Automotive Catalytic Converter Market By Type (Two-way catalytic converter, Three-way catalytic converter, Diesel oxidation catalyst [DOC]); By Material (Platinum, Palladium, Rhodium, Others [e.g., ceramic, metal substrates]); By Vehicle Type (Passenger Cars, Light Commercial Vehicles [LCVs], Heavy Commercial Vehicles [HCVs]); By Fuel Type (Gasoline, Diesel, Hybrid); By Geography, Segment revenue estimation, Forecast, 2024-2032.

The automotive catalytic converter market was worth USD 14.2 billion in 2023 and will be worth USD 21.8 billion by 2030, growing at a CAGR of 6.2% during the forecast period.

 

The market for the Automotive Catalytic Converter has been growing due to continuously rising emission norms globally with special emphasis on the developed countries in North America, Europe among others. In 2023, the emissions standards worldwide became stricter as people realized the need to reduce nitrous oxide (NOx) and carbon monoxide (CO) emissions. For instance, environmental standards such as the Euro 6 embraced in the European Union to improve emission control in automobiles have forced manufacturers to include improved catalytic converters in automobiles. The recent development includes using catalytic converters with other superior materials such as palladium and rhodium, and their price has doubled or even tripled over the last three years because of the increasing demand. This innovation is essential in meeting stricter emissions regulations while maintaining vehicle performance, particularly in hybrid and internal combustion engine vehicles.

 

One of the biggest opportunities within the automotive catalytic converter market is the more widespread usage of high-yield automobiles and the demand for environmental protection, particularly in developing countries. By 2023, the global hybrid vehicle market saw a growth rate of over 15%, driving demand for advanced catalytic converters to meet stricter emissions standards while maintaining fuel efficiency. One example is the arrival of new catalytic converters customized for hybrid powertrains that demand better thermal regulation and relatively less emissions control. One of the recent developments includes the formulation of nano-catalysts for catalytic converters, which will enable higher efficiency at lower concentrations of the precious metal, the core of the new opportunity even in developed and developing countries.

 

 

Market Segmentation

By Type:

• Two-way catalytic converter

• Three-way catalytic converter

• Diesel oxidation catalyst (DOC)

 

By Material:

• Platinum

• Palladium

• Rhodium

• Others (e.g., ceramic, metal substrates)

 

By Vehicle Type:

• Passenger Cars

• Light Commercial Vehicles (LCVs)

• Heavy Commercial Vehicles (HCVs)

 

By Fuel Type:

• Gasoline

• Diesel

• Hybrid

 

By Region

North America

• US

• Mexico

• Canada

• Rest of North America

 

Europe

• Switzerland

• Russia

• France

• Germany

• U.K

• Finland

• Turkey

• Netherlands

• Belgium

• Spain

• Italy

• Rest of Europe

 

Asia Pacific

• India

• China

• South Korea

• Japan

• Singapore

• Thailand

• Indonesia

• Malaysia

• Philippines

• Australia

• Rest of Asia-Pacific

 

LAMEA

• Brazil

• Argentina

• Uruguay

• Saudi Arabia

• Rest of LAMEA

 

Segment Analysis for the Automotive Catalytic Converter Market

By Type:

Leading Segment: Three-Way Catalytic Converter

Three-way catalytic converters dominate the market with a share exceeding 40%, driven by their ability to control three major pollutants (nitrogen oxides, carbon monoxide, and hydrocarbons). These converters are widely used in gasoline-powered vehicles, especially in regions with stringent emission regulations like the U.S. & Europe. For instance, most passenger cars in Europe & North America are equipped with three-way catalytic converters to meet Euro 6 & Tier 3 standards.

Fastest-Growing Segment: Diesel Oxidation Catalyst (DOC)

The DOC segment is growing at a CAGR of 10%, fueled by increasing diesel vehicle production in regions like APAC. These systems are essential for reducing particulate matter & hydrocarbon emissions in diesel engines. India's Bharat Stage VI norms have led to the widespread adoption of DOCs in commercial vehicles.

 

By Material:

Leading Segment: Platinum

Platinum accounts for over 35% of the material segment due to its high efficiency in catalyzing oxidation reactions, particularly in diesel oxidation catalysts and three-way converters. Automakers like BMW and Toyota use platinum-based converters in their high-performance vehicles, ensuring compliance with emission standards.

Fastest-Growing Segment: Palladium

Palladium is witnessing a CAGR of 12% due to its increasing adoption as a cost-effective alternative to platinum in gasoline catalytic converters. Palladium-based converters are especially prominent in Asia Pacific, where gasoline vehicles dominate. For example, China's automotive sector heavily relies on palladium-based converters to meet stringent emission regulations.

 

By Vehicle Type:

Leading Segment: Passenger Cars

Passenger cars represent the largest market share, contributing over 60% of the segment. They form the majority of vehicle sales worldwide. The demand for catalytic converters is especially strong in developed markets like North America & Europe, where strict emission norms mandate advanced converter technologies.

Fastest-Growing Segment: Heavy Commercial Vehicles (HCVs)

HCVs are growing at a CAGR of 11%, driven by the global push for reducing emissions in heavy-duty vehicles. Stringent norms like the Euro VI standards in Europe & Bharat Stage VI in India are compelling manufacturers to incorporate advanced catalytic converters in trucks and buses. For instance, Scania and Volvo have adopted diesel oxidation catalysts & selective catalytic reduction (SCR) systems for their HCVs.

 

By Fuel Type:

Leading Segment: Gasoline

Gasoline-powered vehicles account for over 50% of the market, primarily due to their dominance in passenger car production. The extensive use of three-way catalytic converters in gasoline engines contributes to this segment's leadership. The United States, with its large fleet of gasoline-powered cars, significantly boosts this segment.

Fastest-Growing Segment: Hybrid

The hybrid segment is growing at a CAGR of 13%, driven by the increasing adoption of hybrid vehicles as part of global efforts to reduce carbon emissions. Hybrid vehicles require specialized catalytic converters to handle varying engine loads & emissions. Automakers like Toyota & Honda are investing in advanced hybrid models, incorporating palladium-based catalytic converters to meet dual-fuel requirements.

 

By Region:

Leading Region: Asia Pacific

APAC holds the largest market share, contributing over 40%, due to the region's massive vehicle production, particularly in China, India & Japan. Government mandates like China’s National VI standards and India’s BS VI norms have significantly increased the demand for catalytic converters. For instance, China accounts for a significant portion of global palladium consumption in the automotive sector.

Fastest-Growing Region: Europe

Europe is growing at a CAGR of 11%, driven by strict emission norms under the Euro 6 and Euro 7 standards. The European Union’s focus on reducing vehicle emissions has propelled the adoption of advanced catalytic converters, especially in commercial vehicles. Automakers like Volkswagen & Daimler are heavily investing in emission control technologies, boosting the market.

 

Key Players

• Faurecia SA

• Tenneco Inc.

• Magneti Marelli S.p.A.

• Eberspächer Group

• Continental AG

• BASF SE

• Johnson Matthey

• Bosal International NV

• Katcon Global

• Umicore N.V.