Electric Vehicle Insulation Market: Global Industry Analysis and Forecast (2024-2030)

Electric Vehicle Insulation Market reached a value of US $ 3.34 Bn. in 2023. Global Electric Vehicle Insulation Market size is estimated to grow at a CAGR of 26.7 %. The market is expected to reach a value of US $ 17.53 Bn in 2030.
Electric Vehicle Insulation Market Overview:
The use of electric vehicle insulation reduces the impact of heat, sound, and shaking on the vehicle as well as the passengers. When a vehicle overheats, it reduces the vehicle's performance and causes the evaporation of motorized fluid. Also, the vehicle's frame and heavy gears are damaged by the shaking. Vehicle insulation serves to limit these damages while also extending the life of the vehicle, improving its performance, and lowering maintenance costs. As a result of these advantages, an increase in the use of electric vehicles is expected to raise product demand.To know about the Research Methodology :- Request Free Sample Report

2023 is considered as a base year to forecast the market from 2024 to 2030. 2023’s market size is estimated on real numbers and outputs of the key players and major players across the globe. Past five years' trends are considered while forecasting the market through 2030. 2023 is a year of exception and analyzed especially with the impact of lockdown by region.
Dynamics:
Growing concerns about pollution and climate change, people are turning to renewable resources rather than relying on fossil fuels. Governments in a number of countries are strengthening pollution standards. For example, In India, stricter emission standards were implemented in 2020, making diesel and petrol engines more expensive and polluting, resulting in an increase in the usage of electric vehicles (EVs). Even with upgraded and pricey engines, EVs create no greenhouse gases or air pollution when compared to a petrol or diesel automobile. Electric vehicles can also help to reduce noise pollution. As a result of rising pollution levels, global electric vehicle sales are expected to rise, propelling the electric vehicle insulator market forward.

The market has seen an excessive quantity of forwarding integration because raw material providers have chosen forward integration to manufacture insulating products. Firms use captive consumption to reduce their manufacturing expenses. Companies can grow their operations and enter new application markets as a result of this.

Growing consumer awareness of vehicle safety, as well as increased demand for greater energy efficiency and acoustic insulation, are likely to increase the market growth. The high cost of advanced insulation materials, on the other hand, is expected to hamper product demand over the forecast period. Raw material providers have chosen forward integration to make insulating products, the market has seen an excessive amount of forwarding integration. Captive consumption is selected by the firms to lower their manufacturing costs. This allows businesses to grow their operations and access new application markets.
Electric Vehicle Insulation Market Segment Analysis:
By Propulsion Type, the market is sub-segmented into Battery Electric vehicle (BEV), Plug hybrid EV (PHEV), Hybrid EV (HEV), and fuel cell EV. In 2023, the Hybrid Electric Vehicle (HEV) segment led the market, accounting for more than 53% of global sales. The segment's growth is being driven by rising demand for environmentally friendly, fuel-efficient vehicles. Rising regulatory support for hybrid vehicle use is likely to fuel market growth over the forecast period. A standard Internal Combustion Engine (ICE) is combined with an electric motor to power the HEVs. Instead of being plugged in to charge the battery, a hybrid vehicle is charged through regenerative braking. As a result, these vehicles outperform regular ICE vehicles in terms of fuel economy.

Over the forecast period, the Battery Electric Vehicle (BEV) segment is expected to grow at the fastest rate of 22.6 %. The segment is expected to grow due to rising demand for electric vehicles, increased investments in the development of newer vehicle types, and advancements in battery technology. PHEVs (Plug-in Hybrid Vehicles) run largely on electricity and transition to an internal combustion engine (ICE) when the battery is depleted. Because of its greater fuel efficiency and low environmental effect, the market is expected to grow at a rapid rate over the forecast period.

Based on the Application, the market is sub-segmented under the bonnet band battery pack and Interior. In 2023, the Under the Hood & Battery Pack application segment dominated the market, accounting for more than 43% of global sales. The industry is expected to grow due to rising product usage for insulating a number of automotive components, such as battery packs and electric motors. Lithium-ion battery packs have a small temperature range in which they may operate. Wide changes in battery temperatures have a negative influence on battery performance and shorten battery life and range. Mica and mica-based insulation are some of the most commonly utilized materials for electric car battery heat control.

Over the forecast period, the interior application segment is expected to grow at the second-fastest rate of 19.4 %. The growing use of thermal and acoustic insulation in vehicle interiors to improve passenger comfort and reduce vehicle noise and vibrations. The projected release of a number of electric vehicle models is likely to enhance demand. The insulation of power electronics is included in the other portion. The higher ambient temperature around the power electronics used in EVs could lead them to fail, resulting in lasting car damage. As a result, for the protection of power electronic components, manufacturers are adopting insulating materials with exceptional insulation qualities.

Based on Product Type, the market is sub-segmented into Thermal Interface Materials, Foamed Plastics, Ceramics, and Others. Foamed plastics dominated the market in 2023, it held more than 58.2% of global revenue. Insulation made of foamed plastic is incredibly light and has excellent impact resistance. Additionally, the usage of foamed plastic compression cushions to reduce vibration and shock on battery components is having a positive impact on the market. Because of its dielectric nature, which prevents arcing between battery cells and their capacity to act as a heat sink and not transfer heat to adjacent battery cells, plastic packs are becoming more widely used in the insulation of car battery packs. The foamed plastic insulating materials are more durable in severe vehicle environments.

Due to their non-biodegradability, the US Environmental Protection Agency (US EPA) has placed rigorous regulations on the use and disposal of foamed plastic. Over the forecast period, rising awareness of the environmental risks associated with improper disposal of foamed plastics is likely to have a negative influence on segment growth. Over the forecast period, demand for thermal interface materials is expected to grow at a substantial CAGR of 20.4 %. Growing product usage in battery pack management systems is expected to drive segment expansion, thanks to its exceptional thermal conductivity, low viscosity, and ability to maintain insulating qualities at high temperatures.
Regional Insights:
In 2023, the Asia Pacific region dominated the market, accounting for more than 57% of global sales. Because of growing government support and a growing emphasis on decreasing Greenhouse Gas (GHG) emissions from vehicle sources, the region is seeing an exponential demand for EVs. Due to the existence of one of the world's leading EV manufacturers, Tesla Inc., the North American area is expected to develop at a considerable CAGR throughout the forecast period. Government incentives and rebates are expected to increase the demand for electric vehicles in several countries.

The adoption of various EV technologies, such as BEV, PHEV, and HEV, is accelerating throughout Europe. As a result, product demand in the region was USD 248.7 million in 2023, with a CAGR of 15.5 % is expected in the forecast period. The European Union's member countries are actively pushing the adoption of electric vehicles. For example, 20 of the EU's 28 member states provide EV purchasers with various incentives, including bonus payments and premiums. As a result, increased electric vehicle usage is likely to enhance the market growth in the region.

The objective of the report is to present a comprehensive analysis of the Electric Vehicle Insulation Market to the stakeholders in the industry. The past and current status of the industry with the forecasted market size and trends are presented in the report with the analysis of complicated data in simple language. The report covers all the aspects of the industry with a dedicated study of key players that include market leaders, followers, and new entrants.

PORTER, PESTEL analysis with the potential impact of micro-economic factors of the market have been presented in the report. External as well as internal factors that are supposed to affect the business positively or negatively have been analyzed, which will give a clear futuristic view of the industry to the decision-makers.

The reports also help understand the Electric Vehicle Insulation Market dynamic and structure by analyzing the market segments and projecting the Electric Vehicle Insulation Market size. Clear representation of competitive analysis of key players by product, price, financial position, product portfolio, growth strategies, and regional presence in the Electric Vehicle Insulation Market make the report investor’s guide.
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Electric Vehicle Insulation Market


Report Coverage
Details


Base Year:
2023
Forecast Period:
2024-2030


Historical Data:
2018 to 2023
Market Size in 2023:
US$ 3.34 Bn.


Forecast Period 2024  to 2030 CAGR:
26.7 %
Market Size in 2030:
US$ 17.53 Bn.


 Segments Covered:
by Product Type
Thermal Interface Materials
Foamed Plastics
Ceramics
Others


by Propulsion Type
Battery Electric vehicle (BEV)
Plug hybrid EV (PHEV)
Hybrid EV (HEV)
Fuel cell EV


by Insulation Type
Thermal
Electrical
Acoustic


by Application
Bonnet band battery pack
Interior



Electric Vehicle Insulation Market, by Region
North America (United States, Canada and Mexico)
Europe (UK, France, Germany, Italy, Spain, Sweden, Austria and Rest of Europe)
Asia Pacific (China, South Korea, Japan, India, Australia, Indonesia, Malaysia, Vietnam, Taiwan, Bangladesh, Pakistan and Rest of APAC)
Middle East and Africa (South Africa, GCC, Egypt, Nigeria and Rest of ME&A)
South America (Brazil, Argentina Rest of South America)
Electric Vehicle Insulation Market Key Players
1. BASF SE
2. 3M
3. Morgan Advanced Materials
4. DuPont
5. Zotefoams plc.
6. Unifrax
7. Saint-Gobain
8. Von Roll Holding AG
9. Autoneum
10.Alder Pelzer Holding GmbH
11.Elmelin Ltd.
12.Pyrophobic Systems Ltd.
13.Techman Advanced Material Engineers
14.Marian Inc.
15.Parker Hannifin Corp
16.Elkem Silicones
17.Knauf Industries
18.ITW Inc.
19.Unifrax
Frequently Asked Questions:
1] What segments are covered in the Electric Vehicle Insulation Market report?
Ans. The segments covered in the Electric Vehicle Insulation Market report are based on Product type, Propulsion type, Insulation type, and Application.

2] Which region is expected to hold the highest share in the Electric Vehicle Insulation Market?
Ans. The Asia Pacific region is expected to hold the highest share in the Electric Vehicle Insulation Market.

3] What is the market size of the Electric Vehicle Insulation Market by 2030?
Ans. The market size of the Electric Vehicle Insulation Market by 2030 is US $ 17.53 Bn.

4] What is the forecast period for the Electric Vehicle Insulation Market?
Ans. The Forecast period for the Electric Vehicle Insulation Market is 2024-2030.

5] What was the market size of the Electric Vehicle Insulation Market in 2023?
Ans. The market size of the Electric Vehicle Insulation Market in 2023 was US $ 3.34 Bn.