India Automotive Lighting Market to Grow with a CAGR of 5.5% through 2031

Rising vehicle production, increasing consumer demand for aesthetic lighting, and technological advancements such as LED and adaptive lighting systems are the factors driving the market in the forecast period 2027–2031.           

According to TechSci Research report, “Automotive Lighting Market – India Industry Size, Share, Trends, Opportunity, and Forecast, 2021-2031F”, The India Automotive Lighting Market was valued at USD 1.89 Billion in 2025 and is expected to reach USD 2.61 Billion by 2031 with a CAGR of 5.5% during the forecast period.

India’s automotive lighting market is undergoing rapid change, propelled by technological advancements, rising vehicle ownership, and a growing consumer focus on safety and stylish design. Lighting has evolved beyond basic illumination to become vital for vehicle aesthetics, communication, and energy savings. Advanced technologies like LEDs, laser lights, and adaptive systems are gaining momentum, driven by demand across both passenger and commercial vehicles. Urban growth, higher disposable incomes, and the rise of electric vehicles are influencing innovative lighting integration into modern vehicle designs.

Key drivers fueling market growth include the shift toward energy-efficient lighting, increasing safety and driver-assistance features, and consumer demand for sophisticated vehicle appearances. Connected vehicle trends are expanding lighting roles to include signaling and sensor integration, while safety and energy regulations push manufacturers toward advanced solutions. Rising customization, particularly in passenger vehicles, is boosting aftermarket sales, though cost pressures and supply chain fragmentation challenge consistent innovation.

However, high costs restrict advanced lighting adoption in budget vehicles, and supply chain issues especially for semiconductors and LEDs affect production. A lack of unified regulations for aftermarket lighting impacts safety compliance, while fast technology changes force continuous innovation. Counterfeit products in the aftermarket also erode consumer trust and disrupt pricing. Industry players must balance these challenges to sustain competitiveness.

Browse over India Automotive Lighting Market data Figures spread through XX Pages and an in-depth TOC on " India Automotive Lighting Market"

India Automotive Lighting Market is Segmented By Vehicle Type, Light Type, Demand Category and By Region.

In India, the automotive lighting market varies significantly across vehicle types. The passenger car segment dominates demand due to rising car ownership, higher safety awareness, and growing preference for stylish, advanced lighting features like LED and adaptive systems. The two-wheeler segment also holds substantial share, fueled by the country’s massive motorcycle population and consumer interest in modern, energy-efficient lighting for better visibility and aesthetics. Commercial vehicles increasingly integrate robust and efficient lighting systems, driven by safety regulations and operational efficiency needs in logistics and transportation. Meanwhile, the three-wheeler segment is witnessing steady growth, especially with the push toward electric models, which often adopt innovative lighting to enhance design and visibility. OEM and aftermarket demand spans all segments, with customization and upgrades particularly strong in passenger and two-wheelers.

The South region is a major hub for India’s automotive lighting market, supported by strong automotive manufacturing clusters in Tamil Nadu, Karnataka, and Telangana. High urbanization and rising disposable incomes drive demand for advanced lighting systems, especially in passenger cars and two-wheelers. The region’s significant presence of automotive OEMs and suppliers fosters rapid adoption of LED and adaptive lighting technologies. Additionally, the thriving aftermarket sector benefits from consumers seeking aesthetic upgrades and better safety solutions. Government policies promoting electric vehicles further accelerate the integration of innovative lighting across vehicle types in South India.

Major Market Players Operating in India Automotive Lighting Market Are:

• Fiem Industries Ltd.
• HELLA India Lighting Ltd.
• Koito Manufacturing Co., Ltd. (via Indian JV)
• LG Electronics India Pvt. Ltd.
• Lumax Industries Ltd.
• Minda Industries Ltd. (Uno Minda)
• Osram India Pvt. Ltd.
• Phoenix Lamps Ltd. (a Suprajit Group company)
• Stanley Electric Co., Ltd.
• Varroc Engineering Ltd.

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“India’s automotive lighting market is evolving rapidly, driven by technological innovation, growing vehicle ownership, and rising consumer focus on safety and style. Passenger cars lead demand, followed by significant uptake in two-wheelers and commercial vehicles. LED, laser, and adaptive lighting technologies are gaining traction, supported by urbanization, rising incomes, and the shift toward electric vehicles. The South region, with its strong manufacturing base, plays a key role in market growth. However, challenges like high costs, supply chain issues, and counterfeit products persist. Despite hurdles, rising customization and regulatory focus on safety continue to propel market expansion.” said Mr. Karan Chechi, Research Director with TechSci Research, a research based global management consulting firm.

The report titled “India Automotive Lighting Market – Industry Size, Share, Trends, Opportunity, and Forecast, By Vehicle Type (Two-wheeler, Passenger Car, Commercial Vehicle, Three-Wheeler), By Light Type (Indicator Light, Taillight, Headlight, Headlight with DRL), By Demand Category (OEM vs Replacement), By Region, By Competition, 2021-2031F”, assesses the market's future growth potential and provides data on market size, trends, and forecasts. It aims to offer comprehensive market insights, helping decision-makers make informed investment choices. The report also highlights emerging trends, key drivers, challenges, and opportunities in the India Automotive Lighting Market.

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