Global Internal Combustion Engine Market Overview:
As per MRFR analysis, the Internal Combustion Engine Market Size was estimated at 1.6 (USD Billion) in 2022. The Internal Combustion Engine Market is expected to grow from 1.64 (USD Billion) in 2023 to 2.05 (USD Billion) by 2032. The Internal Combustion Engine Market CAGR (growth rate) is expected to be around 2.54% during the forecast period (2024 - 2032).
Key Internal Combustion Engine Market Trends Highlighted
Growth in the automotive industry, rising demand for fuel-efficient vehicles, and stringent emission regulations are the primary drivers of the internal combustion engine market.
The increasing use of advanced technologies, such as turbocharging and direct injection, has further propelled market growth. Additionally, the development of clean-burning engines and alternative fuels presents significant opportunities for exploration.
Recent market trends include the increasing popularity of hybrid and electric vehicles, leading to potential challenges for the internal combustion engine market. However, emerging markets in Asia-Pacific and Latin America are expected to provide growth opportunities in the long term.
The focus on sustainability and environmental concerns will continue to shape market dynamics, driving innovation in low-emission and fuel-efficient engine technologies.
Source: Primary Research, Secondary Research, MRFR Database and Analyst Review
Internal Combustion Engine Market Drivers
Increasing Demand for Fuel-Efficient Vehicles
There is a growing demand for internal combustion engines because governments all over the world are setting up tougher fuel economy standards. These engines are being improved through the utilization of advanced fuel injection systems, variable valve timing, and turbocharging.
This means that their fuel consumption and, correspondingly, the level of CO2 emissions are being reduced. Moreover, according to Capgemini’s Automotive Expert Brief, “sales forecasts seem to confirm the growing popularity of hybrid and plug-in hybrid vehicles”.
Thus, these trends all contribute to an increase in the demand for fuel-efficient internal combustion engines.
Growth in Emerging Markets
Emerging markets, especially in Asia and Africa, are witnessing a surge in the sales of vehicles, courtesy of rising disposable incomes and heightened urbanization.
As demand for vehicles that are both affordable and reliable is high in these markets, internal combustion engines have become prevalent because of their cost advantage and well-established infrastructure.
In addition, the availability of financing options and government subsidies in emerging markets is also contributing to this growth in the internal combustion engine market.
Advancements in Engine Technology
Ongoing advancements in engine technology are improving the performance, efficiency, and durability of internal combustion engines. These advancements include the development of high-pressure fuel injection systems, lightweight materials, and advanced combustion techniques.
The integration of electronics and sensors into engine management systems is also enabling more precise control and optimization of engine operation, leading to improved fuel efficiency and reduced emissions.
Internal Combustion Engine Market Segment Insights:
Internal Combustion Engine Market Fuel Type Insights
The Internal Combustion Engine Market is segmented by fuel type into gasoline, diesel, natural gas, and liquefied petroleum gas (LPG). The gasoline segment is expected to hold the largest market share in 2023, owing to its wide usage in passenger cars and light commercial vehicles.
The diesel segment is expected to exhibit significant growth over the forecast period due to its increasing adoption in heavy-duty vehicles and industrial applications. The natural gas segment is anticipated to gain traction, driven by the growing demand for cleaner fuels and the availability of government incentives.
The diesel segment is valued at USD 627.2 million in 2023 and is projected to reach USD 738.4 million by 2032, growing at a CAGR of 2.54%. The adoption of advanced technologies, such as turbocharging and direct injection, is expected to further enhance the efficiency and performance of internal combustion engines.
However, factors such as the growing popularity of electric vehicles and the rising cost of fuel may hinder market growth to some extent.
Source: Primary Research, Secondary Research, MRFR Database and Analyst Review
Internal Combustion Engine Market Engine Type Insights
The Internal Combustion Engine Market is segmented by Engine Type into In-Line, V-type, W-type, and Radial. Among these, the V-Type segment is expected to hold the largest market share in the coming years.
The growth of the V-Type segment can be attributed to its high-power output and efficiency compared to other engine types. Additionally, the increasing demand for V-Type engines in passenger cars and commercial vehicles is also driving the growth of this segment.
The In-Line segment is also expected to witness significant growth in the coming years, owing to its compact design and lower cost compared to V-Type engines.
The W-Type and Radial segments are expected to account for a smaller share of the overall market, but they are expected to grow at a steady pace in the coming years.
Internal Combustion Engine Market Aspiration Type Insights
The Internal Combustion Engine Market segmentation by Aspiration Type is further classified into Naturally Aspirated, Turbocharged, and Supercharged. In 2023, the Turbocharged segment held the largest share of the market, accounting for over 40% of the Internal Combustion Engine Market revenue.
The Supercharged segment is expected to witness the fastest growth over the forecast period, owing to its increasing adoption of high-performance vehicles. The Naturally Aspirated segment is expected to hold a significant share of the market throughout the forecast period due to its lower cost and simpler design.
Internal Combustion Engine Market Cooling System Insights
The Cooling System segment of the Internal Combustion Engine Market is segmented into Air-Cooled, Water-Cooled, and Oil-Cooled. Among these, the Water-Cooled segment is expected to account for the largest revenue in 2024, owing to its superior heat dissipation capabilities and higher efficiency.
The Air-Cooled segment is anticipated to witness steady growth due to its simplicity and cost-effectiveness in low-power applications. The Oil-Cooled segment is projected to exhibit moderate growth, driven by its ability to maintain consistent engine temperature under extreme operating conditions.
Overall, the Cooling System segment is expected to contribute significantly to the growth of the Internal Combustion Engine Market as it plays a crucial role in ensuring optimal engine performance and longevity.
Internal Combustion Engine Market Valve Train Insights
The Valve Train segment of the Internal Combustion Engine Market is expected to witness steady growth over the coming years. The market is segmented into Overhead Valve, Overhead Cam, and Double Overhead Cam.
Among these, the Overhead Cam segment held the largest market share in 2023 and is projected to maintain its dominance throughout the forecast period. This growth can be attributed to the increasing adoption of overhead cam engines in passenger cars and light commercial vehicles due to their improved fuel efficiency and performance.
The Double Overhead Cam segment is also expected to witness significant growth, driven by the rising demand for high-performance engines in sports cars and luxury vehicles.
The Internal Combustion Engine Market is expected to reach a valuation of USD 1.95 billion by 2024, expanding at a CAGR of 3.8% during the forecast period 2024-2032.
This growth is primarily driven by the increasing demand for vehicles in developing countries, as well as the growing popularity of gasoline direct injection (GDI) and turbocharged engines.
The Asia-Pacific region is expected to remain the largest market for internal combustion engines, with China and India being the key growth drivers.
Internal Combustion Engine Market Regional Insights
The Internal Combustion Engine Market is segmented into North America, Europe, APAC, South America, and MEA. Among these regions, North America and Europe are the dominant markets for internal combustion engines, accounting for a significant share of the global revenue.
The growth in these regions is primarily attributed to the presence of well-established automotive and industrial sectors. However, the APAC region is expected to witness the fastest growth in the coming years, driven by the increasing demand for vehicles and the growing industrial sector in countries such as China and India.
South America and MEA are expected to have a moderate growth rate due to the developing automotive and industrial sectors in these regions.
Source: Primary Research, Secondary Research, MRFR Database and Analyst Review
Internal Combustion Engine Market Key Players and Competitive Insights:
The Internal Combustion Engine Market is characterized by the regular presence of the Major players in this market. Moreover, these major players are constantly investing significant resources in research to make their engines more powerful and efficient.
At the same time, the leading players in the Internal Combustion Engine Market are focused on new technologies such as variable valve timing and direct injection to ensure improved fuel economy and decreased emission.
The Internal Combustion Engine Market is rather competitive and there are a number of players that compete for the larger share of the market. To put it more precisely, the leading Internal Combustion Engine Market players include companies like. Volvo, Toyota, Cummins, Ford, Evonik, and General Motors.
On analyzing the current situation in the market, it is important to underline that these companies are focused Incessant innovation and developing the new technologies to increase the efficiency and performance of their engines. In such a way, the Internal Combustion Engine Market is likely to grow in the future as the demand of developing countries for vehicles increases.
At any rate, Cummins Inc. is a leading global designer, manufacturer of diesel and natural gas engines, electric power generation systems, related components and technologies. Cummins has a strong position in three principal markets – commercial vehicle, industrial and power generation.
Cummins Inc. has a strong sustainability vision to develop innovative solutions meeting customers’ needs while enforcing the long Cummins History of innovation. Moreover, Cummins Inc. is one of the major Internal Combustion Engine Market players.
Caterpillar Inc. is the world’s leading manufacturer of construction and mining equipment, diesel and natural gas engines, industrial gas turbines and diesel-electric locomotives. Its products.
Caterpillar is used in various applications on all large continents. It has a long history of innovation in terms of products being both reliable and durable. Caterpillar Inc. is another major Internal Combustion Engine Market player.
Key Companies in the Internal Combustion Engine Market Include:
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Kia Motors
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Renault
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Mitsubishi Motors
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General Motors
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Denso
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Eaton
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Toyota Motor Corporation
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PSA Group
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Delphi Technologies
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Nissan Motor Company
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Continental
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Ford Motor Company
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Hyundai Motor Company
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Bosch
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Cummins
Internal Combustion Engine Market Developments
The rising demand for fuel-efficient and high-performance engines in the automotive industry is a key driver of market growth. Stringent emission regulations and the increasing adoption of electric vehicles pose challenges to the market, but advancements in engine technology, such as turbocharging and direct injection, are expected to mitigate these challenges.
Key industry participants include Bosch, Continental, and Denso Corporation, who are focused on developing innovative and eco-friendly engine solutions.
Recent developments include the launch of a new line of high-efficiency diesel engines by Cummins Inc. and the acquisition of a majority stake in AVL List GmbH by Hyundai Motor Group, indicating the ongoing consolidation and technological advancements in the market.
Internal Combustion Engine Market Segmentation Insights
| Report Attribute/Metric |
Details |
| Market Size 2022 |
1.6 (USD Billion) |
| Market Size 2023 |
1.64 (USD Billion) |
| Market Size 2032 |
2.05 (USD Billion) |
| Compound Annual Growth Rate (CAGR) |
2.54% (2024 - 2032) |
| Report Coverage |
Revenue Forecast, Competitive Landscape, Growth Factors, and Trends |
| Base Year |
2023 |
| Market Forecast Period |
2024 - 2032 |
| Historical Data |
2019 - 2023 |
| Market Forecast Units |
USD Billion |
| Key Companies Profiled |
Kia Motors, Renault, Mitsubishi Motors, General Motors, Denso, Eaton, Toyota Motor Corporation, PSA Group, Delphi Technologies, Nissan Motor Company, Continental, Ford Motor Company, Hyundai Motor Company, Bosch, Cummins |
| Segments Covered |
Fuel Type, Engine Type, Aspiration Type, Cooling System, Valve Train, Regional |
| Key Market Opportunities |
Biofuel Integration Hybrid Engine Development Electrification Enhancements Aftermarket Components Expansion Emission Reduction Solutions |
| Key Market Dynamics |
Rising fuel efficiency regulations, increasing adoption of electric vehicles, technological advancements, the emergence of biofuels, and growing demand for off-highway applications |
| Countries Covered |
North America, Europe, APAC, South America, MEA |
Frequently Asked Questions (FAQ) :
The Internal Combustion Engine Market was valued at approximately USD 1.64 billion in 2023 and is projected to reach USD 2.05 billion by 2032, exhibiting a CAGR of 2.54% during the forecast period.
North America and Europe are the prominent regions in the Internal Combustion Engine market, collectively accounting for a significant share due to the presence of well-established automotive industries and stringent emission regulations.
Internal Combustion Engines are primarily used in passenger cars, light commercial vehicles, and heavy commercial vehicles for propulsion purposes.
Major players in the Internal Combustion Engine market include Bosch, Continental, Denso, Delphi Technologies, and Cummins.
Rising demand for fuel-efficient vehicles, increasing urbanization, and growing disposable income are major factors driving the growth of the Internal Combustion Engine market.
Stringent emission regulations, increasing adoption of electric vehicles, and technological advancements pose challenges to the growth of the Internal Combustion Engine market.
The Internal Combustion Engine market is projected to grow at a CAGR of 2.54% from 2024 to 2032.
Asia Pacific is expected to witness the highest growth in the Internal Combustion Engine market due to the increasing demand for vehicles in emerging economies.
Advancements in fuel injection technology, integration of sensors and electronics, and hybridization are key trends shaping the Internal Combustion Engine market.
Government regulations aimed at reducing emissions are driving the adoption of cleaner and more efficient Internal Combustion Engines.
