Automotive Exhaust Heat Recovery (EHR) System Market, By Type (Exhaust gas Heat Recovery (EGHR), Rankine cycle systems, Thermoelectric generator, and Electric Turbo Compounding (ETC)), By Application (Passenger cars, and Commercial vehicles), and By Region (North America, Europe, Asia Pacific, Latin America, and Middle East & Africa) - Trends, Analysis and Forecast till 2034

Automotive Exhaust Heat Recovery (EHR) System Market was valued at US$ 35.3 billion in 2024 and is projected to grow at a CAGR of 8.50% to reach US$ 74.2 billion by 2034.

The automotive exhaust heat recovery system market is expanding quickly within the automotive sector. The Automotive exhaust heat recovery (EHR) system utilizes technology to capture waste heat from vehicle exhaust fumes and transforms it into energy that can be used for further applications. By utilizing this energy, the car's electrical systems which includes the engine, power steering, and air conditioning can be powered, increasing fuel economy of the vehicle and also helps in cutting down pollution. Environmental concerns, more stringent pollution rules, and the ongoing pursuit of increased fuel efficiency have all contributed to the increasing focus and relevance of this technology in the automotive sector.

EHR systems can boost the electrical power supplied to the vehicle's systems, minimizing the burden on the engine and enhancing the vehicle's performance in general by utilizing waste heat energy. Although EHR systems can come in many different sizes and forms, the most widely used technique involves using a heat exchanger to transfer heat from exhaust gases to a working fluid, such as water or a cooling agent. Then, this working fluid can be used for a variety of internal vehicle activities.

Over the next few years, it is expected that the market for automotive exhaust heat recovery (EHR) systems would grow quickly due to greater fuel efficiency that it provides and the implementation of stringent pollution regulations which is supported with the increased environmental awareness throughout the globe. Another factor propelling the target market is the rising popularity of hybrid and electric cars, which rely on EHR systems to improve the efficiency of their internal combustion engines and extend the range of their batteries.

Disclaimer: This data is only a representation. Actual data may vary and will be available in the report.

Automotive Exhaust Heat Recovery (EHR) System Market Key Drivers:

Developments in EHR Systems

Better heat exchangers as well as more effective energy conversion systems are few advancements in the sector which are making these systems more user-friendly and economically feasible. Progress in EHR systems is being driven by ongoing developments in thermoelectric conversion technology, heat exchanger design, and components. Thermoelectric generators (TEGs), ORCs, and turbocharging are some instances of the significant technological advancements that improve the effectiveness and affordability of EHR systems. As a result, manufacturers find these systems more appealing and useful. 

• Increasing focus on Fuel Efficiency

Vehicle manufacturers are constantly searching for ways to increase fuel efficiency due to risen concerns regarding fuel usage and greenhouse gas emissions. To ensure higher fuel economy that obey emission control laws are driving manufacturers to research new technologies, with EHR systems being a primary area of interest. By capturing and using waste heat, these systems improve fuel efficiency and lower pollution level.

• Automotive Exhaust Heat Recovery (EHR) System Market Restrains:

A major obstacle impeding the growth of the automotive exhaust heat recovery (EHR) system market is the high upfront cost of installation. Integrating EHR technology requires substantial expenditure in R&D, production, and manufacturing. The cost of developing sophisticated energy conversion systems, advanced materials, and efficient heat exchangers may deter certain manufacturers. Furthermore, the additional expense of installing EHR systems in vehicles can restrict market acceptance and affordability, particularly in price-sensitive locations. Also, integration with current systems necessitates meticulous planning and design.

• Automotive Exhaust Heat Recovery (EHR) System Market Opportunities:

The market for automotive exhaust heat recovery (EHR) systems is expanding significantly as a result of consumers' growing demands for vehicles that are more fuel-efficient and generate less pollution. The EHR system uses waste heat that is recovered from exhaust fumes to increase a vehicle's overall efficiency. The use of EHR systems in automobiles is also being fueled by government restrictions on emissions from vehicles. The market's future is positive, as more research and development efforts are being made to increase the effectiveness of EHR systems. Furthermore, the need for EHR systems in the automotive sector is anticipated to increase in response to the rising popularity of electric vehicles.

Automotive Exhaust Heat Recovery (EHR) System Market is segmented based on type, application, and region.

Type Insights

• Exhaust gas heat recovery (EGHR): Exhaust gas heat recovery (EGHR) segment involves removing waste heat from engine exhaust gas directly in order to power other components, to warm up engine oil coolant, and to minimize warm-up times.
• Rankine cycle systems: Rankine cycle systems segment make use of waste heat to turn a working fluid into steam, which powers a turbine to produce mechanical or electrical power.
• Thermoelectric generator: Thermoelectric generator is the fastest growing segment for this sector. It employs the Seebeck phenomenon to directly convert a temperature differential between materials into electricity for further usage.
• Electric Turbo Compounding (ETC): Electric Turbo Compounding (ETC) recovers energy from exhaust gases using a turbine-generator unit, which can then be used to either lower engine load for increased fuel efficiency or increase engine performance using electrical power.

Application Insights

• Passenger cars: Passenger cars hold the largest market share for this sector and are therefore increasingly employing EHR systems to increase overall performance, lower pollutants, and improve fuel economy of vehicles.
• Commercial vehicles: Commercial vehicles have greater fuel consumption and emissions when compared to passenger cars, and therefore can gain a great deal from the installation of EHR systems into their vehicles.

Regional Insights:

Disclaimer: This data is only a representation. Actual data may vary and will be available in the report.

Automotive Exhaust Heat Recovery (EHR) System Market Regional Insights

• North America market is estimated to witness fastest revenue share due to increasing focus on enhancing fuel economy and obeying the pollution standards. EHR adoption in this region is increasing due to rise in commercial vehicles and rising interest in personal automobiles.
• Asia Pacific market is estimated to witness a significantly high revenue share over the forecast period, owing to the growing automobile industry, which are embracing innovative technologies that reduce emissions and improve fuel economy. When efficiency and sustainability are prioritized, a conducive environment is established for the implementation of EHR systems. Consumers in this region are growing increasingly conscious of the need for sustainable transportation and environmental issues. Vehicles that use less fuel and emit fewer emissions are highly sought after. As a result, local manufacturers are utilizing EHR systems to match customer expectations and set their goods apart in the market.
• Europe market is expanding steadily which is mostly driven by fuel economy rules and pollution reduction schemes, especially in passenger cars. The EHR adoption has also increased due to developments in system architecture and integration.
• Latin America market is an emerging region for the target market as there is a focus on increasing fuel efficiency which is supported by a growing need for commercial cars. There is substantial possibility of greater adoption of EHRs as infrastructure and emissions standards advance in the region.
• Middle East & Africa region is in its developmental stages for the target market. Opportunities for automotive EHR systems can be found throughout the region because of rising car sales, growing infrastructure expenditure, and emission-reduction laws.

Report Scope:

Attribute	Details
Market Size 2024	US$ 35.3 billion
Projected Market Size 2034	US$ 74.2 billion
CAGR Growth Rate	8.50%
Base year for estimation	2023
Forecast period	2024 – 2034
Market representation	Revenue in USD Billion & CAGR from 2024 to 2034
Market Segmentation	By Type - Exhaust gas Heat Recovery (EGHR), Rankine cycle systems, Thermoelectric generator, and Electric Turbo Compounding (ETC) By Application - Passenger cars, and Commercial vehicles
Regional scope	North America - U.S., Canada Europe - UK, Germany, Spain, France, Italy, Russia, Rest of Europe Asia Pacific - Japan, India, China, South Korea, Australia, Rest of Asia-Pacific Latin America - Brazil, Mexico, Argentina, Rest of Latin America Middle East & Africa - South Africa, Saudi Arabia, UAE, Rest of Middle East & Africa
Report coverage	Revenue forecast, company share, competitive landscape, growth factors, and trends

Segments Covered in the Report:

This report forecasts revenue growth at global, regional, and country levels and provides an analysis of the latest industry trends and opportunities in each of the sub-segments from 2024 to 2034. For the purpose of this study, has segmented the Automotive Exhaust Heat Recovery (EHR) System Market report based on type, application and region:

Automotive Exhaust Heat Recovery (EHR) System Market, By Type:

• Exhaust gas Heat Recovery (EGHR)
• Rankine cycle systems
• Thermoelectric generator
• Electric Turbo Compounding (ETC)

Automotive Exhaust Heat Recovery (EHR) System Market, By Application:

• Passenger cars
• Commercial vehicles

Automotive Exhaust Heat Recovery (EHR) System Market, By Region:

• North America
  • U.S.
  • Canada
• Europe
  • Germany
  • UK
  • France
  • Russia
  • Italy
  • Rest of Europe
• Asia Pacific
  • China
  • India
  • Japan
  • South Korea
  • Rest of Asia Pacific
• Latin America
  • Brazil
  • Mexico
  • Rest of Latin America
• Middle East & Africa
  • GCC
  • Israel
  • South Africa
  • Rest of Middle East & Africa

The key players operating the Automotive Exhaust Heat Recovery (EHR) System Market includes, BOSAL, Dana, Faurecia, II-VI, SANGO, Tenneco, Continental, Aptiv, Hitachi, and Cummins.

• In May 2021, Cummins unveiled a new exhaust heat recovery system (EHRS) for diesel engines that is meant to cut emissions and improve fuel economy. The device uses a thermoelectric generator to turn waste heat into electrical energy.
• In June 2021, Faurecia and Wuling industry formed a strategic cooperation in order to develop and manufacture EHR systems for the Chinese market. The collaboration will take advantage of Wuling's robust market position in China and Faurecia's experience with EHR systems.
• In August 2021, BorgWarner stated that it had created a cutting-edge EHR system for hybrid electric cars that can recover up to 10% of the exhaust system's waste heat. The new approach is intended to lower pollutants and increase fuel efficiency in hybrid cars.

• BOSAL*
  • Company Overview
  • Product Portfolio
  • Key Highlights
  • Financial Performance
  • Business Strategies
• Dana
• Faurecia
• II-VI
• SANGO
• Tenneco
• Continental
• Aptiv
• Hitachi
• Cummins

“*” marked represents similar segmentation in other categories in the respective section

Research Objective and Assumption

• Preface
• Research Objectives
• Study Scope
• Years Considered for the study
• Assumptions
• Abbreviations

Research Methodology

• Research data
• Primary Data
  • Primary Interviews
  • Primary Breakdown
  • Key data from Primary Sources
  • Key Thickness Insights
• Secondary Data
  • Major Secondary Sources
  • Secondary Sources
• Market Estimation
• Top-Down Approach
  • Approach for estimating Market Share by Top-Down Analysis (Supply Side)
• Bottom-Up Approach
  • Approach for estimating market share by Bottom-up Analysis (Demand Side)
• Market Breakdown and Data Triangulation
• Research Assumptions

Market Preview

• Executive Summary
• Key Findings—Global Outlook for medical carts Strategies
  • Key Questions this Study will Answer
  • Market Snippet, By Type
  • Market Snippet, By Application
  • Market Snippet, By Region
• Opportunity Map Analysis
• Executive Summary—3 Big Predictions

Market Dynamics, Regulations, and Trends Analysis

• Market Dynamics
  • Drivers
  • Restrains
  • Market Opportunities
  • Market Trends
• DR Impact Analysis
• PEST Analysis
• Porter’s Five Forces Analysis
• Opportunity Orbit
• Market Investment Feasibility Index
• Macroeconomic Factor Analysis

Market Segmentation, By Type, Forecast Period up to 10 Years, (US$ Bn)

• Overview
  • Market Value and Forecast (US$ Bn), and Share Analysis (%), Forecast Period up to 10 Years
  • Y-o-Y Growth Analysis (%), Forecast Period up to 10 Years
  • Segment Trends
• Exhaust Gas Heat Recovery (EGHR)
  • Overview
  • Market Size and Forecast (US$ Bn), and Y-o-Y Growth (%), Forecast Period up to 10 Years
• Rankine Cycle Systems
  • Overview
  • Market Size and Forecast (US$ Bn), and Y-o-Y Growth (%), Forecast Period up to 10 Years
• Thermoelectric Generator
  • Overview
  • Market Size and Forecast (US$ Bn), and Y-o-Y Growth (%), Forecast Period up to 10 Years
• Electric Turbo Compounding (ETC)
  • Overview
  • Market Size and Forecast (US$ Bn), and Y-o-Y Growth (%), Forecast Period up to 10 Years

Market Segmentation, By Application, Forecast Period up to 10 Years, (US$ Bn)

• Overview
  • Market Value and Forecast (US$ Bn), and Share Analysis (%), Forecast Period up to 10 Years
  • Y-o-Y Growth Analysis (%), Forecast Period up to 10 Years
  • Segment Trends
• Passenger Cars
  • Overview
  • Market Size and Forecast (US$ Bn), and Y-o-Y Growth (%), Forecast Period up to 10 Years
• Commercial Vehicles
  • Overview
  • Market Size and Forecast (US$ Bn), and Y-o-Y Growth (%), Forecast Period up to 10 Years

Global Market, By Region, Forecast Period up to 10 Years, (US$ Bn)

• Overview
  • Market Value and Forecast (US$ Bn), and Share Analysis (%), Forecast Period up to 10 Years
  • Y-o-Y Growth Analysis (%), Forecast Period up to 10 Years
  • Regional Trends
• North America
  • Market Size and Forecast (US$ Bn), By Type, Forecast Period up to 10 Years
  • Market Size and Forecast (US$ Bn), By Application, Forecast Period up to 10 Years
  • Market Size and Forecast (US$ Bn), By Country, Forecast Period up to 10 Years
    • U.S.
    • Canada
• Europe
  • Market Size and Forecast (US$ Bn), By Type, Forecast Period up to 10 Years
  • Market Size and Forecast (US$ Bn), By Application , Forecast Period up to 10 Years
  • Market Size and Forecast (US$ Bn), By Country, Forecast Period up to 10 Years
    • UK
    • France
    • Germany
    • Russia
    • Italy
    • Rest of Europe
• Asia Pacific
  • Market Size and Forecast (US$ Bn), By Type, Forecast Period up to 10 Years
  • Market Size and Forecast (US$ Bn), By Application , Forecast Period up to 10 Years
  • Market Size and Forecast (US$ Bn), By Country, Forecast Period up to 10 Years
    • India
    • Japan
    • South Korea
    • China
    • Rest of Asia Pacific
• Latin America
  • Market Size and Forecast (US$ Bn), By Type, Forecast Period up to 10 Years
  • Market Size and Forecast (US$ Bn), By Application , Forecast Period up to 10 Years
  • Market Size and Forecast (US$ Bn), By Country, Forecast Period up to 10 Years
• Brazil
• Mexico
• Rest of Latin America
• Middle East & Africa
  • Market Size and Forecast (US$ Bn), By Type, Forecast Period up to 10 Years
  • Market Size and Forecast (US$ Bn), By Application , Forecast Period up to 10 Years
  • Market Size and Forecast (US$ Bn), By Country, Forecast Period up to 10 Years
    • GCC
    • Israel
    • South Africa
    • Rest of Middle East

Competitive Landscape

• Heat Map Analysis
• Market Presence and Specificity Analysis

Company Profiles

• BOSAL
  • Company Overview
  • Product Portfolio
  • Key Highlights
  • Financial Performance
  • Business Strategies
• Dana
  • Company Overview
  • Product Portfolio
  • Key Highlights
  • Financial Performance
  • Business Strategies
• Faurecia
  • Company Overview
  • Product Portfolio
  • Key Highlights
  • Financial Performance
  • Business Strategies
• II-VI
  • Company Overview
  • Product Portfolio
  • Key Highlights
  • Financial Performance
  • Business Strategies
• Sango
  • Company Overview
  • Product Portfolio
  • Key Highlights
  • Financial Performance
  • Business Strategies
• Tenneco
  • Company Overview
  • Product Portfolio
  • Key Highlights
  • Financial Performance
  • Business Strategies
• Continental
  • Company Overview
  • Product Portfolio
  • Key Highlights
  • Financial Performance
  • Business Strategies
• Aptiv
  • Company Overview
  • Product Portfolio
  • Key Highlights
  • Financial Performance
  • Business Strategies
• Hitachi
  • Company Overview
  • Product Portfolio
  • Key Highlights
  • Financial Performance
  • Business Strategies
• Cummins
  • Company Overview
  • Product Portfolio
  • Key Highlights
  • Financial Performance
  • Business Strategies
• Borgwarner
  • Company Overview
  • Product Portfolio
  • Key Highlights
  • Financial Performance
  • Business Strategies

The Last Word

• Future Impact
• About Us
• Contact