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Engine Encapsulation Market Estimated to Reach $8.17 Billion by 2029, Expanding at a CAGR of 6.9% | Major Drivers, Segments, and Competitive Outlook

8 Sep, 2025

Insight by Abdul Wasay, Chief Operating Officer at The Business Research Company

In response to fluctuating tariffs and geopolitical trade developments, the Engine Encapsulation Market Outlook 2025 analyses how businesses are adapting through supply chain diversification and strategic sourcing.

What Are the Key Forecast Insights for the Engine Encapsulation Market Growth?

The Engine Encapsulation Global Market Report 2025 indicates that there has been consistent growth in the engine encapsulation market size. The market is projected to increase from $5.98 billion in 2024 to $6.25 billion in 2025, a compound annual growth rate (CAGR) of 4.4%.

What Is the Predicted Industry Size and CAGR of the Engine Encapsulation Market in 2029?

The Engine Encapsulation Global Market Report 2025 projects that by the year 2029, the market will reach $8.17 billion, expanding at a compound annual growth rate (CAGR) of 6.9%.

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Which Factors Are Driving Growth in the Engine Encapsulation Market?

The key drivers in the engine encapsulation market are:

• Stricter emission standards being implemented globally
• Electrification of vehicles becoming more widespread
• Utilization of advanced cooling systems within engine designs
• Focus on fuel efficiency and adoption of lightweight materials in the automotive industry

Which Segment Trends Are Covered in the Engine Encapsulation Market Forecast?

The engine encapsulation market covered in this report is segmented –
1) By Product Type: Engine-Mounted, Body-Mounted
2) By Material: Polypropylene, Polyurethane, Carbon fiber, Other Materials
3) By Fuel Type: Gasoline, Diesel
4) By Vehicle Class: Economic Light-Duty Vehicles, Mid-Priced Light-Duty Vehicles, Luxury Light-Duty Vehicles
5) By Sales Channel: Original Equipment Manufacturer (OEM), After market

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What Are the Current Market Trends in the Engine Encapsulation Industry?

The key trends in the engine encapsulation market are:

• Active engine encapsulation systems are emerging as a notable trend.
• Integration with vehicle thermal management is gaining importance.
• The use of sustainable and recyclable encapsulation materials is a growing trend.
• Customization specifically for electric vehicles and advanced computational simulations for optimal design are also emerging trends.

Who are the Key Companies in the Engine Encapsulation Market?

Major players in the engine encapsulation market are:

• ElringKlinger AG
• Autoneum Holding AG
• Continental AG
• Roechling Group
• Greiner Foam International GmbH
• Trocellen GmbH
• Adler Pelzer Holding GmbH
• BASF SE
• Furukawa Electric Co. Ltd.
• Evonik Industries AG
• Hennecke GmbH
• Compagnie de Saint-Gobain S. A.
• UFP Technologies Inc.
• Polytec Group
• DBW Advanced Fiber Technologies GmbH
• ZF Friedrichshafen AG
• GKN plc
• Schaeffler Technologies AG & Co KG
• BorgWarner Inc.
• AVL List GmbH
• Axletech International
• Dana Limited
• Woco Industrietechnik GmbH
• 3M Company
• SA Automotive Ltd
• Charlotte Baur Formschaumtechnik GmbH
• Carcoustics International GmbH
• Uniproducts Inc.
• UGN Inc.
• Robert Bosch GmbH

What are the Regional Trends Across the Engine Encapsulation Market?

Asia-Pacific was the largest region in the engine encapsulation market in 2024

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