Global Automotive Charge Air Cooler Market - 2023-2030

Market Overview

The global automotive charge air cooler market reached US$ XX million in 2022 and is projected to record significant growth by reaching up to US$ XX million by 2030, growing at a CAGR of XX% during the forecast period (2023-2030).

An automotive charge air cooler (CAC) is a device used in the intake system of a turbocharged or supercharged internal combustion engine to cool the compressed air before it enters the engine. The cooled air is denser and contains more oxygen, which allows the engine to burn more fuel and produce more power. The CAC typically consists of a heat exchanger, a fan, and ducting to route the air through the cooler.

Market Dynamics

The global automotive charge air cooler market is anticipated to grow in the coming years, driven by the increasing demand for fuel-efficient and powerful engines. The use of turbocharging and supercharging in internal combustion engines has increased in recent years, as these technologies help to improve fuel efficiency and power output. This has caused an increased demand for charge air coolers, which are essential components in these systems.

Additionally, the increasing production and sales of vehicles, especially in developing countries, are expected to drive market growth. The stringent emission norms and fuel efficiency standards imposed by governments in various countries are also expected to boost market growth.

Growing utilization of turbochargers fuels market expansion

The growing penetration of turbochargers in internal combustion engines is a key factor driving the global growth of the automotive charge air cooler market. Turbochargers compress air and force it into the engine, increasing its power and efficiency. However, this compressed air is heated due to the compression process, which reduces its density and the engine's power and efficiency.

To overcome this issue, charge air coolers are used to cool the compressed air before it enters the engine. This cooled air is denser and contains more oxygen, which allows the engine to burn more fuel and produce more power. As a result, charge air coolers are an essential component in turbocharged and supercharged engines, and their use is increasing as more vehicles are equipped with turbochargers.

The increasing adoption of turbochargers in vehicles is driven by the need to improve fuel efficiency and reduce emissions. Government regulations in various countries are becoming increasingly stringent, and manufacturers are under pressure to produce vehicles that meet these standards. Turbocharging is an effective way to improve fuel efficiency and reduce emissions, which is why more vehicles are equipped with turbochargers.

Therefore, the growing penetration of turbochargers in internal combustion engines is a key factor driving the global growth of the automotive charge air cooler market, as it increases the demand for charge air coolers, which are an essential component in turbocharged and supercharged engines.

Rapidly increasing demand for electric vehicles slows market expansion

The rapidly increasing demand for electric vehicles (EVs) is one of the factors that may hamper the growth of the automotive charge air cooler market. EVs do not use internal combustion engines and thus do not require charge air coolers. Instead, they use electric motors and batteries, which do not produce the same heat as internal combustion engines and thus do not require cooling.

As the demand for EVs increases, it is likely to lead to a decline in the demand for internal combustion engines and the components that go into them, such as charge air coolers. This could negatively impact the automotive charge air cooler market, as the market relies heavily on the sales of internal combustion engine vehicles.

Additionally, Government regulations in various countries are becoming increasingly stringent and promoting the use of electric vehicles to reduce emissions and promote sustainable transportation. This is further expected to drive the growth of electric vehicles and negatively impact the demand for internal combustion engine vehicles, including their components like charge air coolers.

Therefore, the rapidly increasing demand for electric vehicles is a factor that may hamper the growth of the automotive charge air cooler market, as the market relies heavily on the sales of internal combustion engine vehicles.

COVID-19 Impact Analysis

The pandemic has caused a slowdown in the global economy, leading to a decline in consumer spending and a decrease in the production and sales of vehicles. This has negatively impacted the demand for automotive charge air coolers, as they are a component of internal combustion engines used in most vehicles.

The pandemic has also caused disruptions in the supply chain, leading to delays in producing and delivering automotive charge air coolers. The lockdowns and restrictions on movement and travel have made it difficult for manufacturers to transport raw materials and finished products, leading to delays and increased costs. Consumer spending has also led to a decline in the aftermarket sales of automotive charge air coolers, as people are less likely to spend money on repairs and maintenance for their vehicles during a recession.

Additionally, the pandemic has also led to a decline in exports and imports, negatively impacting the global trade of automotive charge air coolers. Therefore, the COVID-19 pandemic has had a negative impact on the global automotive charge air cooler market, leading to a decline in demand and disruptions in the supply chain. However, the uplift of the lockdown and recovery from the pandemic increased product sales in the global market.

Segment Analysis

The global automotive charge air cooler market is segmented on type, position, design, fuel, vehicle, material and region.

Owing to its small dimensions and cost-effective operation, air-cooled CAC currently dominates the global market

Air-cooled CACs use ambient air to cool the compressed air and are relatively small in size and easy to install, making them a popular choice for manufacturers and consumers. Their compact size also makes them a popular choice for vehicles with limited space for the intake system.

Additionally, air-cooled CACs are also cost-effective to operate. They do not require a separate cooling system, such as a radiator; they also do not require coolant, reducing costs. They are also relatively low maintenance, which also helps to keep costs down. Therefore, small dimensions and cost-effective operation are key factors that have led to the dominance of air-cooled CACs in the global market.

Geographical Analysis

The global automotive charge air cooler market is segmented on type, position, design, fuel, vehicle, material and region.

Owing to the giant automotive industry and rising urbanization leads Asia-Pacific automotive charge air cooler market to top

The Asia-Pacific region is a hub for some of the world's largest automotive manufacturers and suppliers, such as China, Japan, South Korea and India. This large automotive industry is driving the demand for charge air coolers in the region, as they are essential in internal combustion engines. Urbanization in the region is driving the demand for personal transportation, which in turn is driving the demand for vehicles and thus, the demand for charge air coolers.

Therefore, the Asia-Pacific region is expected to account for a significant share of the global automotive charge air cooler market due to the large automotive industry and rapid urbanization.

Competitive Landscape

The market is highly competitive, with various manufacturers and suppliers, and the competition is expected to increase further in the coming years. The leading companies in the market are focusing on developing new and advanced charge air coolers to gain a competitive edge. The competition in the local and global markets is very high, so the primary focus areas include product launches, collaborations, strategic mergers and acquisitions. The key players in the market are Dana Incorporated, T. RAD Co. Ltd., Mahle GmbH, Valeo Group, C, G, & J Inc., Marelli, Denso Corporation, Hanon Systems, Vestas Aircoil and AKG Group.

Dana Incorporated

Overview: In drivetrain and e-Propulsion systems, Dana is a major player globally. The company develops, produces and sells power conveyance and energy-management solutions for vehicles. The company's business unit includes commercial vehicles, corporate, light vehicles, power technologies and off-highway. The company's facility includes a customer service center, manufacturing/ assembly, technology center and office/ sales. The company operates in Asia-Pacific, Europe, Middle East and Africa, South America and North America.

Position Portfolio:

Liquid-Cooled Charge Air Coolers: OEMs can rely on Dana's specialized liquid-cooled charge air coolers to deliver smaller, more fuel-efficient engines that still deliver a powerful punch. These coolers maximize cooling while assisting in a 75% reduction in turbo lag. Liquid-cooled charge air coolers, a product that is excellent for both gasoline and diesel engines, help engines deliver more power and torque at lower vehicle speeds and throughout the operating range while using 25% less package space and 10% less heat rejection than competing coolers (per 2015 model year application).

Key Development: In October 2021, Dana announced the cancellation of the agreement to purchase a portion of Modine Manufacturing Company's light-vehicle thermal business. Earlier in November 2020, Dana Incorporated confirmed that it had signed a formal legal agreement to buy a portion of the automotive segment of Modine Manufacturing Company's thermal-management business.

Why Purchase the Report?

• To visualize the global automotive charge air cooler market segmentation based on type, position, design, fuel, vehicle, material and region, as well as understand key commercial assets and players.
• Identify commercial opportunities in the global automotive charge air cooler market by analyzing trends and co-development.
• Excel data sheet with numerous data points of automotive charge air cooler market-level with all segments.
• PDF report consisting of cogently put together market analysis after exhaustive qualitative interviews and in-depth market study.
• Product mapping available as excel consisting of key products of all the major market players.

The global automotive charge air cooler market report would provide approximately 85 tables, 84 figures and 230 Pages.

Target Audience 2023

• Manufacturers/ Buyers
• Industry Investors/Investment Bankers
• Research Professionals
• Emerging Companies