Global Automotive Exhaust Systems Market Grows Steadily at a CAGR of 6.02%

Introduction

An automotive exhaust system transports the byproducts of combustion away from the engine, thereby reducing the volume. A ventilation system is designed to evacuate hazardous gases from the passenger compartment. It consists of exhaust valves that allow burned gases and particles to enter exhaust manifolds via apertures. These engine-mounted manifolds consolidate the exhaust channel into a single outlet pipe, where resonators and mufflers discharge the exhaust gases into the atmosphere via the tailpipe.

Market Dynamics

Stringent Government Standards Associated with Carbon Emissions Drive the Global Market

Increasingly stringent global emission standards are one of the primary aspects driving the expansion of the global market for automotive exhaust systems. Global emission performance standards limit the permissible number of contaminants in exhaust emissions for automobile manufacturers and users. These strategies have been used to establish regulations on the permissible levels of pollutants, such as nitrogen and sulfur oxides. These methods can efficiently reduce the amount of greenhouse gases—especially carbon dioxide—in emissions that are discharged into the atmosphere.

The Indian government first enacted the Bharat stage emission standards in 2000 to regulate the emission of air pollutants from various IC engine equipment utilized in passenger and commercial vehicles. Since implementing these emission standards in the country, stricter regulations have been issued, mandating that all newly manufactured vehicles adhere to the standards. Automotive manufacturers are increasingly adopting advanced and efficient exhaust systems to comply with emission regulations, propelling market expansion.

Lightweight Emission Systems Creates Tremendous Opportunities

The demand for lighter vehicles that adhere to stringent fuel economy and emission regulations imposed by various agencies is continuously increasing. Advanced materials are essential for improving the fuel efficiency of automobiles while preserving performance and safety since moving a lighter object requires less energy than moving a heavy one. Lighter vehicles consume less fuel and require less power to propel the vehicle because they must overcome less inertia, substantially reducing the amount of CO2 produced.

Automotive original equipment manufacturers (OEMs) focus on various aspects to reduce vehicle weight, including creating new, lightweight materials, increased drivetrain (engine/transmission) efficiency, and aerodynamic design. Several automobile original equipment manufacturers, exhaust system manufacturers, and other businesses are pursuing the creation of lightweight, high-temperature-resistant composite metals. For instance, Tenneco Inc. provides lightweight, compact systems and after-treatment and dispensing systems to improve the fuel efficiency and thermal management of the exhaust system and the entire vehicle.

Regional Analysis

Asia-Pacific is the most significant global automotive exhaust systems market shareholder and is estimated to exhibit a CAGR of 7.0% during the forecast period. Asia-Pacific accounts for nearly 60% of the global market for automotive exhaust systems because of growing consumer purchasing power and technology awareness in the area. Similarly, the market for automotive exhaust systems is predicted to be stimulated by the growth of the automotive industry in developing nations like China and India. Supply chains and logistical networks are vast in China and India, the world's fastest-growing economies. Due to India's many benefits, including its accessibility to inexpensive labor and raw materials, the Made in India campaign is expected to attract a sizeable amount of investment in the automobile industry. In the coming years, the region's developing e-commerce industry is anticipated to increase demand for commercial cars.

Key Highlights

• The global automotive exhaust systems market was valued at USD 50.32 billion in 2022. It is estimated to reach USD 85.01 billion by 2031, growing at a CAGR of 6.02% during the forecast period (2023–2031).
• Based on components, the global automotive exhaust systems market is bifurcated into the exhaust manifold, muffler, catalytic converter, oxygen sensor, and exhaust pipes. The exhaust manifold segment owns the highest market and is estimated to exhibit a CAGR of 5.51% over the forecast period.
• Based on fuel type, the global automotive exhaust systems market is bifurcated into gasoline and diesel. The gasoline segment dominates the global market and is projected to exhibit a CAGR of 6.61% over the forecast period.
• Based on vehicle type, the global automotive exhaust systems market is divided into passenger cars and commercial vehicles. The passenger cars segment accounts for the largest market share and is anticipated to exhibit a CAGR of 5.4% over the forecast period.
• Asia-Pacific is the most significant global automotive exhaust systems market shareholder and is estimated to exhibit a CAGR of 7.0% during the forecast period.

Competitive Players

Competitive Players

The key global automotive exhaust systems market players are Faurecia; Friedrich Boysen; BENTELER International; Tenneco Inc.; Continental AG; Bosal; Eberspächer; FUTABA INDUSTRIAL CO., LTD.; Sejong Industrial Co., Ltd.; and Yutaka Giken Company Limited.

Recent Developments

Market News

• In July 2023, Kia India, the Indian division of South Korean automaker Kia, rattled up the compact SUV market by introducing the 2023 Seltos facelift. This updated Seltos features significant exterior and interior redesigns. To promote the release of this facelifted model, the company has published a new television commercial (TVC) highlighting the 2023 Kia Seltos' improvements and new features like the dual sport exhaust system.
• In July 2023, Milltek Sport is one of the first companies to introduce an enhanced high-performance exhaust system for BMW's M2 Coupé, unlocking even more performance potential from the new baby M vehicle.

Segmentation

Global Automotive Exhaust Systems Market: Segmentation

By Component

• Exhaust Manifold
• Muffler
• Catalytic Converter
• Oxygen Sensor
• Exhaust Pipes

By Fuel Type

• Gasoline
• Diesel

By Vehicle Type

• Passenger Car
• Commercial Vehicles

By Regions

• North America
• Europe
• Asia-Pacific
• Latin America
• The Middle East and Africa