Automotive Coolants Market Size, Share, Growth Analysis, By Vehicle Type(passenger cars and commercial vehicles), By Chemical Type(ethylene glycol and propylene glycol) - Industry Forecast 2024-2031

Automotive Coolant Market size was valued at USD 7.30 Billion in 2021 and is poised to grow from USD 7.61 Billion in 2022 to USD 10.66 Billion by 2030, at a CAGR of 4.3% during the forecast period (2023-2030).

The automotive refrigerator market faces a characterized competitive environment and those key players are trying to gain competitive advantage through innovation of products, strategies, and geographical expansion. Market-leading companies are actively engaged in R&D with advanced cooling systems that improve engine efficiency while complying with environmental regulations. These industry participants tend to focus on establishing strong distribution networks and collaborating with automakers to strengthen their market presence. Factors such as technological advances, product differentiation, and constant emphasis on meeting improving industry standards, all contribute to stiff competition in the market and lead to competition in automotive of the water cooling market. 'BASF SE (Germany)', 'Exxon Mobil Corporation (USA)', 'Royal Dutch Shell plc (Netherlands)', 'Chevron Corporation (USA)', 'TotalEnergies SE (France)', 'BP plc (United Kingdom)', 'Fuchs Petrolub SE (Germany)', 'Prestone Products Corporation (USA)', 'Valvoline Inc. (USA)', 'Old World Industries, LLC (USA)', 'KOST USA, Inc. (USA)', 'Caltex Australia Limited (Australia)', 'Motul (France)', 'ROWE Mineralölwerk GmbH (Germany)', 'Sinopec Lubricant Company (China)', 'Petro-Canada Lubricants Inc. (Canada)', 'Recochem Inc. (Canada)', 'Gulf Oil International Group (United Arab Emirates)', 'Peak Antifreeze & Coolant (USA)', 'ROWE Motor Oil GmbH (Germany)'

A key driver driving the car cooling market is continued growth in car manufacturing and expanding fleets globally. The automotive industry as a major consumer of coolant relies heavily on efficient engine cooling systems to ensure performance well and long lasting. The growing middle class, urbanization, and increasing disposable income in emerging economies contribute significantly to the expansion of the automotive market. Due to the large number of consumers purchasing passenger and consumer vehicles market, the overall demand for car refrigerators will increase accordingly. In addition, advances in manufacturing technology and the introduction of more sophisticated engines often require the use of specialized coolants to meet the specific cooling needs of modern engines.

The automotive coolant market has witnessed a distinct trend in the development and adoption of advanced, environmentally friendly refrigeration systems. This trend is mainly due to the construction of products with environmental sustainability and regulatory pressures with greater emphasis on reducing the impact of vehicle exhaust on the environment. In response to these concerns, there has been an increasing shift towards more environmentally friendly methods, such as propylene glycol-based refrigeration and organic acid technology (OAT) refrigeration. These chemicals improve biodegradability and reduce toxicity while retaining effective thermal stability and corrosion protection properties. Additionally, trends include the search for non-toxic additives and water-based solutions that reduce the environmental footprint of water coolers throughout their lifecycle size the automotive cooling market.

North America has the largest market share. The North American market accounts for 30% of the total. Thanks to non-road capacity and climate change, the region has seen an increase in automotive production and demand for large-engine vehicles and important regional companies are investing heavily in manufacturing, factory infrastructure innovation, and research and development. The aftermarket of automotive refrigerants is growing rapidly in North America, with major manufacturers such as BASF investing heavily in local manufacturing facilities such as BASF’s Cincinnati plant that manufactures refrigerants for both on-road and off-road vehicles. BASF has also partnered with Old World Industries (OWI), a refrigeration supplier in North America, to increase its market share by increasing its distribution channels.