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A type of oil filter that is used to clean the fuel, which is injected in the engine of the vehicle is known as fuel filter. An automotive fuel filter prevents the physical elements present in the fuel from entering the engine of the vehicle. Automotive fuel filters are crucial for the smooth operation of engines, as they help filter impurities that are likely to enter the engine, thereby extending the life of the vehicle. Significant expansion of the automotive industry, emission standards and favorable economic reforms in developing countries have boosted the automotive fuel filter system market. Emissin standards are designed to achieve air quality standards and to protect human health.
Rising concerns about the environment and stringent emission standards applicable on the automotive industry enacted by regulatory bodies are likely to boost the automotive fuel filter system market. A clogged fuel filter causes low fuel pressure that results in a lean fuel condition and engine misfire. This can result in poor hard starting, fuel mileage, fuel system part failures and rough idling. Hence this can restrain the market growth.
Key Market Driver -
Technological advancementsin fuel filtration, increased concerns about the environment and stringent emission standards will drive the growth of the market
Key Market Restraint -
Clogged fuel filter causes low fuel pressure that results in a lean fuel condition and engine misfire may restrain the growth of the market
The Automotive Fuel Filter market is segmented By Fuel Type (Petrol, Diesel, and Alternate fuels), by Sales Channel (OEM, Aftermarket), By Vehicle Type (Passenger Cara and Commercial Vehicle), and by Geography.
By Fuel Type, the Automotive Fuel Filter market is classified as Petrol, Diesel, and Alternate fuels. Petrol currently holds the largest market share and is expected to register the highest CAGR in the automotive fuel filter market throughout the forecast period. In case of alternative fuels, trends show increasing use of alternative fuelsand the need for integration of more features and functions into fuel filtration systems. As electrification is happening at a rapid pace in passenger car segment than commercial vehicle, Diesel filter type is expected to outsell the petrol filter type in the automotive fuel filter market during the forecast period.
By Sales Channels, the market is segmented into OEM and Aftermarket. OEM is a company whose goods are used as components in another company's products, which then sells the finished item to users. The aftermarket channel refers to the buying and selling of parts or equipment for a product after the initial product was manufactured and sold. Currently, OEM’s hold the larger position than Aftermarket sales channel, as the fuel companies are the one to add an additive or filter in the fuel before selling it. However, with more private players engaging in the fuel industry, there will be players that will provide filters. Hence the aftermarket is anticipated to exhibit a steady growth.
By Fuel Type, the market is segmented into Passenger cars, Commercial Vehicles. Demand for automotive fuel filters is highest in compact passenger cars. The segment is likely to grow at the highest CAGR throughout the forecast period. Also, the passenger car segment currently holds the largest share and is expected to maintain the same. However, the commercial vehicle segment is also broadening and will grow steadily over the forecast period.
Major players operating in the global Automotive Fuel Filter market are Denso Corporation, The Goodyear Tire & Rubber Company, Cummins Inc. Sensata Technologies, Huf Electronics, Continental, Infineon Technology, Lear Corporation, Valeo, and ZF Friedrichshafen AG
Geographically, the Automotive Fuel Filter market is segmented into North America, Europe, Asia Pacific, and the rest of the world.
Asia Pacific is expected to exhibit a higher CAGR during the forecast period due to the increased production of vehicles in the region and demand for higher automotive components. China and India are the key markets in the Asia Pacific as all significant automakers have their production sites located in the country and are prominent exporters of vehicles across the globe. High urbanization and smart cities are expected to propel the automobile sector’s growth, accelerating the Automotive Fuel Filter market development.
Europe holds the second-largest position in the market, of which Germany ranks first in this regional market as major auto manufacturers are situated. Europe is an important market for Automotive Fuel Filters due to the high penetration among vehicles. Additionally, the production of cars in the region is consistently rising, which in turn is driving the market for Automotive Fuel Filters.
North America region is anticipated to be the third-largest position in the Global Automotive Fuel Filter Market due to the increasing demand for a fuel efficient commercial fleet. However, the growing popularity of EVs is likely to hamper the development of the market in the region during the forecast period.
The rest of the world consists of Latin America, the Middle Eastern, and the African region. The middle eastern region is expected to contribute significantly to the growth of the market due to high income per capita and affordability than the other two regions. This can be also attributed to the early adoption of advanced technologies in the automobile sector, which have sensed opportunities for the same.
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