Automotive Electronics Month in Review, September 2025

Key insights from September 2025 on automotive semiconductor performance, EV market trends, and regulatory updates shaping the future of connected vehicles.

This month in review highlights key automotive electronics analyses from September 2025. Automotive semiconductor performance improved, with the TechInsights Auto Semi Index rising 8.4% quarter-over-quarter in Q2 2025 as supply chains stabilized. Utilization averaged approximately 79% across device types in 2025; however, memory capacity utilization reached around 95%, indicating price pressure, and there is a noted risk of ASIC undersupply in Q2 2026. Europe’s EV market showed weak demand despite product launches, while Chinese OEMs expanded their presence and pursued hybrid strategies. Autonomous driving discussions at IAA Munich pointed to approaches that reduce dependence on lidar and HD maps in favor of scalable sensing methods (e.g., imaging radar, inertial). Regulatory momentum continued with China’s eCall mandate, and tariff uncertainty persisted. Overall, the sector is balancing supply stability and cost control with the transition toward software-defined, electrified, and connected vehicles.