What Has Been The Growth Of Automotive HVAC Market In Recent Years?
The Automotive HVAC Market has made impressive strides in recent years, notable growth driven by several key factors.
• The market surged from $55.35 billion in 2024 to $59.61 billion in 2025, signifying a firm compound annual growth rate (CAGR) of 7.7%.
The uptrends during the historic period can be largely credited to global automotive production surge, concerns surrounding global warming, growing demand for energy efficacy, and increased demand for commercial vehicles.
What Is The Forecast Growth and Trends Governing The Automotive HVAC Market?
Owing to several driving factors, the automotive HVAC market holds a buoyant outlook in the upcoming years.
• By 2029, the projected market size stands at an astounding $81.22 billion, reflecting a CAGR of 8.0%.
The impetus for the forecast period growth is expected to come from increased uptake of electric and hybrid vehicles, the proliferation of autonomous vehicles, rapid growth in emerging markets, and an upswing in research and development activities. Additionally, rising disposable income also plays a crucial role. Defining trends within this period include smart and connected HVAC, thermal comfort solutions, cabin sensing and AI, multi-zone HVAC, and green and eco-friendly HVAC solutions.
What Factors Propel The Growth Of The Automotive HVAC Market?
The burgeoning demand for luxury vehicles is anticipated to be a major engine powering the growth of the automotive HVAC market. Luxury vehicles, defined by superior performance capabilities, plush interiors, and state-of-the-art safety and technology features, essentialize the role of the automotive HVAC system to maintain a thermally comfortable environment for all passengers. For instance, in January 2024, the BMW Group, a Germany-based manufacturing company, reported the registration of 28,723 all-electric vehicles in 2023, marking a 34% increase compared to 2022. This rising demand for luxury vehicles directly fuels the growth of the automotive HVAC market.
What Is The Market Segmentation Of The Automotive HVAC Market?
The automotive HVAC market seen in this report has a distinct segmentation:
1) By Component: Evaporator, Compressor, Condenser, Receiver/Drier, Expansion Device
2) By Technology: Manual, Automatic
3) By Vehicle Type: Passenger Cars, Commercial Vehicles, Light Commercial Vehicle, Heavy Commercial Vehicle
Pre-Book The Automotive HVAC Market Report For Swift Delivery And Comprehensive Insights Here
What Trends Are Shaping The Automotive HVAC Market?
Product innovations have emerged as a key trend in the automotive HVAC market. Major players in the market are focusing on delivering innovative products with advanced technologies such as automatic climate control controlling the vehicle temperature; green technologies developing eco-friendly and energy-efficient automotive HVAC systems. For instance, in July 2024, Modine, a US-based company, launched the EVantage cabin climate system, a cutting-edge climate control solution crafted specifically for electric vehicles (EVs) to optimize comfort and energy efficiency.
Who Are The Major Players In The Automotive HVAC Market?
Significant companies operating in the automotive HVAC market include:
• Denso Manufacturing Tennessee Inc.
• Air International Thermal Systems
• Valeo Thermal Systems
• Hanon Climate Control Corp.
• Calsonic Kansei North America Inc.
• Johnson Electric Holdings Ltd.
• Sanden Holdings Corporation
• Sensata Technologies Inc.
• Marelli Corporation
• OMEGA Environmental Technologies
Which Is The Largest Region In The Automotive HVAC Market?
Asia-Pacific held the largest share in the automotive HVAC market in 2024. The regions covered in this market report delve into Asia-Pacific, Western Europe, Eastern Europe, North America, South America, Middle East and Africa.
