“Global Automotive Climate Control Systems Market to reach a market value of USD 16.3 Billion by 2031 growing at a CAGR of 10.4%”
The Global Automotive Climate Control Systems Market size is expected to reach $16.3 billion by 2031, rising at a market growth of 10.4% CAGR during the forecast period.
The rapid urbanization in major cities across Asia-Pacific has resulted in heightened traffic congestion and extended commute durations. Effective climate control systems enhance passenger comfort during these extended periods of travel. Consequently, the Asia Pacific region would acquire nearly 32.1% of the total market share by 2031. Growing awareness of environmental issues and air quality concerns has prompted governments in some Asia-Pacific countries to introduce regulations promoting the adoption of cleaner and more efficient automotive technologies, including climate control systems.
As consumers increasingly prioritize comfort, convenience, and advanced technological features in their vehicles, the luxury vehicle segment has seen substantial growth. Affluent consumers today prioritize personalized experiences and continual engagement when purchasing luxury vehicles due to their exposure to luxury products in other retail environments. Hence, the rising demand for luxury and premium vehicles is a key factor driving the growth of the automotive climate control systems market. Additionally, Modern climate control systems can leverage AI to learn and adapt to passenger preferences over time. Another significant advantage of integrating climate control systems with smart technologies is the capability for predictive maintenance and diagnostics. Therefore, as these technologies advance, their influence on the functionality and attractiveness of automotive climate control systems is anticipated to increase, stimulating additional innovation and market adoption.
However, One of the most significant factors hampering the growth of the automotive climate control systems market is the high cost associated with these advanced systems. The high costs of advanced climate control systems mean manufacturers often face difficult decisions regarding the features they can afford to include in their vehicles. Hence, the high cost associated with advanced automotive climate control systems is a significant factor hampering the growth of this market.
Based on technology, the automotive climate control systems market is bifurcated into automatic and manual. The manual segment procured 33% revenue share in the automotive climate control systems market in 2023. Manual climate control systems are typically less expensive to manufacture and install than automatic systems, which appeals to consumers looking for budget-friendly vehicle options. Due to their mechanical nature, manual climate control systems are often perceived as simpler and more reliable.
On the basis of vehicle type, the automotive climate control systems market is classified into passenger vehicle, commercial vehicle, and electric vehicle. The commercial vehicle segment recorded 28.8% revenue share in the automotive climate control systems market in 2023. Increasingly stringent regulations and safety standards require commercial vehicles to provide adequate climate control for driver well-being. Compliance with these regulations drives adoption of climate control systems in commercial vehicles.
By distribution, the automotive climate control systems market is divided into OEM and aftermarket. The OEM segment garnered 33% revenue share in the automotive climate control systems market in 2023. OEM climate control systems are seamlessly integrated into new vehicle models during manufacturing. Automakers prioritize including advanced climate control features to enhance vehicle comfort and appeal to consumers.
Based on component, the automotive climate control systems market is segmented into control & sensor, compressor, condenser, HVAC, evaporator, and others. The control and sensor segment acquired 20.3% revenue share in the automotive climate control systems market in 2023. Sensors measure humidity levels inside the vehicle cabin, allowing the climate control system to adjust airflow and temperature settings accordingly. This helps prevent window fogging and maintains a comfortable interior environment.
Free Valuable Insights: Global Automotive Climate Control Systems Market size to reach USD 16.3 Billion by 2031
Region-wise, the automotive climate control systems market is analyzed across North America, Europe, Asia Pacific, and LAMEA. The North America segment witnessed 36% revenue share in the automotive climate control systems market in 2023. North America experiences many climates, from hot and humid summers to cold and snowy winters. Automotive climate control systems are essential for maintaining comfortable cabin temperatures year-round, enhancing driving comfort and safety. Consumers in North America prioritize vehicle comfort features, including effective heating and air conditioning systems.
| Report Attribute | Details |
|---|---|
| Market size value in 2023 | USD 7.5 Billion |
| Market size forecast in 2031 | USD 16.3 Billion |
| Base Year | 2023 |
| Historical Period | 2020 to 2022 |
| Forecast Period | 2024 to 2031 |
| Revenue Growth Rate | CAGR of 10.4% from 2024 to 2031 |
| Number of Pages | 277 |
| Number of Tables | 449 |
| Report coverage | Market Trends, Revenue Estimation and Forecast, Segmentation Analysis, Regional and Country Breakdown, Porter’s 5 Forces Analysis, Company Profiling, Companies Strategic Developments, SWOT Analysis, Winning Imperatives |
| Segments covered | Technology, Vehicle Type, Distribution, Component, Region |
| Country scope |
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| Companies Included | Mahle GmbH (Mahle Stiftung GmbH), Johnson Electric Holdings Limited, Hanon Systems (Hahn & Co. Auto Holdings Co., Ltd.), Denso Corporation, Mitsubishi Heavy Industries Ltd., OMEGA Environmental Technologies, Sanden Corporation (Hisense Home Appliances Group Co., Ltd), Valeo SA and Hitachi, Ltd. |
By Technology
By Vehicle Type
By Distribution
By Component
By Geography
This Market size is expected to reach $16.3 billion by 2031.
Growing demand for luxury vehicles are driving the Market in coming years, however, High costs of climate control systems restraints the growth of the Market.
Mahle GmbH (Mahle Stiftung GmbH), Johnson Electric Holdings Limited, Hanon Systems (Hahn & Co. Auto Holdings Co., Ltd.), Denso Corporation, Mitsubishi Heavy Industries Ltd., OMEGA Environmental Technologies, Sanden Corporation (Hisense Home Appliances Group Co., Ltd), Valeo SA and Hitachi, Ltd.
The expected CAGR of this Market is 10.4% from 2023 to 2031.
The Automatic segment is generating the highest the Market by Technology in 2023; thereby, achieving a market value of $10.6 billion by 2031.
The North America region dominated the Market by Region in 2023, and would continue to be a dominant market till 2031; thereby, achieving a market value of $5.8 billion by 2031.
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