving at high speeds.

Moreover, active suspension systems are becoming more popular because vehicles, particularly high-end and electric ones, are being focused on in terms of comfort, performance, and handling. With the use of active suspension technology, manufacturers can provide their vehicles with greater ride and handling quality, safety, and better overall driving dynamics.

For example, in October 2023, BWI Group, together with ClearMotion Inc., created a partnership to supply full active suspension systems, components, and subsystems to one of the leading Chinese NEV manufacturers for active suspension systems. The vehicles are expected to perform better, be more comfortable, and safer with the new active suspension system, which automatically changes based on the driving condition.

Active suspension systems became more common as the world saw a larger market for electric and hybrid vehicles that heavily depend on advanced technologies to optimize multifaceted driving features. These kinds of vehicles usually have a lower center of gravity and have heavier battery loads that can disturb handling and comfort.

Active suspension technology deals with these issues by allowing real-time changes to be made, thus ensuring balance and ride smoothness even when weight is added. Moreover, active suspension systems are a great asset in hybrid models as manufacturers are now focused on performance and differentiation, thus broadening this segment of the market even further.

Automotive Active Suspension System Market Trends

The advancements of sensor and actuator technology have been a catalyst in the adoption of active suspension systems. Today's active suspensions can be referred to as ‘smart’ because they utilize sensors to capture data regarding road texture, vehicle velocity, and even the driving itself. With high-speed actuators, these systems adjust on the go and are more effective in dampening.

With the continuous improvement in sensor precision and actuator response, efficient and reliable active suspension systems promise automakers a better driving experience. This development does not only make active suspension more appealing for luxury vehicles but also increases the chances of using them in affordable models in the future.

Nio’s plans for ET9 include the flagship sedan set for release in 2025, which will be integrated with an active suspension system. The Nio Skyride system is claimed to be a fully active system that integrates hydraulics and has the ability to respond within one millisecond. This system has a performance brushless motor integrated, which enables the system to perform a whopping 1,000 torque adjustments every second. In contending with fully active configurations, semi or mid-level systems constantly outperform in regard to cost reductions.

The most pronounced disadvantages of active suspension systems are the unit costs incurred in their development and integration. Compared to active automotive suspension systems, there are no comparably sophisticated high-speed sensors, actuators, and control software, which increase costs far above those incurred through traditional methods. Due to such costs, active suspensions are most employed on higher-segment vehicles and indeed a headache for volume producers.

Compounding factors are higher maintenance, which stems from the complexity of the system, and thus lower affordability from consumers. The predominance of such systems in configuration indeed poses a problem for ranging wider flexibility on the types of vehicles as well as stifling the growth of active suspension systems to luxury and premium segments.

Automotive Active Suspension System Market Analysis

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Based on sales channel, the market is segmented into OEMs and aftermarket. In 2023, the OEM segment accounted for USD 3 billion and is expected to grow significantly over the forecast time frame.

• OEMs dominate the automotive active suspension system market fully due to their capability of adopting the technology during the manufacturing phase of the vehicle, which assures usability and functionality.
  
• OEMs also have a chance to stand out in the market by installing active suspension systems, which improve comfort and stability in the vehicle. With the growing demand of consumers towards premium amenities, OEMs are including active suspension systems in their range of vehicles, especially in electric and luxury cars.
  
• By building capabilities internally and working with vendors, OEMs stand to benefit from this phenomenon, putting them in a better position and accelerating the adoption of active suspension systems into the market.

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Based on the vehicle, the automotive active suspension system market is divided into passenger cars and commercial vehicles. The passenger cars held 62% of the market share in 2023.

• Active suspension systems are gaining momentum among buyers owing to the rising consumer demand for driving comfort and safety in automobiles, making the passenger car segment the biggest market.
  
• The adoption of active suspension systems in passenger cars is on the rise as consumers are looking for better comfort while driving and smoother rides, especially among premium and EVs.
  
• Marketers are adopting the technology to better serve the highly contested market segments. As active suspension systems become more efficient and reliable, the demand from the passenger car segment will exert even greater stress on the entire automotive industry for active suspension systems.

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In 2023, the China accounted for a market share of over 35% in Asia Pacific. China leads the automotive active suspension system market, driven by strong demand for luxury and electric vehicles.

• Also, with China being the largest automotive market in the world, consumers pay considerably more attention to comfort and new technologies in cars. High adoption of active suspension vehicles is observed due to supportive government policies on electric vehicles and increasing incomes.
  
• Also, domestic manufacturers are increasing their expenditures on R&D to develop modern suspension systems so as not to fall behind international competitors. This demand for superior driving experiences, along with regulatory policies in favor of EVs, strongly positions China as an active suspension market growth leader.
  
• The active suspension systems market in North America is spurred on by the growing demand for high-end cars and the increasing sales of electric vehicles. Active suspension systems are perceived as a desirable technology given that American consumers are already spending on advanced comfort and handling features of vehicles.
  
• Moreover, higher adoption of active suspensions is also seen due to tougher safety standards and greater interest in off-road vehicles in the U.S. North American manufacturers are adopting this approach to remain competitive, which in turn is contributing to the sustenance of the region’s growth since there is an increasing adoption of active suspension systems in premium and performance vehicles.
  
• The market for automotive active suspension systems in Europe is on the rise mostly because of the comfort and safety requirements active suspension systems fulfill as well as the growing demand for luxury and high-performance cars.
  
• The vast segment of European customers makes ride comfort and vehicle stability a priority, which also makes European automakers in the region the first to use modern suspension systems. Since the focus of regulation is directed towards vehicle safety as well as environmental emissions, active suspension systems can enhance fuel economy and control, which is in line with the demands in Europe.
  
• At the same time, the growing number of electric vehicles in Europe is fueling the need for systems that enhance the handling of cars and ride comfort, which in turn increases the growth of the active suspension market.
  

Automotive Active Suspension System Market Share

Mercedes, Continental, Magna, BWI, Tenneco, and Marelli collectively held a significant market share of 38% in the automotive active suspension system industry in 2023.

• Continental is competing in the active suspension market by investing in technologies that enhance the safety, comfort, and performance of vehicles. The company has developed advanced suspension control systems where strategic components are adjusted in response to road conditions and the input of the driver.
  
• Continental strives to provide connected and intelligent suspension solutions to sustain the rapidly changing demand for electric and autonomous vehicles. Through partnerships with automotive manufacturers and its technological know-how within the automotive industry, Continental intends to provide high value-added suspension solutions, which improve the driving experience and maintain competitiveness in the industry.
  
• Marelli has consolidated its market position in the active suspension sector as a result of its developments that are compatible with contemporary vehicle designs. The company designs advanced electric and hydraulic suspension systems with increasing emphasis on comfort, stability, and handling. Marelli is also targeting the electric and luxury segments of the market that have a strong demand for robust suspension.
  
• Marelli’s active suspension systems are designed to anticipate market demand trends, which are now more geared towards adaptive and responsive vehicle technologies. Marelli achieves this through partnerships with major automotive manufacturers and constant investment in research and development activities.
  

Automotive Active Suspension System Market Companies

Major players operating in the automotive active suspension system industry are:

• Mercedes
• ZF
• Continental
• Magna
• BWI
• Tenneco
• Marelli
• Bosch
• Schaeffler
• JTEKT
  

Competition is high in this market because of the global automotive parts suppliers alongside the suspension system manufacturers. It is these large multinational corporations that can dominate the automotive active suspension system market by providing inexpensive and easily scalable solutions to large OEMs. They use their R&D budget, advanced manufacturing technology, and relationships with auto makers to secure contracts and build a foothold in premium and high-performance vehicles.

On the other hand, regional and niche players can service the mid-tier market and local players by providing cost-effective and tailored solutions. These players tend to perform well in solving region specific issues like local regulations, driving conditions and buying behavior. For instance, in the developing markets, regional players are addressing the growing market for low-cost active suspension systems in small and medium sized vehicles by offering affordable, yet innovative solutions.

Automotive Active Suspension System Industry News

• In November 2023, Porsche began selling the new Panamera which features an updated hybrid V8 engine and comes with an active suspension system. The facelift of the Panamera is meant to have more power across the range while hybrid efficiency is maintained, which enhances the emissions and fuel usage as well as the driving enjoyment.
  
• In June 2023, the company ClearMotion headquartered in San Francisco has earmarked USD 32m towards the development of the active chassis systems. This advancement puts ClearMotion on the market scale by enhancing the traditional shock absorbers through software and high-speed actuators. These devices work in parallel adjusting every wheel of the car during armed road conditions. Additionally, ClearMotion received a significant order from one of the EV Manufacturers, therefore we can expect the ClearMotion1 system on the market within a year.
  

The automotive active suspension system market research report includes in-depth coverage of the industry with estimates & forecasts in terms of revenue ($ Mn/Bn) and volume (Units) from 2021 to 2032, for the following segments:

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Market, By System

• Electromagnetic suspension
• Hydraulic suspension
• Pneumatic suspension
• Electro-hydraulic suspension

Market, By Vehicle

• Passenger Cars
  • Hatchbacks
  • SUV
  • Sedan 
• Commercial Vehicle
  • LCV
  • HCV

Market, By Actuator

• Linear
• Rotary

Market, By Sales Channel

• OEM
• Aftermarket

Market, By Technology

• Semi-active
• Fully active

The above information is provided for the following regions and countries:

• North America
  • U.S.
  • Canada
• Europe
  • UK
  • Germany
  • France
  • Italy
  • Spain
  • Russia
  • Nordics
• Asia Pacific
  • China
  • India
  • Japan
  • South Korea
  • Australia
  • Southeast Asia
• Latin America
  • Brazil
  • Argentina
  • Mexico
• MEA
  • UAE
  • Saudi Arabia
  • South Africa