India Airbag Market By Demand Category (OEM, Replacement), By Airbag Type (Front Airbag, Knee Airbag, Side Airbag, Curtain Airbag), By Vehicle Type (Hatchback, SUV/MPV, Sedan, LCV), By Region, Competition, Opportunities & Forecast, 2021-2031F

Market Overview:

India Airbag Market was valued at USD 1.22 Billion in 2025 and is expected to reach USD 1.77 Billion by 2031 with a CAGR of 6.35% during the forecast period. The India airbag market is experiencing significant growth driven by mandatory safety regulations and increasing consumer awareness. Government mandates for dual front airbags in passenger vehicles have accelerated adoption rates across entry-level and mid-range cars. Rising disposable incomes and an expanding middle-class population are prompting buyers to prioritize vehicle safety features, which has positively influenced the demand for airbags in both new vehicles and the aftermarket. For instance, in Asia-Pacific, China and India show the most notable increases in the disposable income, with the projection of China’s income rising to USD 31,383 and India’s to USD 17,609 by 2050. Automakers are responding by integrating advanced airbag systems as standard offerings to meet evolving consumer expectations.  

Market Drivers

Government-Mandated Safety Regulations

Stringent automotive safety regulations are a primary driver of airbag adoption. Governments are enforcing mandatory standards that require car manufacturers to equip vehicles with minimum airbag installations, such as dual front airbags. These rules are pushing automakers to integrate airbags across all vehicle categories, including budget models. Compliance with safety norms is no longer optional but a legal requirement, compelling OEMs to invest in reliable restraint systems. Safety rating agencies are also playing a role, as consumers increasingly consider crash test ratings before purchasing a vehicle. To achieve higher safety scores, manufacturers are deploying more comprehensive airbag systems, including side and curtain airbags. For instance, the Ministry of Road Transport and Highways' mandate requiring 6 airbags in all eight-seater passenger vehicles from October 1, 2023, is a landmark move to enhance road safety but presents notable challenges.

Rising Consumer Awareness of Safety Features

The growing emphasis on occupant safety among consumers is another major growth driver. As vehicle buyers become more educated and informed, safety features are no longer seen as luxury add-ons but essential components. Buyers now actively inquire about safety ratings, number of airbags, and advanced driver assistance systems before making purchase decisions. This shift in mindset has led automakers to re-evaluate their product offerings and prioritize safety features as a central part of their marketing strategy. Airbags, which once featured only in premium variants, are now commonly found in base models. The digital age has made safety comparisons accessible, empowering consumers to demand better protection. Automotive brands that fail to offer adequate safety provisions risk losing market share to competitors that emphasize safety. Consumer advocacy groups and social media also amplify concerns about poorly equipped vehicles, prompting swift action from manufacturers. As a result, the incorporation of front, side, curtain, and knee airbags is becoming a standard industry practice. This consumer-led movement is compelling automakers to adopt more advanced and cost-effective airbag solutions, resulting in greater market penetration. With safety becoming a core purchase consideration, demand for multi-airbag configurations is expected to rise across all vehicle classes.

Growth in Passenger Vehicle Production

An increase in passenger vehicle production is directly boosting demand for airbag systems. As automotive manufacturers ramp up output to meet growing domestic and export requirements, the need for safety components like airbags rises in tandem. Airbag installation is intrinsically linked to vehicle assembly lines, and higher production volumes translate to more airbag units being installed. Automakers are scaling their operations, introducing new models, and expanding production facilities, which opens the door for high-volume procurement of safety systems. Even entry-level vehicles are now being equipped with minimum mandated safety features, thereby increasing the baseline demand. Component suppliers are also expanding their manufacturing capabilities and forming joint ventures to fulfill large orders efficiently.  For instance, India's automotive industry saw significant growth in the 2022-23 fiscal year, with total vehicle production rising to 25.93 million units, up from 23.04 million the previous year. Domestic sales of passenger vehicles surged by 27%, with utility vehicles seeing a notable increase of 34%. Sales in the commercial vehicle segment grew by 34%, driven by a 49% rise in medium and heavy commercial vehicle sales. Meanwhile, exports showed mixed trends, with passenger vehicle exports rising but exports of three-wheelers and two-wheelers declining.

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Key Market Challenges

High Cost of Advanced Airbag Systems

The cost of incorporating advanced airbag systems remains a significant barrier to wider adoption, especially in price-sensitive vehicle segments. While front airbags have become more common due to regulatory mandates, side, curtain, and knee airbags significantly increase the production cost of a vehicle. Automakers are forced to balance safety enhancements with affordability, often limiting the inclusion of multiple airbags in lower-priced models. The integration of sensors, electronic control units, and precision inflators adds to the expense. Cost challenges also impact aftermarket sales, where consumers often opt for lower-priced alternatives that may not meet quality standards.

Quality Concerns in Aftermarket Supply Chain

Quality inconsistencies within the aftermarket supply chain pose a major challenge for the airbag industry. Many aftermarket airbags lack the rigorous testing, certification, and quality control seen in OEM systems. This disparity can lead to safety risks, particularly in cases where airbag replacements are necessary due to accident damage or vehicle refurbishment. Unregulated or counterfeit airbags may not deploy correctly or meet performance benchmarks, undermining vehicle safety. For consumers, it is often difficult to verify the authenticity and quality of aftermarket airbag components, especially when price becomes the deciding factor. These risks are exacerbated by the presence of unauthorized repair workshops that install substandard components. The lack of industry-wide certification protocols further complicates the situation. For OEMs and reputable suppliers, such quality concerns damage brand trust and make it harder to assure long-term customer safety.    

Key Market Trends

Emergence of Pedestrian Protection Airbags

Pedestrian protection airbags are emerging as a significant innovation trend in the automotive safety landscape. Unlike traditional occupant-focused systems, these airbags deploy externally to reduce injury severity in case of pedestrian collisions. Typically mounted in the hood area, they inflate upon impact to cushion the pedestrian’s head and upper body from hard vehicle surfaces such as windshields and pillars. This technological advancement is gaining traction in new vehicle designs, particularly in models aiming for top safety ratings from independent testing agencies. Automakers are integrating these systems to align with evolving global safety norms and future-proof their offerings. The emergence of pedestrian airbags is a direct response to increased attention on comprehensive road safety, extending protection beyond just the occupants.

Integration with Advanced Driver Assistance Systems (ADAS)

The growing adoption of advanced driver assistance systems (ADAS) is reshaping the way airbags function within modern vehicles. Airbags are now being integrated with ADAS to enable more intelligent deployment strategies. For example, real-time data from cameras, lidar, and radar can help the airbag system assess the severity and angle of an impending collision, allowing for more precise and efficient deployment. This integration improves occupant protection by minimizing the risk of over-deployment or delayed deployment, especially in complex crash scenarios. It also supports multi-stage inflation, which adjusts the airbag pressure based on the size and seating position of the occupant. This level of sophistication enhances safety outcomes and reduces injury risks.

Lightweight and Compact Airbag Module Designs

Automotive airbag systems are undergoing a significant transformation toward more lightweight and compact designs. The push for vehicle weight reduction to enhance fuel efficiency and performance has encouraged manufacturers to re-engineer airbag modules with space and weight constraints in mind. New-generation airbags use advanced materials such as coated fabrics, lightweight inflators, and modular structural designs to reduce their footprint without compromising performance. These innovations allow airbags to be more easily integrated into various parts of a vehicle, including compact dashboards, slim seatbacks, and steering wheels with limited housing space. The modularity of these systems also simplifies assembly and enables greater design flexibility for automakers, especially as vehicles become more electrified and interior layouts evolve.   

Segmental Insights

Vehicle Type Insights

In 2024, the SUV/MPV segment emerged as the dominant category in India’s airbag market by vehicle type. The rising consumer preference for utility vehicles with higher ground clearance, enhanced comfort, and larger cabin space has led to a surge in SUV/MPV sales. With growing awareness of passenger safety, buyers in this segment now consider multi-airbag configurations as a standard expectation, prompting manufacturers to integrate advanced safety systems, including side and curtain airbags, into most models. These vehicles are increasingly being used for family travel and long-distance commuting, amplifying the demand for comprehensive occupant protection. The structure and size of SUVs and MPVs also enable the inclusion of more airbags, offering a practical advantage over smaller vehicles. For instance, in April–December 2024, SUVs and MPVs made up 65% of India’s passenger vehicle sales, rising from 21% in FY2015. With 2.04 million units sold, strong OEM portfolios and new launches are driving the segment toward record FY2025 sales exceeding 2.65 million units.

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Region Insights

In 2025, the western region of India led the airbag market due to high vehicle density, urbanization, and growing demand for safety-equipped vehicles. Cities like Mumbai, Pune, and Ahmedabad saw increased sales of SUVs and sedans, where consumers prioritized safety features. Higher disposable incomes and awareness around crash protection pushed buyers to seek models with multi-airbag systems, even in entry-level variants. A well-established auto retail network and frequent road accidents further fueled airbag adoption across this region.

Recent Developments

• ​Maruti Suzuki’s Alto K10 has become India’s most affordable car with six airbags now standard across all variants, enhancing occupant protection with curtain and side airbags alongside the existing dual front airbags.
• Maruti Suzuki has launched the 2025 Grand Vitara S‑CNG with six standard airbags, significantly enhancing occupant safety. Priced from approximately USD 16,230 (ex-showroom Delhi) for the Delta and USD 18,810 for the Zeta trim, the mid-size SUV.
• In 2024, Toyoda Gosei has opened an expanded airbag plant in Neemrana, India, to meet rising demand for vehicle safety. The facility will produce front, side, and curtain airbags for domestic OEMs.
• In 2025, Volkswagen has introduced the Tiguan R-Line in India, featuring Level 2 ADAS with 21 assistance functions lane change assist, rear traffic alert, emergency braking, lane-keeping assist, Park Assist Plus, and adaptive cruise control and a comprehensive safety suite that includes nine airbags, TPMS, hill-start and hill-descent control, and disc brakes on all wheels.

Key Market Players

• Toyoda Gosei Minda India Private Limited
• Autoliv India Private Limited
• Rane TRW Steering Systems Limited
• Takata India Private Limited
• MOBIS India Limited
• Ashimori India Private Limited
• Denso International India Pvt. Ltd.
• Bosch Limited
• Continental India Private Limited
• Toray Industries India Pvt. Ltd. 

Report Scope:

In this report, the India Airbag Market has been segmented into the following categories, in addition to the industry trends which have also been detailed below:

•         India Airbag Market, By Airbag Type:

o    Front Airbag

o    Knee Airbag

o    Side Airbag

o    Curtain Airbag

•        India Airbag Market, By Demand Category:

o    OEM

o    Replacement

•        India Airbag Market, By Vehicle Type:

o    Hatchback

o    SUV/MPV

o    Sedan

o    LCV

•        India Airbag Market, By Region:

o    North

o    South

o    East

o    West

Competitive Landscape

Company Profiles: Detailed analysis of the major companies presents in the India Airbag Market.

Available Customizations:

India Airbag Market report with the given market data, TechSci Research offers customizations according to the company’s specific needs. The following customization options are available for the report:

Company Information

• Detailed analysis and profiling of additional market players (up to five).

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