Automotive Battery Thermal Management System Market Gains Momentum with Crucial Role in Electric Vehicles (EVs)

The global automotive battery thermal management system (BTMS) market is on the rise, driven by the increasing adoption of electric vehicles (EVs). While EV batteries are designed for efficiency, they face limitations in terms of performance, lifespan, and cost. Automotive BTMS plays a vital role in addressing these limitations by managing batteries, protecting them from external environmental factors, and controlling their thermal characteristics. With EVs gaining popularity, the global automotive BTMS market is expected to witness robust demand. After reaching a market size of US$666 million in 2020, the market is projected to grow at an impressive CAGR of nearly 36% from 2021 to 2026.

Pro-EV Regulatory Frameworks Fuel Market Growth

Governments worldwide have implemented stringent strategies to boost EV adoption. For example, China began providing subsidies for plug-in hybrid electric vehicles (PHEVs) and battery electric vehicles (BEVs) in 2013. These subsidies encouraged EV sales, supporting the global automotive BTMS market.

Design Complexities Pose Challenges

Despite the growth potential, automotive BTMS faces challenges related to thermal component design, flow channel optimization, power requirements reduction, and weight and cost reduction. High temperatures generated by high power can be hazardous, leading to short circuits or fires. These design complexities remain obstacles to the rapid growth of the global automotive BTMS market.

Phase-out of ICE Vehicles Creates Opportunities

Approximately 13 countries, including Norway, the UK, Canada, and the Netherlands, have announced plans to phase out internal combustion engine (ICE) vehicles in the coming years. This transition presents a significant revenue opportunity for stakeholders in the electric vehicle industry, including EV manufacturers, OEMs, battery companies, and automotive BTMS manufacturers. Its a key growth driver for the automotive BTMS market.

Asia Pacific Leads with Supportive Government Initiatives

Asia Pacific accounted for over 60% of the global automotive BTMS market revenue in 2020, making it the largest market. Countries like China, Japan, India, and South Korea have become major hubs for automobile production, and increasing demand for EVs in the region has propelled the automotive BTMS market. Asia Pacific is followed by North America and Europe, driven by rising demand for alternative fuel vehicles.

Passenger Vehicles Dominate the Market

Passenger vehicles represent the largest segment in the automotive BTMS market due to the surging demand for EVs and alternative fuel vehicles. With people increasingly favoring private transport over public options, passenger vehicle manufacturers are expected to see strong sales. This trend, along with a preference for EVs among new buyers, presents opportunities in the global automotive BTMS market.

Competition Driven by Contracts and Partnerships

Key players dominating the automotive BTMS market include MAHLE GmbH, VOSS Automotive GmbH, Dana Limited, Continental AG, LG Chem, and Robert Bosch GmbH. These companies are expanding their market shares through contracts, agreements, and new production plants. Other notable players in the market include BYD Company Ltd, Contemporary Amperex Technology Co., Limited (CATL), Valeo, Continental AG, Calsonic Kansei Corporation, Gentherm Incorporated, Samsung SDI Co., LTD., Hanon Systems, and Grayson Thermal Systems.

Browse Global Automotive Battery Thermal Management System Industry Analysis, Size, Share, Growth, Trends, Regional Outlook, and Forecast 2021-2025-[2023 UPDATE Available-Forecast 2023-2030*] (By System Coverage, Technology Coverage, Battery Capacity Coverage, Battery Type Coverage, Vehicle Type Coverage, Electric Vehicle Type Coverage, By Geography, Leading Companies): https://www.fairfieldmarketresearch.com/report/automotive-battery-thermal-management-system-market

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