Automotive Shielding Market Forecast (2021-2026)

Automotive Shielding Market Overview

Automotive Shielding Market size is projected to reach $22.6 billion by 2026, and it is estimated to grow at a CAGR 4.7% during 2021-2026. The robust growth of Automotive Shielding Market is majorly attributed to the increasing adoption of stringent fuel efficiency norms, pollution prevention regulations globally to curb the vehicle emission. Automotive Shielding helps in increasing vehicle performance by protecting against heat or EMI and reduces fuel consumption complying with the vehicles emission standards. Furthermore, With the growing application of electronic components in automotive sector to cater to the burgeoning demand for various advanced features in passenger cars including advanced driver assistance system (ADAS), infotainment system for enhancing comfort, convenience and safety requires Electromagnetic Interference (EMI) shielding system to avoid interference or cross-talk among electronic components and thus propelling Automotive Shielding Market growth. The rapid growth in electric mobility and intelligent transportation system for low emission commuting is also analyzed to boost the market during 2021-2026.

Report Coverage

The report: “Automotive Shielding Market Forecast (2021-2026)” covers an in-depth analysis of the following segments of the Automotive Shielding Market.

By Shielding Type: Heat Shielding, Electromagnetic Interference (EMI) Shielding

By Vehicle Type: Passenger cars (Sedan, SUV, Crossover, Hatchbacks, others), Commercial light duty vehicles, commercial heavy duty vehicles

By Material: Metallic, Non-metallic.

By Heat Application: Engine compartment, Exhaust system, Turbocharger, Others.

By EMI application: Adaptive Cruise Control (ACC), Electric motor, Engine Control Module (ECM), Infotainment, Forward Collision Warning (FCW), Lane Departure Warning (LDW), Intelligent Park assist (IPA), Automatic Emergency Breaking (AEB), Others

By Electric Vehicle: Battery electric vehicle, Fuel cell electric vehicle, Hybrid electric vehicle, Plug-in Hybrid electric vehicle

By Geography: North America (U.S., Canada and Mexico),Europe (U.K., Germany, Italy, France, Spain, Russia, Rest of Europe); APAC (China, Japan, South Korea, India, Australia, Rest of APAC); ); South America (Brazil, Argentina, Rest of South Americas);RoW (Middle East & Africa)

Key Takeaways

• Passenger Vehicles are estimated to account for the largest market share of 70% by 2026 owing to growth in sales of passenger cars in emerging counties.
• APAC has dominated the Automotive Shielding market in 2020 and is estimated to account for largest market share of 47% with the fastest growing CAGR 5.6% due to high demand for automotive shielding for electric vehicles stringent emission norms by government.
• Rapid penetration of electric vehicles and rising government initiatives to curb vehicle emission are set to drive the market from 2021 to 2026.
• High Maintenance Cost is one of the major challenges to impede the market growth during 2021-2026.

Automotive Shielding Market Segment Analysis- By Shielding Type

By vehicle type, Automotive Shielding Market has been segmented into heat shielding and electromagnetic interference (EMI) shielding. Heat Shielding dominated the market in 2020 acquiring a share of 69% and is estimated hold the largest market share of 67% by 2026 due to increasing stringent environment policies imposed by government across various countries to curb the vehicle emission. The growing demand for heat shields to protect components from overheating and heat damages in commercial and passenger vehicles are boosting the market. EMI shielding is estimated to witness the fastest growth with a CAGR 5.6% due to wide-spread use of high end electronic components in automobile. In March 2021, DuPoint announced to acquire Laird PLC to expand its position in advanced electronics for key markets such as autonomous vehicles, 5G telecommunications, artificial intelligence and high performance computing. Such acquisitions are set to drive the market during the forecast period 2021-2026.

Automotive Shielding Market Segment Analysis- By Vehicle Type

By Vehicle Type, Automotive Shielding Market has been segmented into passenger cars and commercial vehicles. Passenger cars are estimated to account for the largest market share of 70% by 2026 due to growth in personal mobility. Rising income per capita and improved lifestyle have increased the sale of passenger cars in emerging countries such as India and China and thus accelerating the growth of the market. The rising demand for heat shielding equipment to comply with emission standards and the growing adoption of EMI shields to reduce electromagnetic interference in passenger cars are significantly triggering the market. In May 2020, Laird PLC unveiled a new fabric-over-foam-gasket EcoTemp Series FoF 619 to suppress electromagnetic interference with damaging sensitive components. Such product innovations are anticipated to drive the market from 2021 to 2026.

Automotive Shielding Market Segment Analysis- By Geography

By geography, Automotive Shielding Market has been segmented into North America, Europe, APAC, South America and RoW. APAC dominated the Automotive Shielding market in 2020 with a share of 44% and is estimated to hold the major market share of 47% by 2026 owing to rising adoption of electric vehicles, major developments in electronics industry. APAC is also estimated to grow at the fastest CAGR 5.6% from 2021 to 2026 owing to rapid adoption of fuel efficient cars. Growing number of electronic components and sensors for advance infotainment system is a key factor driving the market growth in the region. Automotive shielding helps in preventing signals to interfere with each other, protecting electronic components and sensors from being expose to harmful environment and impact. Further, due to ever growing fuel price car OEMs are using the application of automotive shielding to improve fuel efficiency of the vehicles.

Automotive Shielding Market Drivers

Rapid penetration of electric vehicles globally

The rapid transition of automotive industries towards electrification of vehicles to reduce the carbon footprint is stimulating the market. The advanced features in electric vehicles including ADAS, infotainment, V2X communication technology and other AI based applications result in high electromagnetic noise and elevate the complexity in electronic devices in the limited interior space of the vehicle causing malfunctioning or cross-connection of magnetic fields. Growing adoption of EMI shields in electric vehicles to overcome damages and intersection with other components is anticipated to boost the market during the forecast period 2021-2026. In May 2021, SABIC unveiled plastic intensive electric vehicle battery pack, molded with STAMAX FR resin to be metalized for electromagnetic interference (EMI) and radio frequency interference (RFI) shielding. Such developments are analyzed to boost the market from 2021 to 2026.

Increasing Government initiatives to curb vehicle emission in urban areas

The mandatory vehicle emission norms imposed by government in various counties to regulate the output of air pollutants from IC engine and spark-ignition engine equipment has stimulated the adoption of heat shielding equipment for various applications. The burgeoning demand for fuel efficient vehicles to comply with the fuel efficiency standards have also contributed to the growth of the market. In June 2020, Morgan Advanced Materials announced to acquire Carbo San Luis to accelerate its development and growth of thermal management business in Argentina, Chile and Peru. Such acquisitions are analyzed to stimulate the market during 2021-2026.

Automotive Shielding Market Challenges

High cost of maintenance

Automotive Shields tend to reduce their effectiveness in a few years due to direct exposure to high temperature, excessive heat, moisture, electromagnetic radiation. In order to ensure efficient and safe functioning, these components need to be replaced frequently and the replacement and maintenance of automotive shields incurs high cost to the vehicle owner and thus hampering the adoption.

Automotive Shielding Market Landscape

Product innovation, Acquisitions, Collaboration, and R&D activities are key strategies adopted by players in the Automotive Shielding market. Automotive Shielding top 10 companies include Laird PLC, Henkel AG & Co. KGaA, Dana Incorporated, The 3M Company, Morgan Advanced Materials, Tenneco Inc., Parker Hannifin Corporation, KITAGAWA Industries Co. Ltd., The Schaffner Group, Federal-Mogul Corporation and others.

Acquisitions/Technology Launches

• In November 2020, AMAC GmbH has announced its partnership with FibreCoat to launch Alucoat as electromagnetic interference shielding material in autonomous cars.
• In November 2020, ElringKlinger AG collaborated with Keysight Technologies Inc. to advance e-mobility by accelerating the development of battery systems offering electromagnetic interference shielding.