Automotive Fuel Tank Market Analysis

Automotive Fuel Tank Market Overview:

Automotive Fuel Tank Market Size was valued at USD 14 Billion in 2023. The Automotive Fuel Tank market industry is projected to grow from USD 15.20 Billion in 2024 to USD 27.1 Billion by 2032, exhibiting a compound annual growth rate (CAGR) of 7.49% during the forecast period (2024 - 2032). Escalating demand for fuel-efficient lightweight automobiles, rising vehicle manufacturing, and quickening urbanization are the key market drivers enhancing the market growth.

Source: Secondary Research, Primary Research, MRFR Database and Analyst Review

Automotive Fuel Tank Market Trends

Growing self-sealing tanks is driving the market growth

Market CAGR for automotive fuel tank is being driven by the rising self-sealing tanks. Aviation is where self-sealing tanks are most frequently employed. Since the Second World War, self-sealing technology has been used. The car industry does, however, want to use this technology in automotive tanks. The self-sealing gasoline tanks include many layers of reinforcement fabric and untreated natural rubber protection. Because of their self-sealing nature, the tanks are shielded from leaks brought on by mishaps or forcible punctures. When in touch with the fuel, the natural rubber that makes up the tank's coating swells and expands, sealing the puncture and halting further fuel leakage. To take the lead, well-known vehicle manufacturing businesses are concentrating on creating this technology. The rising number of traffic accidents forces manufacturers to create technologies that can stop combustible chemicals from spilling and avert catastrophic tragedies. In the upcoming years, it is anticipated that consumer demand for this promising safety feature of the self-sealing automobile tank will increase significantly.

The automotive industry is attempting to build lightweight automobiles to cut fuel emissions and improve vehicle performance. To innovate and create lightweight materials for creating automotive components and reduce the weight of cars, automotive OEMs are investing a significant amount of money in research. Recently, plastic tanks have replaced conventional metal tanks in the car industry. Due to its many inherent benefits over metal gasoline tanks, plastic tanks have become the favored option for car manufacturing businesses, and the material is rapidly increasing market share. Using High-Density Polyethylene (HDPE), these tanks are made. The flexibility of plastic tanks allows for customization by OEM requirements. Due to the need for lightweight automobiles in the modern world, the automotive industry is increasingly emphasizing their production. Plastic fuel tanks are fitted into most light commercial vehicles and passenger cars. The passenger automobile market has expanded due to increasing urbanization, living standards, and people's high spending power.

Young people are more drawn to lightweight, high-performance automobiles with minimal emissions. Thus, the market is anticipated to expand more quickly shortly due to the numerous advantages of using plastic gasoline tanks in automobiles. Thus, driving the Automotive Fuel Tank market revenue.

Automotive Fuel Tank Market Segment Insights:

Automotive Fuel Tank Material Insights

Based on material, the Automotive Fuel Tank market segmentation includes plastic, steel, and aluminum. The plastic segment dominated the market, accounting for 45% of market revenue. To fulfill the rising demand and customers' evolving needs, most industrial organizations worldwide are switching from metal tanks to plastic tanks. High-Density Polyethylene (HDPE) is the material used to make plastic tanks. Due to their reduced weight and ease of molding, these tanks may be offered customized tanks that meet OEM requirements.

Automotive Fuel Tank Capacity Insights

Based on capacity, the Automotive Fuel Tank market segmentation includes below 45L, between 45L-70L, and above 70L. The below 45L segment dominated the market. Most passenger automobiles, including hatchbacks and sedans, come under vehicles with gasoline tanks that hold no more than 45 liters. Due to urbanization, rising living standards, a large population growth rate, and the development of automotive technology, passenger vehicle sales and manufacturing are increasing dramatically globally. People are increasingly inclined to buy new cars as their discretionary income rises. The youthful generation is also becoming more interested in the emerging trend of low-emission, lightweight, and high-performance automobiles, driving the market's expansion.

Automotive Fuel Tank Vehicle Type Insights

Based on vehicle type, the Automotive Fuel Tank market segmentation includes passenger cars and commercial vehicles. The passenger car generated the most income (70.4%). Due to rising urbanization, more industry, strong growth rates, higher living standards, and an increase in the average person's discretionary income. To make the cars lighter, automobile manufacturers focus on creating lightweight gasoline tank materials. For every 100 km driven, up to 100 kg decrease saves between 0.3 and 0.5 liters of gasoline. lightweight cars enhance Vehicle performance, and fuel emissions are reduced.

Figure 1: Automotive Fuel Tank Market, by Vehicle Type, 2022 & 2032 (USD Billion)

Source: Secondary Research, Primary Research, MRFR Database and Analyst Review

Automotive Fuel Tank Regional Insights

By region, the study provides market insights into North America, Europe, Asia-Pacific and the Rest of the World. The North American Automotive Fuel Tank market area will dominate this market due to the substantial number of business cars in this area. The market is expanding because of the strict government regulations regarding fuel emissions and the growing client base.

Further, the major countries studied in the market report are The US, Canada, Japan, India, German, France, the UK, Italy, Spain, China, Australia, South Korea, and Brazil.

Figure 2: Automotive Fuel Tank Market Share By Region 2022 (USD Billion)

Source: Secondary Research, Primary Research, MRFR Database and Analyst Review

Europe has the second-largest market share for Automotive Fuel Tank. The government's strict restrictions to cut fuel emissions and its incentives for the car sector to produce lightweight automobiles. Furthermore, the German Automotive Fuel Tank market dominated, while the UK Automotive Fuel Tank market grew fastest in Europe.

From 2023 to 2032, the Asia-Pacific Automotive Fuel Tank Market will develop at the quickest CAGR. The market is expanding in this region because of the growing urbanization, development of industrialization, infrastructure improvement, and rise in disposable income. To minimize the vehicle's total weight, the manufacturing businesses operating in this area are attempting to produce lightweight materials for automotive components. Furthermore, China's Automotive Fuel Tank market had the highest market share, while India's Automotive Fuel Tank market was the fastest expanding in the Asia-Pacific region.

Automotive Fuel Tank Key Market Players & Competitive Insights

Leading market companies are extensively spending R&D on increasing their product lines, which will help the Automotive Fuel Tank market grow even more. Important market developments include new product releases, contractual agreements, acquisitions and mergers, greater investments, and collaboration with other organizations. The Automotive Fuel Tank industry must produce cost-effective merchandise to flourish and thrive in a more competitive and increasing market climate.

Manufacturing locally to reduce operating costs is an effective business strategy manufacturers use in the worldwide Automotive Fuel Tank industry to serve clients and expand the market sector. The Automotive Fuel Tank industry has provided some of the most important benefits recently. Major players in the Automotive Fuel Tank market, including TI Fluid Systems, Plastic Omnium, and others, are attempting to increase market demand by investing in research and development operations.

The mentality of TI Fluid Systems is shaped by fluid thinking. automakers look to TI Fluid Systems for guidance and direction as they create award-winning, industry-changing fluid storage, transport, and delivery technologies. Their strength comes in their capacity to innovate, meet and surpass the rising fuel economy and emissions rules of tomorrow's vehicle industry. They currently employ 25,600 people across 98 production facilities in 28 countries. To help clients distinguish their products, stay competitive, and more effectively satisfy regulatory requirements for performance, safety, and emissions, TI Fluid Systems dedicates all of its integrated worldwide resources to them. In January 2021, According to TI Fluid Systems, a new generation of plastic fuel tanks capable of satisfying the rigorous pressure requirements within a hybrid electric vehicle (HEV) will be offered. With Volkswagen China, this plastic gasoline tank recently debuted in volume production on the Passat and Magotan plug-in hybrid electric vehicle (PHEV) models, with a wider variety of worldwide platforms to follow.

A prominent provider of cutting-edge options for more interconnected and sustainable transportation is Plastic Omnium. The Group creates and manufactures customized complicated modules, clean energy systems, high-value lighting systems, and intelligent exterior systems. Plastic Omnium relies on its 37,000 people to solve the challenges of clean and smart transportation. Plastic Omnium had €9 billion in pro forma economic income in 2021 and a worldwide network of 150 factories and 43 R&D centers. Since its inception, Plastic Omnium has been motivated by innovation. By investing in hydrogen and electrification technologies, the Group is paving the road for zero-carbon transportation and aspires to be the leader in these fields. In August 2021, Elringklinger and Plastic Omnium operate a new business prepared to provide fuel cell stacks and components for various applications.

Key Companies in the Automotive Fuel Tank market include

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  Plastic Omnium Group

  
  


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  Kautex Textron GmbH Co. KG.

  
  


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  YAPP Automotive Parts Co. Ltd.

  
  


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  TI Automotive Inc.

  
  


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  Magna International

  
  


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  Unipres Corporation

  
  


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  Continental

  
  


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  Lyondell Basell

  
  


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  Yachiyo

  
  


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  Allgaier Automotive

  
  


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  Boyd Welding

  
  


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  Dali Samir Engineering

  
  


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  Martinrea International

  
  


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  Posco co. Ltd,

  
  


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  Baosteel group corporation.

  
  

Automotive Fuel Tank Industry Developments

January 2024: TerraVest Industries agreed to purchase all assets belonging to Highland Tank Holdings’ subsidiaries for $78 million. Highland Tank, located in Stoystown, Pennsylvania, is one of the North American manufacturers of fuel and chemical storage tanks, LPG vessels, and other custom-built steel storage products. This transaction will see John Jacob, who owns Highland Tank, continue as its president with responsibility for managing operations. Furthermore, he will keep $5 million worth of TerraVest shares from what he bought.

TerraVest's business spans different industries, where it serves customers through diverse product portfolios. The company manufactures home heating products, propane and anhydrous ammonia, natural gas liquids (NGL) transport vehicles and storage vessels, energy processing equipment, and fiberglass storage tanks.

March 2024 : Eaton, an intelligent power management company, has announced the release of a new fuel tank isolation valve (FTIV) for hybrid vehicles. The latest FTIV is less involved in placing it, lighter by 27 proportion, smaller than its predecessor by 39 percent and has 24 percent fewer components. Unlike traditional cars that run on petrol or diesel only, a hybrid vehicle gas engine does not operate continuously. As such, it requires special measures to take care of evaporative emissions that build up when the gas engine is not running.

In electric mode, gas pressure builds up in the tank, so it needs to be released. Eaton's new generation FTIV comes at a time when hybrids are becoming more popular than fully electric vehicles. For instance, with the advent of new hybrids, Eaton's isolation valve comes into play by reducing challenges on conformation since it has reduced dimensions.

Automotive Fuel Tank Market Segmentation:

Automotive Fuel Tank Material Outlook

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  Plastic

  
  


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  Steel

  
  


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  Aluminum

  
  

Automotive Fuel Tank Capacity Outlook

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  Below 45L

  
  


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  In between 45L-70L

  
  


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  Above 70L

  
  

Automotive Fuel Tank Vehicle Type Outlook

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  Passenger Car

  
  


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  Commercial Vehicle

  
  

Automotive Fuel Tank Regional Outlook

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  Middle East
  
  


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  Africa
  
  


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  Latin America