This chapter explores the transformative role of smart materials in the automotive industry, emphasizing their capacity to enhance safety, efficiency, and adaptability. It details key types of smart materials, including piezoelectric materials, shape memory alloys (SMAs), thermoelectric materials, self-healing polymers, magnetorheological fluids, electrochromic glass, biomimetic materials, and nanomaterials. Piezoelectric materials are highlighted for their applications in sensors, actuators, and energy harvesting systems, with classifications including ceramics, polymers, and composites. SMAs, particularly Ni–Ti and copper-based alloys, offer self-adjusting functions through thermomechanical phase transitions and are used in actuators, injectors, and adaptive systems. Integrating SMA-based composites enhances energy absorption, stiffness, and damage tolerance. These smart materials contribute to weight reduction, fuel efficiency, and sustainability. The chapter concludes that ongoing smart materials innovation will further enable intelligent automotive systems development, support environmental goals, and advance user experience.