PUBLISHER: Stratistics Market Research Consulting | PRODUCT CODE: 1064183
PUBLISHER: Stratistics Market Research Consulting | PRODUCT CODE: 1064183
According to Stratistics MRC, the Global Automotive Engine Encapsulation Market is accounted for $5.24 billion in 2021 and is expected to reach $9.05 billion by 2028 growing at a CAGR of 8.1% during the forecast period. Automotive Engine Encapsulation is the process of isolating the engine from the external environment and preserving the heat in the engine when it is turned off. This in return reduces the speed of the motor, thereby increasing the portability for high initial temperatures at the start of the engine.
The growing requirement for thermal management in cars operating at high speeds has been a primary driver for the market, which is likely to continue to rise. The increased focus of automakers and governments in several countries on improving vehicle engine efficiency has led to downsizing engines and under-the-hood vehicle parts, as well as increased research and development in this field for improved part packaging efficiency and managing engine thermals, resulting in increased demand for engine encapsulation. The US Federal Government mandated in March that between 2021 and 2026, automotive fuel consumption and emissions be reduced by 1.5 per cent every year. According to the US Department of Energy (DOE), lowering vehicle weight by 10% results in a 6-8 per cent boost in fuel economy. As a result, companies have started to encapsulate engines with materials such as carbon fibre and glass fibre composites.
The application of materials like carbon fibre is likely to expand the market, owing to its favourable characteristics, such as lightweight, and ability to absorb noise. The use of carbon fibre for engine encapsulation has its challenges, the prime concern being the high cost of the material. Thus, the application of this material is only feasible for premium and luxury vehicles.
The rising demand for the fuel-efficient engine is positively impacting the global market. Fuel-efficient vehicles are highly desirable to consumers and several end-users are adopting advanced technologies such as turbochargers and gasoline direct-injection engines to achieve it. However, adopting such technologies affect the temperature of the engine, requiring automotive engine encapsulation to maintain it, which in turn, increases its demand. The growing engine downsizing coupled with the increasing demand for the fuel-efficient engine is creating opportunities for the market growth.
The increasing inclination of the automotive industry towards producing electric vehicles is one of the major reasons that may threat the growth of the market. Electric vehicles comprises of lesser engine components and devices as compared to the internal combustion engine thus eliminating the need of engine encapsulation in these vehicles.
This segment is the main application of body mounted encapsulations presently and it has a high penetration of luxury light-duty vehicles. Extensive R&D is being agreed out to decrease the cost of the material of body mounted encapsulations which in turn would cut the cost of body mounted encapsulation systems. Moreover, its simple structure and its compatibility with most of the vehicles. Most of the mid and luxury segment passenger vehicles are equipped with body mounted encapsulation, hence the segment is likely to account for a major share of the Market.
Gasoline vehicles produce a less degree of exhaust from their engines as compared to diesel engine vehicles. Additionally, environment-friendly mandates imposed by some governments have led to a universal turn down in the making of diesel vehicles. Hence, the OEMs are focusing on manufacturing their gasoline models thermally and acoustically proficient by incorporating engine encapsulations. Gasoline engines are anticipated to hold a major share of the Market owing to the higher production of gasoline engines across the world.
The Asia Pacific is projected to hold the highest market share, as this province includes emergent economies such as China and India along with developed nations such as Japan and South Korea. The rising infrastructural developments in developing countries such as China and India and the growingly stringent emission regulations are the key factors propelling the expansion of Market in the Asia Pacific province. The high production of vehicles in the Asia Pacific is a key factor responsible for the expansion of the global market.
North America is projected to have the highest CAGR, owing to large automotive production and vehicle fleet in the province is fuelling the industry demand. Automotive production in the U.S. increases; the OEMs are adopting a wide array of advanced fuel-efficient technologies, such as thermal acoustics and NVH systems. Furthermore, the growing competitiveness owing to the presence of comprehensive market participants will positively influence the regional growth.
Some of the key players profiled in the Automotive Engine Encapsulation Market include Adler Pelzer Holding GmbH, Autoneum, BASF SE, Charlotte Baur Formschaumtechnik GmbH, Continental AG, Evonik Industries, Greiner AG, Rochling Group, Saint-Gobain Sekurit, TROCELLEN AUTOMOTIVE, UGN Inc, Woco Group.
In October 2021, Continental announced supply contracts for engine mounts for several vehicle manufacturers in Europe, the USA, and China, and showcased its capability to supply tailor-made solutions via collaborations with OEMs.
In September 2020: Continental had launched a professional development offensive to equip its employees with the skills needed in the transformation process toward Industry 4.0. In addition to vocational qualifications, training with qualifications also be offered in subject fields such as Industry 4.0, digitalization, plastics technology, additive manufacturing or 3D printing technologies, and new drive concepts.
In February 2021: BASF announced that it is expanding its product portfolio of polyamides for the high-temperature range by developing new heat-stabilized Ultramid® B3PG6 BK23238 for the high-temperature range. The polyamide, reinforced with 30 percent glass fibers, is known to exhibit an excellent thermal aging performance, in addition to vibration in internal combustion engines, hybrids, or electric vehicles (EV).
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Table17 Global Automotive Engine Encapsulation Market Outlook, By Luxury (2020-2028) (US $MN)