Toronto, Ontario -- The collision repair sector is expected to grow by 4.65 percent each year over the next five years, a new report has found.
The study, published by Research and Markets, forecasts the global automotive collision repair market will reach US$7.66 billion by 2030, up from US$6.11 billion in 2025. While accident frequency is expected to dip during the period, the market will benefit from increased vehicle ownership rates and increased demand for advanced repair practices.
North America is expected to remain the most profitable region in the global collision market market. Research and Markets also concluded profit growth will be greatest at businesses that invest in OEM-certified tools, develop high-efficiency processes and deliver more technician training, particularly in areas such as electric vehicle service and advanced driver assistance systems calibration.
Body and paint repair services account for the largest share of market revenue, while passenger vehicles remain the primary source of demand. The report notes a recent shift toward the use of water-based paints and original parts, as well as the growing dominance of franchise networks over independent operators.
In Canada, these trends will increase demand for facilities with OEM certifications as well as for insurer-preferred shops. The report also suggests rising vehicle complexity and evolving regulatory requirements may accelerate consolidation across the sector.
