Automotive Engineering Service Provider Market Size, Share, Growth Analysis, By Service(Engine, Chassis, Transmission, Car And BIW), By Application(Mechanical, Electrical & Electronics, Software, Safety), By Vehicle Type(Passenger Car, Commercial Vehicle, Two-Wheeler), By Region - Industry Forecast 2024-2031

Global Automotive Engineering Service Provider Market size was valued at USD 156.20 billion in 2022 and is poised to grow from USD 168.07 billion in 2023 to USD 301.99 billion by 2031, growing at a CAGR of 7.6% during the forecast period (2024-2031).

The capacity of improved connection solutions to provide a range of services, including remote diagnostics, smart infotainment, navigation, and passenger safety, is driving an increase in these solutions. Over the course of the projected period, it is expected that the automotive engineering services market will demonstrate strong growth possibilities, hence boosting the market size.

Primarily utilized in the development, fabrication, testing, and design of all automotive components as well as in the maintenance and diagnosis of mechanical, electrical, electronic, and software systems. This provides the vehicle with the optimal model, size, and shape. Automobile engineering services are in high demand due to their wide range of offerings, which include transmission and engine-related services, chassis modifications, and component upgrades.

With the help of automotive engineering services, each component is integrated from the concept to the use phase. Additionally, the vendor may choose to handle these parts and fittings internally, a practice called in-house automotive engineering services. Sales of automotive engineering services are pushed by this.