The Global Automotive Turbocharger Market is expected to grow from $12.2B USD in 2020 to $24.5B USD by 2027, at a CAGR of 10.5%.
The improved engine performance and fuel efficiency are expected to propel the automotive turbocharger growth during the forecast period. In a modern scenario, fuel efficiency is the most important issue among customers as fuel prices are skyrocketing on a normal basis, attributable to the restricted availability of fuel. The performance of automobiles additionally relies upon the engine. Hence, car producers are compelled to fabricate efficient engines, which could fulfil each necessity and deliver improved performance and fuel efficiency at the same time. Turbochargers are usually turbo-boosted engines that might be compact and mainly designed to grow fuel performance in compliance with the Corporate Average Fuel Economy (CAFÉ) standards that are relevant throughout the globe. In addition, these chargers provide numerous advantages, such as multiplied air consumption in the combustion chamber, excessive engine overall performance, and reuse of exhausted air. Turbochargers work excellent in high-speed engines and do not require any energy source to operate. Hence, improved engine overall performance and fuel efficiency are taken into consideration as one of the top drivers for the global automotive turbocharger market growth.
The growing trend of engine downsizing to reduce the vehicle weight is one of the prominent factors driving the automotive turbocharger market growth. The continuous growth of turbochargers is predominantly pushed through a heightened demand for automobile producers to come across environmental emission regulations. It is similarly supported by accelerated manufacturing of vehicles, ships, and aircraft across the globe. Moreover, the engine downsizing trend is on a rise, because of the growing difficulty of automobile weight. Currently, fuel economy standards together with better performance have caused the market growth as lightweight alloys are utilized in the production of turbochargers to reduce fuel consumption. Moreover, turbochargers are very compact, therefore assisting to reduce engine and overall vehicle size.
The development of electric turbochargers by prominent players such as Garrett Motion, BorgWarner, and Continental AG provides the lucrative opportunity for the growth of the automotive turbocharger market during the forecast period. These players are successful in launching their 48V e-turbos in the market. Thus, proliferating the demand for automotive turbocharger market.
The key players operating in the automotive turbocharger market are:
- BorgWarner Inc.
- BMTS TECHNOLOGY
- Banks Power
- Honeywell International Inc.
- Cummins Inc.
- IHI Corporation
- MITSUBISHI HEAVY INDUSTRIES, LTD.
- Precision Turbo & Engine
- THE TURBO ENGINEERS GmbH
- TURBO ENERGY PRIVATE LIMITED
- Turbonetics, Inc.
- Magnum Performance Turbos
- GARRETT MOTION INC.
Global Automotive Turbocharger Market by Region Outlook (Revenue, USD Million, 2021-2027)
- North America
- Asia Pacific
- Latin America
- Middle East & Africa
In terms of geography, Europe is anticipated to witness the largest revenue share during the forecast period owing to the prominent players in the automotive industries such as Germany, France, Italy, and Spain. Moreover, the stringent regulation that is imposed by the government in the region supports the growth of the market in the region. For instance, according to the report published by ‘Continental AG’ in 2020, The European Union maintains its focus on achieving the Greenhouse Gas emission reductions planned for the second commitment period of the Kyoto protocol for 2013 to 2020 with the target to achieve in 2020, 20% of GHG reduction compared to the base year 1990. Thus, these facts support the growth of the automotive turbocharger market during the forecast period.
The Global Automotive Turbocharger Industry Segmentation:
Global Automotive Turbocharger Market by Vehicle Type Industry Outlook (Revenue, USD Million, 2021-2027)
- Passenger Car
- Light Commercial Vehicle
- Heavy Commercial Vehicle
Global Automotive Turbocharger Market by Fuel Type Industry Outlook (Revenue, USD Million, 2021-2027)
Global Automotive Turbocharger Market by Technology Type Industry Outlook (Revenue, USD Million, 2021-2027)
- Variable Geometry Turbocharger
- Wastegate Turbocharger
- Electric Turbocharger
Key findings in the report include:
- Based on the vehicle type, the heavy commercial vehicle segment is expected to have notable growth during the forecast period
- Based on the technology type, the VGT segment grew at the highest CAGR during the forecast period
- Based on region, Europe is anticipated to witness the largest revenue share during the forecast period
- In May 2021, BorgWarner (USA) entered into a global agreement to supply its advanced eTurbo to a major European OEM for high-voltage hybrid passenger cars.
- In October 2019, Garrett Motion Inc. (Switzerland) developed E-Turbo for mass-market passenger automobiles that add a small electric powered motor at the shaft among wheels to reinforce the turbo immediately off idle. This removes lags among the times a driver hits the accelerator and felt acceleration. Electrification eliminates design constraints, prioritizing turbine performance at low engine speeds to drive the compressor.