Global Automotive Heater Core and Fans Market (2023-2028) Competitive Analysis, Impact of Covid-19, Ansoff Analysis

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The Global Automotive Heater Cores & Fans Market is estimated to be USD 2.51 Bn in 2023 and is expected to reach USD 3.53 Bn by 2028 growing at a CAGR of 7.07%.

The heater core and fans are an essential component of a vehicle's heating system. Heater cores are used to get warmness in the interior of the vehicle just as to meet the user’s satisfaction. The device is like a smaller radiator that works along with a vehicle cooling system. However, heater cores do the opposite jobs from the radiator that remove heat from the hot coolant and dispersing it into the atmosphere. The heater core works by passing hot engine coolant through a series of small tubes, which are surrounded by thin fins. As the hot coolant flows through the tubes, the fins absorb the heat and transfer it to the surrounding air. This heated air is then directed into the interior of the car through the air vents. The heater core is usually connected to a fan, which helps to distribute the heated air throughout the car's interior. The fan is typically located behind the dashboard and is powered by electricity from the car's battery. If the heater core or fan malfunctions, it can result in a lack of heat or reduced heat output in the car's interior. This can make driving uncomfortable, especially in colder weather. Regular maintenance of the heating system, including flushing the coolant and replacing worn or damaged components, can help to prevent issues and ensure that the heating system operates effectively.

The increasing purchasing power of the middle-class population and the need for transportation in developing countries are some of the factors driving the growth of the automotive heater core and fans market. With the increase in the demand for vehicles, manufacturers are more and more focused on giving importance to consumer preference and personalization in production, thus leading to another driver of the market which is comfort features in vehicles. With the increasing demand for comfort features in vehicles, automotive heater cores and fans are becoming an essential components of modern vehicles. These features provide a comfortable and pleasant driving experience, especially in extreme weather conditions. However, the increasing popularity of electric vehicles is expected to hamper the growth, as electric vehicles do not require heating systems, and the demand for automotive heater cores and fans is expected to decline in the long run. Additionally, the automotive market is a highly competitive market and with the availability of several established players new entrants are at risk if they don’t offer better alternatives in the market. The easy access to alternatives is also a threat to established players as they might lose their loyal customer base. Although, the development of efficient and eco-friendly automotive heater cores and fans is expected to create significant opportunities for the market. The increasing demand for eco-friendly products and the need for reducing emissions are opportunities for the development of new technologies. The increasing adoption of advanced technologies, such as the use of lightweight materials and improved designs are aiding in the development of efficient and durable automotive heater core and fans. Furthermore, the strict government regulations on vehicle emissions are a challenge to the manufacturers of the market. It is a constant struggle in keeping up with the changing norms and regulations for every country at the global level and the regulations are forcing automotive manufacturers to adopt new technologies and reduce emissions. The fluctuation in raw material prices is a major challenge for the market, which is increasing the cost of production. The price volatility of raw materials, such as aluminum and copper, can significantly affect the production costs and profit margins of manufacturers.

Market Segmentations

• The Global Automotive Heater Core and Fans Market is segmented based on Material, Input, Application, Sales Channel and Geography.
• By Material, the market is classified into Aluminum and Brass. Aluminum cores are lighter, more efficient, and less expensive than brass cores. They also have better heat transfer properties, which means they can heat up faster and more efficiently, while also cooling down faster. Due to these advantages, the aluminum segment of the global automotive heater core and fans market is likely to be larger than the brass segment. Additionally, the trend towards electric vehicles may also favor the use of aluminum cores, as they are lighter and more energy-efficient than brass cores.
• By Input, the market is classified into Fuel-based Vehicles, Electric Vehicle and Hybrid Vehicle. Among these segments, the largest segment is currently the fuel-based vehicles segment. This is because the majority of vehicles on the road today are still powered by traditional internal combustion engines that require a heating system to keep passengers warm in cold weather. Additionally, fuel-based vehicles typically require more robust heating systems due to the greater heat output of their engines. However, the market for electric and hybrid vehicles is rapidly growing, and it is expected that these segments will continue to increase in size in the coming years. As more consumers switch to electric and hybrid vehicles, the demand for heating systems designed specifically for these vehicles will also increase. Furthermore, hybrid vehicles offer a unique challenge for heating systems, as they rely on both electric and fuel-based power sources. As a result, heating systems for hybrid vehicles must be designed to work efficiently with both types of power sources.
• By Application, the market is classified into Passenger vehicle, Light commercial vehicle, and hybrid commercial vehicle. Due to increased production of passenger vehicles globally, growing urbanization, rising per capita incomes, and high consumer demand, the passenger vehicle category is expected to grow at a significant rate during the forecast period. Additionally, passenger vehicles are typically smaller and more affordable than commercial vehicles, making them more accessible to a wider range of consumers. Passenger vehicles are generally used more frequently than commercial vehicles, which means that their heating and cooling systems are subject to more wear and tear and may need to be replaced more often. Furthermore, passenger vehicles are typically equipped with more advanced and sophisticated heating and cooling systems than commercial vehicles, which often have simpler systems due to cost constraints. This means that the average cost of a heater core and fan replacement in a passenger vehicle is likely to be higher than in a commercial vehicle. Overall, the passenger vehicle segment is expected to continue to dominate the global automotive heater core and fans market.
• By Sales Channel, the market is classified into OEM and Aftermarket. The largest segment in the global automotive heater core and fans market is the OEM segment. This is because the production of new vehicles is steadily increasing, especially in developing countries and each of these vehicles requires a heater core and fans. Additionally, automobile manufacturers generally have long-term contracts with heater core and fan suppliers, which ensure a steady demand for their products. The OEM segment is also influenced by technological advancements and regulatory norms, which push automobile manufacturers to incorporate more efficient and environment-friendly components in their vehicles. On the other hand, the aftermarket segment is driven by factors like vehicle age, wear and tear of components, and maintenance requirements. While the aftermarket segment is also growing due to the increasing number of vehicles on the road, it is still smaller than the OEM segment due to factors like limited product warranties, competition from local suppliers, and a lack of uniformity in aftermarket products.
• By Geography, the market is classified into the Americas, Europe, Middle East & Africa, and Asia-Pacific. The largest segment of the global automotive heater core and fans market is Asia-Pacific, mainly due to the high demand for automobiles in this region. The increasing population and rising disposable incomes of consumers in countries such as China, India, and Japan have led to an increase in the demand for automobiles, which has subsequently boosted the demand for automotive heater core and fans. Additionally, the growing industrialization and urbanization in the Asia-Pacific region have resulted in an increase in the number of vehicles on the roads, thereby driving the demand for automotive heater core and fans. Moreover, the presence of several key automotive manufacturers in the region has also contributed to the growth of the market.

Recent Development

• Mahle GmbH, a German automotive parts manufacturer, has acquired Delphi Automotive thermal business, including car heater cores, for an undisclosed amount. The acquisition is expected to strengthen Mahle's position in the automotive thermal management sector.
• Japanese automaker Nissan has partnered with Marelli, a global automotive parts manufacturer, to establish a joint venture for automotive thermal systems. This partnership will allow for the development and production of next-generation car heater cores and other automotive thermal management products.

Company Profiles

The report provides a detailed analysis of the competitors in the market. It covers the financial performance analysis for the publicly listed companies in the market. The report also offers detailed information on the companies' recent development and competitive scenario. Some of the companies covered in this report are Denso Corp., Johnson Electric Holdings Ltd., BorgWarner Inc., Modine Manufacturing Co. etc.

Countries Studied

• America (Argentina, Brazil, Canada, Chile, Colombia, Mexico, Peru, United States, Rest of Americas)
• Europe (Austria, Belgium, Denmark, Finland, France, Germany, Italy, Ireland, Luxemburg, Netherlands, Norway, Poland, Russia, Spain, Sweden, Switzerland, United Kingdom, Rest of Europe)
• Middle East and Africa (Egypt, Israel, Qatar, Nigeria, Saudi Arabia, South Africa, United Arab Emirates, Rest of MEA)
• Asia-Pacific (Australia, Bangladesh, China, India, Indonesia, Japan, Malaysia, Philippines, Singapore, South Korea, Sri Lanka, Thailand, Taiwan, Rest of Asia-Pacific)

Competitive Quadrant

The report includes Competitive Quadrant, a proprietary tool to analyze and evaluate the position of companies based on their Industry Position score and Market Performance score. The tool uses various factors for categorizing the players into four categories. Some of these factors considered for analysis are financial performance over the last 3 years, growth strategies, innovation score, new product launches, investments, growth in market share, etc.

Ansoff Analysis

• The report presents a detailed Ansoff matrix analysis for the Global Automotive Heater Core and Fans Market. Ansoff Matrix, also known as Product/Market Expansion Grid, is a strategic tool used to design strategies for the growth of the company. The matrix can be used to evaluate approaches in four strategies viz. Market Development, Market Penetration, Product Development and Diversification. The matrix is also used for risk analysis to understand the risk involved with each approach.
• The publisher analyses the Global Automotive Heater Core and Fans Market using the Ansoff Matrix to provide the best approaches a company can take to improve its market position.
• Based on the SWOT analysis conducted on the industry and industry players, the publisher has devised suitable strategies for market growth.

Why buy this report?

• The report offers a comprehensive evaluation of the Global Automotive Heater Core and Fans Market. The report includes in-depth qualitative analysis, verifiable data from authentic sources, and projections about market size. The projections are calculated using proven research methodologies.
• The research report also provides a detailed market size analysis and projections in volume and value terms. The projections are calculated using verified research methodologies.
• Excel data sheet for the market size will also be provided with the report.
• The report has been compiled through extensive primary and secondary research. The primary research is done through interviews, surveys, and observation of renowned personnel in the industry.
• The report includes an in-depth market analysis using Porter’s 5 forces model, PESTLE Analysis, and the Ansoff Matrix. In addition, the impact of COVID-19 on the market is also featured in the report.
• The report includes the regulatory scenario in the industry, which will help you make a well-informed decision. The report discusses major regulatory bodies and major rules and regulations imposed on this sector across various geographies.
• The report includes Self-Assessment Form, which helps customers evaluate their position in the market compared to their competitors.
• The report offers customized research - tailored uniquely to our customers with a quick turnaround time. We offer a 15% customization option at no extra charge to all our clients for any of our syndicated reports.

Report Highlights:

• A complete analysis of the market, including the parent industry
• Important market dynamics and trends
• Impact Analysis - a comprehensive assessment to confront risk and make strategic & operational decisions to counter the changes in the market environment.
• Market segmentation
• Competitive Analysis: Comparative analysis of competitor
• Historical, current, and projected size of the market based on value and volume
• Market size of the US states
• Market shares and strategies of key players
• Recommendations to companies for strengthening their foothold in the market