The Vehicle Electrification Market is projected to grow at a CAGR of 11.9% to reach USD 129.6 billion by 2025 from USD 73.7 billion. The vehicle electrification market is expected to witness a significant downturn in 2020, largely attributed to a decline in vehicle production. The production of ICE vehicles remains largely disrupted due to the COVID-19 pandemic.
The vehicle electrification market is driven by factors such as stringent emission and fuel efficiency regulations around the globe. Increasing demand for passenger cars is boosting this electrification effect. Alternatively, the higher cost of electric vehicles can undermine the demand for vehicle electrification.
Opportunities:
- Use of alternate materials for overall weight reduction to open new avenues in electric vehicle technologies
- Electrification of commercial vehicles
The vehicle electrification market comprises major manufacturers such as Bosch (Germany), Continental (Germany), Denso (Japan), BorgWarner (US), and Mitsubishi Electric (Japan).
Request FREE Sample Report @ https://www.marketsandmarkets.com/requestsampleNew.asp?id=224946587
With the increased use of electrical and electronics components, there is an increased demand for power supply. Investing and researching on 48V architecture is the preferred option by OEMs. This will not only help reduce vehicular CO2 and NOx emissions to permissible limits but will also improve fuel efficiency, which would help OEMs to meet fleet targets. A 48V architecture is a stepping stone toward bringing smarter vehicles that utilize the available energy. 48V system consists of a 48V Li-ion battery, DC/DC converter, and an integrated starter generator (ISG). Without replacing the present 12V architecture completely, 48V architecture works parallel with the combustion engine and a regular 12V battery. This parallel combination helps boost the efficiency of electric parts like electrical oil, coolant, and vacuum pump. In this dual 12/48 architecture, the 48V architecture will handle the power requirement of the start/stop system, regenerative braking, air conditioning compressor, and active chassis system, whereas the 12V system will handle the power requirement of conventional accessories such as lighting system, ignition system, audio system, and entertainment.
Liquid heater PTC is expected to grow at the fastest CAGR during the forecast period. These systems are being progressively employed in modern electric vehicles. As per the industry experts, liquid heater PTC is mainly installed in BEVs. There is no requirement of PTC in HEVs as there is a separate HVAC system. The liquid heater PTC is an auxiliary heating device to provide thermal comfort to passengers. Owing to increased stringency in emission regulations, it is expected that the demand for BEVs would grow in the coming years. Additionally, with an increase in demand for fast charging and long-range BEVs, the demand for high voltage batteries would grow further. Eventually, it would result in an increased focus on battery thermal management. Liquid heater PTC is one of the key components in battery thermal management, and thus, expected to be the new revenue pocket for the Tier I players like Bosch, Continental, and Denso, as they do not have liquid heater PTC in their product portfolio.
Download PDF Brochure @ https://www.marketsandmarkets.com/pdfdownloadNew.asp?id=224946587
BEVs are projected to lead the vehicle electrification market, in terms of value, during the next 10 years. Automakers are seeing BEVs as the gateway to achieving fuel emission and economy standards set by governments. Government tax incentives and state rebates have boosted the proliferation of BEVs. Asia Oceania and North America are the fastest growing regions for BEVs. Growing charging infrastructure in North America would be responsible for the shift from conventional ICE vehicles to BEVs. BEVs are generally equipped with electric power steering, liquid heater PTC, and electric pumps. Hence, Tier I players can invest in the development of products for vehicle electrification. Therefore, BEVs would be the most promising market in the near future for automotive companies.
The study estimates North America as the fastest-growing region for vehicle electrification. The growth in this region can be attributed to increased electric vehicle sales and cost competitiveness for OEMs. The US dominates the North American vehicle electrification market, holding the highest market share in 2019. Market players can leverage factors such as developing an electric vehicle ecosystem, increasing demand for electrified ICE vehicles, and government incentives to gain traction in this fastest-growing market.
