Automotive Valves Market - Growth, Trends, COVID-19 Impact, and Forecasts (2021 - 2026)

The automotive valves market was valued at USD 30 Billion in 2020 and is expected to reach USD 40 Billion by 2026, registering a CAGR of 5% during the forecast period.

The Covid-19 pandemic had a negative impact on the valves market. This was mainly attributed to the halt in production of both valves and the complete vehicles as a result of worldwide lockdown and social distancing norms implemented due to the pandemic. This has led to an economic downfall of the automotive industry as a whole, and the automotive valves consequently. However, with the increased preference for private vehicles and projected increase in demand for vehicles, the valves market is hopeful for an economic revival.

The automobile sector has been concentrating on lowering vehicle emissions. OEMs are working to produce technologically innovative and lightweight car components that will meet the new emission criteria. The valve is one of these components, and it is used to regulate, direct, or control the flow of a fluid (gases, liquids, fluidized solids, or slurries) by opening, closing, or obstructing the flow. Automotive valves have a direct impact on the performance and responsiveness of several vehicle systems. From mechanical valves to advanced electro-mechanically controlled valve points, the global automotive valves market has evolved.

The global automotive valves market will be driven by a growth in demand for fuel-efficient and light-weight vehicle components, as well as emissions legislation in developed nations and increased vehicle manufacturing.

Key Market Trends

Aftermarket Bsuiness Is Expected To Grow Significantly

The current fast pace of transitioning towards electric vehicles in major countries is expected to shift the valve manufacturers emphasis towards valve manufacturing for electric vehicles. As the number of electric passenger cars and commercial vehicles increases, the conventional Internal Combustion Engine vehicles are expected to witness reduced usage in daily needs and commercial requirements. However, as there are significantly high number of in-use ICE vehicles, the demand for aftermarket valves is anticipated to remain high during the forecast period.

Also, with the increase in electric vehicle sales, the demand for valves that find uses in electric vehicles are expected to witness huge demand going forward. These valves could be used for air conditioning, brake fuel pumping, and other areas of an electric car or an electric commercial vehicle.

Asia-Pacific Leading the Automotive Valves Market

With the world's largest automotive market - China in the Asian region, the rise in demand for automotive valves in the region is inevitable. China also leads the world's electric vehicles market in terms of volume, with Europe following closely. With China's immense construction and infrastructure initiatives, the need for commercial vehicles is already high and is expected to further increase.

Although the growing electrification is expected to have certain implications on the valves market, in major Asia markets like China, India, Indonesia, and Thailand, commercial vehicles and passenger cars report huge demand. Even if the transition towards electrification has both advantages and disadvantages with respect to the valves market, the sheer volume of vehicles and demand for services both OEM and the aftermarket is expected to negate any economic consequences, the electrification is expected to cause.

Also, the increased demand for safety systems to be implemented in vehicles in these regions is another major driving factor for the valves market, because of the usage of valves in various systems like Anti-Lock Braking Systems and others.

Competitive Landscape

The global automotive valves market is dominated by key players such as Rober Bosch (Bosch Auto Parts), Hitachi Astemo, BorgWarner, Denso Corporation, and Eaton Corporation among others. Many companies have opted for the merger and acquisition strategy in order to cater to the expected huge demand for valves from both conventional internal combustion engine vehicles and the new electric vehicles.

Additional Benefits:

• The market estimate (ME) sheet in Excel format
• 3 months of analyst support