Automotive Turbocharger Market Size (2024 - 2029)

Automotive Turbocharger Market Analysis

The automotive turbocharger market was valued at over USD 11.74 billion in 2021, and it is expected to reach over USD 19.17 billion by 2027, while registering a CAGR of around 8.5% during the forecast period, 2022-2027.

The COVID-19 pandemic affected the industry by forcing the manufacturers to shut down assembly lines and pushing the economy down. With almost zero vehicular movements, there were no new requirements for turbochargers to be installed into new vehicles and spare turbochargers for replacements in already present vehicles.

Over the medium term, with the increasing demand for performance and luxury cars, the market is looking to get back into a stable economic condition with good sales projections to meet the potentially high demand. Players in the business seek constructive alliances with OEM and turbocharger suppliers to maintain long-term relations. For instance, In February 2022, SuperTurbo technologies Inc. came under an alliance with Linamar Corp. to market the new automotive turbocharger technology. In addition, McLaren Engineering, a division of Linamar, announced to produce prototypes and will manufacture and test SuperTurbos for the global market soon.

Many car manufacturers consider turbochargers a viable option to keep internal combustion (IC) engines cleaner, thus increasing the share of turbocharged vehicles every year. At the current pace, about half of the cars rolling out of production are expected to be turbocharged by 2022, thereby influencing automakers and tier-1 suppliers to introduce more technologically advanced products.

North America and Europe are expected to witness significant market growth over the forecast period. The North American automotive turbocharger market is set to witness high growth through 2026 due to the implementation of government regulations on vehicle emissions. Regulatory bodies, such as the US Environmental Protection Agency (EPA), have introduced stringent emission regulations for on-road vehicles, including passenger vehicles and commercial trucks & buses. The EPA standards enforce automobile manufacturers to produce cleaner engines with more fuel efficiency, spurring the industry statistics.

Automotive Turbocharger Industry Segmentation

A turbocharger is a turbine-driven forced induction device that increases the internal combustion (IC) engine efficiency and energy output by sending extra compressed air into the combustion chamber. The automotive turbocharger market study covers the penetration of turbochargers into passenger cars and commercial vehicles, the latest product developments, government regulations pertaining to the use of turbochargers, and market shares of the players operating in the industry.

The automotive turbocharger market is segmented by Vehicle type, Fue Type, and Geography. By Fuel type, the market is segmented into passenger cars and commercial vehicles. By fuel type, the market is segmented into gasoline and diesel.

By sales channel, the market is segmented into OEM and replacement/aftermarket, and by geography, the market is segmented into North America, Europe, Asia-Pacific, and Rest of the World. For each segment, market size and forecast have been done on the basis of value (USD billion).