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Automotive Ignition Coil Market will soar at a modest CAGR of 4.5% to reach US$ 3.8 Bn value by the end of 2026.
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Future Market Insights’ latest report on global automotive ignition coil market projects that increasing demand for electric vehicles, which do not require ignition coil, will restrain the market to grow at greater pace. The report reveals that the market is presently valued at an estimated US$ 2.46 Bn, and will soar at a modest CAGR of 4.5% to reach US$ 3.8 Bn value by the end of 2026. Nevertheless, leading automakers in the world will continue to count upon automotive ignition coils for improving efficiency of their automotive offerings. Key players that will be actively participating in the growth of global automotive ignition coil market include, Denso Corporation, Federal-Mogul Corporation, NGK Spark Plug Co., Ltd., BorgWarner Ludwigsburg GmbH, Valeo SA, Robert Bosch GmbH, Delphi Automotive PLC, Hitachi Automotive Systems Americas, Inc., Mitsubishi Electric Corporation, Standard Motor Products, Marshall Electric Corp, and AcDelco.
Moreover, adoption of automotive ignition coils is also expected to soar owing to their compliance to stringent fuel efficiency & emission norms. In addition to this, new product development and strategic partnerships with OEMs will be observed as lucrative opportunities for automotive ignition coil businesses across the world. Ignition coil manufacturers entering long-term contracts with OEMs for ensuring continued business consolidation will also help them reduce production costs and increase profit margins. Over 90% of the market’s value is accounted by sales of automotive ignition coils through OEMs.
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Engine downsizing also plays a crucial role in increasing the overall fuel efficiency of the vehicle by reducing its overall weight. Modern engines are more compact and require efficient components that occupy the least space inside an engine’s assembly. In 2017 and beyond, the demand for double spark ignition coils will remain considerably high. During the forecast period, over 50% of global automotive ignition coil revenues will be accounted by sales of double spark coils.
On an average, sales of compact or mid-size cars account for 55%-63% share of global car sales. Thus, this segment offers lucrative opportunities for deployment of automotive ignition coils. By 2026-end, over three-fourth of global sales of automotive ignition coils will be accounted by passenger cars, revenues from which are expected to soar at 4.8% CAGR. The report also includes regional analysis of global automotive ignition coil market, which indicates APEJ (Asia-Pacific excluding Japan) region as the largest market for automotive ignition coils. Contribution of APEJ countries towards global automobile production is cited as a key factor for recording highest sales of ignition coils. The automotive ignition coil market in Middle East & Africa is also expected to remain lucrative, showcasing revenue growth at 5.1% CAGR.
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