Global Automotive Air Conditioner Orifice Tube Market Research Report: Forecast (2022-2027)
An orifice tube in an automotive air conditioner controls the amount of refrigerant entering the evaporator. It is a tube with a given cross-section & length and contains no moving parts. Therefore, the vehicle containing an orifice tube needs to employ an additional means of controlling refrigerant flow such as, cycling the compressor, turning it on and off at appropriate intervals, or installing an additional valve in the compressor that can help in adjusting the pumping capacity.
The Global Automotive Air Conditioner Orifice Tube Market is anticipated to grow at a CAGR of around 5.43% during the forecast period, i.e., 2022-27, says MarkNtel Advisors. The rapidly increasing vehicle production worldwide & changing weather conditions are fueling the need for installing Air Conditioning (AC) systems in them, which, in turn, drives the production & sales of orifice tubes. Besides, the surging disposable income of people worldwide is another crucial aspect augmenting vehicle sales, which, as a result, drives the global market.
| Report Coverage | Details |
|---|---|
| Study Period | Historical Data: 2017-20 |
| Base Year: 2021 | |
| Forecast Period: 2022-27 | |
| CAGR (2022-2027) | 5.43% |
| Regions Covered | North America: USA, Canada, Mexico |
| Europe: Germany, The UK, Germany, France, Spain, Italy and Others | |
| Asia-Pacific: China, India, Japan, South Korea, Australia and Others | |
| South America: Brazil, and Argentina | |
| Middle East & Africa: GCC, South Africa and Others | |
| Key Companies Profiled | Global Air, Inc., Valeo, TORALIN, BorgWarner, Indus Motors Company Pvt. Ltd., Danhard, Inc. FJC Inc.) |
| Unit Denominations | USD Million/Billion |
Moreover, the mounting need for comfort & convenience among consumers is another crucial factor that has led to the increasing installation of air conditioners in automobiles, including trucks (used for mining & construction activities.) For instance, Caterpillar Inc. has introduced a next-generation mining truck with features like an adjustable next-gen seat, a fully adjustable center console, and a temperature-controlled HVAC system for making a comfortable operator environment. It is currently available for the Cat 785 mining truck and is expected to expand to the 789 & 793 models by 2022.
Additionally, the increasing establishment of automobile production plants in China, India, & Japan due to the availability of low-cost labor in these countries also proliferates the production & sales of orifice tubes and, in turn, contributes to the overall market growth, further states the research report, “Global Automotive Air Conditioner Orifice Tube Market Analysis, 2022.”
Covid-19 Impact on the Global Automotive Air Conditioner Orifice Tube Market
With the Covid-19 pandemic in 2020, the automotive sector has witnessed a significant drop in vehicle production & sales. It was due to the nationwide lockdowns that resulted in the economic slowdown. According to the OICA, global vehicle sales dropped from 90.4 million in 2019 to 78 million in 2020.
The lockdown also disrupted the supply chain of raw materials & other components required while manufacturing automobile AC systems. Several market players in countries like Japan, India, & the US suspended their operational activities amidst the global crisis, which is another prominent aspect that severely influenced the global market.
However, several OEMs are strategizing to recover from the Covid-19 impact on their revenue by facilitating enhanced services & sales, which shall positively influence the Automotive Air Conditioner Orifice Tube Market in the coming years.
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Market Segmentation
By Application:
Of both, Passenger Vehicles dominate the Global Automotive Air Conditioner Orifice Tube Market. With a wide range of options in terms of features & designs available across passenger vehicles, their demand is significantly increasing. The surging consumer preference for vehicle ownership with more advanced features, coupled with the rising disposable income across the globe, drives the global market across the Passenger Vehicle segment.
Moreover, rapid technological advancements are helping in the cost reduction of installing AC’s in passenger cars, thereby contributing to the overall market growth. Further, the increasing competition among automobile market players to offer more comfort & ensure maximum vehicle performance is another crucial factor positively influencing the demand for passenger vehicles and, in turn, orifice tubes required in their ACs.
By Demand Category:
Here, Original Equipment Manufacturer (OEMs) are projected to attain the largest market share over the forecast years. With time, there is an increase in the production of passenger & commercial vehicles. Earlier, the installation of ACs was considered a premium feature, and not all cars used to come fitted with them. However, with the increasing disposable income of people & their growing living standards, they are now a pre-installed feature in all passenger cars, which, in turn, is driving the OEM demand for orifice tubes.
Further, the increasing establishment of new production units in India owing to the mounting need for vehicles with advanced comfort features in the country is another crucial factor contributing to the demand for pre-installed air conditioners in automobiles and driving the market across the OEM segment.
Regional Landscape:
Here, the Global Automotive Air Conditioner Orifice Tube Market is expected to experience the fastest growth across Asia-Pacific, mainly due to the rapidly expanding automobile industry in the region. The increasing establishment of vehicle production units in India, China, & Japan is also driving the regional market. Further, several initiatives by the Indian government to boost the automobile business is another crucial aspect projected to contribute to the overall market growth across Asia-Pacific.
Further, snowballing disposable income coupled with the booming demand for vehicle ownership & comfort & safety across countries like India & China are other prominent aspects influencing AC installations in the region and driving the regional market.
Market Dynamics:
Key Drivers
Growth Challenges
Key Questions Answered in the Market Research Report:
Frequently Asked Questions
A. The Global Automotive Air Conditioner Orifice Tube Market is anticipated to grow at a CAGR of around 5.43% during 2022-27
A. Passenger Vehicles are projected to dominate the Global Automotive Air Conditioner Orifice Tube Market in the coming years and present lucrative growth opportunities to the leading companies operating in the industry
A. The rapidly increasing vehicle production, mounting trend of vehicle ownership, and surging need for more comfort features in vehicles are the key factors driving the Global Automotive Air Conditioner Orifice Tube Market during 2022-27
A. Post-Covid-19 Pandemic, the Global Automotive Air Conditioner Orifice Tube Market is expected to grow steadily owing to the mounting demand for vehicle ownership, especially across Asia-Pacific.
