Smooth ride: Revived consumer demand for cars will accelerate industry recovery

The Automobile Steering and Suspension Manufacturing industry experienced strong growth over the five years to 2017, as automobile production improved in response to increased demand from consumers as disposable income levels rose. Moreover, changing consumer preferences contributed to industry growth, as automakers diversified their product offerings to meet new consumer demand for fuel economy and safety. Over the five years to 2022, the industry is anticipated to experience a marginal decline. New car sales are projected to decline from previous highs, which is projected to limit demand for industry auto parts. This will act to limit revenue for industry operators in addition to gradually increasing import competition...purchase to read more.

Industry Statistics & Market Size
Revenue
$17bn
Annual Growth 12-17
5.5%
Forecast Growth 17-22
Profit
Employment
38,733
Businesses
212

Industry Threats & Opportunities

  • Renewed domestic car demand will flow to steering and suspension manufacturers
  • Volatility in input prices led to challenges for steering and suspension manufacturers
  • The presence of foreign automakers is projected to increase
  • Industry Report - Industry SWOT Analysis Chapter

    The Automobile Steering and Suspension Manufacturing industry is in the mature stage of its economic life cycle. This stage is characterized by well-segmented product lines, wholehearted market acceptance and moderate technological change. Industry value added (IVA), which measures an industry's contribution to the overall economy, is expected to increase over the 10 years to 2022, rising at an annualized rate of 2.1%. In contrast, US GDP is projected to grow at an annualized rate of 2.0% during the same period. Overall, industry IVA growth is largely in line with GDP.A recent resurgence in car sales has supported both automakers and steering and suspension component manufacturers as both industries improved. Lar...purchase to read more.

    Additional Insights for the Automobile Steering & Suspension Manufacturing Industry

    IBISWorld identifies 250 Key Success Factors for a business.The most important for the Automobile Steering & Suspension Manufacturing Industry are

  • Access to the latest available and most efficient technology and techniques
  • Effective cost controls
  • Undertaking technical research and development
  • IBISWorld analysts also discuss how external factors such as Consumer Confidence Index and New car sales in the Automobile Steering & Suspension Manufacturing industry impact industry performance..

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    What's in this report

    What is the Automobile Steering & Suspension Manufacturing Industry?

    Industry operators mainly manufacture and rebuild motor vehicle steering and suspension systems and components. These consist of steering wheels, shock absorbers and struts. Spring manufacturing is not included in this industry.

    Industry Products
  • Steering wheels, columns, and gearboxes
  • Steering idler arms, drag links, and control arms
  • Shock absorbers and struts
  • Tie rod ends
  • Other components
  • Industry Activities
  • Manufacturing steering wheels, columns and gear boxes
  • Manufacturing shock absorbers
  • Manufacturing steering idler arms, drag links and control arms
  • Manufacturing rack and pinion steering assemblies
  • Manufacturing ball joints, struts and tie rod ends
  • Rebuilding suspension and steering parts
  • Table of Contents

    Industry Definition
    Main Activities
    Similar Industries
    Additional Resources
    Industry Statistics Snapshot
    Industry Structure
    Executive Summary
    Executive Summary
    Key External Drivers
  • Consumer Confidence Index
  • New car sales
  • World price of steel
  • Trade-weighted index
  • World price of crude oil

  • Current Performance
  • The automotive sector
  • Industry concentration
  • Accelerating globalization
  • Chart: Revenue Growth

  • Industry Outlook
  • Moderation in international trends
  • Positioning for the future
  • Table: Automobile Steering & Suspension Manufacturing Industry Revenue Outlook

  • Industry Life Cycle
  • Life cycle reasons
  • Chart: Benchmarking - Automobile Steering & Suspension Manufacturing Industry Lifecycle vs The Economy

  • Supply Chains
    Key Buying Industries
  • Car & Automobile Manufacturing
  • SUV & Light Truck Manufacturing
  • Truck & Bus Manufacturing
  • Auto Parts Wholesaling

  • Key Selling Industries
  • Ball Bearing Manufacturing
  • Machine Shop Services
  • Urethane Foam Manufacturing
  • Wire & Cable Manufacturing
  • Wire & Spring Manufacturing

  • Products & Services
  • Other components
  • Steering wheels, columns, and gearboxes
  • Shock absorbers and struts
  • Steering idler arms, drag links, and control arms
  • Tie rod ends
  • Chart: Automobile Steering & Suspension Manufacturing Industry Products and Services Segmentation

  • Demand Determinants
    Major Markets
  • SUV and light truck manufacturers
  • Car and automobile manufacturers
  • Export markets
  • Heavy truck, bus and agricultural equipment manufacturers
  • Chart: Major Market Segmentation for the Automobile Steering & Suspension Manufacturing Industry

  • International Trade
    Business Locations
    Chart: Business Locations by State
    Market Share Concentration
    Key Success Factors
    Cost Structure Benchmarks
    ProfitPurchasesWagesOther
  • Chart: Cost Structure Benchmarking – Sector vs Automobile Steering & Suspension Manufacturing

  • Basis of Competition
  • Internal competition
  • External competition

  • Barriers to Entry
  • Table: Barrier to Entry Checklist for the Automobile Steering & Suspension Manufacturing Industry

  • Industry Globalization
    Tenneco Inc., Robert Bosch GmbH, Hyundai Mobis Co., Ltd.,
  • Table: Tenneco Inc. - financial performance
  • Table: Robert Bosch GmbH - financial performance
  • Table: Hyundai Mobis Co., Ltd. - financial performance

  • Capital Intensity
  • Chart: Level of Capital Intensity for the Automobile Steering & Suspension Manufacturing Industry
  • Chart: Tools of the Trade: Growth Strategies for Success

  • Technology & Systems
    Revenue Volatility
  • Chart: Volatility vs Industry Growth

  • Regulation & Policy
    Industry Assistance
    Table: Industry Data for the Automobile Steering & Suspension Manufacturing Industry
    Includes:
  • Industry Revenue (2008-2022)
  • Industry Gross Product (2008-2022)
  • Establishments (2008-2022)
  • Businesses (2008-2022)
  • Employment (2008-2022)
  • Exports (2008-2022)
  • Imports (2008-2022)
  • Wages (2008-2022)
  • World Price of Steel (2008-2022)

  • Table: Annual Percentage Change for Key Industry Data
    Table: Key Ratios for Industry Key Data
    Table: Industry Financial Ratios
    Aftermarket
  • Parts purchased for a vehicle that is already in use, as opposed to a vehicle being assembled.
  • Drive-By-Line
  • Systems where the physical connection is an automobile are replaced by wired communications.
  • Electronic Power Steering
  • Electronic power steering uses electric motors rather than traditional hydraulic systems and reduce weight and energy use.
  • Just-In-Time
  • A strategy implemented to improve profitability by reducing inventory and purchasing the raw materials that are needed for the immediate term only.
  • Tier-One Supplier
  • Parts manufacturers that supply directly to automakers.
  • Tier-Two Supplier
  • Suppliers that manufacture sub-components that are supplied to tier-one manufacturers.
  • What Our Customers Say

    Why buy this report?

    IBISWorld’s industry research report on Automobile Steering & Suspension Manufacturing provides up-to-date sales and market data, allowing you to identify the product and customer segments driving revenue growth. The report identifies the leading companies in the industry, and offers strategic analysis of the key factors influencing the market. Our data forecasts are accompanied by full analysis to illustrate how the market is responding to dominant and emerging trends.

    IBISWorld industry market research reports enable you to:
    • Find out about key industry trends
    • Identify threats and opportunities
    • Inform your decisions for marketing, strategy and planning
    • Quickly build competitive intelligence
    This report on Automobile Steering & Suspension Manufacturing:
    • Provides Market Size information to assist with planning and strategic decisions.
    • Includes the necessary information to perform SWOT, PEST and STEER analysis.
    • Helps you understand market dynamics to give you a deeper understanding of industry competition and the supply chain.
    • Analyses key performance and operational metrics so that you can benchmark against your own business, that of your customers’ businesses, or your competitors’ businesses.
    The Automobile Steering & Suspension Manufacturing market research report includes:
    • Historical data and analysis for the key drivers of this industry
    • A five-year forecast of the market and noted trends
    • Detailed research and segmentation for the main products and markets
    • An assessment of the competitive landscape and market shares for major companies
    • And of course, much more

    IBISWorld reports on thousands of industries around the world. Our clients rely on our information and data to stay up-to-date on industry trends across all industries. With this IBISWorld Industry Research Report on Automobile Steering & Suspension Manufacturing, you can expect thoroughly researched, reliable and current information that will help you to make faster, better business decisions.

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