Automotive Engine Market Size

Global Automotive Engine market size was valued at USD 99.5 Billion in 2023 and is poised to grow from USD 102.2 Billion in 2024 to USD 172.4 Billion by 2032, growing at a CAGR of 2.5% in the forecast period (2025-2032).

The global automotive engine market is marked by the existence of many prominent players, such as General Motors, Toyota, Ford, Volkswagen, and Honda. These companies fight for market supremacy by focusing on technological developments such as hybrid and electric powertrains. The need for maintaining competitive advantage is important and, hence, requires cooperation with suppliers that possess advanced technologies in engines. The organizations are investing heavily in research and development to meet the ever-increasing demand for fuel-efficient, sustainable engines and also meet stringent emission regulations. 'General Motors', 'Toyota Motor Corporation', 'Ford Motor Company', 'Volkswagen Group', 'Honda Motor Co., Ltd.', 'BMW AG', 'Daimler AG', 'Fiat Chrysler Automobiles (FCA)', 'Renault Group', 'Nissan Motor Co., Ltd.', 'Hyundai Motor Company', 'Kia Corporation', 'Isuzu Motors Ltd.', 'Mitsubishi Motors Corporation', 'Tata Motors Limited'

The global automotive engine market outlook is favored by constant developments in engine technologies, including variable valve timing, turbocharging, and hybrid and electric powertrains. All these developments increase performance of engines, decrease emissions, and optimize fuel efficiency. Automakers are investing heavily in new technologies to meet regulatory requirements and cater to changing consumer preferences as consumer demand for fuel-efficient and environmentally friendly vehicles grows.

Trend Toward Electric and Hybrid Powertrains: Fast-rising interest in electric and hybrid vehicle adoption is majorly driven by consumer and government interest in the sustainability of transportation. Therefore, as governments and consumers increasingly pursue sustainable transportation, these companies are transitioning into the production of electric engines and hybrid powertrains to free themselves from dependence on fossil fuels and embrace minimal emissions. Major players are expected to be highly aggressive in terms of investing in electric vehicle infrastructure and production in a bid to capture the rapidly growing demand for green transportation modes.

In 2024, the automotive engine industry of North America will maintain a leadership position and dominate the market. The prime reason behind this dominance is due to well-established economies such as the U.S. and Canada, where mature automotive industries prevail. This provides the region with a robust platform that was well set up long ago by old OEMs that ensured stable growth in the market. Investments in infrastructural facilities, such as those relating to new drives, further stimulate market growth. The local development of global supply chains combined with the rising requirement for commercial automobiles will ensure significant growth of the automotive engine market in North America.