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Automotive Engine Encapsulation Market Worldwide Growing by Size, Share, Demand, Regional Analysis by 2025

An automotive engine encapsulation helps in insulating the engine from the external environment, thereby maintaining heat in the engine when it is turned off. This, thereby slows down the engine cooling rate and subsequently provides the necessary initial heat during the time of starting the engine. Encapsulation thus reduces the friction between engine parts and thus provide short warm-up time for the engine.

Demand Scenario

The global automotive engine encapsulation market was USD 4.18 billion in 2018 and is estimated to reach USD 6.75 billion in 2025 at a CAGR of 7.09% during the forecast period.

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Growth by Region

Asia Pacific leads the market owing to the growing automobile production. Emerging economies such as China and India from the Asia-Pacific region are the major contributors. Europe backed by well-established automotive industry holds the second largest market due to the presence of huge number of giant automakers in the region. North America, on the other hand, is also one of the lucrative markets and stands as a promising market.

Drivers vs Constraints

The market is mainly driven by growing awareness on the environment as well as increase in demand for low noise vehicles along with the rapid growth in the sales of fuel-efficient and aerodynamically efficient vehicles. However, the growth is hindered by high investment on research and development based on fuel-efficient components and also finding low-cost material for engine encapsulation.

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Industry Trends and Updates

Roechling Automotive, a German-based company had opened a new factory in the northeast city of Shenyang, China to produce supply for BMW Group’s local joint venture Brilliance Automotive. The company has invested €3 million in the development of the plant.

ElringKlinger, a German-based automotive supplier company had announced €21 million investment into building a plant in Kecskemet, which is a home to German giant Diamler’s local operations. The new 10,000 sqm plant will make thermal shielding systems as well as employ a staff of 700.

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