Wire Harness Market Analysis

Material Segment Analysis

Metallic segment is set to capture over 70% wire harness market share by 2035. Metals such as copper and aluminum are favored for their excellent electrical conductivity. Copper, in particular is commonly used in automotive wire harnesses due to its superior conductivity and reliability, which are essential for efficient power and signal transmission. As vehicles get more advanced, particularly with the rise of EVs, the demand for copper wire harnesses is increasing. According to the International Copper Association, by 2027, it is anticipated that there will be 27 million electric vehicles on the road (including HEV, PHEV, BEV, Ebus HEV, and BEV), up from 3 million in 2017. This will increase copper consumption in EVs from 185,000 metric tons in 2017 to 1.74 million metric tons by 2027.

Component Segment Analysis

The wire harness terminals segment in the wire harness market is projected to experience a significant increase in the CAGR during the projected timeframe. Wire harness terminals are crucial components that ensure reliable electrical connections and efficient signal transmission that makes them essential across various industries. For instance, in industrial automation, terminals are used to control systems, sensors, and actuators. Their reliability is crucial for the smooth operation of automated machinery and equipment.

End-user Segment Analysis

The automotive segment is predicted to have notable growth in the wire harness market shortly on account of the growing integration of advanced driver assistance systems (ADAS) for vehicle safety.  As of 2022, over 92.7% of new vehicles in the U.S. had at least one ADAS. ADAS and electrification have made wiring harness connectors necessary to exchange data between various ADAS system components and to link sensors, computers, and numerous additional system components.

Our in-depth analysis of the wire harness market includes the following segments: