Automotive Thermal Management System Market Research Report Information By Component (Compressor, HVAC, Powertrain cooling, and Fluid Transport), By Vehicle Type (Passenger vehicles and Commercial vehicles), By Application (Front & rear A/C, Engine and Transmission, Seat, Battery, Motor, Waste heat recovery, and Power Electronics), And By Region – Market Forecast Till 2030

Automotive Thermal Management System Market Overview:

Automotive Thermal Management System Market Size was valued at USD 43.8 billion in 2021. The Automotive Thermal Management System market industry is projected to grow from USD 45.52 Billion in 2022 to USD 59.94 billion by 2030, exhibiting a compound annual growth rate (CAGR) of 4.0% during the forecast period (2022 - 2030). The rising need for better ride quality and heat insulation for cabin comfort is greatly emphasized in the automotive industry, leading to a much higher demand for thermal management systems are the key market drivers enhancing the market growth.

Source: Secondary Research, Primary Research, MRFR Database and Analyst Review

Automotive Thermal Management System Market Trends

Growing electrical and electronic components in vehicles to boost market growth

The ever-increasing number of electrical and electronic components inside vehicles also drives the need for better thermal management systems due to heat dissipation. Over the long term, as the automotive industry moves to electric mobility, thermal management systems for IC engines are expected to go completely obsolete. However, the increasing number of heavy-duty electrical components, such as heavy-duty batteries and high-current motors, is expected to continue keeping the high demand in these aspects. With increasing automation and powertrain electrification, the demand for electrical and electronic components exponentially increased, in both passenger cars and commercial vehicles, in the automotive industry.

Major original equipment manufacturers are focusing on the development of thermal management systems to offer the best possible travel range for their electric fleet. For instance,In December 2021, Volvo tested its new thermal management system that pre-heats a truck’s batteries using electrical components and electronic control units. The thermal system ensures the temperature is maintained under extreme weather conditions, thus increasing their demand to a large extent. Therefore, such medical condition has enhanced the Automotive Thermal Management System market CAGR across the globe in the recent years.

However, the increasing installation of advanced driver-assistance system in vehicles is another factor driving the growth of the Automotive Thermal Management System market revenue.

Automotive Thermal Management System Market Segment Insights:

Automotive Thermal Management System Component Insights

The global Automotive Thermal Management System market segmentation, based on Component, includes compressor, HVAC, powertrain cooling, and fluid transport. The compressor segment held the majority share in 2021 contribution to around ~45% in respect to the global Automotive Thermal Management System market revenue. The increased adoption of compressors in the A/C systems to absorb the heated air inside the cabin of the automobile is one of the major factors driving the growth of the market.

Automotive Thermal Management System Vehicle Type Insights

The global Automotive Thermal Management System market segmentation, based Vehicle Type, includes passenger vehicles and commercial vehicles. The passenger vehicles segment dominated the market in 2021 and is projected to be the faster-growing segment during the forecast period, 2022-2030. The demand for the passenger segment is anticipated to be driven by the rising demand for alternative fuel vehicles in the segment as well as favourable government policies and subsidies. Hence, rising applications for Automotive Thermal Management System positively impacts the market growth.

Figure 2: Automotive Thermal Management System Market, by Vehicle Type, 2021 & 2030 (USD Million)

Source: Secondary Research, Primary Research, MRFR Database and Analyst Review

Automotive Thermal Management System Application Insights

The global Automotive Thermal Management System market data has been bifurcated by application into front & rear A/C, engine and transmission, seat, battery, motor, waste heat recovery, and power electronics. The waste heat recovery segment dominated the market in 2021 and is projected to be the faster-growing segment during the forecast period, 2022-2030. Factors such as increased sales of commercial vehicles and implementation of exhaust gas recirculation (EGR) and turbochargers as standard fitments and owing to the increased emission norms, waste heat recovery technology is implemented in gasoline vehicles, these are some of the major factors driving the growth of the market.

Automotive Thermal Management System Regional Insights

By Region, the study provides the market insights into North America, Europe, Asia-Pacific and Rest of the World. North America Automotive Thermal Management System market accounted for USD 18.7 billion in 2021 and is expected to exhibit a significant CAGR growth during the study period. The factors such as increased demand for commercial vehicles and increase government norms towards emissions are expected to drive the market growth. Europe is expected to account for a considerable share in the market and it is expected to grow rapidly over the forecast period the factors such as the presence of major market players in the market and increased adoption of luxury passenger vehicles are expected to drive the market growth.

Further, the major countries studied in the market report are: The U.S, Canada, Germany, France, UK, Italy, Spain, China, Japan, India, Australia, South Korea, and Brazil.

Figure 3: Automotive Thermal Management System Market Share By Region 2021 (%)

Source: Secondary Research, Primary Research, MRFR Database and Analyst Review

Europe Automotive Thermal Management System market accounts for the second-largest market share. This is because there are reputable automotive manufacturers including Robert Bosch, VOSS Automotive and Valeo who are concentrating on creating cutting-edge thermal management technologies. Further, the Germany Automotive Thermal Management System market held the largest market share, and the UK Automotive Thermal Management System market was the fastest growing market in the European region.

The Asia-Pacific Automotive Thermal Management System Market is expected to grow at the fastest CAGR from 2022 to 2030. Factors such as increased sales of passenger vehicles, increase in per capita income, and several cost advantages due to low labour costs are expected to drive the market growth. Moreover, China Automotive Thermal Management System market held the largest market share, and the India Automotive Thermal Management System market was the fastest growing market in the Asia-Pacific region.

Automotive Thermal Management System Key Market Players & Competitive Insights

Major market players are spending a lot of money on R&D to increase their product lines, which will help the Automotive Thermal Management System market grow even more. Market participants are also taking a range of strategic initiatives to grow their worldwide footprint, with key market developments such as new product launches, contractual agreements, mergers and acquisitions, increased investments, and collaboration with other organizations. Competitors in the Automotive Thermal Management System industry must offer cost-effective items to expand and survive in an increasingly competitive and rising market environment.

One of the primary business strategies adopted by manufacturers in the global Automotive Thermal Management System industry to benefit clients and expand the market sector is to manufacture locally to reduce operating costs. In recent years, Automotive Thermal Management System industry has provided medicine with some of the most significant benefits. The Automotive Thermal Management System market major player such Schaeffler Group, Matter, Denso Corp and others are working to expand the market demand by investing in research and development activities.

Matter is an innovation-intensive start-up creating futuristic electric vehicles platforms and energy storage solutions. In March 2022, the development of a new high-speed mid-torque electric motor was revealed by Matter, an Ahmedabad-based technological innovation start-up focusing on delivering futuristic sustainable solutions. The company says that Matter Drive 1.0 Motor is a new intelligent drive train that includes a variety of significant breakthroughs, such as the Integrated Intelligent Thermal Management System.

Also, DENSO Corporation is a global automotive components manufacturer headquartered in the city of Kariya, Aichi Prefecture, Japan.  In November 2022, Denso Corp. launched a new LD9 electric zero emissions thermal management unit for buses and coaches at Bus & Coach Expo in Sydney, Australia.

List of the Key Companies in the Automotive Thermal Management System market includes

• Denso Corporation (Japan)


• Modine Manufacturing Company (US)


• MAHLE GmbH (Germany)


• Valeo (France)


• Gentherm (US)


• Hanon Systems (South Korea)


• DuPont (US)


• Continental AG (Germany)


• Renesas Electronics Corporation (Japan)


• Ymer Technology (Sweden)


• NORMA Group (Germany)


• BorgWarner Inc. (US)


• Robert Bosch GmbH (Germany)


• Dana Limited (US)


• VOSS Automotive GmbH (Germany) among others

Automotive Thermal Management System Industry Developments

October 2022: TotalEnergies and Valeo announce that they have signed an agreement to develop an innovative way of cooling electric vehicle batteries using a new, very high-performance dielectric1 fluid. Not only would this innovation improve the way electric vehicles are used, but it would also reduce their carbon footprint

August 2022: Mahle received a loan of EUR 300 million (USD 312 million) from the European Investment bank to develop technologies, including electric motors, battery components, power electronics, thermal management, and hydrogen fuel cell components for electric, hybrid, and fuel cell vehicles.

April 2020: Denso Corp. won contracts to supply Toyota and Subaru’s all-new, all-electric bZ4X and SOLTERRA with key electrification components, including thermal management systems like heat pump systems and radiant heating systems. Toyota electric bZ4X will be launched in May 2022, while Subaru SOLTERRA was expected to debut in mid-2022.

Automotive Thermal Management System Market Segmentation:

Automotive Thermal Management System Component Outlook

• Compressor


• HVAC


• Powertrain


• Cooling


• Fluid Transport

Automotive Thermal Management System Vehicle Type Outlook

• Passenger vehicles


• Commercial vehicles

Automotive Thermal Management System Application Outlook

• Front & rear A/C


• Engine and Transmission


• SeatBattery


• Motor


• Waste heat recovery

Automotive Thermal Management System Regional Outlook

• 
  North America
  
  
  
  • US
  
  
  • Canada
  
  
  
  


• 
  Europe
  
  
  
  • Germany
  
  
  • France
  
  
  • UK
  
  
  • Italy
  
  
  • Spain
  
  
  • Rest of Europe
  
  
  
  


• 
  Asia-Pacific
  
  
  
  • China
  
  
  • Japan
  
  
  • India
  
  
  • Australia
  
  
  • South Korea
  
  
  • Australia
  
  
  • Rest of Asia-Pacific
  
  
  
  


• 
  Rest of the World
  
  
  
  • Middle East
  
  
  • Africa
  
  
  • Latin America
  
  
  
  

Report Scope:

Report Attribute/Metric	Details
Market Size 2021	USD 43.8 billion
Market Size 2022	USD 45.52 billion
Market Size 2030	USD 59.94 billion
Compound Annual Growth Rate (CAGR)	4.0% (2022-2030)
Base Year	2021
Market Forecast Period	2022-2030
Historical Data	2018 & 2020
Market Forecast Units	Value (USD Billion)
Report Coverage	Revenue Forecast, Market Competitive Landscape, Growth Factors, and Trends
Segments Covered	Component, Vehicle Type, Application and region.
Geographies Covered	North America, Europe, Asia Pacific, and Rest of the World
Countries Covered	The U.S, Canada, Germany, France, UK, Italy, Spain, China, Japan, India, Australia, South Korea, and Brazil
Key Companies Profiled	Denso Corporation (Japan), Modine Manufacturing Company (US), MAHLE GmbH (Germany), Valeo (France), Gentherm (US), Hanon Systems (South Korea), DuPont (US), Continental AG (Germany), Renesas Electronics Corporation (Japan), Ymer Technology (Sweden), NORMA Group (Germany), BorgWarner Inc. (US), Robert Bosch GmbH (Germany), Dana Limited (US), and VOSS Automotive GmbH (Germany)
Key Market Opportunities	increased government backing and support Increased presence of major manufacturers
Key Market Dynamics	Growing investments on research & development to promote the vehicle advanced technologies and increased presence of major manufacturers

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