Ignition System Market

Ignition System Market for Two-wheeler - Global Industry Analysis, Size, Share, Growth, Trends, and Forecast, 2019 - 2027

Ignition System Market for Two-wheelers Introduction

An ignition system generates the spark which ignites the air-fuel mixture in a spark-ignition IC engine. New technologies and electronic systems that need to be activated with ignition switches are increasing in premium motorcycles and likely to boost the ignition system market for two wheelers.

Ignition System Market for Two-wheelers – Competitive Landscape

Key players operating in the market for two wheeler ignition system are Mitsubishi Electric Corporation, UNO Minda, JPM Group, Spark Minda, Zadi, Sandhar, Denso Corporation, Robert Bosch GmbH, and SEM.

Spark Minda

Spark Minda has been operating in the automotive industry for the last six decades and is a leading manufacturer and supplier of automotive components to OEMs. Spark Minda’s products are utilized in passenger vehicles, commercial vehicles, motorcycles & scooters, off-road vehicles & tier 1 manufacturers across the globe. It has presence in Indonesia, Germany, Vietnam, Czech Republic, Uzbekistan, Mexico, Poland, China, and Japan.

Ignition System Market for Two-wheelers Dynamics

Decrease in users of public transport likely to increase the demand for two wheelers

Public transportation, such as railways and buses, accounts for a large number of passenger transportation for any country across the globe; however, an increase in urban population has raised the burden over public transportation facilities significantly. Thus, public transportation facilities are unable to cater to the demand from passengers, which in turn is making transportation modes crowded. This, in turn, fuels the demand for an alternative mode of transportation. Consumers having low capita income are preferring two-wheelers instead of the four-wheelers, as they are considerably inexpensive as compared to four-wheelers.

Government policies attracting new investments

Governments of several countries across Africa have announced numerous policies, aimed at enhancing local production of vehicles and automotive components by dissuading imports, which in turn is likely to offer lucrative opportunities to the automotive manufacturing industry and propel the expansion of the manufacturing sector in the near future. In April 2018, 49 out of 55 countries across Africa signed the African Continental Free Trade Agreement (AfCFTA), which when enforced would be the largest free-trade area across the globe, which in turn is likely to offer lucrative opportunities to investors and players willing to expand across the region. In fiscal 2000, the Government of Nigeria and South Africa proposed The New Partnership for Africa’s Development (NEPAD). It was signed by all the countries across Africa. The partnership is aimed at eradicating poverty across Africa and lead the region to economic and social growth. Such government policies are encouraging foreign investment across the region, which in turn is likely to boost the automotive industry, subsequently propelling the demand for two wheelers as they are affordable for people across Africa. This, in turn, is estimated to offer lucrative opportunities to ignition system manufacturers in Africa.

Mergers and acquisitions of global players

The global two wheeler ignition system market is witnessing an increase in mergers, acquisitions, and funding activities by key global players, vehicle manufacturers, and Tier 1 manufacturers. Large number of pioneering companies and startups are engaging in the manufacturing of two-wheeler components. The global two-wheeler ignition system market is being considered as a bull market, which is anticipated to expand in the near future, which in turn is attracting investors. This is likely to provide the boost to the market of ignition system for two wheelers.

Ban on use of two-wheelers in Africa is likely to hamper the market

In 2012, governments of various countries in Africa implemented a ban on commercial use of motorcycles and three-wheelers, which in turn is restraining the demand for two-wheelers, and ultimately, the demand for the two-wheeler ignition system. The ban was implemented in order to restrain the number of accidents. In 2017, the number of fatal injuries recorded in road accidents was 2076. In 2017, 3487 motorcycles were involved in road accidents. Governments implemented the ban on commercial use of motorcycles, owing to the unsafe driving behavior of motorcycle taxi operators and involvement of motorcycle taxis in accidents. This is likely hamper the market for ignition system for two wheelers.

Ignition System Market for Two-wheelers - Segmentation

Based on component, the ignition system market for two-wheelers can be segmented into: