As per MRFR Analysis, the Global Automotive Battery Thermal Management Market was valued at USD 3.12 billion in 2022 and is projected to reach USD 6.27 billion by 2030, growing at a CAGR of 13.02% from 2023 to 2030. The market is driven by the increasing demand for electric vehicles (EVs) and supportive government initiatives promoting EV adoption. The Liquid segment is expected to dominate the market due to its superior thermal management capabilities. Asia-Pacific is anticipated to hold the largest market share, supported by government incentives for EVs and a focus on reducing carbon emissions. Key players are investing in R&D and strategic initiatives to enhance their market presence.
The automotive battery thermal management market is witnessing significant growth driven by technological advancements and government policies.
Key companies include LG Chem, Continental, GenTherm, Robert Bosch, Valeo, Calsonic Kansei, DANA, Hanon Systems, Samsung SDI, Mahle, and VOSS Automotive.
The control of the thermal behavior of battery cells is a critical function performed by the Battery Thermal Management System (BTMS). Manufacturers of battery thermal management systems are constantly experimenting with new materials, designs, arrangements, and technologies to enhance the durability and longevity of powertrain technology. Energy consumption of automotive electrical equipment poses a challenge for battery manufacturers. The adoption of the latest energy-efficient technologies is likely to be facilitated by stringent emission regulations, which will encourage leading battery manufacturers to upgrade their systems.
Source: Secondary Research, Primary Research, MRFR Database and Analyst Review
Various government authorities around the world have undertaken numerous initiatives to encourage the sales of electric vehicles. For instance, the US federal government is offering incentives such as tax breaks, fleet acquisition, manufacturing support, and R&D funding. Similarly, the Indian government is actively promoting the adoption of electric vehicles by providing incentives for building charging infrastructure, manufacturing EV batteries domestically, and producing electric components. Moreover, several governing bodies in emerging economies are implementing strategic policies to transition from internal combustion engines (ICE) to electric vehicles, in order to improve the air quality in densely populated areas. Therefore, the favorable government initiatives are anticipated to boost the growth of the automotive battery thermal management market in the forecast period.
The increasing preference for advanced technology-based vehicles, particularly those that are lightweight, is expected to fuel the growth of the automotive battery thermal management market. Industry leaders and customers alike tend to favor the use of lithium-ion battery technology in vehicles for various applications, given its higher energy density, longer battery life cycle, and superior resilience. Similarly, companies rely on these batteries in thermal battery management systems to ensure proper functioning and safety. Automakers have started to incorporate these batteries in various applications such as electronic devices, EVs, and industrial machinery. Furthermore, these batteries can detect various types of malfunctions, such as excessive temperature rise and electric leaks, as well as monitor the state of charge at different temperatures in the charging/discharging environment. The COVID-19 pandemic has prompted many developing countries, including India, to encourage local production of li-ion batteries and automotive battery thermal management systems. As a result, countries are now moving towards local production of all components and raw materials, rather than relying on China for Li-ion batteries, electronic components, and other requirements. These steps, along with supportive government policies and infrastructure development, are expected to drive the demand for the Battery Thermal Management market in the coming years.
The Automotive Battery Thermal Management Market is segmented based on its application into Air, Liquid, Phase Change Material, and Thermo Electrics. The Liquid segment is projected to have the highest CAGR and dominate the Automotive Battery Thermal Management market share during the forecast period. The liquid battery cooling system relies on a flat heat pipe and offers an excellent thermal management effect on a single battery pack, making it the most efficient way to dissipate heat from the battery pack. Liquid coolants have higher heat capacity and conductivity than air, making them the optimal choice for maintaining battery temperature. Thermal management systems mainly use two types of liquids: direct-contact and indirect-contact liquid. Direct-contact liquids, such as mineral oil, come into direct contact with battery cells, while indirect-contact liquids, like a mixture of water and ethylene glycol, contact battery cells indirectly
January 2021: Robert Bosch GmbH utilized intelligent thermal management to increase the range of electric vehicles by up to 25%. To accomplish this, the company combined a heat pump with innovative coolant pumps and valves, enabling precise distribution of heat and cold within the vehicle
The Automotive Battery Thermal Management Market is segmented based on applications into Hybrid Electric Vehicles, Battery Electric Vehicles, Plug-in Hybrid Electric Vehicles, and Fuel Cell Vehicles. The Hybrid Electric Vehicles segment is projected to have the highest CAGR and dominate the Automotive Battery Thermal Management market share during the forecast period. Hybrid Electric Vehicles use a combination of fuel injection and electricity to operate, with the battery helping to use fuel more efficiently while being recharged by the fuel. These vehicles cannot be charged via a plug but rely on regenerative braking and internal combustion engines for recharging. Modern hybrid vehicles come equipped with technologies such as regenerative brakes and start-stop systems to improve their efficiency. The increasing focus on reducing emission levels and improving vehicle fuel economy is driving the demand for hybrid electric vehicles. For example, the Road and Transport Authority of Dubai has announced plans to convert 50% of the emirate's taxis to hybrid vehicles by 2021.
Figure 2: Automotive Battery Thermal Management Market, by Propulsion, 2022 & 2030 (USD Billion)
Source: Secondary Research, Primary Research, MRFR Database and Analyst Review
The Automotive Battery Thermal Management Market is segmented into North America, Europe, Asia-Pacific, Middle East & Africa, and South America regions. Asia-Pacific is projected to hold the largest revenue market share during the forecast period. This region is the largest Automotive Battery Thermal Management market for automobiles and comprises both emerging and developed economies. With a high focus on reducing carbon emissions and electrifying transportation, the use of electric vehicles in Asia-Pacific is prevalent. Governments have incentivized the adoption of electric vehicles through subsidies and tax exemptions, further driving the growth of the automotive battery thermal management market in the region.
Figure 3: Automotive Battery Thermal Management Market Share By Region 2022 (%)
Source: Secondary Research, Primary Research, MRFR Database and Analyst Review
In Europe, the European Union (EU) is leading the development of a sustainable circular economy and carbon-free transport system. The manufacturers in Europe have adopted two different approaches for developing electric vehicle models: conversion and purpose. The "conversion" approach involves incorporating new technology such as electric motors and batteries into existing models, while the "purpose" approach involves developing new vehicles that incorporate the latest technologies. These approaches allow manufacturers to install electric drives in cars, driving the growth of the European automotive battery thermal management market. Additionally, the EU has regulated two policies to regulate average CO2 emissions for new passenger vehicles and vans.
Major market players are spending a lot of money on R&D to increase their product lines, which will help the Automotive Battery Thermal Management market grow even more. The Automotive Battery Thermal Management Market participants are also taking a range of strategic initiatives to grow their worldwide footprint, including new product launches, contractual agreements, mergers and acquisitions, increased investments, and collaboration with other organizations. Competitors in the automotive battery thermal management industry must offer cost-effective items to expand and survive in an increasingly competitive and rising market environment. The automotive battery thermal management market is characterized by intense competition, with players vying for greater market share. The market is challenged by factors such as rapid technological advancements, changes in government policies, and strict environmental regulations, which could impede its growth. In this competitive landscape, vendors are competing based on product quality, reliability, cost, and aftermarket services. To remain viable and thrive in this environment, vendors must deliver products that are both cost-effective and efficient.
Hanon system is the world’s leading automotive supplier and expertise in automotive battery thermal management solution supplier company. The company has pioneered in providing a wide product portfolio specializing in thermal and energy management. The company started offering its wide range of products, including thermal battery management, to support vehicle manufacturers supplying electric, fuel cell, hybrid, and autonomous vehicles to the Automotive Battery Thermal Management market.
In September 2023, Marelli, a worldwide supplier, introduced a new line of versatile intelligent actuators specifically designed for electric vehicles. These intelligent actuators are specifically engineered to streamline the process of activating intricate vehicle features. With the anticipation of future cars incorporating over 100 actuators serving various missions and purposes, this technology offers car manufacturers a means to simplify complexity and facilitate integration within the mechanical and electronic systems of vehicles. Marelli's latest intelligent actuators feature an independent electronic module that effectively manages the actuator and establishes a connection with the vehicle's electrical network. The device features a versatile, adaptable, and expandable mechanical architecture to accommodate intricate vehicle electronics and gearbox setups. Additionally, it incorporates software administration that facilitates seamless integration. According to Marelli, the total solution enables easy customization and installation in the car. It has a very small dimension and is lightweight. Additionally, it has on-board diagnostics and is prepared for cyber security.
In October 2022, TotalEnergies and Valeo have entered into an agreement to collaborate on the development of a cutting-edge method for cooling electric vehicle batteries. This method involves the use of a new and highly efficient dielectric fluid. This innovation would not only enhance the utilization of electric vehicles but also diminish their carbon emissions. Current technological limitations prevent the utilization of fluids for internal battery cooling. TotalEnergies has created a novel dielectric coolant that can directly interface with battery cells. Valeo will utilize its specialized knowledge in thermal systems to develop and construct an optimal solution for integrating the coolant into the battery pack of electric vehicles. This will enhance performance by ensuring that the battery is conditioned at the ideal temperature. The research undertaken under the agreement will allow Valeo to decrease the weight of the thermal systems utilized for cooling vehicle batteries. This will significantly enhance the overall weight, travel range, and carbon footprint of electric vehicles. Additionally, it will enhance safety measures in response to the risk of battery fires.
November 2022: Denso Corp. released a new LD9 electric thermal management unit for buses and coaches with zero emissions during the Bus & Coach Expo in Sydney, Australia.
August 2022: BorgWarner Inc. secured two contracts in August 2022, one from a global automaker and the other from a Chinese automaker, to supply its state-of-the-art High-Voltage Coolant Heater (HVCH) technology for their upcoming electric vehicle (EV) models.
April 2022: Apr 2022: Hanon Systems announced to relocate its manufacturing facility in Turkey from Gebze to Dilovasi.
| Report Attribute/Metric | Details |
| Market Size 2022 | USD 3.12 billion |
| Market Size 2023 | USD 3.59 billion |
| Market Size 2030 | USD 6.27 billion |
| Compound Annual Growth Rate (CAGR) | 13.02% (2023-2030) |
| Base Year | 2022 |
| Forecast Period | 2023-2030 |
| Historical Data | 2018 & 2020 |
| Forecast Units | Value (USD Billion) |
| Report Coverage | Revenue Forecast, Competitive Landscape, Growth Factors, and Trends |
| Segments Covered | By Technology, Propulsion, Vehicle Type and Region |
| Geographies Covered | North America, Europe, Asia Pacific, and Middle East & Africa, and South America |
| Countries Covered | The U.S, Canada, Germany, France, UK, Italy, Spain, China, Japan, India, Australia, South Korea, and Brazil |
| Key Companies Profiled | LG Chem (South Korea), Continental (Germany), GenTherm (U.S.), Robert Bosch (Germany), Valeo (France), Calsonic Kansei (Japan), DANA (U.S.), Hanon Systems (Korea), Samsung SDI (Korea), Mahle (Germany), VOSS Automotive (Germany), CapTherm Systems (Canada) among others |
| Key Market Opportunities | Increase In Demand For Electric Vehicles |
| Key Market Dynamics | Increasing Fuel Prices Government Initiatives |
Automotive Battery Thermal Management System Market Highlights:
Frequently Asked Questions (FAQ) :
The Automotive Battery Thermal Management Market size is projected to be worth USD 6.27 billion by 2030, registering a CAGR of 13.02% during the forecast period (2022–2030)
The Automotive Battery Thermal Management Market would register a growth of ~13.02% during the forecast period.
Asia Pacific was the largest region in the Automotive Battery Thermal Management Market
LG Chem (South Korea), Continental (Germany), GenTherm (U.S.), Robert Bosch (Germany), Valeo (France) are the key players in the market
The growing popularity of electric vehicles, strict laws governing vehicle safety and emissions, improvements in battery technology, and the requirement to increase battery lifespan and range are some of the factors propelling the market's expansion.
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Team Lead - Research With a technical background as bachelor's in mechanical engineering, with mba in operations management , swapnil has 6+ years of experience in market research, consulting and analytics with the tasks of data mining, analysis, and project execution. he is the poc for our clients, for their consulting projects running under the automotive/a&d domain. swapnil has worked on major projects in verticals such as aerospace & defense, automotive and many other domain projects. he has worked on projects for fortune 500 companies' syndicate and consulting projects along with several government projects.
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