Research and Markets has recently announced its “Aluminum Heat Shield Market – Global Forecast To 2021” report. In it, the research company made the projection that the aluminum heat shield market will reach US$1.02 billion by 2021.
Billion-Dollar Global Industry
With a CAGR of 4.5% between 2016 and 2021, the aluminum heat shield market’s growth worldwide can be partly attributed to the increasing vehicle production on an international scale. Yet another reason is the increasing focus and concern on the safety of vehicles and firearms, both of which require the product.
Such is the demand for aluminum heat shields in the automotive industry that the Research and Markets experts predicted that it will hold the highest market share until 2021. Emphasis must be made that the product is used in virtually all types of vehicles including passenger cars, heavy trucks, and even on light commercial vehicles, particularly and mainly in their exhaust system. Aluminum heat shields are designed to provide protection for the vehicle body and its components from the extreme heat generated by a running engine.
Major Market Players
Of the worldwide markets, the Asia-Pacific region is forecasted to maintain its market share by 2021. The Asia-Pacific register is currently the largest market with 31.2% market share in 2015, as well as predicted to maintain its lead with the highest predicted CAGR between 2016 and 2021. China is the largest market in the Asia-Pacific region with India and Japan close behind.
The North American market comes in second. The Western European market is also expected to experience high growth from US$130.6 million in 2016 to US$165.8 million in 2021; during the forecast period, the CAGR is predicted to be at 4.9%.
A few of the notable companies mentioned in the Research and Markets report include:
- Autoneum Holdings Ag
- Elringklinger Ag
- Dana Holding Corporation
- Lydall Inc.
- Federal Mogul Holding Corporation
- Thermotec Automotive Products
- Progress-Werk Oberkirch Ag
- Zircotec Ltd
With the increased demand for aluminum heat shields, other allied and related industries will also benefit.
Major Growth Factors
The demand for aluminum heat shields are being driven by several factors including but not limited to:
- The increasing production and use of automobiles worldwide
- The technological advancements in the production and application of heat shields in vehicles
- The increasingly stricter government regulations related to the reduction of Nvh level in vehicles
- The trend of downsizing in vehicle engines
- The rising demand for luxury vehicles
- The increase in military expenditure
Indeed, investors in the aluminum heat shield industry and its allied industries are likely looking at better returns on investments considering these developments.
But there are also several factors inhibiting the growth of the industry. These include the rise in vehicle prices, which means possibly lesser number of buyers, and the emerging popularity of battery-driven vehicles.
The bottom line: The aluminum heat shield industry should be seriously considered by investors as among the best investments in 2016 and beyond.
Aluminum heat shields are among the major components in automobiles. During the engine’s internal combustion, a huge amount of high heat is generated with the capacity to damage the vehicle’s bodywork, among other components, and cause possible injury to the driver and passengers.
The heat shields are placed to provide protection from the high heat for both the vehicle and its passengers. Furthermore, these are used to reduce the intake temperature under the bonnet, a performance benefit that drivers appreciate.
The current crop of heat shields come in three main types. First, rigid heat shields are manufactured from solid steel and aluminum although high-end products are usually made from aluminum sheets combined with other materials. These are produced with a ceramic thermal barrier coating, which increases the shield’s heat absorption capacity.
Second, flexible heat shields are made from thin aluminum sheets. These are sold either flat or in a roll although both are malleable, which means these can be easily bent to fit the automobile component where these will be placed. High-end flexible heat shields are also coated with ceramic insulation, usually applied via plasma spraying, which are used in Formula 1 racing cars such as Ferrari.
Third, textile heat shields are typically used in exhaust systems, turbo, and DPF, among other automotive components.
The aluminum heat shields are also used in several applications including under chassis heat shield, engine compartment heat shield, under bonnet heat shield, exhaust system heat shield, and turbocharger heat shield.
The Research and Markets report has been compiled through a combination of extensive primary and secondary research. The primary research methods include interviews, surveys, and experts’ analysis while the secondary methods include trade journals, reputable paid sources, and industry body databases. Interested individuals also have the benefit of quantitative and qualitative analyses and assessments of key points and participants in the industry’s value chain, thus, providing them with an in-depth perspective of the aluminum heat shield market in the coming years.