Automotive Catalyst Market Size By Type (Platinum (Pt) catalysts, Palladium (Pd) Catalysts, Rhodium (Rh) catalysts), Application (Light Duty Vehicles (LDV), Heavy-Duty Vehicles (HDV)), & Region for 2024-2031

Automotive Catalyst Market Valuation – 2024-2031

The automotive catalyst market is government regulations and emission standards. Governments around the world are implementing stricter regulations to reduce emissions from vehicles, particularly harmful pollutants like nitrogen oxides (NOx), carbon monoxide (CO), and hydrocarbons (HC). According to the analyst from Market Research, the automotive catalyst market has a valuation of USD 19.83 Billion by 2031 over the forecast subjugating around USD 14.11 Billion in 2024.

As environmental concerns continue to rise, there is growing pressure on both governments and automakers to further tighten emission standards, which is expected to further fuel the demand for automotive catalysts in the future. This surge in demand enables the market to grow at a CAGR of 4.80% from 2024 to 2031.

Automotive Catalyst MarketDefinition/ Overview

An automotive catalyst, also known as a catalytic converter, is installed in a vehicle’s exhaust system to reduce toxic pollutants generated during combustion. It consists of catalyst materials, typically made of precious metals like rhodium, palladium, and platinum, which help chemical reactions occur.

Furthermore, these reactions convert harmful pollutants such as hydrocarbons (HC), carbon monoxide (CO), and nitrogen oxides (NOx) into less dangerous substances like water vapor (H2O), carbon dioxide (CO2), and nitrogen (N2). Automotive catalysts help vehicles meet pollution limits and reduce their environmental impact by promoting these chemical reactions.

Which are the Drivers Encouraging the Adoption of Automotive Catalysts?

The adoption of automotive catalysts is driven by stringent environmental regulations, consumer demand for cleaner vehicles, technological advancements, and the expansion of the global automotive market. Governments worldwide impose emission standards, forcing automakers to incorporate catalytic converters to comply with these regulations. Consumers are increasingly demanding cleaner, more environmentally friendly vehicles, prompting automakers to prioritize emission control technologies like automotive catalysts.

Furthermore, Advancements in catalyst technology, such as more efficient and durable formulations, have made catalytic converters more cost-effective and reliable. Emerging markets, such as Asia-Pacific and Latin America, are experiencing rapid urbanization and industrialization, exacerbating air quality concerns. Governments in these regions are implementing stricter emission regulations, driving the adoption of catalytic converters in new vehicles and retrofitting older vehicles with emission control devices. As the automotive industry prioritizes sustainability and emissions reduction, catalytic converters are expected to remain integral to achieving these objectives and ensuring a cleaner and healthier environment for future generations.

What are the Challenges in Automotive Catalyst Market?

The automotive catalyst market faces several challenges in mitigating vehicle emissions. The evolution of engine technology and fuel composition, as well as the complexity of vehicle emission control systems, pose significant challenges for both automakers and catalyst manufacturers. The rising cost of precious metals like platinum, palladium, and rhodium, as well as concerns about the environmental and social impacts of mining these metals impact the affordability and profitability of catalytic converters, thereby affecting market growth.

Furthermore, the proliferation of counterfeit and substandard catalytic converters also poses a challenge to regulatory enforcement and consumer trust. Addressing this requires enhanced enforcement mechanisms, collaboration between industry stakeholders, and consumer education initiatives. The transition towards electric and hybrid vehicles also declined the demand for traditional internal combustion engine vehicles equipped with catalytic converters. Manufacturers need to adapt their product offerings to cater to these evolving needs while exploring new opportunities in the growing market for emission control technologies in electric and hybrid vehicles.

Category-Wise Acumens

How do Palladium (Pd) Catalysts help in the growth of the Automotive Catalyst Market?

According to analysis Palladium (Pd) catalysts segment is estimated to dominate the automotive catalyst market due to their ability to reduce harmful emissions from vehicles. These catalysts, a precious metal, are used in catalytic converters due to their superior catalytic activity and stability under high-temperature conditions. They facilitate chemical reactions that convert toxic pollutants like carbon monoxide, hydrocarbons, and nitrogen oxides into less harmful substances. Palladium catalysts promote the oxidation of carbon monoxide and hydrocarbons, reducing emissions and improving air quality.

Furthermore, they are also essential for controlling nitrogen oxide (NOx) emissions through selective catalytic reduction (SCR) and lean NOx trap (LNT) technologies. The increasing adoption of gasoline particulate filters (GPFs) in gasoline-powered vehicles is also driving the demand for palladium catalysts. GPFs are designed to capture and reduce particulate matter emissions, which can have adverse health effects and contribute to air pollution. The demand for palladium-based GPFs is expected to grow as automakers strive to improve the environmental performance of gasoline vehicles.

Which Factors are Influencing the Growth of Light Duty Vehicles (LDV)?

The light duty vehicles segment is estimated to dominate the market during the forecast period driven by stringent emission regulations, increasing consumer awareness, and technological advancements in automotive catalysts. Governments are tightening emission standards to reduce air pollution and mitigate environmental impact. Automakers are equipping LDVs with advanced emission control systems, such as catalytic converters, to comply with these regulations. Consumers are also seeking cleaner, more fuel-efficient vehicles, which are influenced by environmental concerns and rising fuel prices. Automotive catalysts play a crucial role in reducing harmful pollutants from LDVs, appealing to environmentally conscious consumers and contributing to the market’s growth.

Furthermore, technological advancements in automotive catalysts improve the efficiency and performance of emission control systems, enabling LDVs to achieve higher levels of emission reduction while minimizing fuel consumption and optimizing engine performance. Emerging markets, such as China, India, and Brazil, are experiencing higher sales of LDVs due to rising urbanization, improved living standards, and increasing disposable incomes. This growth presents opportunities for catalyst manufacturers to expand their presence and market share globally.

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Country/Region-wise Acumens

Which Region has the Most Potential for Growth in the Automotive Catalyst Market?

The Asia-Pacific region is estimated to exhibit the highest growth during the forecast period due to rapid industrialization, urbanization, and stringent emission regulations. Countries like China and India are experiencing economic growth and rising living standards, leading to an increase in vehicle ownership and the adoption of emission control technologies like catalytic converters. These regulations mandate advanced emission control systems, such as catalytic converters, in vehicles to meet emission targets.

Furthermore, the region is home to some of the world’s largest automotive manufacturing hubs, with China being the world’s largest producer of automobiles. The presence of major automotive OEMs and a robust supply chain ecosystem in countries like China, Japan, South Korea, and India facilitates the production and adoption of automotive catalysts. Additionally, increasing environmental awareness and concerns about air quality in urban areas are driving consumer demand for cleaner and more fuel-efficient vehicles.

Which Region Dominate in Automotive Catalyst Market?

North America region is estimated to dominate the automotive catalyst market due to stringent emission regulations in the US and Canada, which mandate the use of advanced emission control technologies, such as catalytic converters, in vehicles to reduce air pollution. This has led to automakers in North America equipping their vehicles with effective emission control systems, driving the demand for automotive catalysts. The region’s mature automotive industry, with established manufacturing capabilities and a robust supply chain ecosystem, supports efficient production and distribution of automotive catalysts.

Furthermore, technological advancements in catalytic converter designs have further solidified North America’s dominance in the automotive catalyst market. The growing consumer preference for cleaner, more fuel-efficient vehicles in North America is also driving the demand for automotive catalysts. Consumers prioritize vehicles equipped with emission control technologies, leading automakers to integrate automotive catalysts into their vehicle designs to meet consumer expectations and comply with regulatory requirements, driving market growth.

Competitive Landscape

The competitive landscape in the automotive catalyst market is dynamic and evolving, driven by changing customer preferences, technological advancements, and market dynamics. Providers continue to innovate and differentiate their offerings to stay competitive and capture market share in this rapidly growing market.

Some of the prominent players operating in the automotive catalyst market include

• BASF SE
• CDTi Advanced Materials Inc.
• Clariant International Ltd.
• Corning Inc.
• Cummins Inc.
• Heraeus Holding GmbH
• INTERKAT Catalyst GmbH
• Johnson Matthey Plc
• Norman G. Clark A Asia Pty Ltd.
• Northam Platinum Ltd.
• PJSC MMC Norilsk Nickel
• Shell plc
• Sinocat Environmental Technology Co. Ltd.
• Solvay SA
• Stella Chemifa Corp.
• Tenneco Inc.
• Topsoes AS
• Toyota Motor Corp.
• Vikas Group

Latest Developments

• In July 2021, BASF SE announced the acquisition of Zodiac Enterprises LLC in Caldwell, Texas United States. With this acquisition, the company has expanded its chemical catalyst recycling capacity and capability. Moreover, the site recycles precious metals from industrial scrap, primarily chemical catalysts. Furthermore, this investment allows the company to meet the increased customer demand for recycling spent chemical and automotive catalysts.
• In October 2019, Umicore inaugurated its new production facility for fuel cell catalysts in Songdo Incheon City (Seoul area), Korea, close to Umicore’s technology development center for catalysts. The facility will support the growth of Hyundai Motors Group and other automotive customers.
• In May 2021, BASF SE announced the plan to expand the project at its Platinum Group Metals (PGM) refining facility in Seneca, South Carolina, United States to boost the site’s refining capacity for recycled precious metals from spent catalysts, which will further strengthen the company presence in the spent automotive catalyst recycling market, ly.
• In February 2021, PPG launched the premium NCP450 and NCX455 ISo-Free catalysts where both effectively eliminated Isocyanates. NCP450 is considered to be ideal for small repairs and offers excellent bare metal adhesion and corrosion protection. The product is engineered carefully with the features such as easier and smoother applications.

Report Scope

Automotive Catalyst Market, by Category

Type

• Platinum (Pt) catalysts
• Palladium (Pd) Catalysts
• Rhodium (Rh) catalysts

Application

• Light Duty Vehicles (LDV)
• Heavy-Duty Vehicles (HDV)

Region

• North America
• Europe
• Asia Pacific
• Latin America
• Middle East & Africa

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• Qualitative and quantitative analysis of the market based on segmentation involving both economic as well as non-economic factors• Provision of market value (USD Billion) data for each segment and sub-segment• Indicates the region and segment that is expected to witness the fastest growth as well as to dominate the market• Analysis by geography highlighting the consumption of the product/service in the region as well as indicating the factors that are affecting the market within each region• Competitive landscape which incorporates the market ranking of the major players, along with new service/product launches, partnerships, business expansions, and acquisitions in the past five years of companies profiled• Extensive company profiles comprising of company overview, company insights, product benchmarking, and SWOT analysis for the major market players• The current as well as the future market outlook of the industry with respect to recent developments which involve growth opportunities and drivers as well as challenges and restraints of both emerging as well as developed regions• Includes in-depth analysis of the market of various perspectives through Porter’s five forces analysis• Provides insight into the market through Value Chain• Market dynamics scenario, along with growth opportunities of the market in the years to come• 6-month post-sales analyst support

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