Automotive Heat Exchanger Market Size

Automotive Heat Exchanger Market Analysis

The Automotive Heat Exchanger Market size is estimated at USD 23.66 billion in 2024, and is expected to reach USD 36.06 billion by 2029, growing at a CAGR of 6.45% during the forecast period (2024-2029).

• The COVID-19 pandemic severely impacted the automotive industry across the world in the year 2020. The disruptions in supply chain activities, the interruption in large-scale manufacturing, restrictions on travel, and the declining sales of light vehicles during 2020 hampered the market in focus for the year.
• Over the medium term, increasing production of vehicles and rising demand for passenger vehicles are expected to drive the automotive heat exchanger market. In addition, the rising trend of engine downsizing coupled with advancements in lightweight automotive materials and the rising application of heat exchangers in hybrid and electric vehicles boost demand in the market.
• The rising adoption of electric vehicles has forced traditional heat exchanger systems manufacturers to produce an efficient battery thermal management system and increase their product portfolio. This factor is expected to generate new opportunities for the market during the forecast period. The two major inhibiting factors for the global automotive heat exchanger market are the volatility in the prices of raw materials and the complexity of designing advanced and lightweight heat exchangers.
• The Asia-Pacific region is expected to hold the largest market share in revenue, followed by North America and Europe. Countries such as China and India have witnessed heavy demand and production for passenger vehicles in the Asia-Pacific region. This, in turn, is increasing the application of automotive heat exchangers during the forecast period.