Automotive Fuel Delivery and Injection Systems Market Forecast to Reach $9.1 Billion by 2026

July 12 15:40 2021
Automotive Fuel Delivery and Injection Systems Market Forecast to Reach $9.1 Billion by 2026

Automotive Fuel Delivery and Injection Systems Market
Adoption of Compressed Natural Gas Driving the Growth of Automotive Fuel Delivery and Injection Systems Market.

Automotive Fuel Delivery and Injection Systems Market is forecast to reach $9.1 billion by 2026, growing at a CAGR of 4.2% from 2021 to 2026. The Automotive Fuel Delivery and Injection System Market is estimated to witness sustainable growth over the forecast period majorly because of increase in the Automobile production and increasing demand for fuel-efficient vehicles with the advancement in fuel injection system technology.

According to International Organization of Motor Vehicle Manufacturers, the automobile industry is investing almost $104 billion in research, development and production activities. These investments propel the Automotive Fuel Delivery and Injection Systems Market globally. The major purpose of the fuel injection system is to deliver fuel into the cylinders of an engine, to maintain its efficiency and to achieve effective use of the fuel.

The adoption of these fuel injector Fuel pressure regulator systems will uplift the market growth of Automotive Fuel Delivery and Injection Systems. On the other hand, high installation cost and maintenance charges tend to restraint its market growth in low economic regions. Increase in the adoption of Electric Vehicles restrains the installation of fuel delivery and injection systems in different vehicles which brings a major challenge in its market growth.

Automotive Fuel Delivery and Injection System Segment Analysis – By Fuel Type

Compressed Natural Gas (CNG) is growing at the fastest rate in the Automotive Fuel Delivery and Injection Systems Market as compared to other fuel types. This segment is set to grow at a CAGR of 6.2% through 2026. The demand for Compressed Natural Gas (CNG) is growing because, in an automobile, the air-fuel ratio determines the type of fuel required for good efficiency of the engine. However, advanced fuels such as compressed natural gas and hydrogen gas are witnessing an increase in demand, because of their greater efficiency and low pollution. This tends to uplift the adoption of Compressed Natural Gas as a major fuel type in Automotive Industry.

Petrol or Gasoline is also used widely in Fuel injection systems as it is injected well before the compression stroke, so it has a lot more time to mix homogeneously. However, in a diesel engine, due to the way 2 stroke cycles work, fuel is injected in a separate chamber than the air and it’s injected almost at the end of the compression stroke, so there is a chance of soot formation due to incomplete combustion through a fuel pressure regulator. This decreases the efficiency of the engine which tend to restraint its market growth as consumers seek good efficiency.

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Automotive Fuel Delivery and Injection System Segment Analysis – By Type of Injector

Single-point/Throttle Body Injector holds the largest market in Automotive Fuel Delivery and Injection Systems Market in its fuel injection type with a share of 41% in 2020. The Single-point/Throttle Body injector provides better performance of the engine with good efficiency because of its simple mechanism which requires low installation cost and maintenance charges. These features tend to drive its market growth.

It is basically a high-tech Carburettor with one or two fuel injector nozzles in the throttle body along with a fuel pressure regulator. The single-point fuel injector was a stepping stone to the more complex multipoint system. This tends to uplift its market growth. The only major drawback of the single-point injection system is that it stops working when anyone nozzle gets damaged, but multipoint injectors offer fuel injection to the engine even after damage.

Automotive Fuel Delivery and Injection System Segment Analysis – By Geography

Asia-Pacific has been accounted for being the highest market among all the regions at 36% share in 2020. The market growth in this region is predominantly rising due to fast-growing economies such as China, India, Japan and Others. Increasing rate of Urbanization and Industrialization with high population densities in these economies tends to uplift the Automotive Fuel Delivery and Injection Systems Market in these regions. Fulfilling the demands of users of high performance and fuel-efficient automobiles while keeping in mind the environmental concerns uplifts the market growth in this region. APAC region is closely followed by North America and Europe in the market growth of Automotive Fuel Delivery and Injection system.

Automotive Fuel Delivery and Injection Systems Market Drivers

Initiative taken by Government and Rise in Environmental Concerns drives market growth

Recent initiatives taken by the Governments to develop eco-friendly automobile engines which can be adopted in all vehicle types. With rise in Governmental regulations and Environmental Concerns, Automotive Fuel Injection system manufacturers are emphasizing the development of advanced design of the fuel injection system using Fuel pressure regulator, Gasoline direct injection and Air Control Valve due to the increased focus on reduction of pollution and increase in demand for high efficiency engines. This tends to uplift the market growth of Automotive Fuel Delivery and Injection System Market globally.

Adoption of Compressed Natural Gas (CNG)

Usage of Compressed Natural Gas as fuel source apart from other conventional fuel sources such as petrol, diesel and other fuels in many passenger vehicles has been adopted widely due to rise in Environmental Concerns. Compressed Natural Gas (CNG) is commonly referred to as Green fuel because it does not contain harmful elements such as lead and sulphur. It is lighter than air, so in case of a leak in the fuel injection system, it just rises and disperses into the atmosphere and mixes in the air easily and evenly. It offers low operational and maintenance cost. These features tends to enhance its market growth in the of Automotive Fuel Delivery and Injection system.

Automotive Fuel Delivery and Injection Systems Market Challenges

Adoption of Electric Vehicles

One of the major challenges faced by Automotive Fuel Delivery and Injection Systems Market globally is the vast adoption of Electric Vehicles over traditional liquid and gas fuel type vehicles. Rise in Electric Vehicle Market is one of major steps towards Global Environmental Concern, but it has adversely affected the Automotive Fuel Delivery and Injection Systems Market. The electric supply is carried out completely electronically leaving behind the conventional fuel injection systems. This has brought a major challenge in the market growth of Automotive Fuel Delivery and Injection Systems globally. According to International Energy Agency (IEA) the sales of electric vehicles topped 2.1 million globally in 2019, surpassing 2018 to boost the stock to 7.2 million electric cars. Electric cars, which accounted for 2.6% of global car sales and about 1% of global car stock in 2019, registered a 40% year-on-year increase.

Market Landscape

Product launches, acquisitions, and R&D activities are key strategies adopted by players in the Automotive Fuel Delivery and Injection Systems Market. The Automotive Fuel Delivery and Injection Systems Market is dominated by major companies such as Continental AG, Delphi Automotive Plc, Denso Corporation, Infineon Technology AG, Magneti Marelli, NGK Spark Plug Co. Ltd, Robert Bosch GmBH, Ti Automotive Inc MSD Ignition, Edelbrock LLC, Lucas TVS Ltd. and Hitachi Automotive Systems Ltd.

Acquisitions/Technology Launches/Partnerships

In December 2019 Hitachi Automotive Systems Ltd. Launched their New Direct Fuel Injection Engine Control Systems for Meeting Future Fuel Economy Requirements and Emission Standards. It provides various advanced system solutions in response to needs for automobile fuel economy, emissions and power.

In September 2019, Delphi Automotive Plc launched their new 500+ bar GDi (Gasoline Direct Injection) system that can reduce particulate emissions by up to 50% without expensive engine re-designs for the majority of applications.

Key Takeaways

The Automotive Fuel Delivery and Injection Systems Market is estimated to witness sustainable growth over the forecast period because of increase in the Automobile production and increasing demand for fuel-efficient vehicles with advancement in fuel injection system technology such as improved air control valve, fuel pressure regulators and Gasoline direct injection.

The Automotive Fuel Delivery and Injection System is a key technology in a vehicle operation. It maintains a proper air-fuel mixture according to the torque requirements. This a key factor that drives the Market.

A well-planned Fuel Injection system can increase the efficiency of the engine and reduce pollution. This tends to drive its market growth.

Due to rise in Governmental regulations and Environmental Concerns, Automotive Fuel Injection system manufacturers are emphasizing the development of advanced design of the fuel delivery system due to the increased focus on reduction of pollution and increase in demand for high efficiency engines. This tends to uplift the market growth of Automotive Fuel Delivery and Injection System Market globally.

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