Automotive Ignition Coil Market Size
| Study Period | 2019 - 2029 |
| Market Size (2024) | USD 10.79 Billion |
| Market Size (2029) | USD 13.33 Billion |
| CAGR (2024 - 2029) | 4.32 % |
| Fastest Growing Market | Asia-Pacific |
| Largest Market | North America |
Major Players.webp "Automotive Ignition Coil Market Major Players")
*Disclaimer: Major Players sorted in no particular order |
Automotive Ignition Coil Market Analysis
The Automotive Ignition Coil Market size is estimated at USD 10.79 billion in 2024, and is expected to reach USD 13.33 billion by 2029, growing at a CAGR of 4.32% during the forecast period (2024-2029).
- The outbreak of COVID-19 caused several vehicle and component manufacturing facilities to shut down temporarily. However, with the gradual removal of lockdowns in several countries, the demand for vehicles slightly increased. The impact was evident in the auto industry as many companies faced disturbances with their production activities and supply chain.
- However, with the pandemic subsiding in the latter half of 2021 and early 2022, the industry has been crawling back up to pre-pandemic conditions, further aided by the exponentially growing electrification of the automotive industry. Despite the growth, electrification is a clear sign of a potential market demand slowdown for the ignition coils and can reduce market value in the coming years.
- The rise in the sales of automobiles globally and an increase in vehicle production positively affect the sales of automotive ignition coils. Even though the recent economic conditions have remained unstable, the global automotive industry has witnessed satisfactory growth. This is especially true in emerging economies, where automotive production is expected to be significant compared to developed economies. Rising urbanization, per capita income growth, and a rise in the living standards in these emerging economies also play a crucial role in market growth.
- The growing automotive demand worldwide is expected to increase the demand for ignition systems. However, at present, vehicle demand is increasing at a slow growth rate due to various reasons. The prime factor affecting vehicle sales and production in every country is the US-China trade war, owing to which the ignition system is likely to witness a slow growth rate in the near future.
- The increase in the average life of vehicles has accelerated maintenance and repair activities, including replacing their ignition coils. As the number of miles traveled increases, the replacement of ignition coils increases, which further boosts the demand for the automotive ignition coil market in the aftermarket segment.
- Another factor is the per capita income, which varies from country to country, and may influence the average age of vehicles. Despite the United States, China, India, and some European countries, like France, and Germany, observing high per capita incomes, the average age of vehicles has been increasing and was approximated to 10 years for passenger cars and 11-14 years for commercial vehicles.
Automotive Ignition Coil Market Trends
Growing Demand for Electric Vehicles Will Fuel the OEM Distribution Channel
- The need to attain sustainable transportation plays a significant role in driving the demand for electric vehicles. The electric vehicle (EV) market is becoming an integral part of the automotive industry and represents a pathway toward achieving energy efficiency and reduced emissions of pollutants and other greenhouse gasses.
- The rising number of environmental concerns and favorable government initiatives are some of the major factors driving the growth of the electric vehicle market. The increasing energy costs and competition among emerging energy-efficient technologies are also expected to fuel market growth.
- The rise in electric vehicles is still majorly driven by the policy environment. The 10 leading countries in electric vehicle adoption (China, the United States, Norway, Germany, Japan, the United Kingdom, France, Sweden, Canada, and the Netherlands) all have a range of policies to promote the uptake of electric vehicles.
- There has been a significant increase in the number of new electric vehicles registered every year around the world. The upsurge in demand was due to the combination of new and attractive models, incentive boosts by governments' green recovery funds, the 95g CO2 mandate, improved availability, and the extensive promotion of EVs.
- According to EV Volumes, the year-on-year growth rate of Plug-In-Hybrid Electric Vehicles has been on an increasing trend, with China witnessing a huge 82% growth between the years 2021 and 2022. Similarly, North America witnessed a growth rate of 48% (Y-o-Y), with Europe registering a 15% Y-o-Y growth rate between 2021 and 2022.
- The global and regional manufacturers of electric vehicles are innovating with new technologies, expanding their services across the world. For instance:
- China's BYD has a large production network in Europe that has largely gone unnoticed since 2021 in the passenger car world. Some of the primary reasons for this are the firm's new plant in Hungary, which is scheduled to begin construction in the latter half of 2023, its planned plant in France, and its joint venture operations in the United Kingdom, manufacturing electric buses.
- In December 2021, Daimler teamed up with the Chinese government to promote e-mobility in China. Electric mobility is one of the major pillars of Daimler's future mobility strategy. The company is bringing this strategy forward globally, especially in China, the world's largest NEV market.
- As ignition coils are not used in electric cars, the factors mentioned above are expected to put a significant challenge to the growth of the global automotive ignition coil market over the forecast period.
Asia-Pacific Leading the Ignition Coil Market
- Asia-Pacific is expected to dominate the automotive ignition coil market, owing to the growing vehicle demand in countries such as India, China, and ASEAN countries and increasing demand for commercial vehicles, due to the rise in construction, e-commerce, and mining activities (resulting in a rise in the logistics industry). Europe and North America, respectively, follow the Asia-Pacific region.
- The sales of vehicles are declining in major automotive markets such as China, Japan, and India, further impacting the growth of the automotive ignition coil market. The governments of growing economies are taking various steps to increase vehicle sales in their respective countries.
- For instance, China registered a total of 1.3 million units of plug-in electric vehicle sales in 2020, followed by South Korea, witnessing a total sales of 520,000 units of plug-in hybrid electric vehicle sales. Despite the high market for electric vehicles, the significant opportunity lies in the huge plug-in hybrid electric vehicle sales, which still require the vehicles to use ignition coils, thereby driving a major market growth across the Asia-Pacific region.
- Most luxurious vehicles are equipped with multiple vehicle ignition coils due to their high power and excellent performance. A significant increase has been witnessed in the sales of luxury vehicles in developing regions. For example, China has grown to become a major destination for the sales of luxury vehicles.
- Almost one-third of luxury vehicles are sold in China in terms of value. India is one of the world's largest vehicle ignition coil markets in terms of volume, with luxury cars generating high demand for vehicle ignition coils. However, vehicle manufacturers, both luxury and non-luxury segments, foresee a high potential for sales growth in the country and seek to invest further in this fast-growing market.
Automotive Ignition Coil Industry Overview
The automotive ignition coil market is dominated by a few players, such as Hitachi Automotive Systems, Continental AG, and Diamond Electric Mfg. Co. Ltd, Denso Corp., Mitsubishi Electric Corp., and BorgWarner. The companies are launching more technologically advanced ignition coils and expanding their geographical presence to be ahead of the competition. For instance:
In September 2021, Hitachi Astemo announced that it would invest a total of USD 56 million to improve the industrial safety and production capacities of its production plants that manufacture various automotive parts, including ignition coils.
In March 2021, Diamond Electric Mfg. Co. Ltd announced that it would build a new plant in West Virginia, USA, to manufacture ignition coils for automobiles. The production capacity of ignition coils in the United States will be increased by 20%. The new US plant has a building area of 12,263 square meters. In addition to Ford's existing North American production bases, the main supply destinations are the North American production bases of Japanese automobile manufacturers.
Automotive Ignition Coil Market Leaders
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Denso Corporation
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Bosch Limited
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Hitachi Automotive Systems Ltd
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Hella GmbH & Co. KGaA
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Diamond Electric Holdings Co. Ltd
*Disclaimer: Major Players sorted in no particular order
Automotive Ignition Coil Market News
- October 2022: Diamond Electric Holdings Co., Ltd. revealed its ambitious target to achieve JPY 150 billion (USD 1.36 billion) in annual sales by FY2026. The company aims to accomplish this milestone through a strategic expansion of its automotive parts business, with a particular focus on ignition coils.
- October 2021: Diamond Electric Holdings Co., Ltd. (Diamond Electric HD) made a significant announcement regarding its Thai subsidiary, Diamond Electric (Thailand) Co. Ltd. The company decided to dissolve and liquidate Diamond Electric (Thailand) as part of its consolidation efforts. The production of automotive ignition coils previously handled by Diamond Electric (Thailand) has now been integrated into Diamond Electric Asia Pacific Co. Ltd, which serves the same product line in the eastern region of Thailand. This consolidation move aims to streamline operations and optimize efficiency within the company's automotive parts segment.
Automotive Ignition Coil Market Report - Table of Contents
1. INTRODUCTION
- 1.1 Study Assumptions
- 1.2 Scope of the Study
2. RESEARCH METHODOLOGY
3. EXECUTIVE SUMMARY
4. MARKET DYNAMICS
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4.1 Market Drivers
- 4.1.1 Increasing Demand for Passenger Cars and Commercial Vehicles
- 4.1.2 Others
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4.2 Market Restraints
- 4.2.1 Growing Demand for Electric Vehicles Hindering the Automotive Gear Market Growth
- 4.2.2 Others
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4.3 Industry Attractiveness - Porter's Five Forces Analysis
- 4.3.1 Threat of New Entrants
- 4.3.2 Bargaining Power of Buyers/Consumers
- 4.3.3 Bargaining Power of Suppliers
- 4.3.4 Threat of Substitute Products
- 4.3.5 Intensity of Competitive Rivalry
5. MARKET SEGMENTATION
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5.1 Type
- 5.1.1 Block Ignition Coils
- 5.1.2 Coil on Plug
- 5.1.3 Ignition Coil Rail
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5.2 By Operating Principle
- 5.2.1 Single Spark Technology
- 5.2.2 Dual Spark Technology
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5.3 By Distribution Channel
- 5.3.1 OEM
- 5.3.2 Aftermarket
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5.4 By Vehicle Type
- 5.4.1 Passenger Cars
- 5.4.2 Commercial Vehicles
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5.5 Geography
- 5.5.1 North America
- 5.5.1.1 United States
- 5.5.1.2 Canada
- 5.5.1.3 Rest of North America
- 5.5.2 Europe
- 5.5.2.1 Germany
- 5.5.2.2 United Kingdom
- 5.5.2.3 France
- 5.5.2.4 Italy
- 5.5.2.5 Russia
- 5.5.2.6 Rest of Europe
- 5.5.3 Asia-Pacific
- 5.5.3.1 China
- 5.5.3.2 Japan
- 5.5.3.3 India
- 5.5.3.4 South Korea
- 5.5.3.5 Rest of Asia-Pacific
- 5.5.4 Rest of the World
- 5.5.4.1 Brazil
- 5.5.4.2 Argentina
- 5.5.4.3 South Africa
- 5.5.4.4 Other Countries
6. COMPETITIVE LANDSCAPE
- 6.1 Vendor Market Share
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6.2 Company Profiles
- 6.2.1 NGK SPARK PLUG Co. Ltd
- 6.2.2 Denso Corporation
- 6.2.3 Robert Bosch GmbH
- 6.2.4 Hitachi Ltd
- 6.2.5 HELLA GmbH & Co. KGaA
- 6.2.6 Diamond Electric Holdings Co. Ltd
- 6.2.7 Taiwan Ignition System Co. Ltd
- 6.2.8 BorgWarner Inc.
- 6.2.9 Eldor Corporation
- 6.2.10 Furuhashi Auto Electric Parts Co. Ltd
- *List Not Exhaustive
7. MARKET OPPORTUNITIES AND FUTURE TRENDS
** Subject To AvailablityAutomotive Ignition Coil Industry Segmentation
An automotive ignition coil is an essential component in a vehicle's ignition system that transforms the low-voltage power from the battery into high-voltage electricity. This high voltage is required to create a spark in the spark plugs, igniting the air-fuel mixture in the engine's combustion chamber, enabling the vehicle's engine to start and run.
The automotive ignition coil market is segmented by type (block ignition coils, coil on plug, and ignition coil rail), operating principle (single spark technology and dual spark technology), distribution channel (OEM and aftermarket), vehicle type (passenger cars and commercial vehicles), and geography (North America, Europe, Asia-Pacific, and the rest of the world).
The report offers forecasts for the automotive ignition coil market in volume and value (USD) for all the above segments.
| Type | Block Ignition Coils | |
| Coil on Plug | ||
| Ignition Coil Rail | ||
| By Operating Principle | Single Spark Technology | |
| Dual Spark Technology | ||
| By Distribution Channel | OEM | |
| Aftermarket | ||
| By Vehicle Type | Passenger Cars | |
| Commercial Vehicles | ||
| Geography | North America | United States |
| Canada | ||
| Rest of North America | ||
| Geography | Europe | Germany |
| United Kingdom | ||
| France | ||
| Italy | ||
| Russia | ||
| Rest of Europe | ||
| Geography | Asia-Pacific | China |
| Japan | ||
| India | ||
| South Korea | ||
| Rest of Asia-Pacific | ||
| Geography | Rest of the World | Brazil |
| Argentina | ||
| South Africa | ||
| Other Countries |
Automotive Ignition Coil Market Research FAQs
How big is the Automotive Ignition Coil Market?
The Automotive Ignition Coil Market size is expected to reach USD 10.79 billion in 2024 and grow at a CAGR of 4.32% to reach USD 13.33 billion by 2029.
What is the current Automotive Ignition Coil Market size?
In 2024, the Automotive Ignition Coil Market size is expected to reach USD 10.79 billion.
Who are the key players in Automotive Ignition Coil Market?
Denso Corporation, Bosch Limited, Hitachi Automotive Systems Ltd, Hella GmbH & Co. KGaA and Diamond Electric Holdings Co. Ltd are the major companies operating in the Automotive Ignition Coil Market.
Which is the fastest growing region in Automotive Ignition Coil Market?
Asia-Pacific is estimated to grow at the highest CAGR over the forecast period (2024-2029).
Which region has the biggest share in Automotive Ignition Coil Market?
In 2024, the North America accounts for the largest market share in Automotive Ignition Coil Market.
What years does this Automotive Ignition Coil Market cover, and what was the market size in 2023?
In 2023, the Automotive Ignition Coil Market size was estimated at USD 10.32 billion. The report covers the Automotive Ignition Coil Market historical market size for years: 2019, 2020, 2021, 2022 and 2023. The report also forecasts the Automotive Ignition Coil Market size for years: 2024, 2025, 2026, 2027, 2028 and 2029.
Automotive Ignition Coil Industry Report
The Global Automotive Ignition Coil Market report provides a comprehensive industry overview, detailing the market size and market share segmented by various types, operating principles, distribution channels, vehicle types, and geography. The industry report offers valuable insights into the market trends and industry statistics, highlighting the growth rate and market growth prospects.
The market analysis covers the distribution across North America, Europe, Asia-Pacific, and the Rest of the World, providing a detailed market forecast and market outlook. The report includes an in-depth industry analysis, focusing on both single spark technology and dual spark technology, as well as the segmentation of the market into OEM and aftermarket channels.
The industry research delves into the market value and market segmentation, offering a thorough market review and market predictions for the future. The report also identifies the market leaders and provides an industry outlook, emphasizing the importance of understanding industry trends and market data.
For those interested in a deeper dive, the report example and report PDF are available for download, offering an extensive look into the industry sales and industry size. The industry information provided is crucial for research companies and stakeholders looking to stay ahead in the competitive landscape of the automotive ignition coil market.
