Automotive Fuel Tank Market - Global Forecast to 2026
The automotive fuel tank market is estimated to be USD 16.6 billion in 2021 and is projected to reach USD 21.3 billion by 2026, at a CAGR of 5.1%. The market is driven by the increasing production of passenger and commercial vehicles, rising demand for lightweight vehicles for longer driving range, government support for alternate fuel vehicles, stringent emission norms that require minimum greenhouse gas emissions, and government initiatives pertaining to hydrogen infrastructure. Several governments have increased investments to promote the use of lightweight vehicles. Also, governments are increasingly investing in the development of fuel-efficient vehicles and alternate fuel vehicles. On the other hand, the growing demand for electric vehicles that do not require fuel tanks and high cost of lightweight composite fuel tanks can restrain the growth of the market. Also, the rising stringency of evaporative emission standards that require fuel tank manufacturers to reduce the permeability of fuel tanks can hamper the growth of the automotive fuel tank market.
“The Type 4 CNG tank is projected to be the fastest-growing segment of the automotive fuel tank market, by CNG Tank Type, during the forecast period”
CNG vehicles are similar to gasoline or diesel vehicles in terms of power, acceleration, and cruising speed. CNG is stored onboard a vehicle in a compressed gaseous state within cylinders at a pressure of 3,000–3,600 pounds per square inch. The tanks are basically of four types including Type 1, Type 2, Type 3, and Type 4 and come in different sizes depending on the specific requirements of the vehicle. According to NGV Journal, almost 85 countries across the globe use CNG-powered vehicles with more than 22.4 million vehicles and 25,000 fueling stations spread across 2,900 cities worldwide. CNG-powered vehicles are primarily used for public transport applications. Type 1 Tanks are more economical than other tank types and thus have the largest market. Type 4 tanks are lightweight and have the fastest growing market. These tanks are used in HDVs. Owing to the lightweight of the fuel tank, vehicles equipped with Type 4 tanks have a better fuel efficiency.
“Asia Pacific to be the largest market for Selective Catalytic Reduction (SCR) Tank segment of the automotive fuel tank market”
Due to the increasing production of LCVs in countries such as India, Japan, and Thailand to meet the growing requirement of freight and goods transport, Asia Pacific is estimated to be the largest market for automotive SCR tank. Stringent regulations have compelled OEMs to provide factory-fitted SCR systems in light and heavy commercial vehicles.
The SCR system controls the production of NOx from diesel engines, while enabling engine manufacturers to minimize PM emissions and optimize fuel consumption. Adhering to the Euro VI regulations that dictate the limits for PM and NOx emissions from passenger cars and commercial vehicles is a pressing challenge for engine and vehicle manufacturers. According to the Diesel Technology Forum, SCR is one of the most cost-effective and fuel-efficient technologies available for emission reduction. It can reduce NOx emissions by up to 90%, hydrocarbon and CO emissions by 50–90%, and PM emissions by 30–50%.
“Asia Pacific is projected to have the highest share in the global automotive fuel tank market”
Asia Pacific is the largest automobile producer, given the increasing demand for passenger vehicles in countries such as China, India, Japan, and South Korea. China is the largest manufacturer of vehicles in the world. India’s commercial vehicle market has been growing rapidly and contributes a significant share of the national GDP. As of 2020, the adoption of plastic fuel tanks in the Indian and Chinese automotive markets is estimated to be low. However, it is projected to increase rapidly in the future. In recent years, the automotive industry in Asia Pacific has witnessed a significant increase in vehicle production and sales. The total number of commercial vehicles produced increased by 6.3%. Increased vehicle production is expected to boost the automotive fuel tank market in the Asia Pacific region during the forecast period.
The study contains insights provided by various industry experts, ranging from equipment suppliers to Tier I companies and OEMs. The break-up of the primaries is as follows:
By Stakeholder: Supply side – 70%, Demand Side – 30%
By Designation: C-level Executives –11%, Directors–11%, Others–78%
By Region: North America–22%, Europe–22%, Asia Pacific–56%
The fuel tank market for automotive is dominated by globally established players such as The Plastic Omnium Group (France), Textron – Kautex (US), Yapp (China), TI Fluid Systems (UK) and Yachiyo (Japan). The study includes an in-depth competitive analysis of these key players in the fuel tank market for automotive with their company profiles, MnM view of the top five companies, recent developments, and key market strategies.
The automotive fuel tank market has been segmented by material (Aluminum, Plastic, and Steel), capacity (<45L, 45L–70L, and >70L), Selective Catalytic Reduction Tank Type (Asia Pacific, Europe, North America, and Rest of the World), CNG Tank Type (Type 1, Type 2, Type 3, and Type 4), Propulsion type (Hybrid, Hydrogen, ICE, NGV), region (Asia Pacific, Europe, North America, and Rest of the World), Two wheeler fuel tank region (Asia Pacific, Europe, North America, and Rest of the World) and Two wheeler fuel tank type(Motorcycles, Mopeds). The market has been projected, in terms of volume (‘000 units), while the market by component type is projected, in terms of value (USD million).
Key Benefits of Buying the Report:
The report provides insights into the following points:
Market Penetration: The report provides comprehensive information on the automotive fuel tank market and the top players in the industry.
Regulatory Framework: The report offers detailed insights into norms leading to the application of automotive fuel tank and the effect of the regulations on the market.
Market Development: The report provides comprehensive information on various technologies of automotive fuel tank. The report analyzes the markets for various automotive fuel tank technologies across different countries.
Market Diversification: The report provides exhaustive information on emerging technologies, recent developments, and investments in the global automotive fuel tank market.
Competitive Assessment: The report offers an in-depth assessment of strategies, services, and manufacturing capabilities of leading players in the global automotive fuel tank market.
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