PUBLISHER: Market Xcel - Markets and Data | PRODUCT CODE: 1718929
PUBLISHER: Market Xcel - Markets and Data | PRODUCT CODE: 1718929
Global automotive ultracapacitor market is projected to witness a CAGR of 15.82% during the forecast period 2025-2032, growing from USD 2.41 billion in 2024 to USD 7.80 billion in 2032F, owing to rising demand for electric and hybrid vehicles, advancements in ultracapacitor technology, and a growing focus on energy efficiency in automotive systems. Ultracapacitors are increasingly integrated into vehicles for regenerative braking, start-stop systems, and power stabilization, complementing traditional batteries. Asia-Pacific, particularly China, leads the market due to rapid EV adoption and supportive policies, while Europe and North America also see significant activity. Ongoing innovation and sustainability initiatives continue to propel market expansion worldwide. Companies refer to external testing for better performance and reliability in automotive applications, enhancing the efficiency of automotive ultracapacitors, which further propels global market growth.
For instance, in February 2023, KYOCERA AVX Components Corporation introduced an automotive-qualified supercapacitor. The five newly developed automotive-grade SCC Series supercapacitors have undergone rigorous testing and have been certified to meet the demanding AEC-Q200 standard, demonstrating their capability to endure test conditions that simulate the harsh mechanical and electrical environments typically encountered in automotive applications. The SCC Series supercapacitors feature a robust design, provide dependable performance, and showcase exceptionally high capacitance, minimal equivalent series resistance (ESR), and outstanding pulse power handling capabilities.
Demand for Fuel-Efficient Vehicles along with Electrification to Fuel the Market
Increased fuel prices around the world, along with rising environmental concerns, are pushing end users to look for fuel-efficient transportation. Hence, automotive giants are adopting technologies that help the vehicle boost efficiency. Components like ultracapacitors store efficient energy and release it to support automotive systems such as regenerative braking and start-up operations. With the integration of ultracapacitors, automobile manufacturers end up meeting the fuel economy standards. In addition, the EV boom and adoption of hybrid electric vehicles (HEVs) also fuel the market growth as ultracapacitor helps the batteries in delivering rapid energy discharge and recharge. The incorporation of these technologies into electric vehicles (EVs) and hybrid electric vehicles (HEVs) facilitates functions such as regenerative braking and start-stop systems, which enhance fuel efficiency and lower emissions.
For instance, in September 2022, India-based battery tech startup GODI India developed the 3000F high-power supercapacitors for electric vehicles (EVs) and energy storage systems (ESS). These supercapacitors, produced using homegrown technology, promise significant improvements in battery life when integrated with traditional battery packs. GODI's supercapacitors offer high power delivery, low internal resistance, excellent energy density, and durability through extensive charge-discharge cycles. As governments implement stricter emission regulations and consumers demand sustainable transportation options, the adoption of ultracapacitors in electrified vehicles is expected to rise.
Advanced ADAS and Suspension Systems to Shape the Market Dynamics
Continuous transformation in autonomous vehicles has made reliable and energy-efficient solutions to deliver power to different automotive sensors and control systems. Ultracapacitors are ideal for having high power density and fast charge-discharge capabilities, which enable them to cater to the energy requirements of autonomous driving technologies. Through their provision of instant high pulses of energy, ultracapacitors make it possible to have flawless functionality of core systems, providing reliability and security in autonomous cars. With vehicle autonomy advancing further into the automotive world, there will be a rising demand for ultracapacitors.
In late 2023, Maxwell Technologies introduced an innovative ultracapacitor cell tailored for automotive uses. This product provides increased energy density and enhanced temperature stability to improve the efficiency and dependability of electric vehicles.
New-age vehicles have been transformed through active suspension systems, while ultracapacitors become important in managing suspension systems as they rapidly adjust the suspension settings. Their quick ability to store and release energy makes it possible to respond to varying driving conditions in real-time, improving passenger comfort and vehicle stability. The increasing need for advanced suspension technologies for passenger and commercial vehicles is fueling the growth of the ultracapacitor market.
Passenger Cars Segment Leads in the Global Automotive Ultracapacitor Market
The passenger car segment holds the largest share in the automotive ultracapacitor market, driven by the increasing adoption of electric and hybrid vehicles. Ultracapacitors are integral to enhance the performance and efficiency of these vehicles, particularly in applications like regenerative braking and start-stop systems. The growing consumer demand for environmentally friendly and fuel-efficient passenger cars is prompting manufacturers to integrate ultracapacitors to meet these preferences. Also, advancements in vehicle technologies and the push for reduced emissions are encouraging the use of ultracapacitors in passenger vehicles. Furthermore, ultracapacitors excel in maintaining stable efficiency and power output across wide temperature ranges, from subzero to high-heat conditions, unlike traditional batteries that often lose effectiveness in such environments. This robust temperature tolerance is critical for passenger cars, supporting their advanced electronics and start-stop systems.
For instance, in October 2024, Panasonic Corporation announced commercial production of high-capacitance type conductive polymer hybrid aluminum electrolytic capacitors for automotive applications, guaranteeing to operate at 135°C. The capacitor optimizes space for mounting areas, thereby reducing environmental impact by facilitating the miniaturization of electronic control units (ECUs) and minimizing the quantity of components and materials required.
Asia-Pacific leads in the Global Automotive Ultracapacitor Market
Based on the region, the Asia-Pacific region dominates the automotive ultracapacitor market with a higher growth rate, attributed to its robust automotive manufacturing industry and rapid adoption of electric vehicles. Countries like China, Japan, South Korea, and India are investing heavily in electric mobility and infrastructure development, driving the demand for ultracapacitors. China is the largest manufacturer and consumer of electric vehicles globally, supported by favorable government policies and initiatives aimed at reducing carbon emissions. The region's focus on sustainable transportation solutions and technological advancements in energy storage systems further bolsters the ultracapacitor market. With continued investments and supportive regulatory frameworks, the regional players focus on delivering high-end capacitor solutions with increased performance and capacitance.
For instance, in April 2025, NICHICON CORPORATION developed the UCN Series of chip-type aluminum electrolytic capacitors designed for automotive applications. The series enhances its longevity, increasing the rated lifespan from 2,000 hours at 125°C to 3,000 hours. Additionally, beyond the standard guarantee of 0.01CV leakage current, NICHICON CORPORATION has implemented a more stringent leakage current specification at an applied voltage of 16V.
Impact of the United States Tariff on the Automotive Ultracapacitor Market
The imposition of 25% tariffs on imported auto parts by the United States is expected to significantly impact the automotive ultracapacitor market. These tariffs could increase production costs for automakers by approximately USD 108 billion in 2025, leading to higher vehicle prices and reduced sales. The increased costs may deter investment in advanced technologies like ultracapacitors, slowing their adoption. Additionally, supply chain disruptions caused by tariffs could hinder the availability of ultracapacitor components, affecting the production and integration of these systems in vehicles.
Key Players Landscape and Outlook
Key players in the automotive ultracapacitor market employ several strategies to strengthen their market position and address evolving industry demands. They focus heavily on research and development to boost energy density, cycle life, and cost-effectiveness of ultracapacitors, enabling better performance in electric and hybrid vehicles. Product innovation is prioritized, with advancements in materials and thermal management to meet stringent automotive requirements. Strategic partnerships and collaborations with automakers accelerate technology integration and expand application areas, such as start-stop systems and regenerative braking. Additionally, players invest in expanding production capacity and global reach to meet rising demand, while also navigating regulatory changes and leveraging government incentives for green technologies.
For instance, in May 2024, KEMET Corporation, part of YAGEO Group, introduced a miniature EDLC supercapacitor that uses a unique aqueous electrolyte solution suitable for high reliability automotive applications. Recent developments in carbon-based materials have allowed porous electrodes to achieve a significant surface area, leading to high capacitance density and a compact physical size. This exceptional volumetric efficiency positions them as a suitable alternative to small secondary coin cell batteries.
In March 2023, the company unveiled its latest high-performance supercapacitor for automotive electronics, known as the FMU Series. This series offers an impressive 1,000 hours of operation at a rated voltage of 85°C/85% RH and stands out as a market leader with operational temperature capabilities spanning from -40°C to 105°C. Furthermore, these supercapacitors have been certified according to an automotive testing protocol.
All segments will be provided for all regions and countries covered
Companies mentioned above DO NOT hold any order as per market share and can be changed as per information available during research work.