The automotive thermal system market is projected to witness significant growth over the forecast period. This surge in demand can be attributed to several factors such as stringent pollution guidelines and emission norms along with increasing global warming.
Automotive thermal system manages the temperature of prime vehicle components through reduced temperature component fluctuations and alternative engine block monitoring temperatures. They offer fuel economy along with enhanced vehicular comfort which is projected to positively impact market growth.
Increase in demand for automotive heating and ventilation systems is expected to drive the automotive thermal system industry over the next six years. Automotive heating and cooling systems require sensors that detect the cabin and engine temperatures. Further, growing usage of eco-friendly refrigerants along with the electrification of automobiles is projected to accelerate market growth.
Rising demand for thermal systems that run on alternative fuels including liquid hydrogen, propane, bio-alcohols, ethanol and P-Series fuels is expected to accentuate market growth. Growing demand for luxury cars along with demand for air conditioning in commercial vehicles is expected to elevate the automotive thermal system market.
The quantum shift towards smart solutions is expected to offer prominent opportunities for market growth. Adoption of green initiatives by various countries to minimize losses and promote effective and clean distribution of energy is further anticipated to offer lucrative opportunities for the automotive thermal system industry.
Changing consumer preferences are expected to propel manufacturers to develop smart solutions that are integrated into new equipment, making them responsive and efficient to consumer requirements which are projected to replace inactive and inefficient equipment over the forecast period, further triggering market growth.
However, the high cost of thermal systems along with potential leakage problems is expected to hinder market growth. Increase in the cost-cutting measures undertaken by the automotive manufacturing companies owing to the substantial rise in the cost of the thermal system is expected to act as a challenge for market growth.
The automotive thermal system market can be segmented on the basis of components into powertrain cooling, HVAC, fluid transport, and compressor. Increasing demand for advanced HVACs that are environment friendly and lightweight are expected to impel automotive thermal system market growth over the next six years. HVAC equipment are cost-effective and can optimize productivity which is expected to generate growth avenues in the near future.
North America is projected to be a prominent region for the automotive thermal system market. Huge infrastructural developments are driving the construction equipment and heavy vehicles market which in turn is driving automotive thermal system market growth. Additionally, the production of an enormous number of vehicles in China, Japan, and India is further driving the demand in Asia Pacific.
Europe is anticipated to be an emerging market with increasing number of demand for automobiles from countries such as Germany, Italy, France, UK combined with change in preferences of customers towards climate control and compact, advanced HVAC systems. Further, stringent government norms require constant upgradation of components used in the automotive thermal system which is projected to trigger the demand in this region.
Notable players in the market include Gentherm Inc, Mahle GmbH, Denso Corporation, Behr GmbH & Co. KG, Valeo, Grayson Thermal Systems, Sanden Corp., United Technologies Corporation, Diakin Industries Ltd, Visteon Corp, Calsonic Kansei Corp, Modine Manufacturing Co., and Lennox International. Inc. Genthem Inc. created the first thermoelectrically cooled and heated seat system for the automotive sector. The company offers pipeline protection systems and integrated temperature control components. Denso Corporation manufactures powertrain control systems such as diesel injection products, engine electrical systems, and engine control components. Modine Manufacturing Company offers power train cooling systems such as oil and air coolers in order to expand its global reach and gain strong footholds into the market.
NEED A CUSTOM REPORT?
We can customize every report - free of charge - including purchasing stand-alone sections or country-level reports, as well as offer affordable discounts for start-ups & universities.
Contact us now to get our best pricing.
ESOMAR certified & member
Leading SME award by D&B
"The quality of research they have done for us has been excellent."
The automotive & transportation industry is amongst the most exposed verticals to the ongoing COVID-19 outbreak and is currently amidst unprecedented uncertainty. COVID-19 is expected to have a significant impact on the supply chain and product demand in the automotive sector. The industry's concern has moved on from being centered on supply chain disruption from China to the overall slump in demand for automotive products. The demand for commercial vehicles is expected to plummet with the shutdown of all non-essential services. Furthermore, changes in consumer buying behavior owing to uncertainty surrounding the pandemic may have serious implications on the near future growth of the industry. Meanwhile, liquidity shortfall and cash crunch have already impacted the sales of fleet operators, which is further expected to widen over the next few months. We are continuously monitoring the COVID-19 pandemic, and assessing its impact on the growth of the automotive & transportation industry. The report will account for Covid19 as a key market contributor.