Automotive Heat Shield Market

Automotive Heat Shield Market Outlook (2024 to 2034)

The global automotive heat shield market size has been calculated at US$ 13.7 billion in 2024 and is projected to advance at a CAGR of 3.3% to reach US$ 19 billion by the end of 2034.

Automotive heat shields manage heat generated by the engine, exhaust system, and other components in vehicles. They are crucial for maintaining the performance and life of vehicles and protecting sensitive components from damage.

Advancements in vehicles give rise to the issue of excessive heat generation. Strict regulations are prompting adoption of solutions that help reduce heat transfer and improve fuel efficiency. Consumers are focusing on cost-effectiveness, reliability, and environmental sustainability while purchasing vehicles. Manufacturers are therefore investing in research and development to create heat management solutions that meet consumer demands in compliance with stringent safety and performance standards.

Report Attributes	Details
Automotive Heat Shield Market Size (2019A)	US$ 12.2 Billion
Estimated Market Value (2024E)	US$ 13.7 Billion
Forecasted Market Value (2034F)	US$ 19 Billion
Global Market Growth Rate (2024 to 2034)	3.3% CAGR
East Asia Market Share (2024E)	24.7%
China Market Growth Rate (2024 to 2034)	4.7% CAGR
Key Companies Profiled	Dana Limited UGN Inc. Autoneum Lydall Inc. HAPPICH GmbH ElringKlinger AG Progress-Werk Oberkirch AG Morgan Advanced Materials Tenneco Inc. Carcoustics DuPont Zircotec Ltd. Other Prominent Players

Sales Analysis of Automotive Heat Shields (2019 to 2023) vs. Market Projections (2024 to 2034)

The market witnessed steady growth from 2019 to 2023, driven by increasing demand for lightweight and fuel-efficient vehicles.

• Short Term (2024 to 2027): Increasing adoption of electric vehicles (EVs) in the short term is projected to drive demand for automotive heat shields. Advancements in technologies for heat shields are projected to attract end users. Intense research into materials aimed at improving the performance of heat shields is forecasted to drive automotive heat shield market growth.
• Medium Term (2027 to 2030): Emphasis on net zero emissions will aid market growth in the medium term. The Federal Motor Carrier Safety Administration of the United States recommends heat shields for vertical exhaust stacks if adequate space is not provided in the exhaust system.
• Long Term (2030 to 2034): Widespread electrification of the automotive industry is forecasted to lead to the growth of the market in the long term. Given that heat shields find wide applications in space vehicles, the market is forecasted to exhibit significant growth through 2034 and beyond.

The automotive heat shield market size is forecasted to increase at a CAGR of 3.3% through 2034, according to Fact.MR, a market research and competitive intelligence provider.

What are the Noteworthy Automotive Heat Shield Market Trends?

“Rising Demand for Lightweight Vehicles and EVs for Enhanced Fuel Efficiency”

Increasing air pollution from transportation affects human health and the environment. To limit harmful emissions, government agencies have enforced robust regulations governing automobile manufacturing. To comply with these regulations, manufacturers have adopted various strategies, such as reducing vehicle weight. Lighter vehicles consume less fuel, which can significantly reduce fuel consumption and CO2 emissions.

Lithium batteries used in electrical vehicles generate a large amount of heat. Heat shields offer protection to EV components by resisting the heat flow.

• According to a recent study by the Department of Energy, a 10% reduction in car weight can boost 6% to 8% of its mileage. A heat shield has a maximum thickness of just 1 mm. This lightweight yet durable material is an essential component for the manufacturing of lightweight vehicles.

“Stringent Environmental Regulations Governing Vehicular Emissions”

Policymakers are enforcing stringent environmental regulations on manufacturers aiming to reduce thermal emissions. Adaptation of the heat shield offers a solution to manufacturers to comply with regulations. Heat shields effectively minimize the heat released into the atmosphere by serving as a barrier between the vehicle's exhaust system and the surrounding environment. This mitigates the impact of vehicle emissions on air quality.

Usage of heat shields in automotive design has become mandatory for addressing environmental concerns. Technological advancements like automotive heat shields in the automotive sector can help manufacturers achieve the target of zero emissions. Due to the aforementioned factors, demand for automotive heat shields is projected to grow. The United Kingdom aims to achieve net-zero emissions in the country by 2050.

What are the Challenges Faced by Manufacturers of Automotive Heat Shields?

“High Production Costs Associated with Heat Shields”

Materials used in heat shields are priced according to their mechanical properties. Fabrication of heat shields involves various techniques and consequently drives up production costs. Manufacturers have to balance out the manufacturing cost and profit margin to remain competitive in the market. Automotive manufacturers find it challenging to operate within tight profit margins, which further exacerbates the pressure to minimize expenses without compromising product quality.

Country-wise Insights

What are the Factors Driving Automotive Heat Shield Demand in China?

“Significant Expansion of Automotive Sector”

The market in China is estimated at US$ 2 billion in 2024 and is projected to flourish at a CAGR of 4.7% through 2034. This market is projected to create an absolute $ opportunity of US$ 3.1 billion from 2024 to 2034.

China is a major producer and buyer of automobiles in the world. The country accounts for 32% of global vehicle production, which is more than the combined production of the European Union, the United States, and Japan. Rising production of vehicles corresponds to a rise in demand for heat shields.

The country falls under the “key air pollutant region.” Therefore, the Chinese government is taking steps accordingly to reduce pollution levels.

• According to the International Council on Clean Transportation, China is encouraging the electrification of vehicles to meet the goal of zero carbon emissions. Due to these regulatory standards for emissions and thermal management, heat shields are becoming an increasingly important component in vehicle design.
• According to the International Trade Administration estimates, Chinese domestic automotive production is expected to reach 35 million vehicles by 2025.
• According to the International Energy Agency, China aims to occupy a 50% share of global electric vehicle production by 2030.

What are the Reasons for Market Growth in the United States?

“Market Benefitting from Stringent Environmental Regulations”

The United States market is forecasted to create an absolute $ opportunity of US$ 4 billion from 2024 to 2034. The market is estimated at US$ 3 billion in 2024 and is projected to expand at a CAGR of 2.5% through 2034. The nation captures a 72.5% automotive heat shield market share in North America in 2024.

• The Environmental Protection Agency (EPA) and California Air Resources Board (CARB) are aiming to reduce harmful emissions from vehicles, including thermal emissions.

Automotive heat shields are crucial components for meeting these standards as they help minimize the release of heat from exhaust systems, which reduces environmental impact. Heat shields in vehicle designs are complying with these regulations, which is leading to a sustained demand for heat shields in the United States. Therefore, the government imposes stringent emissions regulations, which play a significant role in driving the demand for automotive heat shields.

Category-wise Insights

Why Do Single Shell Heat Shields Occupy a Leading Market Share?

“Cost-effectiveness of Single-Shell Heat Shields”

Single-shell heat shields occupy a 49.9% market share in 2024. Sales of single-shell heat shields are projected to rise at a CAGR of 3.3% to reach US$ 9.5 billion by 2034-end.

Single-shell heat shields are used in high temperatures and when there is enough space available. Generally, single-shell heat shields are cost-effective compared to more complex multi-layered designs, making them an attractive choice for cost-conscious manufacturers. Single-shell heat fields offer a simple design and easy installation. This reduces production complexities and associated costs. Moreover, they are effective in managing thermal emissions and meeting regulatory requirements, contributing to their popularity in the automotive industry.

Which Type of Vehicle Sees High Deployment of Automotive Heat Shields?

“Focus on Sustainable Transportation Makes Passenger Vehicles Leading Segment”

Passenger vehicles hold a 64.1% market share. The segment is estimated at US$ 4.9 billion in 2024 and is projected to expand at a 3.6% CAGR from 2024 to 2034. Heat shields play a vital role in improving thermal management in passenger vehicles. They minimize heat transfer from the engine and exhaust to enhance energy efficiency. Manufacturers are focusing on sustainable transportation by producing more efficient heat shields.

Competition Analysis

Key players in the automotive heat shield market are UGN Inc., Autoneum, HAPPICH GmbH, Dana Limited, Progress-Werk Oberkirch AG, Morgan Advanced Materials, ElringKlinger AG, Lydall Inc., Tenneco Inc., Carcoustics, DuPont, and Zircotec Ltd.

Manufacturers are investing in research and development to create heat shield solutions that meet the criteria of stringent safety and performance standards. Market participants continually strive to differentiate their products by innovating new designs with different materials like aluminum, stainless steel, ceramic fiber, and manufacturing processes to gain a competitive edge.

• In March 2023, Zircotec Ltd. launched the Primary Gunmetal Grey heat shield for reducing the surface temperature of exhaust systems.
• In January 2023, Autoneum acquired Borgers Group, which specializes in insulation, and acoustic protection for automobiles.

Fact.MR has provided detailed information about the price points of key manufacturers of automotive heat shields positioned across regions, sales growth, production capacity, and speculative technological expansion, in the recently published report.

Segmentation of Automotive Heat Shield Market Research

• By Product Type :

  • Single Shell
  • Double Shell
  • Sandwich

• By Application :

  • Under Chassis
  • Under Bonnet
  • Engine Compartment
  • Exhaust System
  • Turbocharger

• By Vehicle Category :

  • Passenger Vehicles
  • Commercial Vehicles

• By Material :

  • Non-Metallic
  • Metallic

• By Sales Channel :

  • OEMs
  • Aftermarket

• By Region :

  • North America
  • Latin America
  • Western Europe
  • Eastern Europe
  • East Asia
  • South Asia & Pacific
  • Middle East & Africa