Exhaust System Market by After-Treatment Device (DOC, DPF, LNT, SCR, GPF), Vehicle Type (LCV, Trucks, Buses, Tractor, Construction & Mining Equipment), Aftermarket, Component, Application, Fuel Type, Sales Channel and Region - Global Forecast to 2030

Exhaust System Market by After-Treatment Device (DOC, DPF, LNT, SCR, GPF), Vehicle Type (LCV, Trucks, Buses, Tractor, Construction & Mining Equipment), Aftermarket, Component, Application, Fuel Type, Sales Channel and Region - Global Forecast to 2030

The automotive exhaust systems market is projected to grow from USD 32.9 billion in 2024 to USD 40.6 billion by 2030, at 3.6%. There's a rise in demand for automotive vehicles in the APAC and the Latin America market; this is happening as the economies are developing rapidly and the disposable incomes are rising. The governments have also introduced stringent rules and regulations to control the emissions. Technologies such as selective catalytic reduction (SCR), diesel particulate filters (DPF), and gasoline particulate filters (GPF) are becoming standard in meeting these requirements. The manufacturers make various efforts by investing in R&D such as developing exhaust gas sensors by continental AG and developing Cold start thermal unit by Tenneco.

“The SCR segment accounted for the largest and fastest aftermarket segment in the exhaust systems market during the forecast period.”

Selective catalytic converters (SCR) accounted for the largest aftermarket segment in the exhaust system market. Recent advancements in the aftermarket for Selective Catalytic Reduction (SCR) devices have centered on improving performance and efficiency. In 2023, Cummins expanded its Modular Aftertreatment System, which integrates proven diesel particulate filter (DPF) and SCR technologies into a flexible, modular solution. This system is designed to meet some of the world's most stringent emission regulations while enhancing engine reliability and efficiency. SCR technology continues to be an effective solution for reducing nitrogen oxide (NOx) emissions and improving fuel economy while being virtually maintenance-free. Cummins' electronic controls and software are designed to support a full range of after-treatment options, including flow-through catalysts, DPF, SCR systems, and injection system controls. These control systems can function as standalone modules to enhance engine control or be integrated directly into the engine control module. Growing stringent emission norms specifically for NOx emissions and SCR systems is an effective technology for reducing NOx emissions. Further, advancements in SCR catalyst design, urea injection systems, and engine control technologies have enhanced the performance and cost-effectiveness of SCR systems, driving the adoption of SCR systems for emission control.

“The passenger car segment is expected to be the largest and fastest vehicle type segment during the forecast period.”

The passenger car segment is estimated to be the largest market for exhaust systems because of its largest share in vehicle production across all vehicle types. The stringency in emission norms for passenger cars, primarily in the US and European countries, further drives the passenger car segment’s growth. According to ACEA, global passenger car sales increased by 9% in the first three quarters of 2023. Over 9 million cars were produced in the EU during the same period. The US manufactured around 6 million cars, marking an 11% rise compared to 2022. China manufactured 17.5 million cars, while Japan produced around 6 million cars, representing an 18.5% rise compared to 2022. The passenger car market in the US is growing at a steady rate as consumers are switching to SUVs and pickup trucks. Similarly, the demand for compact, mid and full-sized SUVs and coupes is increasing in other countries such as China, India, Japan, and Europe. These SUVs also offer diesel engines that deliver better performance and towing capacity. Many SUVs are offered with AWD or 4WD systems to provide enhanced traction and stability, particularly in adverse weather conditions or off-road situations. Also, the growth of Gasoline Direct Injection (GDI) engines will continue to fuel the installation of GPF technology in developed and emerging economies. Thus, with the rise in the production and sales of different SUV categories and the rising acceptance of GDI engines, the market for different after-treatment technologies in passenger cars is expected to be significant in the coming years.

“Europe is the second largest market in exhaust systems market.”

Europe holds the 2nd largest market share in the exhaust system industry market during the forecast period. Stringent emission regulations and the demand for smaller, more efficient engines without compromising performance are driving the growth. Developed economies such as Germany, the UK, France, and Spain account for a considerable share of the European automotive industry, which is dominated by established OEMs such as BMW (Germany), Daimler (Germany), Fiat (Italy), PSA/Peugeot-Citroen (France), and Volkswagen (Germany). Further, Europe is known for the early adoption of emission norms for all vehicle types. Europe was a diesel-driven region, but for the last 5 years, the trend has been shifting toward gasoline cars. The penetration of diesel vehicles in Europe has declined from 16.4% in 2022 to 13.6% in 2023, affecting the demand for diesel after-treatment devices like DOC, DPF, SCR, and LNT. With the Euro 7 proposal for light-duty vehicles expected to come into force from July 1, 2025, OEMs must adopt the highly effective three-way catalyst to meet the emission regulations.

Furthermore, According to an AECA publication from 2023, light commercial vehicles and buses still dominate the EU market, with over 90% of the fleet running on diesel. This underscores the significant presence of diesel-powered vehicles in the commercial segment, which will drive the growth of diesel exhaust systems in the region.

“Asia–Pacific region is projected to be the fastest growing exhaust systems market by 2030.”

China and India are pivotal in the global automotive industry, being major producers and home to vast populations. As vehicle demand rises, the exhaust system market is expected to grow correspondingly. Another significant factor driving this growth is the continuous evolution of government emission regulations and standards, such as China 7 and BS 7. These regulatory updates, alongside increasing vehicle demand, are anticipated to support consistent expansion in the exhaust system market.

The break-up of the profile of primary participants in the automotive exhaust systems market:

By Company Type: Tier1 – 50%,Tier2–30%, and OEMs – 20%

By Designation: C-Level Executives - 30%, Director Level- 40%, and Others – 30%

By Region: North America –30%, Europe - 25%, Asia Pacific - 45%

Tenneco Inc.(US), Faurecia (France), Eberspächer (Germany), Continental AG (Germany), and Futaba Industrial Co.Ltd. (Japan) are the leading providers of an exhaust system in the global market.

Research Coverage:

This research report categorizes the Automotive exhaust systems market size based on OE Market, by the after-treatment device (DOC, DPF, SCR, LNT, and GPF), OE Market, by component (sensors, exhaust manifold, downpipe, catalytic converter, muffler, tailpipe, and hangers), aftermarket by the after-treatment device (DOC, DPF, SCR, and GPF), by vehicle type (passenger car, LCV, trucks, buses), OE Market, by off-highway vehicle (agricultural tractor and construction equipment), off-highway (OE) market, by the after-treatment device (DOC, DPF, and SCR), by Fuel Type (Diesel, Gasoline) Sales Channel (OEM and aftermarket), and Region (Asia Pacific, North America, Europe, and the Rest of the World).

The report comprehensively discusses key factors impacting the growth of the automotive exhaust systems market, including drivers, constraints, challenges, and opportunities. It provides detailed analyses of major industry players, offering insights into their business profiles, solutions, services, key strategies, contracts, partnerships, agreements, new product and service launches, mergers and acquisitions, recession impacts, and recent developments. Additionally, the report includes a competitive analysis of emerging startups within the automotive exhaust systems market ecosystem.

Reasons to buy this report:

This report offers comprehensive analyses of market share and supply chains and detailed information on component manufacturers. It is designed to aid market leaders and new entrants by providing precise revenue estimates for the overall automotive exhaust systems market. Additionally, the report helps stakeholders understand the market dynamics, highlighting key drivers, restraints, challenges, and opportunities.

The report provides insights on the following pointers:

Analysis of key drivers (Vehicle pollution leading to stringent emission and fuel economy rules and regulations, growing penetration of after-treatment devices in combination), restraints (Increasing sales of clean vehicles), opportunities (Lightweight and efficient emission system supplementing the vehicle weight reduction, Growing demand for gasoline particulate filter in GDI engine), and challenges (Different emission regulations in different regulations) are fueling the demand of the exhaust systems.

Product Development/Innovation: Detailed insights on upcoming technologies, research & development activities, and new product & service launches in the automotive exhaust systems market, such as the use of various kinds of metals in exhaust systems such as Titanium, stainless steel, etc.

Market Development: Comprehensive information about lucrative markets – the report analyses the automotive exhaust systems market across varied regions.

Market Diversification: Exhaustive information about new products & services, untapped geographies, recent developments, and investments in the automotive exhaust systems market

Competitive Assessment: In-depth assessment of market shares, growth strategies, and service offerings of leading players in the automotive exhaust systems market, such as Tenneco Inc.(US), Faurecia (France), Eberspächer (Germany), Continental AG (Germany), and Futaba Industrial Co.Ltd. (Japan).