Driven by rising automation in vehicles and increased vehicle manufacturing in the emerging economies due to urbanisation, the automotive solenoid market is projected to grow at a CAGR of 7.3% till 2026.
Solenoids are used in various automotive systems and features in every vehicle, which is expected to drive the market in the next five years.
According to the research report - Automotive Solenoid market by application, vehicle type, EVs, valve design, function, operation, and region - Global Forecast to 2026, published by MarketsandMarkets, the global automotive solenoid market is estimated to be $ 4.3 billion in 2021 and is estimated to reach $ 6.2 billion by 2026.
Major players in the market include Robert Bosch, Hitachi, Mitsubishi Electric, MAHLE, Johnson Electric and BorgWarner.
Engine Control & Cooling Systems
The engine control and cooling system segments are estimated to dominate the market as these solenoids play a significant role in downsising the engine, enhancing fuel efficiency, and improving vehicle performance. In addition, a significant evolution in fuel economy and emission standards are expected to drive the demand for solenoid valves in the engine control and cooling system segment.
In terms of value, the passenger cars segment is estimated to lead the market, leading to the increasing demand for automotive solenoids.
The Asia Pacific region is leading the passenger car production, thereby leading the market. In addition, this region is expected to have the largest market share in value and volume as the region is home to leading automotive component suppliers such as Denso, Nidec Corporation, and Mitsubishi, MarketsandMarkets said.
Moreover, countries like China, Japan, South Korea, and India are considered major automotive manufacturing hubs, further expected to boost the Asia Pacific solenoid market.
China is estimated to dominate the Asia Pacific automotive solenoid market with the largest market share during the forecast period. China is the world's largest vehicle manufacturer, which is expected to be a driving factor for the growth of the automotive solenoids market in the country. Moreover, China can produce automotive components in large volumes at a lower cost, providing a competitive edge over other countries.
Courtesy: MarketsandMarkets. NB: Photo is representational; courtesy: Bosch.