Europe Automotive Turbocharger Market Outlook, 2030

The European automotive turbocharger market has experienced significant growth over recent decades, propelled by a mix of technological progress, regulatory demands, and evolving consumer desires. Traditionally, turbochargers were mainly utilized in high-performance sports vehicles, but gradually, their use extended to various vehicle categories, including compact cars, sedans, and SUVs. The rising need for fuel-efficient automobiles, along with the necessity to comply with strict emissions regulations, significantly influenced the widespread integration of turbochargers in Europe.

The implementation of more rigorous European Union (EU) regulations on carbon emissions, such as the EU's Euro 6 standards, further boosted the prevalence of turbocharged engines. Turbochargers assist manufacturers in achieving greater fuel efficiency and reduced emissions while preserving engine performance, rendering them an optimal solution for adhering to these regulations. Throughout the years, European automotive manufacturers, including Volkswagen, BMW, and Mercedes-Benz, have made considerable investments in turbocharging technology and now provide turbocharged engines in numerous models. This transition was mainly driven by the demand for smaller engines with enhanced fuel efficiency, which turbochargers facilitate by boosting power output without enlarging engine size. Additionally, the surge in the popularity of diesel engines in Europe, particularly within commercial vehicles, significantly accelerated turbocharger utilization due to the necessity for greater airflow and combustion efficiency in diesel engines, where turbochargers are essential. As the market evolves, new technologies such as Variable Geometry Turbochargers (VGTs) and twin-turbo systems have gained popularity in the European market, delivering improved performance and efficiency. The increasing interest in electric and hybrid vehicles has also prompted the creation of electric turbochargers and hybrid powertrains that merge the advantages of conventional turbocharging with electric motor support. The market is projected to keep expanding, driven by continuous innovation and the shift towards greener transportation alternatives.

According to the research report, 'Europe Automotive Turbocharger Market Outlook, 2030,', the Europe Automotive Turbocharger market is anticipated to add to more than USD 1.60 Billion by 2025-30. The European automotive turbocharger market offers a variety of opportunities, mainly fueled by the growing demand for vehicles that are fuel-efficient and have low emissions. As rules regarding fuel efficiency and carbon emissions tighten, turbochargers provide a viable answer for car manufacturers to downsize engines while still maintaining power.

This is especially significant with the increase in electric and hybrid vehicles, where turbochargers can enhance electric powertrains to boost overall efficiency and performance. Moreover, the rising trend of eco-aware consumers is driving the demand for turbocharged engines in compact and midsize cars, which further broadens market possibilities. In addition, advancements in turbocharging technologies, such as Variable Geometry Turbochargers (VGT) and electric turbochargers, create new opportunities for enhanced performance and fuel efficiency. A primary challenge encountered by the European automotive turbocharger market is the elevated cost associated with advanced turbocharging technologies. The innovation of new turbocharger designs, including electric turbochargers, and their incorporation into hybrid and electric vehicles can entail high expenses, which may dissuade smaller manufacturers from embracing them. Additionally, the increasing competition from alternative powertrains, such as fully electric vehicles, presents a challenge for turbocharged internal combustion engine (ICE) vehicles. As the automotive sector prioritizes sustainable mobility, the transition towards electric and hydrogen-powered vehicles could diminish the dependence on turbocharged engines over the long haul. The appetite for turbochargers in Europe is predominantly driven by the requirement for enhanced engine efficiency, reduced emissions, and heightened consumer inclination towards high-performance vehicles. More stringent EU emissions regulations, including the Euro 6 standards, continue to promote the adoption of turbocharging technology in both gasoline and diesel cars. The rising popularity of SUVs and light-duty trucks, which greatly benefit from turbocharged engines, also aids in the market's expansion. Turbochargers initially rose to prominence in Europe during the 1980s when automobile manufacturers started implementing them to enhance fuel efficiency in small-displacement engines.

Market Drivers

Stringent Emissions Regulations: The European Union (EU) has established some of the most rigorous emissions regulations worldwide, including the Euro 6 standards, which seek to decrease carbon dioxide (CO2) and nitrogen oxide (NOx) emissions. This regulatory framework has compelled automakers to incorporate turbochargers in their vehicles to comply with these strict requirements. Turbocharging enables manufacturers to downsize engines while preserving performance, offering a more fuel-efficient alternative that produces fewer emissions. Turbochargers enhance engine efficiency by forcing additional air into the engine, facilitating better fuel combustion and reduced emissions without compromising power. As these emissions standards become increasingly stringent, the demand for turbocharged engines is anticipated to grow.

Consumer Demand for Performance and Efficiency: Consumer inclinations for vehicles that provide a combination of performance and fuel efficiency have greatly influenced the expansion of the automotive turbocharger market in Europe. With the rising popularity of SUVs, sedans, and even compact cars, turbochargers represent an effective means to achieve high performance while augmenting fuel economy. Turbocharged engines can offer superior power output with a smaller engine size, making them a desirable choice for consumers looking to lower fuel expenses without forfeiting the driving experience. As environmental consciousness increases, consumers are also choosing turbocharged engines to decrease their carbon footprint while benefiting from enhanced driving dynamics.

Market Challenges

Cost of Advanced Turbocharger Technologies: The creation and incorporation of advanced turbocharging technologies, such as Variable Geometry Turbochargers (VGTs) and electric turbochargers, can notably escalate the overall cost of the engine. Although these advancements provide enhanced performance and fuel efficiency, they are pricier to manufacture and maintain. This financial strain can pose a challenge for smaller manufacturers and may result in elevated prices for consumers. Furthermore, the incorporation of these advanced technologies into vehicles necessitates more intricate engineering, further raising the production costs. Manufacturers must reconcile the expense of these technologies with consumer demands for economical vehicles.

Competition from Electric and Hybrid Vehicles: As the automotive sector shifts toward electric and hybrid vehicles, the demand for turbocharged internal combustion engine (ICE) vehicles is experiencing potential long-term stagnation. Electric vehicles (EVs) generate zero emissions and are increasingly preferred in European markets, driven by government incentives and rising environmental concerns. This transition to EVs could diminish the dependence on conventional turbocharged engines in favor of electric powertrains, presenting a challenge to the future advancement of the turbocharger market.

Market Trends

Integration of Turbochargers in Hybrid and Electric Powertrains: As hybrid and electric vehicles gain popularity, turbochargers are being more frequently integrated into these powertrains to improve performance. For instance, turbochargers are utilized in hybrid vehicles to boost power output while ensuring energy efficiency is maintained. Electric turbochargers are becoming a notable trend in the automotive industry, as they can deliver instant response and enhance engine efficiency further. These advancements are aiding turbochargers in adjusting to the evolving automotive environment, enabling manufacturers to keep providing hybrid options that balance both power and fuel economy.

Adoption of Multi-Turbo Systems: There is an increasing trend in Europe towards multi-turbo systems, such as twin-turbo and tri-turbo configurations, which offer superior levels of performance and efficiency. Multi-turbocharged engines provide advantages such as diminished turbo lag, improved throttle response, and heightened power output. Manufacturers are more frequently employing these systems in high-performance vehicles like sports cars and luxury sedans to satisfy consumer desires for both power and efficiency. These sophisticated turbocharging systems are anticipated to become more widespread in the European automotive market, addressing the needs of consumers who seek an enhanced driving experience along with reduced emissions and better fuel efficiency.

The electric turbocharger is expanding in the European automotive turbocharger market due to its capability to eradicate turbo lag, enhance engine responsiveness, and seamlessly integrate with hybrid and electric vehicle powertrains.

The electric turbocharger is quickly gaining popularity in the European automotive turbocharger market because of its potential to significantly improve engine performance and efficiency. In contrast to conventional turbochargers, which depend on exhaust gases to turn the turbine, electric turbochargers employ an electric motor to rotate the turbine. This advancement helps to remove turbo lag, a frequent problem in traditional turbocharged engines where there is a delay between acceleration and the beginning of turbo boost. The lack of lag provides a more immediate power response, delivering a smoother and more dynamic driving experience.

As the automotive sector transitions toward electrification, the interest in electric turbochargers has increased, particularly in hybrid and mild-hybrid vehicles. Electric turbochargers can easily work with electric powertrains, where the electric motor aids the turbo in enhancing engine efficiency and performance. This is especially advantageous in hybrid systems, where the electric motor can offer a boost during low-speed operation or in high-load situations, optimizing both fuel economy and power delivery. Moreover, with rising consumer interest in more fuel-efficient and lower-emission vehicles, electric turbochargers are highly appreciated because they aid in improving the overall thermal efficiency of the engine. This results in reduced fuel consumption and decreased CO2 emissions, in line with the strict environmental regulations set by the European Union. As car manufacturers in Europe aim to comply with the Euro 6 and upcoming Euro 7 emission standards, the incorporation of electric turbochargers is regarded as a vital technology to enhance engine performance while adhering to regulatory requirements. The electric turbocharger is anticipated to be instrumental in the future of European automotive engines, especially as the sector continues to adopt hybrid and electric vehicle technologies.

The expansion of commercial and passenger vehicles within the European automotive turbocharger market is fueled by the rising need for fuel-efficient, high-performance engines that adhere to strict emissions standards.

Both commercial and passenger vehicles are undergoing notable growth in the European automotive turbocharger market due to the persistent demand for enhanced fuel efficiency, lower emissions, and improved engine performance. In passenger vehicles, the popularity of turbocharged engines has been spurred by consumers' wishes for compact, more efficient engines that provide both power and fuel savings. Turbochargers enable manufacturers to reduce engine size without sacrificing or even boosting performance levels, offering a fuel-efficient option that does not compromise the driving experience.

This trend corresponds with the increasing consumer appetite for vehicles that offer a balance of performance and eco-friendliness, a synergy that turbochargers successfully achieve. For commercial vehicles, the transition toward turbocharged engines is primarily driven by the necessity to comply with the European Union's rigorous environmental regulations, including the Euro 6 emissions guidelines. Turbocharging enhances engine performance while improving fuel economy and decreasing harmful emissions, positioning it as a vital technology for commercial fleet operators aiming to lower fuel expenses and ensure adherence to regulations. This is especially critical in the transport industry, where fuel expenditure constitutes a significant operational cost, and improvements in efficiency have a direct effect on profitability. Furthermore, the demand for lighter, more fuel-efficient vehicles across both passenger and commercial categories has accelerated the uptake of turbocharged engines in Europe. The capability to generate more power with a smaller, lighter engine is essential for enhancing fuel economy without compromising vehicle capacity or performance. As the automotive sector becomes increasingly committed to sustainability and performance advancement, turbochargers are evolving into a standard component in both passenger and commercial vehicles, propelling their growth in the European landscape. This dual-market need illustrates the ongoing significance of turbochargers in fulfilling both regulatory and consumer demands for efficiency and power.

Diesel is currently the most rapidly advancing fuel type within the European automotive turbocharger market owing to its enhanced fuel efficiency and the rising demand for low-emission diesel engines.

Diesel-fueled vehicles are witnessing considerable expansion in the European automotive turbocharger market, mainly due to the fuel’s inherent efficiency and the European regulatory emphasis on lowering CO2 emissions. Diesel engines have long been acknowledged for their superior fuel economy and greater torque output relative to gasoline engines, rendering them particularly attractive for both commercial and passenger vehicles. Turbochargers improve the performance of diesel engines by forcing additional air into the combustion chamber, which allows for increased fuel combustion and more power generation from a smaller engine. This leads to better fuel efficiency without sacrificing engine performance.

In Europe, diesel engines are especially favored in commercial vehicles, including trucks and buses, due to their capability to deliver high torque and long-distance efficiency. This is vital in the commercial transport industry, where fuel usage significantly influences operational expenses. The demand for fuel-efficient commercial vehicles that fulfill strict environmental regulations serves as a motivating factor behind the rising incorporation of turbochargers in diesel engines. Turbocharging assists diesel engines in complying with the Euro 6 emission regulations by improving combustion efficiency and minimizing nitrogen oxide (NOx) emissions. Moreover, diesel engines are being increasingly embraced in passenger vehicles as well, particularly in areas with elevated fuel taxes, such as Europe. Consumers seeking vehicles with enhanced fuel economy are opting for diesel-powered alternatives that provide a more extended driving range and reduced fuel expenses, particularly in larger vehicles and SUVs. With the ongoing emphasis on diminishing vehicle emissions and enhancing fuel efficiency, the diesel turbocharger sector in Europe is set for additional growth, as it continues to play a crucial role in fulfilling both performance and environmental requirements.

The Aftermarket sales channel is expanding in the European automotive turbocharger market due to the increasing age of vehicles, the demand for replacement turbochargers, and the growth in vehicle maintenance and repairs.

The Aftermarket sales channel within the European automotive turbocharger market is rapidly developing due to multiple factors, such as the rising age of vehicles on the roads, the increasing necessity for replacement turbochargers, and consumers' heightened emphasis on vehicle upkeep. As more turbocharged vehicles remain in service for extended durations, the demand for replacement components, including turbochargers, has intensified. This pattern is especially prominent in Europe, where the average age of vehicles is climbing, resulting in a consistent market for aftermarket turbochargers. Alongside vehicle aging, turbochargers tend to experience wear and tear over time, making them a frequently replaced component during vehicle servicing.

Sales of aftermarket turbochargers are increasing as car owners and repair facilities seek high-quality, affordable alternatives to OEM turbochargers. This has resulted in a rise in the range of aftermarket turbocharger choices available from various manufacturers and distributors, giving consumers a broader array of budget-friendly options. Furthermore, the European region possesses a well-established automotive repair network, featuring numerous authorized service centers, independent workshops, and online platforms that offer aftermarket turbochargers. These elements have fostered a strong distribution framework for aftermarket products, enabling consumers to easily locate and acquire replacement turbochargers. Another significant factor driving the expansion of the aftermarket segment is the growth of the DIY vehicle maintenance culture, particularly in the European market, where many vehicle owners favor repairing their vehicles themselves or utilizing third-party service providers. With a continual rise in the demand for performance enhancements and engine upgrades, the aftermarket channel remains robust and is anticipated to grow due to the long-term maintenance requirements of turbocharged vehicles in Europe.

Germany is the most rapidly expanding nation in the European automotive turbocharger market, attributed to its leadership in the automotive sector, ongoing innovation in engine technologies, and the rising use of turbocharged engines across different vehicle categories.

Germany is recognized as the fastest-expanding country in the European automotive turbocharger market, mainly fueled by its robust status as a worldwide automotive leader and its persistent focus on innovation in engine technologies. As the base for several of the globe’s premier automakers, including Volkswagen, BMW, Mercedes-Benz, and Audi, Germany exerts a considerable impact on the development and acceptance of turbocharger technologies. These manufacturers have taken the lead in incorporating turbocharging into their engine systems to satisfy both performance expectations and stringent emission standards.

The demand for more fuel-efficient vehicles that adhere to the European Union's rigorous CO2 emission regulations has accelerated the rise of turbocharged engines in Germany. Furthermore, the nation is experiencing a growing need for smaller, more efficient turbocharged engines in both personal and commercial vehicles. The shift towards turbocharging is especially evident in compact and mid-sized cars, where consumers seek a compromise between high performance and lower fuel consumption. This phenomenon has resulted in increased focus on turbocharged powertrains, particularly due to rising fuel prices and environmental considerations. Germany is also experiencing a transition towards more sophisticated turbocharging technologies, such as electric turbochargers and variable geometry turbochargers, which provide quicker response times and enhanced fuel efficiency. These technologies are gaining ground in both the internal combustion engine (ICE) and hybrid vehicle markets, further facilitating the expansion of the turbocharger sector. Germany's expenditure on the electric vehicle (EV) transition and hybrid powertrains has enabled turbochargers to maintain their relevance, particularly as hybrid vehicles increasingly utilize turbocharged engines to maximize performance. Consequently, Germany's automotive sector is set to continue spearheading the turbocharger adoption movement in Europe, establishing itself as the fastest-growing country in the region.

Considered in this report

• Geography: Europe
• Base year: 2024
• Estimated year: 2025
• Forecast year: 2030

Aspects covered in this report

• Automotive Turbocharger market with its value and forecast along with its segments
• Region-wise automotive turbocharger market analysis
• Various drivers and challenges
• On-going trends and developments
• Top profiled companies
• Strategic recommendation

By Technology Type

• Variable Geometry Turbocharger
• Wastegate Turbocharger
• Electric Turbocharger

By Vehicle Type

• Passenger Vehicle
• Commercial Vehicle

By Fuel Type

• Gasolin
• Diesel

By Sales Channel

• Original Equipment Manufacturer
• Aftermarket

The approach of the report

This report consists of a combined approach of primary as well as secondary research. Initially, secondary research was used to get an understanding of the market and listing out the companies that are present in the market. The secondary research consists of third party sources such as press releases, annual report of companies, analysing the government generated reports and databases.

After gathering the data from secondary sources primary research was conducted by making telephonic interviews with the leading players about how the market is functioning and then conducted trade calls with dealers and distributors of the market. Post this we have started doing primary calls to consumers by equally segmenting consumers in regional aspects, tier aspects, age group, and gender. Once we have primary data with us we have started verifying the details obtained from secondary sources.

Intended audience

This report can be useful to industry consultants, manufacturers, suppliers, associations & organizations related to automotive turbocharger industry, government bodies and other stakeholders to align their market-centric strategies. In addition to marketing & presentations, it will also increase competitive knowledge about the industry.

This product will be delivered within 2 business days.