PUBLISHER: AnalystView Market Insights | PRODUCT CODE: 1901476
PUBLISHER: AnalystView Market Insights | PRODUCT CODE: 1901476
Engine Components Market size was valued at US$ 9,878.23 Million in 2024, expanding at a CAGR of 2.1% from 2025 to 2032.
The Engine Components market is at a defining moment where there are two influences affecting how it will develop in the future; one is the way OEM's built Engine Components prior to Electric Mobility, and the other is the new technologies, processes and marketplace change that Electric Mobility is creating. The demand for Engine Components remains strong around the world due to the continued dominance of ICE vehicles in many emerging markets, an increase in Hybrid Vehicle production around the world and the continued use of Combustion Engine Technology within many sectors, including Heavy-Duty, Marine, Aviation, Agricultural and Industrial applications. Moving forward from 2025, Engine Components will exist in a bifurcated world. North America and Europe are already moving away from ICE manufacturing in large part due to much more stringent emissions regulations and are continuing to do so. Meanwhile, China and India are serving as the anchor of Engine Components demand for the rest of the world, with them expanding their vehicle parlour and investments in Infrastructure and Aftermarket Parts, which will only support increased Vehicle Ownership and Maintenance. Despite all these changes in the marketplace, OEM's continue to focus on the Optimisation of parts for Lightweighting, Precision Machining, High Heat Resistance and Maximising Fuel Efficiency, and are rapidly adopting new materials and manufacturing technologies that facilitate this focus on Optimisation. Some of the primary materials now being used by OEMs to achieve their Optimisation goals include: Aluminium Alloys, Advanced Steels, Composites and Performance Coatings.
Engine Components Market- Market Dynamics
Regulatory & Environmental Pressure Driving Fuel-Efficient, Low-Emission Engines
Due to increasing concerns over global fuel efficiency and greenhouse gases (such as carbon dioxide), many manufacturers are making changes to their existing diesel engine design and are driving demand for a larger supply of engine components that include lightweight materials, precision-engineered components (e.g., turbochargers), advanced fuel injection systems and compatible with improved exhaust/after-treatment systems. The latest Industry Report states that "the demand for cleaner and more efficient engines" is one of the "key drivers of the worldwide engine component market." Demand for cleaner and more efficient engines is not just for passenger cars but spans into commercial vehicles (light-duty & heavy-duty), off-road equipment and even industrial applications, where standards related to exhaust and fuel efficiency are establishing across multiple sectors (i.e., agricultural vehicles, construction equipment, and commercial fleets).
The Global Engine Components Market is segmented on the basis of Components, Application, Engine Type, Distribution Channels, Material Type, and Region.
In terms of components, the Engine Components Market is segmented into Valve Tappet/Roller Tappet, Screw Cap Assembly, Collet/Cotter, and Retainer. Among these, the valve tappet/roller tappet segment is a significant revenue generator, growth can be attributed to the contribution of this segment to the effective operation of the engine through the ability to actuate valves with precision, reduce friction, and improve engine life. Today's engine designs are focused on achieving increased fuel economy and performance, and roller tappets are widely utilized on modern gasoline and diesel engine platforms to provide smooth operation from the camshaft to the valve, promote increased fuel efficiency, and meet increased regulatory emission requirements. Engine manufacturers have also begun to transition toward using lightweight, low-friction tappets manufactured with advanced coating and alloy technologies that have been designed for increasing engine speeds and hybrid powertrains. In the aftermarket, vehicle age and wear continue to create significant aftermarket demand for precision-engineered tappets throughout North America and Asia-Pacific. The continued growth of variable valve timing technology has created the need for tappets that can withstand extreme thermal and mechanical loads. Therefore, the future demand for precision-engineered tappets that provide optimal valve timing and cleaner emissions technology will ensure ongoing relevance of this segment within the Engine Components Market.
The Engine Components Market can be divided into several applications: Automotive, Agriculture, Construction, Mining Equipment, Marine, Stationary Engines and Rolling Stock Diesel Engines. The Automotive section is the largest section of the Engine Components Market and therefore the greatest revenue generator due to the high volume of global vehicle production, the significant amount of internal combustion engines (ICEs) and hybrid engines being produced, and the rapidly increasing demand for parts for the aftermarket replacement cycle - all these factors contribute to this sector's growth even while growth is seen in Electric Vehicles (EVs). As of October 2023, there are over 1.4 billion ICE and hybrid vehicles on the road worldwide driving the demand for pistons, tappets, valves, retainers, screws and associated components. OEMs continue to develop technologies that allow for lightweighting of products, improvements in precision machining and advancements in friction reducing strategies to meet the stringent global emission regulations outlined in Euro 7 & CAFE Standards. Also, as automotive age continues to rise (12.5 years average in the U.S.), there is a steady influx of aftermarket sales resulting from vehicles reaching their average age and requiring replacement components. The automotive application area's strength, and global retrofit and hybrid continued product evolvement indicate its ability to be a long-term high value application area.
Engine Components Market- Geographical Insights
Asia-Pacific is, by far, the leading global Engine Components Market due to a combination of high vehicle production, increased mechanization of both agriculture and heavy industry, as well as increased demand for replacement and aftermarket parts. As mentioned in a recent worldwide analysis of the engine-components market, Asia-Pacific will likely lead the global engine components industry because of the area's high rate of vehicle production and greater vehicle component consumption than other areas of the world. Because Asia-Pacific is an automotive-producing powerhouse, it will continue to provide an ongoing need for engine components for both Original Equipment Manufacturer (OEM) production and for the aftermarket. In addition, rapid industrialization and growth of off-highway sectors, such as agriculture, construction, and mining, will spur the need for engine components beyond just passenger vehicles, providing an additional benefit to engine-component suppliers that serve heavy-duty diesel engines or industrial machinery.
India Engine Components Market- Country Insights
India has become an epicenter of growth for engine component manufacturers and aftermarket suppliers. Manufacturers are producing record yearly volumes of engine components and other auto parts, mostly driven by domestic demand. The latest statistics from the Society of Indian Automobile Manufacturers (SIAM), indicate that in FY 2024-25, over 3.10 million (31 million) Automobiles were produced within India, which include many categories: Passenger Vehicles, Commercial Vehicles, Two Wheelers, Three Wheelers, and Quadricycles. The trend in domestic manufacture is clearly on an upward trajectory. The high-volume input and output of the manufacturing industry in India is generating strong demand for both OEM and aftermarket products manufactured from engine component manufacturers. While there continues to be a shift to electric-powered vehicles, internal combustion engine (ICE) and hybrid drivetrains make up the dominant share of mobility products in India and continue to drive demand for components and accessories manufactured for those applications. India's automotive value-chain continues to be strengthened through increasing localization of component supply, large supplier networks, and increasing aftermarket demand for replacement and repair products as the vehicle fleet ages.
Market analysis of Engine Components has shown that this industry hosts such a wide variety of specialized companies and organizations. Major market participants consist of AcDelco, AmTech International, Burgess-Norton Mfg. Co. Inc., DNJ Engine Components, Eaton, Federal-Mogul, GT Technologies, Indo Schottle Pvt. Ltd., LISI Automotive, LuK GmbH & Co., KG, MISUMI Group Inc., Nittan Valve Co., Ltd., PIOLAX, Inc., Rane Group, Schaeffler Technologies AG & Co., KG, and Young Shin Automotive. In addition to the large manufacturers mentioned above, there are numerous manufacturers dedicated to producing engine components; these companies include ASPPICE Engineering, Decora Auto Forge Pvt. Ltd., DREWCO Corporation, SSV Technocrates, Smit Auto Industries, Kent Automotive, TW Automotive, Hangzhou Heng Ji Trading Co. Ltd., Nanjing Superior Machine & Parts Co., BLE Products, EFC International, Pratt Burnerd America, and others. All of the key organizations are competing with each other by developing precision machining technology, lightweight metals development, surface treatment techniques, high-performance valve train fasteners, and the introduction of innovative advanced alloy and friction-reducing component designs. Currently, industry trends driving investment in these types of technologies are the increased demand for more fuel efficiency, stricter emission standards and life extension of engines. For this reason, major market participants are developing strategic alliances with OEMs to protect long term contracts as well as developing strategic tiered supply agreements and utilizing global platform sourcing to create a competitive advantage within their respective value chains.
In July 2024, Avolon has placed a large order to Pratt & Whitney for GTF engines that will be used to power 80 Airbus A320neo family aircraft. This order brings Avolon's total fleet of GTF-powered aircraft to 158 and provides Avolon the option to purchase additional engines for 80 more aircraft. Pratt & Whitney considers this contract one of its largest GTF sales to date and believes it is evidence of the increasing demand for more fuel-efficient and state-of-the-art engines in the aviation marketplace.
In May 2023, Cummins Inc., a manufacturer of engines and related technologies for commercial and industrial applications, launched the Marine Diesel Cummins Turbo (MDCT) generator set. These rugged gensets can utilize either a low-power or high-output Cummins engine, which gives them a range of outputs from 40 to 80 kWe for low-powered engines, and 80 to 110 kWe for high-powered engines.