Exhaust Heat Recovery Systems Market - Global Forecast 2025-2032

The exhaust heat recovery systems market is reshaping operational efficiency for vehicle and industrial applications worldwide. As environmental goals drive new investments and regulations progress, leading organizations are adopting advanced heat recovery to lower emissions, enhance sustainability, and secure cost advantages.

Market Snapshot: Exhaust Heat Recovery Systems Market

The Exhaust Heat Recovery Systems Market grew from USD 35.53 billion in 2024 to USD 38.13 billion in 2025. It is expected to continue expanding at a CAGR of 7.90%, reaching USD 65.33 billion by 2032. Robust regulatory mandates and industry sustainability commitments are accelerating global adoption, while technology innovation continues to unlock new operational efficiencies for original equipment manufacturers and industrial sectors.

Scope & Segmentation

This report comprehensively covers the global exhaust heat recovery systems market, analyzing diverse segments and regions to inform strategic decision-making:

• Component Type: Control Systems, Heat Exchangers, Power Electronics
• Technology: Kalina Cycle, Organic Rankine Cycle, Steam Rankine Cycle, Thermoelectric Generators, Waste Heat To Power
• Vehicle Type: Commercial Vehicles, Off-Highway Vehicles, Passenger Vehicles
• System Type: Active Systems, Passive Systems
• Product Type: Integrated Systems, Standalone Systems
• Application: Automotive, Cement Production, Chemical Manufacturing, Energy Generation, Petroleum Refining
• Region: Americas (United States, Canada, Mexico, Brazil, Argentina, Chile, Colombia, Peru), Europe, Middle East & Africa (UK, Germany, France, Russia, Italy, Spain, Netherlands, Sweden, Poland, Switzerland, UAE, Saudi Arabia, Qatar, Turkey, Israel, South Africa, Nigeria, Egypt, Kenya), Asia-Pacific (China, India, Japan, Australia, South Korea, Indonesia, Thailand, Malaysia, Singapore, Taiwan)
• Companies Analyzed: ABB Ltd.; Alfa Laval AB; Benteler International AG; BorgWarner Inc.; Continental AG; Cummins Inc.; Dana Incorporated; Denso Corporation; Eberspächer Gruppe GmbH & Co. KG; Eminox Ltd.; FORVIA SE; Gentherm Incorporated; Hitachi, Ltd.; Honeywell International Inc.; IHI Corporation; Johnson Matthey Group; Katcon Global, S.A. de C.V.; Kelvion Holding GmbH; MAHLE GmbH by Mahle Stiftung GmbH; Marelli Holdings Co., Ltd.; Mitsubishi Heavy Industries, Ltd.; Robert Bosch GmbH; Sango Co., Ltd.; Schaeffler Group; Siemens AG; Tenneco Inc.; Valeo S.A.; Yutaka Giken Company Limited

Key Takeaways for Senior Decision-Makers

• Stricter global emission standards and decarbonization targets are compelling both vehicle manufacturers and industrial sectors to prioritize exhaust heat recovery deployments.
• Cutting-edge thermodynamic cycles and compact heat exchanger designs are addressing technical integration challenges, supporting broader applications in on-road and stationary systems.
• Collaborative industry and research alliances are fueling advanced material use and manufacturing methods, leading to more durable and lightweight components.
• Regional supply chain shifts, influenced by tariff schedules, are motivating manufacturers to localize production and diversify supplier networks for greater cost control and resiliency.
• After-sales services and sophisticated diagnostics are emerging as critical differentiators, maximizing system uptime and fostering trust with business partners.

Tariff Impact on the Exhaust Heat Recovery Systems Market

The 2025 revision of United States tariffs on imported components has directly affected cost structures for control modules and heat exchanger cores sourced from global manufacturing hubs. Organizations are responding with dual-sourcing strategies, localized assembly, and increased investment in regional supply chains. In parallel, engineering teams are innovating with alternative materials and integration techniques to mitigate rising input costs, supporting the continued viability of heat recovery projects despite regulatory headwinds.

Methodology & Data Sources

This analysis integrates qualitative insights from expert interviews with quantitative data from primary and secondary sources. Cross-validation and sensitivity checks ensure result reliability, supplemented by targeted case studies and site visits for contextual depth. This multifaceted approach delivers an accurate, actionable view of technology maturity, regional trends, and supply chain variables.

Why This Report Matters

• Enables C-suite executives and strategic planners to pinpoint technology pathways and supply chain strategies most aligned to evolving regulatory and operational environments.
• Identifies opportunities for competitive differentiation through regional partnerships, modular product integration, and adaptive after-sales support models.
• Empowers investment and innovation decisions for sustainable growth in both established and emerging industrial markets.

Conclusion

Exhaust heat recovery is now integral to achieving operational efficiency, regulatory compliance, and sustainability. This report offers a rigorous roadmap for industry leaders aiming to gain advantage by leveraging advanced heat recovery across applications and global markets.

Additional Product Information:

• Purchase of this report includes 1 year online access with quarterly updates.
• This report can be updated on request. Please contact our Customer Experience team using the Ask a Question widget on our website.