Electrochromic Glass Market - Industry Analysis, Market Size, Share, Trends, Application Analysis, Growth And Forecast 2024-2030

Electrochromic Glass Market size is forecast to reach $4. billion by 2030, after growing at a CAGR of 8.1% during 2024-2030. Globally, the market for smart glass is gaining traction due to improved raw materials & technological advancement and the prospect of new applications across different industries. Due to its inherent thermal and acoustic insulation ability, energy efficiency, and aesthetic 3D designer proposal, smart glass has grown because of its significance in transportation, power generation, and consumer electronics. Also, the rising demand for electrochromic, thermochromic, and photochromic glass due to its transmission properties will further drive the Electrochromic Glass Market growth. Furthermore, energy-efficient glasses are experiencing strong demand as a result of a policy-driven outlook on environmental and energy security and are anticipated to create new opportunities for the growth of the global smart glass industry in the forecast period.

There's a growing emphasis on energy efficiency and sustainability, with smart glass solutions offering enhanced insulation properties to reduce energy consumption in buildings and vehicles alike. Advancements in IoT integration have led to the development of intelligent smart glass systems capable of dynamically adjusting transparency levels based on environmental conditions, user preferences, and automation cues, thereby enhancing user experience and comfort. Moreover, the integration of augmented reality (AR) and heads-up display (HUD) functionalities in smart glass technology is gaining traction, enabling immersive experiences and practical applications in various sectors such as manufacturing, healthcare, and education. The focus on privacy and security features, with the integration of privacy modes and advanced encryption protocols to safeguard sensitive information and personal data. As the demand for smart, connected environments continues to rise, these trends underscore the evolving landscape of smart glass technology, promising innovative solutions and transformative experiences across industries.

Due to the COVID-19 palindrome customer shutdowns, record declines in the consumer spending, and lack of capital expenditures are trends having a negative impact on the Electrochromic Glass Market growth. Under the wide spectrum of manufacturing sectors, the automobile and construction-related industries have been greatly affected, which has further declined the market growth for smart glass in the year 2020.

The report: “Electrochromic Glass Market Report – Forecast (2024-2030)”, by IndustryARC, covers an in-depth analysis of the following segments of the Electrochromic Glass Market.

                                             

By Material: Organic (Viologen, Polymers and Reflective Hydride) and Inorganic (Nanocrystal and Transition Metal Oxides).

By Application: Sunglasses, Displays, Mirrors, Windows, Windscreens, Facades and Others.

By End-use Industry: Automotive [Passenger Vehicles (PVs), Light Commercial Vehicles (LCVs) and Heavy Commercial Vehicles (HCVs)], Medical & Healthcare, Building & Construction (Residential, Industrial, Commercial and Infrastructural), Aerospace (Military, Commercial and Others), Electronics and Others.

By Geography: North America (U.S, Canada, Mexico), South America (Brazil, Argentina and others), Europe (Germany, UK, France, Italy, Spain, Russia and Others), APAC (China, Japan India, SK, Aus and Others), and RoW (Middle East and Africa)

• Asia-Pacific dominates the Electrochromic Glass Market, due to growth factors such as flourished construction projects, rising automotive manufacturing and industrialization. According to the China Association of Automotive Manufacturers (CAAM), the production and sales of new energy vehicles reached 1.29 million units and 1.25 million units, respectively, in the 1st quarter of 2022, showing an increase of 140% year-on-year.

• The demand for Electrochromic Glass in the automotive sector is significantly rising due to the preference for applications involving windshields, sunroofs, windows, doors and others, thereby contributing to the Electrochromic Glass market size.

• However, the technical drawbacks of high switching time in electrochromic glass act as challenging factors in the Electrochromic Glass industry..

• Rising technological advancement and increasingly installing electrochromic windows owing to their security and luxury factors in airplanes are anticipated to boost the use of smart glass in the upcoming years.

The windows segment held a significant share of the Electrochromic Glass market in 2023 and is projected to grow at a CAGR of 6.9% during the forecast period 2024-2030. Electrochromic glass is a form of smart glass, which is widely utilized for applications in windows across major industries, including automotive, aerospace, construction and others to control the heat and light transmitted inside. The construction sector is rapidly growing due to factors such as increasing residential projects, architectural projects and others. According to the Office for National Statistics, the monthly construction output increased by 1.9% in terms of volume in May 2024 from April 2024. With the growing scope for the construction sector, the utilization of electrochromic glass or electrochromic coatings in windows is rising, which is anticipated to boost its growth scope for windows application in the Electrochromic Glass market during the forecast period.

The automotive segment held a significant share of the Electrochromic Glass Market in 2023 and is projected to grow at a CAGR of 8.8% during the forecast period 2024-2030. Electrochromic glasses are smart glass or dynamic glass, with growing applications in the automotive sector for vehicle windshields, doors and others. The lucrative growth of the automotive industry is influenced by factors such as rising demand for fuel-efficient vehicles, vehicle electrification and urbanization. According to the International Organization of Motor Vehicles Manufacturers (OICA), the global production of passenger cars increased from 85.1 million units in 2022 to 93.5 million units in 2023. According to the European Automobile Manufacturer Association, South American car production grew by 14% while U.S. car production grew by 6.1% in 2023. With robust automotive production, the utilization of electrochromic glass in car windows, windscreens and others is flourishing. This is anticipated to boost the growth scope of Electrochromic Glasses in the automotive sector over the forecast period.

Asia-Pacific dominated the Electrochromic Glass Market in 2023 with a share of up to 42.3%. The robust growth of electrochromic glass in this region is influenced by rising automotive production, surging construction projects and urbanization trends. The automotive sector is significantly accelerating in APAC due to factors such as rising demand for fuel-efficient vehicles, vehicle electrification and urbanization. According to the Federal Chamber of Automotive Industries, the new vehicle registration in Australia represented an increase of 3.5% with 121,474 units in March 2024 compared to March 2023. According to the India Brand Equity Foundation (IBEF), the automotive industry in India is expected to reach US$282 billion by 2026, up 52.4% from 2023. With the robust growth scope for the automotive sector in APAC, the demand for Electrochromic Glass for utilization as electrochromic coatings in doors, windows, doors, windshields and others is rising. This, in turn, is anticipated to boost its growth scope in the Asia-Pacific region over the forecast period.

                                         

The automotive industry is rising at a rapid rate. The sales of light and heavy-duty vehicles in recent years have been powered by increased market trust in the economy and higher investment. Several variables affect the market for automotive smart glass. With an increase in the overall car population and the number of miles traveled the replacement volume of glasses increases. The demand for automotive glass repair and replacement can also be boosted by severe weather and road conditions. However, after a vehicle trade-in or sale or vehicle inspection, customers prefer to delay repairing minor damage to a windscreen. Production of new cars, turnover of used vehicles and vehicle inspection regulations therefore have a positive effect on demand for smart glass for automotive applications in various countries. Approximately 81.6 million cars were produced. The total number of vehicles produced in 2022 was further broken down by nation by the International Organization of Motor Vehicle Manufacturers (OICA). First place went to China with 26.1 M cars, then the US and Japan. Three African nations—South Africa, Morocco, and Egypt—made the list of the top 31 automakers.

Solar power generation plants are one of the emerging users of smart glass. In solar panels, smart glass is used to consume the full volume of light to produce electricity. Energy-related prices are constantly growing, with demand for alternative power sources increasing over the last decade. One of the alternatives to traditional energy sources is solar energy. The efficiency of thermochromic and photochromic smart glass depends directly or indirectly on the light of the sun. Using such auto-dimmable smart glass helps to significantly reduce the consumption of energy, especially for heating and cooling systems. According to the Ministry of New and Renewable Energy, ongoing solar projects such as Development of Solar Parks and Ultra Mega Solar Power projects will drive the demand for smart glass in the solar industry. Thus, rising initiatives by governments and the growth of the solar industry is projected to offer many opportunities for the growth of the Electrochromic Glass Market.

There is limited consumer understanding of the distinctive advantages of smart glass since the concept has been commercialized across various verticals with just a few applications. In application fields such as automotive and architecture, the present stage of promotion and acceptance of smart glass will boom the growth of the market, with industry players and architects knowing the advantages of smart glass technology. From the past two years, this technology can gain momentum at a moderate pace due to lack of awareness. There is, however, a more need to inform end-users about its use as an energy-efficient, environmentally-friendly and future-oriented technology. Hence, due to the lack of awareness of the long-term benefits of smart glasses the growth of the market can be hindered.

Technology launches, acquisitions, and R&D activities are key strategies adopted by players in the Electrochromic Glass Market. Major players in the Electrochromic Glass Market are AGC Inc., ChromoGenics, Gauzy Ltd., Gentex Corporation, Halio Inc., Saint Gobain, Research Fronteirs, Smartglass International, Innovative Glass Corp, Nippon Sheet Glass Co., Ltd among others.

• In January 2023, Meta recently acquired Netherlands-based 3D smart glass maker Luxexcel, enhancing its metaverse vision by integrating augmented reality elements into prescription lenses, solidifying a strategic partnership for future innovation.