Future Market Insights forecasts that the global sales of automotive ignition coil is estimated to be nearly US$ 2,550 Mn in the year 2017 and is projected to be valued at close to US$ 3,820 Mn by the year 2026, registering a CAGR of 4.5% during the forecast period. The global automotive ignition coil market is projected to represent an incremental dollar opportunity of nearly US$ 1,400 Mn between 2016 and 2026.
Rising automotive production and vehicle parc aiding the growth of the global automotive ignition coil market
The rise in the sales of automobiles globally and an increase in vehicle parc positively affect the sales of automotive ignition coils. Even though the recent economic conditions the world over have remained unstable; on an average, the global automotive industry has witnessed satisfactory growth. This is especially true of the emerging economies, where the automotive production is expected to be significant as compared to developed economies. This is mainly because of rising urbanisation, per capita income growth and a rise in the living standards in these emerging economies. During the assessment period, fleet on road is also expected to rise at a modest rate, thus providing an impetus for the growth of the global automotive ignition coil market.
Stringent fuel efficiency and emission norms play an important role in shaping the global automotive ignition coil market
Globally, there is an increased emphasis on sustainability and support for lower fuel consumption along with lower emissions, in order to protect the environment and curb air pollution. Hence, automotive market players are innovating and developing new ways to enhance the overall efficiency of the automobiles. Keeping these points in mind, and owing to the requirement for higher ignition voltage coupled with restricted space in the engine compartment, there are increasing novel demands for modern ignition coils. In addition, the mixture of air and fuel must be ignited at the right time with optimum ignition energy so that fuel present in the engine is combusted completely. For the same reason, there is an increased adoption of advanced ignition coils that meet these stringent criteria. This in turn is driving the demand in the overall market for advanced ignition coils and thereby creating a positive impact on the global automotive ignition coil market.
Increasing demand for vehicles that do not require an ignition coil hampering the growth of the market
In order to tackle the threat of increasing air pollution originating from the exhaust of automobiles plying on the roads, there is an increased emphasis on the development of vehicles that run on alternative power sources. Combined with this, fluctuation in oil prices further aggravates the situation and fossil fuel based economic development is not perceived as sustainable. Especially in developed regions such as North America and Europe, there is an increasing adoption and use of electric cars such as battery electric vehicle (BEV) and plug-in hybrid electric vehicles (PHEV) and their use has increased manifold over the past few years. Furthermore, the research and development going on in powering cars with solar energy has further intensified the market growth of such vehicles. This, coupled with increasing urban population, incentives for electric vehicles, decreasing battery prices, strengthening public transportation infrastructure in developed and emerging countries and inter-governmental initiatives for electric vehicles are promoting the use and propagation of electric cars all across the world. As ignition coils are not used in electric cars, the aforesaid factors are expected to pose a significant challenge to the growth of the global automotive ignition coil market over the coming years.
Global Automotive Ignition Coil Market Attractiveness Analysis, by Vehicle Type
As far as vehicle type segment is concerned, the passenger cars segment with a market attractiveness rating of 5.0 is expected to be a highly attractive segment during the forecast period in the global automotive ignition coil market. The passenger cars segment is expected to witness growth mainly due to increasing demand for compact cars. This segment is estimated to be valued at more than US$ 1,920 Mn in 2017 and this is anticipated to increase to approximately US$ 2,965 Mn by the end of the forecast period, witnessing the highest segmental value CAGR of 4.8% in the global automotive ignition coil market.
The HCV segment is projected to account for about 5.1% of the total market share in terms of value during the assessment period. The LCV segment is expected to exhibit a CAGR of 3.1% in terms of value during the assessment period.
Pencil ignition coil is the most attractive product type and the Asia Pacific Excluding Japan region is the most attractive region in the global automotive ignition coil market
The pencil ignition coil product type segment remains the key product type segment, accounting for over 1/3rd of the total automotive ignition coil sales in the year 2015. Due to the reduction in the size of engines, the production of pencil type ignition coil receives a further boost. As far as the most lucrative and dynamic region is concerned, Asia Pacific Excluding Japan (APEJ) and Western Europe are likely to remain at the forefront in the global automotive ignition coil market (both from the supply side and demand side) all through the assessment period. There is a significant market potential in the growing markets of China, India and Germany.
--- Analyst – Automotive & Transportation, Future Market Insights
This latest report by Future Market Insights titled ‘Automotive Ignition Coil Market: Global Industry Analysis and Opportunity Assessment, 2016-2026’ starts with a succinct executive summary of the global automotive ignition coil market and talks about the market overview which gives information regarding the total market value, the value and volume CAGR of the global automotive ignition coil market and the region that is dominating the global automotive ignition coil market. The executive summary also lists the main drivers, challenges and trends that have the potential to impact the global automotive ignition coil market. This gives the readers an indication about where the market is headed and how the global automotive ignition coil market is going to shape up responding to these drivers, challenges and trends. The executive summary also contains a section on the competitive landscape that lists the main market players operating in the global automotive ignition coil market. The executive summary also contains a snapshot of Future Market Insights’ analysis of the global automotive ignition coil market and lists the overall market approach adopted by the key players, the most attractive product type based on the market segmentation, the most attractive region and the prominent differentiating strategies adopted by top players in the global automotive ignition coil market.
The next section of the report talks about the market introduction and gives definition of what an ignition coil is, who are the top producers of ignition coils and which is the top product type based on the market segmentation. The subsequent section of the report lists the market taxonomy that classifies the global automotive ignition coil market based on product type, sales channel, vehicle type and region.
The next section of the global automotive ignition coil market report has a section dedicated to supplying information about the parent market that gives a region wise breakup of the global vehicle parc (‘000 units) from 2015-2020 and also in the year 2026. After this subsection, there is a section devoted to the market volume analysis that gives the global automotive ignition coil market growth in terms of volume over 2016–2026. Also, there is a section devoted to the pricing analysis of the global automotive ignition coil market in which prices are calculated at a weighted average price model, based on percentage volume sales for the year 2015. In addition, there is also a section in the report that gives information on the value chain analysis of the global automotive ignition coil market, considering various stages such as component suppliers, manufacturers and distributors/retailers.
The subsequent sections of the report provide information regarding the macroeconomic drivers influencing the global automotive ignition coil market and also the demand and supply side drivers affecting the global automotive ignition coil market. This section of the report also contains information about the challenges confronting the automotive ignition coil market and the opportunities that can boost the market. Besides this, there is a section devoted to explaining the forecast factors and their relevance and impact on the global automotive ignition coil market. European regulations regarding emission control are also listed in the report as they have a direct impact on the global automotive ignition coil market. There are sections in the report devoted to explaining the global automotive ignition coil market analysis and forecast by product type, by vehicle type, by sales channel and by region. These sections of the report give important information related to the Basis Point Share (BPS) analysis, Y-o-Y growth projections, market value and volume forecast and market attractiveness index.
Last but not the least, there is an entire section of the report devoted to the competitive landscape of the global automotive ignition coil market. This section begins by presenting the global automotive ignition coil market dashboard, which gives valuable information regarding the key players operating in the market, their revenue, the kind of products they offer, preferred strategies and USP in a nutshell and their market share in the automotive ignition coil business. Subsequent to this, the competitive landscape section contains the individual company profiles that discuss each of the key market players listed in the report in detail. The company profiles section includes company description, segment financials, key financials, revenues, as well as operating and net margins. Also, the company profile contains a SWOT analysis for each of the market players along with key market developments.
Overall market size has been analysed through historical data, primary responses, and public domain data. Revenue of companies in the automotive ignition coil market has been benchmarked to ascertain the market size for the base year. Macroeconomic indicators such as GDP and end-use application industries’ growth have been considered to forecast the market size during the forecast period. The historical growth trend of end-use industries, market participants’ performance, as well as the present macroeconomic outlook has been taken into consideration for estimating the overall market trend forecast. This data is then validated with the help of the triangulation method and is extensively scrutinised using advanced tools to garner quantitative and qualitative insights into the global automotive ignition coil market.