Passenger Cars Liftgate Market – Global Industry Size, Share, Trends, Opportunity, and Forecast, Segmented By Type (Manual, Automatic), By Material Type (Metal, Composite), By Region, By Competition, 2021-2031F

Forecast Period	2027-2031
Market Size (2025)	USD 2.56 Billion
CAGR (2026-2031)	6.94%
Fastest Growing Segment	Composite
Largest Market	Asia Pacific
Market Size (2031)	USD 3.83 Billion

Market Overview

The Global Passenger Cars Liftgate Market will grow from USD 2.56 Billion in 2025 to USD 3.83 Billion by 2031 at a 6.94% CAGR. A passenger car liftgate constitutes the rear closure mechanism that hinges upward to provide access to the vehicle’s cargo area, distinct from a traditional trunk lid. The market’s expansion is primarily supported by the global automotive shift toward sport utility vehicles and crossovers, which inherently utilize this configuration for optimized utility. Furthermore, rising consumer expectations for convenience accelerate the integration of power-operated and hands-free opening technologies as standard features in modern vehicle assembly.

However, a significant challenge impeding broader market expansion involves the volatility of supply chains for electronic components, which drives up the cost of manufacturing advanced power liftgate systems. Illustrating the dominance of vehicle architectures that utilize these components, according to the Society of Indian Automobile Manufacturers, in the fiscal year 2024-25, utility vehicles accounted for 65 percent of total passenger vehicle sales in the Indian market.

Key Market Drivers

The rising global popularity of SUVs and crossovers acts as the foundational driver for liftgate demand, as these vehicle architectures universally require vertical rear-opening mechanisms to maximize cargo accessibility. This structural necessity compels OEMs to prioritize liftgate supply chains over traditional trunk lids, aligning component procurement with shifting consumer preferences for utility-focused vehicle bodies. Consequently, the liftgate market benefits directly from the high proportion of utility vehicles in the global sales mix, which necessitates robust hydraulic or electric strut assemblies. Illustrating the dominance of this body type even within the transition to new energy platforms, according to the International Energy Agency, April 2024, in the 'Global EV Outlook 2024', more than 55% of electric car models available globally in 2023 were SUVs.

Simultaneous to the SUV boom, the increasing market penetration of electric and hybrid vehicles is reshaping liftgate manufacturing requirements, particularly regarding weight reduction and aerodynamic integration. To offset the heavy weight of battery packs, manufacturers are increasingly replacing steel liftgates with thermoplastic or composite materials, thereby enhancing range and efficiency while accommodating advanced automation features. According to the European Automobile Manufacturers’ Association, February 2024, in the 'Economic and Market Report', battery electric vehicles established a 14.6 percent market share in the European Union in 2023, signaling a sustained demand for specialized, lightweight rear closure systems. Reflecting the broader industrial recovery supporting these component orders, according to the International Organization of Motor Vehicle Manufacturers, in 2024, global passenger car production rose to approximately 65 million units in the preceding year.

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Key Market Challenges

The volatility of supply chains for electronic components represents a substantial barrier to the growth of the global passenger car liftgate market. Modern power-operated and hands-free liftgate systems are heavily reliant on complex electronic assemblies, including sensors, control units, and electric motors, to function reliably. When the supply of these essential semiconductors and electronic parts becomes unpredictable, manufacturers face severe production delays and skyrocketing procurement costs. These elevated expenses are inevitably passed down the automotive value chain, increasing the final price of vehicles equipped with advanced closure systems. Consequently, automakers may be forced to limit the installation of power liftgates to premium models only, thereby restricting their adoption in mass-market segments where price sensitivity is higher.

This financial strain on the supply base directly impacts the ability of the market to expand. High operational costs and uncertain component availability force suppliers to prioritize immediate survival over capacity expansion or innovation in liftgate technologies. Illustrating the severity of this industrial pressure, according to the European Association of Automotive Suppliers (CLEPA), in November 2024, 60 percent of automotive suppliers expected a decrease in revenues over the subsequent twelve months due to persisting uncertainty and cost challenges. This contraction in supplier confidence and revenue limits the investment capabilities required to stabilize supply chains, ultimately hampering the broader integration of automated liftgate systems in the global passenger vehicle market.

Key Market Trends

The integration of smartphone applications and digital keys for remote access is fundamentally transforming the user interface of passenger car liftgates, moving beyond traditional physical key fobs. This trend is driven by the demand for seamless connectivity and fleet management capabilities, allowing users to lock, unlock, and share vehicle access credentials digitally across different mobile operating systems. The standardization of technologies such as Ultra-Wideband (UWB) and Bluetooth Low Energy (BLE) ensures interoperability and security, making the liftgate a verified node in the connected vehicle ecosystem. Illustrating this industry-wide shift, according to the Car Connectivity Consortium, January 2025, in the 'Car Connectivity Consortium Continues to Drive Innovation in Vehicle Connectivity' report, the organization surpassed the 300-member milestone and designated the first two digital key products as certified, signaling a maturing infrastructure for universal digital access.

Simultaneously, the widespread adoption of hands-free and gesture-controlled opening systems is evolving through the implementation of high-precision radar technology to resolve the reliability issues of earlier capacitive sensors. Manufacturers are increasingly deploying 79 GHz radar sensors that offer superior detection accuracy, effectively distinguishing between a deliberate kick gesture and environmental interference such as heavy rain or passing animals. This technological upgrade enhances user convenience by ensuring the liftgate operates consistently in adverse weather conditions while preventing unintended activations. Reflecting this technological advancement, according to Huf Group, May 2025, in the 'Huf wins first order for kick sensor with 79 GHz radar' press release, the company secured its first series production order for a 79 GHz radar-based kick sensor from a European premium car manufacturer, validating the market's transition toward radar-based activation systems.

Segmental Insights

The Composite segment is the fastest-growing category in the Global Passenger Cars Liftgate Market, driven primarily by the automotive industry’s critical need for vehicle lightweighting. Manufacturers are increasingly adopting fiber-reinforced plastics to significantly reduce vehicle mass, which is essential for meeting rigorous fuel efficiency and carbon emission standards enforced by regulatory bodies such as the European Commission and the U.S. Environmental Protection Agency. Additionally, composites offer superior design flexibility, allowing automakers to execute complex aerodynamic styling and parts consolidation that traditional metal stamping cannot achieve.

Regional Insights

Asia Pacific maintains a dominant position in the global passenger cars liftgate market due to high vehicle production levels in key economies such as China and India. The region has experienced a significant shift in consumer preference toward sport utility vehicles, which directly drives the requirement for rear liftgate assemblies. Additionally, rising disposable incomes and rapid urbanization support consistent automotive sales growth. The extensive manufacturing footprint of major original equipment manufacturers further strengthens the supply chain, ensuring that Asia Pacific remains the central hub for demand and production in this sector.

Recent Developments

• In December 2024, Continental AG presented a new biometric access system concept integrated into its "Intelligent Vehicle Experience Car," which was developed for demonstration at CES 2025. The breakthrough technology utilizes facial recognition and movement analysis to grant vehicle access without a physical key. The system is designed to detect authorized users as they approach and can automatically perform functions such as unlocking doors or opening the tailgate based on the user's intent and gestures. The Head of Architecture and Network Solutions at the company stated that this development transforms the vehicle into a smart device, significantly enhancing user comfort and security through seamless, touch-free interaction.
• In May 2024, OPmobility (formerly Plastic Omnium) unveiled its "Smart Tailgate 2024," a next-generation rear closure system that received the prestigious German Innovation Award. This advanced module integrates multiple functions into a single unit, including rear lighting and display systems, while utilizing up to 50% recycled materials to support sustainability goals. The tailgate features a unique design that employs debondable adhesive technology, facilitating easier disassembly and recycling at the end of the product's life. The company emphasized that this innovation combines aesthetic flexibility with eco-design principles, offering automakers a customizable solution that enhances both vehicle styling and environmental performance.
• In April 2024, Brose announced the commencement of series production for a new power tailgate system specifically designed for pickup trucks in the North American market. The newly developed system comprises a robust drive unit, an electronic control unit, and two latches with power cinching capabilities. Designed to withstand harsh operating conditions such as mud and dust, the system allows users to open and close the heavy truck tailgate automatically, offering a significant convenience upgrade for this vehicle segment. The Senior Vice President of the company's Exterior Business Unit noted that the complete system integration sets new standards for durability and performance in the light truck market.
• In January 2024, Magna International showcased its innovative "Lit Liftgate" technology at the Consumer Electronics Show (CES). This breakthrough product utilizes advanced thermoplastic materials to integrate lighting elements directly into the vehicle's tailgate assembly. The technology enables "hidden-until-lit" lighting features, allowing for dynamic communication signals, branding elements, and improved visibility without compromising the vehicle's aesthetic design when the lights are off. By replacing traditional metal panels with lightweight thermoplastics, the solution also contributes to weight reduction, enhancing fuel efficiency and electric vehicle range. The company highlighted that this system was production-ready for mobility applications starting in 2025.

Key Market Players

• Magna International
• Stabilus GmbH
• Continental AG
• Brose Fahrzeugteile SE & Co. KG
• Huf Hülsbeck & Fürst GmbH & Co.
• Strattec Security Corporation
• Johnson Electric Holdings Ltd.
• HI-LEX Corporation
• VOXX Electronics Corp
• Power-Packer Corp

By Type	By Material Type	By Region
Manual Automatic	Metal Composite	North America Europe Asia Pacific South America Middle East & Africa

Report Scope:

In this report, the Global Passenger Cars Liftgate Market has been segmented into the following categories, in addition to the industry trends which have also been detailed below:

• Passenger Cars Liftgate Market, By Type:

• Manual
• Automatic

• Passenger Cars Liftgate Market, By Material Type:

• Metal
• Composite

• Passenger Cars Liftgate Market, By Region:

• North America
• United States
• Canada
• Mexico
• Europe
• France
• United Kingdom
• Italy
• Germany
• Spain
• Asia Pacific
• China
• India
• Japan
• Australia
• South Korea
• South America
• Brazil
• Argentina
• Colombia
• Middle East & Africa
• South Africa
• Saudi Arabia
• UAE