Automotive Ceramics Market 2020 and Forecast 2021-2027

  • TBI22577
  • November 05, 2020
  • Global
  • 135 pages
  • IFF Market Research
                                          

Report Overview: Automotive Ceramics Market

The global automotive ceramics market size was valued at USD 1.8 billion in 2020 and is anticipated to attain a compound annual growth rate (CAGR) of 4.5% from 2021 to 2027. Increasing demand for electronics applications in vehicles is likely to augment the growth of the automotive ceramics over the coming years. Advanced ceramics find applications in automotive sensors, LED & substrates, arc tubes, and spark plugs. Electronic components and sensors are essential in vehicles to manage information and run the systems, such as ASR and ABS. The U.S. accounted for a share of 12.3% in the global market. The demand in the country is mainly driven by the large-scale production of vehicles and automotive components. As per the International Organization of Motor Vehicle Manufacturers, nearly 10.8 million vehicles were produced in the U.S. in 2019. The automotive sector in the country observed adverse growth compared to 2018, on account of global slowdown and trade uncertainty. However, in the long run, U.S. is likely to remain an attractive market for automotive ceramics vendors. Another factor that is likely to affect the market demand is increasing sales of SUVs and trucks in the country. Some of the factors boosting the demand for SUVs are their durability, resistance, and affordability. Easy availability of auto loans is an indirect factor, which is promoting the sales of vehicles in the region. In addition, digitization of the loans has made the process simpler for the end-users. For instance, Honcker Inc. provides all the best deals offered by the nearby dealers for an automotive lease. This assists in avoiding lengthy procedures and helps save time. Material Insights Alumina segment held the highest market share of 40.3% in 2019. This material is widely used in a range of applications, particularly in sensors for vehicles. All the modern vehicles have sensors, such as fluid, pressure, proximity, and temperature, which is likely to boost the segment growth. Ceramic coating is another application wherein demand for alumina, silica, and titanium dioxide is likely to increase over the coming years. Ceramic coating provides protection from friction, insulation, heat, wear, and corrosion. This coating also lasts longer than regular paint and remains intact during heavy vibrations and shocks. Other materials, such as zirconia and yttria, are likely to have considerable growth on account of their mechatronics application and demand from sensors. Tire pressure monitoring and safety issues are some of the examples of automotive sensors, wherein advanced or engineering ceramics are widely used.

Application Insights: Automotive Ceramics Market

Passenger vehicles accounted for the highest market share of 68.6% in 2019 and is likely to maintain its position during the forecast period. This is attributed to a higher share of passenger vehicles in overall automotive production. As per the International Organization of Motor Vehicle Manufacturers (OICA), nearly 67.1 million commercial vehicles were produced globally in 2019. Government incentives for Electric Vehicles (EVs) are projected to assist in the growth of the market. For instance, in the U.S., income tax credit up to USD 7,500 is provided by the federal U.S. government on the purchase of EVs depending upon its battery size. The commercial vehicles segment is projected to witness a growth of 5.3% from 2021 to 2027. Investment in new facilities for commercial vehicles is projected to assist in the growth of the segment. For instance, a joint venture between Volvo and Eicher Motors is likely to start in the second quarter of 2020 in India. This facility is projected to produce 40,000 commercial vehicles annually.

Regional Insights: Automotive Ceramics Market

Asia Pacific held the highest market share of 48.4% in 2019 and is estimated to be the fastest-growing regional market over the forecast period 2021-2027. The growth of the region is attributed to large volume production and sales of automobiles in some of the leading countries, such as China, India, Japan, and South Korea. The inflow of foreign investment, availability of low-cost labor, and increasing target population are also projected to have a positive impact on market growth. Rapidly expanding automotive manufacturing sector and increasing investments in this sector are projected to drive the market further. For instance, Toyota invested nearly USD 1.9 million in Indonesia in 2019. In July 2018, Volkswagen Group announced to invest USD 1.12 billion in India by 2021 to expand its presence in the country. North America region is projected to witness significant growth from 2020 to 2027. Stringent regulations for fuel emissions by the governments in the region is likely to attract ceramics demand. For instance, as per Canadian emission regulations, it is mandatory for vehicles to have a US EPA certificate. This is projected to fuel the demand for lightweight materials, such as ceramics, plastics, and aluminum.

Key Companies & Market Share Insights: Automotive Ceramics Market

Vendors in the market are focused on new product development, which is aimed at the lightweight design of vehicles. Players are also investing in R&D for the development of new products for automotive electronics applications. Automotive is one of the leading sectors, which is likely to attract inflows of Foreign Direct Investment (FDI) in various countries over the coming years. Some of the prominent players in the automotive ceramics market include:

Key companies Profiled: Automotive Ceramics Market Report

This report forecasts revenue growth at the global, regional, and country levels and provides an analysis of the latest industry trends in each of the sub-segments from 2016 to 2027. For the purpose of this study, Trusted Business Insights has segmented the global automotive ceramics market report based on material, application, and region:

Material Outlook (Revenue, USD Million, 2016 - 2027)

  • Alumina
  • Zirconia
  • Others

Application Outlook (Revenue, USD Million, 2016 - 2027)

  • Passenger Vehicles
  • Commercial Vehicles

Table of Contents
Chapter 1. Methodology and scope
1.1. Market segmentation & scope
1.2. Market definition
1.3. Information procurement
    1.3.1. Purchased Database(Statista, FactSet, Bloomberg, SDC Platinum)
    1.3.2. IFF internal database
    1.3.3. Secondary sources & third-party perspectives
    1.3.4. Primary Research
1.4. Information Analysis 
    1.4.1. Data analysis models
1.5. Market formulation & data visualization  
|  read more...

Request a sample

Fill below form to request a sample

Enquiry

Please fill this form to enquire before buying

Discount

You can request for discount regarding the report by using below form