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Passenger Car Thermal System - Global Strategic Business Report

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    Report

  • 379 Pages
  • July 2025
  • Region: Global
  • Global Industry Analysts, Inc
  • ID: 6105988
The global market for Passenger Car Thermal System was estimated at US$46.6 Billion in 2024 and is projected to reach US$62.0 Billion by 2030, growing at a CAGR of 4.9% from 2024 to 2030. This comprehensive report provides an in-depth analysis of market trends, drivers, and forecasts, helping you make informed business decisions. The report includes the most recent global tariff developments and how they impact the Passenger Car Thermal System market.

Global Passenger Car Thermal System Market - Key Trends & Drivers Summarized

Why Are Thermal Systems Essential for Vehicle Efficiency and Component Protection?

Thermal systems regulate temperature within various parts of a passenger car to ensure performance, efficiency, and safety. These systems include engine cooling modules, cabin HVAC units, battery thermal management systems in EVs, and components that regulate temperature across transmission and power electronics. By controlling heat generation and dissipation, thermal systems help maintain fuel economy, extend component life, and ensure occupant comfort.

In internal combustion engine vehicles, thermal systems focus on engine cooling, oil temperature control, and cabin climate regulation. For electric vehicles, managing battery temperature becomes the core challenge, as both performance and safety are sensitive to thermal fluctuations. Without proper cooling, batteries risk performance degradation, capacity loss, and overheating. Hence, efficient thermal system design has become a priority for all types of vehicle propulsion systems.

How Are Technologies Evolving to Meet Electrification and Comfort Demands?

Thermal systems are undergoing rapid innovation to align with electrification, energy efficiency, and emissions goals. In electric vehicles, liquid cooling circuits, heat pumps, and refrigerant-based systems are replacing traditional coolant loops to manage battery packs, inverters, and electric motors. Heat pumps are being increasingly adopted for cabin heating in EVs, as they reduce energy draw from the battery compared to resistive heaters.

Integrated thermal management systems that combine battery cooling, motor cooling, and cabin heating into a single circuit are becoming more common in modern EV platforms. In parallel, smart actuators, thermal sensors, and electronic control units are enhancing the responsiveness and efficiency of heat transfer mechanisms. Material innovation is also contributing, with use of thermally conductive polymers and lightweight heat exchangers supporting faster thermal regulation and reduced system weight.

Where Is Market Growth Occurring and Which Segments Are Driving Thermal System Demand?

Thermal system demand is increasing across all passenger car segments, with the sharpest growth observed in electric and hybrid vehicles. As automakers shift toward electrified powertrains, thermal systems are being re-engineered to accommodate higher heat loads and tighter packaging constraints. Asia-Pacific remains the dominant production region, while Europe and North America lead in deployment of advanced battery thermal systems and integrated HVAC modules.

Luxury and premium vehicles often adopt multi-zone climate control and active thermal management systems, driving higher value per unit. Entry-level cars are seeing improved thermal efficiency through downsized yet optimized modules. EV manufacturers, in particular, are focusing on thermal system innovation to improve range, battery safety, and charging efficiency. These vehicles require specialized heating and cooling mechanisms that respond dynamically to external and internal conditions.

Growth in the Passenger Car Thermal System market is driven by several factors

Growth in the passenger car thermal system market is driven by factors such as the rise in electric and hybrid vehicle production, stringent emissions and efficiency regulations, and increasing demand for cabin comfort and system integration. The transition from ICE to electrified platforms is reshaping thermal architecture, prompting the development of advanced battery cooling, inverter heating, and multi-source HVAC solutions.

Improved energy management strategies, such as waste heat recovery and predictive thermal control, are gaining traction as OEMs seek to extend EV driving range. Regulatory pressure to improve air conditioning efficiency and reduce refrigerant emissions is also influencing system design. Additionally, consumer demand for year-round thermal comfort, rapid defogging, and personalized climate zones continues to expand the scope and complexity of thermal systems in passenger vehicles.

Scope Of Study:

The report analyzes the Passenger Car Thermal System market in terms of units by the following Segments, and Geographic Regions/Countries:

Segments: Vehicle Type (SUV, MUV, Sedan, Hatchback); Application (HVAC Application, Powertrain Cooling Application, Fluid Transport Application, Other Applications); Propulsion (ICE Vehicles Propulsion, Electric / Hybrid Vehicles Propulsion)

Geographic Regions/Countries: World; United States; Canada; Japan; China; Europe (France; Germany; Italy; United Kingdom; Spain; Russia; and Rest of Europe); Asia-Pacific (Australia; India; South Korea; and Rest of Asia-Pacific); Latin America (Argentina; Brazil; Mexico; and Rest of Latin America); Middle East (Iran; Israel; Saudi Arabia; United Arab Emirates; and Rest of Middle East); and Africa.

Key Insights:

  • Market Growth: Understand the significant growth trajectory of the SUV segment, which is expected to reach US$26.3 Billion by 2030 with a CAGR of a 6.6%. The MUV segment is also set to grow at 3.4% CAGR over the analysis period.
  • Regional Analysis: Gain insights into the U.S. market, estimated at $12.7 Billion in 2024, and China, forecasted to grow at an impressive 8.1% CAGR to reach $12.5 Billion by 2030. Discover growth trends in other key regions, including Japan, Canada, Germany, and the Asia-Pacific.

Why You Should Buy This Report:

  • Detailed Market Analysis: Access a thorough analysis of the Global Passenger Car Thermal System Market, covering all major geographic regions and market segments.
  • Competitive Insights: Get an overview of the competitive landscape, including the market presence of major players across different geographies.
  • Future Trends and Drivers: Understand the key trends and drivers shaping the future of the Global Passenger Car Thermal System Market.
  • Actionable Insights: Benefit from actionable insights that can help you identify new revenue opportunities and make strategic business decisions.

Key Questions Answered:

  • How is the Global Passenger Car Thermal System Market expected to evolve by 2030?
  • What are the main drivers and restraints affecting the market?
  • Which market segments will grow the most over the forecast period?
  • How will market shares for different regions and segments change by 2030?
  • Who are the leading players in the market, and what are their prospects?

Report Features:

  • Comprehensive Market Data: Independent analysis of annual sales and market forecasts in US$ Million from 2024 to 2030.
  • In-Depth Regional Analysis: Detailed insights into key markets, including the U.S., China, Japan, Canada, Europe, Asia-Pacific, Latin America, Middle East, and Africa.
  • Company Profiles: Coverage of players such as Behr GmbH & Co. KG, Boyd Corporation, Calsonic Kansei Corporation (Magna), Continental AG, Dana Incorporated and more.
  • Complimentary Updates: Receive free report updates for one year to keep you informed of the latest market developments.

Some of the 43 companies featured in this Passenger Car Thermal System market report include:

  • Behr GmbH & Co. KG
  • Boyd Corporation
  • Calsonic Kansei Corporation (Magna)
  • Continental AG
  • Dana Incorporated
  • Denso Corporation
  • Eberspächer Group
  • ElringKlinger AG
  • Gentherm Incorporated
  • Grayson Thermal Systems
  • Johnson Electric Holdings Ltd.
  • Mahle GmbH
  • Modine Manufacturing Company
  • Robert Bosch GmbH
  • Sanden Holdings Corporation
  • Schaeffler AG
  • Valeo SA
  • Visteon Corporation
  • Webasto SE
  • ZF Friedrichshafen AG

This edition integrates the latest global trade and economic shifts as of June 2025 into comprehensive market analysis. Key updates include:

  • Tariff and Trade Impact: Insights into global tariff negotiations across 180+ countries, with analysis of supply chain turbulence, sourcing disruptions, and geographic realignment. Special focus on 2025 as a pivotal year for trade tensions, including updated perspectives on the Trump-era tariffs.
  • Adjusted Forecasts and Analytics: Revised global and regional market forecasts through 2030, incorporating tariff effects, economic uncertainty, and structural changes in globalization. Includes segmentation by product, technology, type, material, distribution channel, application, and end-use, with historical analysis since 2015.
  • Strategic Market Dynamics: Evaluation of revised market prospects, regional outlooks, and key economic indicators such as population and urbanization trends.
  • Innovation & Technology Trends: Latest developments in product and process innovation, emerging technologies, and key industry drivers shaping the competitive landscape.
  • Competitive Intelligence: Updated global market share estimates for 2025, competitive positioning of major players (Strong/Active/Niche/Trivial), and refined focus on leading global brands and core players.
  • Expert Insight & Commentary: Strategic analysis from economists, trade experts, and domain specialists to contextualize market shifts and identify emerging opportunities.
  • Complimentary Update: Buyers receive a free July 2025 update with finalized tariff impacts, new trade agreement effects, revised projections, and expanded country-level coverage.

Table of Contents

I. METHODOLOGYII. EXECUTIVE SUMMARY
1. MARKET OVERVIEW
  • Influencer Market Insights
  • World Market Trajectories
  • Tariff Impact on Global Supply Chain Patterns
  • Passenger Car Thermal System - Global Key Competitors Percentage Market Share in 2025 (E)
  • Competitive Market Presence - Strong/Active/Niche/Trivial for Players Worldwide in 2025 (E)
2. FOCUS ON SELECT PLAYERS
3. MARKET TRENDS & DRIVERS
  • Rising Need for Efficient Cabin Climate Control and Component Cooling Spurs Growth in Passenger Car Thermal Systems
  • Shift Toward Electrification Strengthens Demand for Battery Thermal Management and Heat Pump Integration
  • Expansion of EV and PHEV Sales Throws the Spotlight on Compact, Multi-Functional Thermal Modules
  • Advancements in Smart HVAC and Zonal Climate Control Systems Enhance Passenger Comfort and Energy Efficiency
  • OEM Emphasis on Vehicle Range and Power Consumption Drives Innovation in Thermal Efficiency Optimization
  • Growing Use of Refrigerants With Low Global Warming Potential Aligns With Environmental Compliance and Sustainability Goals
  • Development of Integrated Thermal Management Units Supports Consolidation of Heating and Cooling Loops in EVs
  • Surge in ADAS and Autonomous Technologies Fuels Demand for Sensor and Electronics Cooling Solutions
  • Improved Heat Exchanger Designs and Phase-Change Materials Support Thermal Stability Under Varying Load Conditions
  • Increased Urbanization and Extreme Weather Events Boost Demand for High-Performance Cabin Air Conditioning Systems
  • Growth in Shared Mobility and Ride-Hailing Applications Promotes Durable, Efficient Climate Control in High-Use Vehicles
4. GLOBAL MARKET PERSPECTIVE
  • TABLE 1: World Passenger Car Thermal System Market Analysis of Annual Sales in US$ Million for Years 2014 through 2030
  • TABLE 2: World Recent Past, Current & Future Analysis for Passenger Car Thermal System by Geographic Region - USA, Canada, Japan, China, Europe, Asia-Pacific, Latin America, Middle East and Africa Markets - Independent Analysis of Annual Sales in US$ Million for Years 2024 through 2030 and % CAGR
  • TABLE 3: World Historic Review for Passenger Car Thermal System by Geographic Region - USA, Canada, Japan, China, Europe, Asia-Pacific, Latin America, Middle East and Africa Markets - Independent Analysis of Annual Sales in US$ Million for Years 2014 through 2023 and % CAGR
  • TABLE 4: World 16-Year Perspective for Passenger Car Thermal System by Geographic Region - Percentage Breakdown of Value Sales for USA, Canada, Japan, China, Europe, Asia-Pacific, Latin America, Middle East and Africa Markets for Years 2014, 2025 & 2030
  • TABLE 5: World Recent Past, Current & Future Analysis for SUV by Geographic Region - USA, Canada, Japan, China, Europe, Asia-Pacific, Latin America, Middle East and Africa Markets - Independent Analysis of Annual Sales in US$ Million for Years 2024 through 2030 and % CAGR
  • TABLE 6: World Historic Review for SUV by Geographic Region - USA, Canada, Japan, China, Europe, Asia-Pacific, Latin America, Middle East and Africa Markets - Independent Analysis of Annual Sales in US$ Million for Years 2014 through 2023 and % CAGR
  • TABLE 7: World 16-Year Perspective for SUV by Geographic Region - Percentage Breakdown of Value Sales for USA, Canada, Japan, China, Europe, Asia-Pacific, Latin America, Middle East and Africa for Years 2014, 2025 & 2030
  • TABLE 8: World Recent Past, Current & Future Analysis for MUV by Geographic Region - USA, Canada, Japan, China, Europe, Asia-Pacific, Latin America, Middle East and Africa Markets - Independent Analysis of Annual Sales in US$ Million for Years 2024 through 2030 and % CAGR
  • TABLE 9: World Historic Review for MUV by Geographic Region - USA, Canada, Japan, China, Europe, Asia-Pacific, Latin America, Middle East and Africa Markets - Independent Analysis of Annual Sales in US$ Million for Years 2014 through 2023 and % CAGR
  • TABLE 10: World 16-Year Perspective for MUV by Geographic Region - Percentage Breakdown of Value Sales for USA, Canada, Japan, China, Europe, Asia-Pacific, Latin America, Middle East and Africa for Years 2014, 2025 & 2030
  • TABLE 11: World Recent Past, Current & Future Analysis for Sedan by Geographic Region - USA, Canada, Japan, China, Europe, Asia-Pacific, Latin America, Middle East and Africa Markets - Independent Analysis of Annual Sales in US$ Million for Years 2024 through 2030 and % CAGR
  • TABLE 12: World Historic Review for Sedan by Geographic Region - USA, Canada, Japan, China, Europe, Asia-Pacific, Latin America, Middle East and Africa Markets - Independent Analysis of Annual Sales in US$ Million for Years 2014 through 2023 and % CAGR
  • TABLE 13: World 16-Year Perspective for Sedan by Geographic Region - Percentage Breakdown of Value Sales for USA, Canada, Japan, China, Europe, Asia-Pacific, Latin America, Middle East and Africa for Years 2014, 2025 & 2030
  • TABLE 14: World Recent Past, Current & Future Analysis for Hatchback by Geographic Region - USA, Canada, Japan, China, Europe, Asia-Pacific, Latin America, Middle East and Africa Markets - Independent Analysis of Annual Sales in US$ Million for Years 2024 through 2030 and % CAGR
  • TABLE 15: World Historic Review for Hatchback by Geographic Region - USA, Canada, Japan, China, Europe, Asia-Pacific, Latin America, Middle East and Africa Markets - Independent Analysis of Annual Sales in US$ Million for Years 2014 through 2023 and % CAGR
  • TABLE 16: World 16-Year Perspective for Hatchback by Geographic Region - Percentage Breakdown of Value Sales for USA, Canada, Japan, China, Europe, Asia-Pacific, Latin America, Middle East and Africa for Years 2014, 2025 & 2030
  • TABLE 17: World Recent Past, Current & Future Analysis for Electric / Hybrid Vehicles Propulsion by Geographic Region - USA, Canada, Japan, China, Europe, Asia-Pacific, Latin America, Middle East and Africa Markets - Independent Analysis of Annual Sales in US$ Million for Years 2024 through 2030 and % CAGR
  • TABLE 18: World Historic Review for Electric / Hybrid Vehicles Propulsion by Geographic Region - USA, Canada, Japan, China, Europe, Asia-Pacific, Latin America, Middle East and Africa Markets - Independent Analysis of Annual Sales in US$ Million for Years 2014 through 2023 and % CAGR
  • TABLE 19: World 16-Year Perspective for Electric / Hybrid Vehicles Propulsion by Geographic Region - Percentage Breakdown of Value Sales for USA, Canada, Japan, China, Europe, Asia-Pacific, Latin America, Middle East and Africa for Years 2014, 2025 & 2030
  • TABLE 20: World Recent Past, Current & Future Analysis for ICE Vehicles Propulsion by Geographic Region - USA, Canada, Japan, China, Europe, Asia-Pacific, Latin America, Middle East and Africa Markets - Independent Analysis of Annual Sales in US$ Million for Years 2024 through 2030 and % CAGR
  • TABLE 21: World Historic Review for ICE Vehicles Propulsion by Geographic Region - USA, Canada, Japan, China, Europe, Asia-Pacific, Latin America, Middle East and Africa Markets - Independent Analysis of Annual Sales in US$ Million for Years 2014 through 2023 and % CAGR
  • TABLE 22: World 16-Year Perspective for ICE Vehicles Propulsion by Geographic Region - Percentage Breakdown of Value Sales for USA, Canada, Japan, China, Europe, Asia-Pacific, Latin America, Middle East and Africa for Years 2014, 2025 & 2030
  • TABLE 23: World Recent Past, Current & Future Analysis for HVAC Application by Geographic Region - USA, Canada, Japan, China, Europe, Asia-Pacific, Latin America, Middle East and Africa Markets - Independent Analysis of Annual Sales in US$ Million for Years 2024 through 2030 and % CAGR
  • TABLE 24: World Historic Review for HVAC Application by Geographic Region - USA, Canada, Japan, China, Europe, Asia-Pacific, Latin America, Middle East and Africa Markets - Independent Analysis of Annual Sales in US$ Million for Years 2014 through 2023 and % CAGR
  • TABLE 25: World 16-Year Perspective for HVAC Application by Geographic Region - Percentage Breakdown of Value Sales for USA, Canada, Japan, China, Europe, Asia-Pacific, Latin America, Middle East and Africa for Years 2014, 2025 & 2030
  • TABLE 26: World Recent Past, Current & Future Analysis for Powertrain Cooling Application by Geographic Region - USA, Canada, Japan, China, Europe, Asia-Pacific, Latin America, Middle East and Africa Markets - Independent Analysis of Annual Sales in US$ Million for Years 2024 through 2030 and % CAGR
  • TABLE 27: World Historic Review for Powertrain Cooling Application by Geographic Region - USA, Canada, Japan, China, Europe, Asia-Pacific, Latin America, Middle East and Africa Markets - Independent Analysis of Annual Sales in US$ Million for Years 2014 through 2023 and % CAGR
  • TABLE 28: World 16-Year Perspective for Powertrain Cooling Application by Geographic Region - Percentage Breakdown of Value Sales for USA, Canada, Japan, China, Europe, Asia-Pacific, Latin America, Middle East and Africa for Years 2014, 2025 & 2030
  • TABLE 29: World Recent Past, Current & Future Analysis for Fluid Transport Application by Geographic Region - USA, Canada, Japan, China, Europe, Asia-Pacific, Latin America, Middle East and Africa Markets - Independent Analysis of Annual Sales in US$ Million for Years 2024 through 2030 and % CAGR
  • TABLE 30: World Historic Review for Fluid Transport Application by Geographic Region - USA, Canada, Japan, China, Europe, Asia-Pacific, Latin America, Middle East and Africa Markets - Independent Analysis of Annual Sales in US$ Million for Years 2014 through 2023 and % CAGR
  • TABLE 31: World 16-Year Perspective for Fluid Transport Application by Geographic Region - Percentage Breakdown of Value Sales for USA, Canada, Japan, China, Europe, Asia-Pacific, Latin America, Middle East and Africa for Years 2014, 2025 & 2030
  • TABLE 32: World Recent Past, Current & Future Analysis for Other Applications by Geographic Region - USA, Canada, Japan, China, Europe, Asia-Pacific, Latin America, Middle East and Africa Markets - Independent Analysis of Annual Sales in US$ Million for Years 2024 through 2030 and % CAGR
  • TABLE 33: World Historic Review for Other Applications by Geographic Region - USA, Canada, Japan, China, Europe, Asia-Pacific, Latin America, Middle East and Africa Markets - Independent Analysis of Annual Sales in US$ Million for Years 2014 through 2023 and % CAGR
  • TABLE 34: World 16-Year Perspective for Other Applications by Geographic Region - Percentage Breakdown of Value Sales for USA, Canada, Japan, China, Europe, Asia-Pacific, Latin America, Middle East and Africa for Years 2014, 2025 & 2030
III. MARKET ANALYSIS
UNITED STATES
  • Passenger Car Thermal System Market Presence - Strong/Active/Niche/Trivial - Key Competitors in the United States for 2025 (E)
CANADA
JAPAN
  • Passenger Car Thermal System Market Presence - Strong/Active/Niche/Trivial - Key Competitors in Japan for 2025 (E)
CHINA
  • Passenger Car Thermal System Market Presence - Strong/Active/Niche/Trivial - Key Competitors in China for 2025 (E)
EUROPE
  • Passenger Car Thermal System Market Presence - Strong/Active/Niche/Trivial - Key Competitors in Europe for 2025 (E)
FRANCE
  • Passenger Car Thermal System Market Presence - Strong/Active/Niche/Trivial - Key Competitors in France for 2025 (E)
GERMANY
  • Passenger Car Thermal System Market Presence - Strong/Active/Niche/Trivial - Key Competitors in Germany for 2025 (E)
ITALY
UNITED KINGDOM
  • Passenger Car Thermal System Market Presence - Strong/Active/Niche/Trivial - Key Competitors in the United Kingdom for 2025 (E)
SPAINRUSSIAREST OF EUROPE
ASIA-PACIFIC
  • Passenger Car Thermal System Market Presence - Strong/Active/Niche/Trivial - Key Competitors in Asia-Pacific for 2025 (E)
AUSTRALIA
  • Passenger Car Thermal System Market Presence - Strong/Active/Niche/Trivial - Key Competitors in Australia for 2025 (E)
INDIA
  • Passenger Car Thermal System Market Presence - Strong/Active/Niche/Trivial - Key Competitors in India for 2025 (E)
SOUTH KOREAREST OF ASIA-PACIFIC
LATIN AMERICA
  • Passenger Car Thermal System Market Presence - Strong/Active/Niche/Trivial - Key Competitors in Latin America for 2025 (E)
ARGENTINABRAZILMEXICOREST OF LATIN AMERICA
MIDDLE EAST
  • Passenger Car Thermal System Market Presence - Strong/Active/Niche/Trivial - Key Competitors in Middle East for 2025 (E)
IRANISRAELSAUDI ARABIAUNITED ARAB EMIRATESREST OF MIDDLE EAST
AFRICA
  • Passenger Car Thermal System Market Presence - Strong/Active/Niche/Trivial - Key Competitors in Africa for 2025 (E)
IV. COMPETITION

Companies Mentioned (Partial List)

A selection of companies mentioned in this report includes, but is not limited to:

  • Behr GmbH & Co. KG
  • Boyd Corporation
  • Calsonic Kansei Corporation (Magna)
  • Continental AG
  • Dana Incorporated
  • Denso Corporation
  • Eberspächer Group
  • ElringKlinger AG
  • Gentherm Incorporated
  • Grayson Thermal Systems
  • Johnson Electric Holdings Ltd.
  • Mahle GmbH
  • Modine Manufacturing Company
  • Robert Bosch GmbH
  • Sanden Holdings Corporation
  • Schaeffler AG
  • Valeo SA
  • Visteon Corporation
  • Webasto SE
  • ZF Friedrichshafen AG

Table Information