Automotive Cooling Systems Market 2020 | Size, Trends, Forecasts to 2025
As per the reliable projections, automotive cooling systems market is expected to grow substantially during 2020-2025. Rising concerns regarding environment pollution is encouraging the vehicle manufacturers to explore new technologies to enhance the fuel efficiency and engine performance of automobile, which in turn is fueling the demand for automotive cooling systems. These systems extract heat from the engine, hence regulating engine temperature and preventing overheating.
Soaring vehicle sales across the globe, in consort with rising adoption of light & small cooling systems is augmenting the market outlook. Surge in the average lifespan of vehicles is impelling the need for replacing spare parts as well as the engine cooling systems, thereby favoring the industry share. Moreover, there have been advancements in the design of cooling system modules, such as compact size and more heat rejection. This factor, along with strict government regulations regarding GHG emissions are stimulating the growth of global automotive cooling systems market.
Contradictorily, shifting consumer inclination towards electric vehicle due its environment friendly characteristics and rising fuel prices will hamper the expansion of automotive cooling systems market. Additionally, high replacement cost of cooling systems and its parts is restraining the industry growth.
In terms of the product type, global automotive cooling systems market is categorized into liquid cooled and air cooled. According to the trusted estimates, air cooled systems segment will gain moderate traction over the estimated timeline. These systems are cost-effective and work best in cold weather conditions. However, air cooled engines are less effective as compared to liquid/oil cooled engines, which in turn will result in limited product adoption in the ensuing years.
Based on the application outlook, the market is fragmented into light commercial vehicle, passenger car, and heavy commercial vehicle. Automotive cooling systems market from passenger car segment is slated to grow modestly through 2025. Rising per capita income, evolving lifestyle, and growing popularity of shared mobility are fostering the demand for passenger cars, thereby stimulating the segmental growth.
Elaborating on the geographical landscape, automotive cooling systems market is split into regions like Italy, Russia, Germany, UK, France, Saudi Arabia, South Africa, Nigeria, Egypt, United States, Mexico, Canada, China, Southeast Asia, India, Japan, Korea, Argentina, and Brazil.
Europe automotive cooling systems industry is anticipated to grow considerably over the forecast timeframe, owing to large number of on-road vehicles and longer average life of automobile across the region. European commission is encouraging the automotive manufacturers to implement advanced technologies to reduce CO2 and GHG emissions. This factor, in tandem with booming production of motor vehicles across European Union is contributing towards the regional market growth. According to European Automobile Manufacturers Association (ACEA), a total of 19.2 million motor vehicles were manufactured in EU in 2018.
The key industry players of global automotive cooling systems market are DENSO, Sogefi Group, Continental, Schaeffler Group, Mahle, Calsonic Kansei, Visteon, Delphi, BorgWarner, Metrix Instrument, ACDelco, Valeo, and Derale. These market colossuses are emphasizing on diversifying their product offerings to improve their stake in the business space. For instance, DENSO Corp. recently developed eco-friendly radiator tank using resin derived from castor oil tree, which consumes less oil and releases less carbon dioxide.