Automotive Catalytic Converter Market By Application (Light-Duty Vehicles, & Heavy-Duty Vehicles), By Type Of Vehicle (Passenger Cars, Commercial Vehicles), By Type Of Converter (Three-Way Catalytic Converters (TWC), Diesel Oxidation Catalysts (DOC)), & Region For 2024-2031

Automotive Catalytic Converter Market Valuation – 2024-2031

The demand for automotive catalytic converters is rising due to stricter pollution rules throughout the world are driving automobile manufacturers to put more efficient catalytic converters into their vehicles. These restrictions are designed to reduce air pollution caused by hazardous gases such as nitrogen oxides and carbon monoxide. The market size surpass USD 196.61 Billion valued in 2023 to reach a valuation of around USD 361.76 Billion by 2031.

As car ownership increases, so does the demand for catalytic converters to meet emissions requirements and address growing environmental concerns. This combination of tougher rules and a thriving vehicle market is projected to drive the catalytic converter market ahead in the coming years. The rising demand for cost-effective and efficient automotive catalytic converter is enabling the market grow at a CAGR of 7.92% from 2024 to 2031.

Automotive Catalytic Converter MarketDefinition/ Overview

An automotive catalytic converter is an essential component of a car’s exhaust system. Its function is to considerably minimize harmful gases generated by the engine. These contaminants, produced during fuel burning, can have substantial health consequences and contribute to air pollution.

The converter has a separate chamber loaded with precious metals such as platinum and palladium. When exhaust gases pass through this chamber, they come into contact with the metals, which causes chemical reactions. These processes convert extremely dangerous contaminants, such as carbon monoxide and unburned hydrocarbons, into less harmful by-products, primarily water vapor and CO2. This conversion process greatly lowers the car’s overall environmental effect.

Catalytic converters are used in almost all modern gasoline and diesel vehicles, including cars, trucks, motorcycles, and buses, and they play an important role in meeting stringent emission regulations established by agencies such as the Environmental Protection Agency (EPA) and the European Environment Agency (EEA). These converters’ distinguishing features include the use of precious metals as catalysts, substrates manufactured from ceramic or metallic honeycomb structures for maximal surface area, and specialized systems such as three-way catalysts for gasoline engines and selective catalytic reduction (SCR) for diesel engines. These features assure efficient and long-lasting functioning, significantly reducing the environmental effect of vehicle emissions and contributing to improved air quality and public health.

Will Rising Demand for Commercial Vehicles Drive the Automotive Catalytic Converter Market?

In the Automotive Catalytic Converter Market, commercial vehicles, such as trucks, buses, and delivery vans, are critical to the logistics and transportation sectors. Because of their larger engines and frequent use, commercial vehicles typically have higher emission levels than passenger cars. As global regulations tighten, there is an increased demand for advanced catalytic converters in commercial vehicles to ensure compliance with emission standards.

Furthermore, the expansion of e-commerce and urbanization has resulted in an increase in the number of commercial vehicles on the road, emphasizing the importance of adequate emission control systems. To address air pollution, governments and regulatory organizations are imposing higher emission restrictions on commercial cars, requiring manufacturers to incorporate high-performance catalytic converters. This regulatory pressure, together with the expansion of the commercial vehicle fleet, generates significant and ongoing demand for automotive catalytic converters, driving market growth and innovation in emission control technology.

Will the Rise of Electric and Hybrid Vehicles Impact the Automotive Catalytic Converter Market?

In the Automotive Catalytic Converter Market, electric vehicles (EVs) run on electric motors and batteries, removing the necessity for internal combustion engines and, as a result, catalytic converters. As EV adoption accelerates due to technology breakthroughs, favorable government laws, and more consumer awareness of environmental issues, demand for traditional automotive components, such as catalytic converters, is likely to decrease. This transition is already being seen in regions where EV sales are fast increasing, lowering the market share of traditional gasoline and diesel-powered vehicles.

Hybrid vehicles, which mix internal combustion engines and electric propulsion systems, have a more subtle effect on the catalytic converter industry. While hybrids still need catalytic converters to reduce emissions from internal combustion engines, the overall emissions are lower due to the partial reliance on electric power.

The demand for catalytic converters in hybrid vehicles is lower than in fully gasoline or diesel-powered vehicles. However, as the market share of hybrid vehicles develops, the demand for catalytic converters will continue, albeit at a lower volume and with performance standards customized to hybrid engine systems.

The move to electric and hybrid vehicles poses a substantial threat to the Automotive Catalytic Converter Market. As EVs diminish the overall demand for catalytic converters, manufacturers may need to shift their focus to sophisticated pollution control technologies for hybrid vehicles and expand into other automotive or industrial uses.

Category-Wise Acumens

How will the Higher Production Volume of the Light-Duty Vehicles Drive the Automotive Catalytic Converter Market?

In the Automotive Catalytic Converter Market, light-duty vehicles, including passenger cars, SUVs, and light trucks, account for a sizable share of global automobile sales. As economies grow and urbanization increases, so does demand for these cars, particularly in emerging regions. This increase in light-duty vehicle production and sales directly translates into a higher need for catalytic converters, which are critical for lowering hazardous emissions produced by internal combustion engines.

Stringent pollution rules worldwide require more efficient and effective emission control systems in all types of vehicles, including light-duty cars. Regulatory authorities such as the United States Environmental Protection Agency (EPA) and the European Union’s Euro emission standards require manufacturers to equip vehicles with improved catalytic converters in order to fulfill pollutant limitations. As a result, the automobile industry is obligated to include high-performance catalytic converters in all new light-duty cars, fueling the need for these components.

Technological breakthroughs and innovations in catalytic converter design and materials are increasing its effectiveness and durability. This not only helps to meet severe pollution standards but also improves the performance and longevity of light-duty cars. As a result, as manufacturers attempt to build more environmentally friendly and fuel-efficient vehicles, the demand for advanced catalytic converters is likely to rise in tandem with the production volume of light-duty vehicles. This connection between vehicle manufacturing and pollution control regulations provides a steady and robust market for automotive catalytic converters.

Will the Passenger Care Segment Emerge the Automotive Catalytic Converter Market?

The automotive electronics market, light commercial vehicles (LCV), and heavy commercial vehicles (HCV). The passenger car sector has the biggest market share due to the higher volume of sales and manufacture of passenger automobiles around the world. Increased urbanization, higher living standards, road infrastructure development, and an increase in disposable income are the primary reasons for the rapid growth in the number of passenger cars, particularly in countries such as India, China, Japan, and some parts of Europe. The majority of passenger cars are powered by gasoline engines.

Gasoline-powered automobiles sometimes use TWORCC to reduce fuel emissions. The government’s severe emission requirements implemented to reduce rising fuel emissions and increase fuel efficiency, as well as several measures taken to promote driver and passenger safety, are fueling segment growth.

Furthermore, the commercial vehicle segment is experiencing exponential growth in the industry. Diesel engines are preferred by commercial fleet owners for transportation and logistics due to their durability, cheap maintenance requirements, and ability to generate more power than gasoline engines. Diesel engines in heavy and light commercial vehicles produce considerable torque at low RPMs. Catalytic converters are becoming more widely used in diesel engines in commercial vehicles, leading to favorable market growth.

Gain Access into Automotive Catalytic Converter Market Report Methodology

Country/Region-wise Acumens

Will the Robust Automotive Manufacturing Sector Drive the North American Region?

North America is currently the dominant market for automotive catalytic converters in the coming years. North America has a strong automotive manufacturing presence, with numerous major automakers and catalytic converter manufacturers working in the region. The United States, in particular, is home to major automotive assembly factories that manufacture a variety of vehicles, including passenger cars, trucks, and SUVs. The large volume of vehicle production needs the incorporation of catalytic converters to meet rigorous pollution limits imposed by regulatory agencies such as the Environmental Protection Agency. As a result, the demand for catalytic converters in North America is directly proportional to the region’s thriving vehicle manufacturing industry.

North America’s automotive manufacturing sector drives innovation and technological breakthroughs in catalytic converter design and manufacture. Manufacturers continue to engage in R&D to improve the efficiency, durability, and performance of catalytic converters in order to meet changing emission standards and consumer needs. This innovation not only ensures regulatory compliance but also improves the North American automobile industry’s global competitiveness. As automakers try to build cleaner and more environmentally friendly automobiles, the need for sophisticated catalytic converters will stay high, boosting North America’s growth in the Automotive Catalytic Converter Market.

Will Increasing Personal Transportation Demand Drive the Asian Pacific Region?

Asia-Pacific is predicted to be the rapidly increasing market for vehicle catalytic converters in the next years. The Asia-Pacific area is seeing significant economic expansion, urbanization, and a growing middle class, resulting in an increase in personal automobile ownership. As more people want to own cars for convenience and mobility, the demand for passenger vehicles, such as cars and motorcycles, is increasing.

This expanding personal transportation demand mandates the use of catalytic converters to reduce the environmental impact of car emissions, in line with severe emission rules implemented by governments around the region. As a result, the increasing number of automobiles on Asian Pacific roadways directly correlates with the demand for catalytic converters, making the area a key driver of the Automotive Catalytic Converter Market.

The diversified automotive ecosystem of Asia Pacific gives numerous prospects for catalytic converter manufacturers. China, India, Japan, and South Korea are some of the world’s major automotive markets, with booming manufacturing industries and a strong emphasis on car production and innovation. As these countries continue to invest in infrastructure development and urban expansion, demand for personal transportation is likely to rise further, fueling long-term growth in the vehicle catalytic converter market.

Furthermore, the region’s dedication to environmental sustainability and the adoption of cleaner technologies emphasizes the relevance of catalytic converters in lowering vehicle emissions, cementing Asia Pacific’s position as a significant market for these vital components.

Competitive Landscape

The Automotive Catalytic Converter Market is a dynamic and competitive space, characterized by a diverse range of players vying for market share. These players are on the run for solidifying their presence through the adoption of strategic plans such as collaborations, mergers, acquisitions, and political support.

The organizations are focusing on innovating their product line to serve the vast population in diverse regions. Some of the prominent players operating in the Automotive Catalytic Converter Market include

BASF SE, BENTELER International Aktiengesellschaft, BM Catalysts Limited, BOSAL, Marelli Corporation, Calsonic Kansei, Deccats, Eberspächer, European Exhaust & Catalyst Ltd, FORVIA Faurecia, HJS Emission Technology GmbH & Co. KG, Jetex Exhausts Ltd, Katcon SA de CV, Klarius Products Ltd, Marelli Holdings Co., Ltd., Tenneco Inc.

Latest Developments

• In August 2023, Thefts decreased in the first half of this year, according to new data shared exclusively with USA Today. Between January and June, Been believes that 26,742 catalytic converters were stolen in the United States. This is down 43% from the same period the previous year. The theft rate decreased the most in Washington, Oregon, and Hawaii during the first half of 2023. Only one state saw an increasethefts in New Jersey rose 25%.
• In May 2022, the Connecticut government passed Public Act 22-43, which establishes guidelines for the purchase and sale of automotive catalytic converters by various entities such as automobile recyclers, scrap catalytic converter processors, junkyard dealers and owners, and motor vehicle repair shops.
• In July 2022, Ford India recalled various BS6 passenger car models including the Freestyle, Aspire, Figo, and Ecosport, due to concerns over emissions compliance. According to the company, the key problems that needed to be addressed were diesel particulate filter effectiveness and oil life difficulties. If the vehicles are deemed non-compliant, a new catalytic converter will be installed.
• In November 2022, Dayton police initiated a new effort to combat the increased prevalence of catalytic converter theft. The approach involves etching a sticker on the converter with a fluid that can be easily tracked in case the equipment is stolen.

Report Scope

Automotive Catalytic Converter Market, By Category

Application

• Light-duty Vehicles
• Heavy-Duty Vehicles
• Non-Road Mobile Machinery

Type of Vehicle

• Passenger Cars
• Commercial Vehicles
• Off-Highway Vehicles

Type Of Converter

• Three-Way Catalytic Converters (TWC)
• Diesel Oxidation Catalysts (DOC)
• Selective Catalytic Reduction (SCR) Systems

Region

• North America
• Europe
• Asia-Pacific
• South America
• Middle East & Africa

Research Methodology of Market Research

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Reasons to Purchase this Report

• 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 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 an 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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