Automotive Foam Market Size, Share & Trends Analysis Report By Type, (Polyurethane (PU) Foam, Polyolefin (PO) Foam, Others), By Application, By End-use (Passenger Cars, LCV, HCV), By Region, And Segment Forecasts, 2022 - 2030

Report Overview

The global automotive foam market size was estimated at 28.90 billion in 2021 and is anticipated to expand by a CAGR of 8.1% from 2022 to 2030. The market is anticipated to be driven by the growth of the global automotive industry. The automotive industry has been witnessing a positive outlook globally due to the introduction of economically priced vehicles, the thriving e-commerce sector, and increasing penetration of mobility & logistics services providing companies such as Uber, Lyft, ANI Technologies Private Limited (Ola), TOTAL QUALITY LOGISTICS, LLC, C.H. Robinson Worldwide, Inc., Glovo, DiDi Global, and Bolt Technology OÜ.

According to the Organization Internationale des Constructeurs d'Automobiles (OICA), U.S. registered 9,167,214 units of vehicles sold in 2021 which was 4.0% as compared to 2020. The major automotive manufacturers such as General Motors, TOYOTA MOTOR CORPORATION, KIA America, Inc, and Nissan have witnessed positive sales growth despite supply chain issues.

The growing demand for electric vehicles and the plans set by the U.S. government to go completely electric by 2030 has greatly contributed to the growth of the automobile sector in the country. This can fuel demand for automotive foams thus presenting a positive market growth scenario during the forecast period.

In addition, consumer concern regarding comfort has driven automotive manufacturers to develop seats that provide the required comfort. The comfort parameter significantly influences the purchasing decision of the consumer. Lack of comfort in seats can result in short-term and long-term back pain issues. Automotive foams provide support to the tailbone and help release stress occurring due to prolonged sitting during long travels.

Since, automotive foams help reduce noise, vibration, and harshness (NVH) and insulation, the above-mentioned factors can significantly drive consumption of automotive foams.

Toluene Diisocyanate (TDI), polyols, ethane, and propane are the key raw materials used for the manufacturing of automotive foam. Fluctuations in the prices of these raw materials are expected to impact demand for the product during the forecast period. Integration across the value chain is expected to be a crucial factor for the market, as most of the manufacturers are trying to manage costs, backward as well as forward integration has become essential. The demand for these raw materials from other application industries is expected to impact their availability for manufacturing automotive foam. Other companies are also focusing on increasing their production capacities to meet the rising product demand.

Type Insights

Polyurethane (PU) foam dominated the global automotive foams market in terms of revenue and accounted for more than 71.0% of the market share in 2021. Increasing penetration of the foam-based components for automotive parts and interiors of vehicles is expected to impact demand for PU foam. Its excellent mechanical strength properties, weight reduction abilities, wear, and weathering resistance have made it one of the most important materials in automobile production. PU foam is used in various automobile components including seats, armrests & headrests, door panels, bumpers, and various other parts. PU foams reduce the overall weight of the vehicle and provide greater fuel efficiency.

Polyolefin foam held a significant share of the market and is expected to witness steady growth during the forecast period. Polyolefin foams consist of polyethylene (PE) foam, polypropylene (PP) foam, ethylene vinyl acetate (EVA) foam, and ethylene propylene diene monomer (EPDM) foam. Regulatory authorities have laid down obligatory norms pertaining to increasing the fuel efficiency of vehicles, thus, compelling companies to invest in research & development to make innovative changes in vehicle design and achieve higher engine efficiency.

On account of these norms, emerging Asian economies including India, Singapore, and Thailand are rapidly becoming manufacturing hubs for electric vehicles intended for European companies. The rapid growth in the manufacturing of electric vehicles in the Asia Pacific is expected to accelerate the use of polyolefin foam during the forecast period.

Application Insights

Seating dominated the application segment in terms of revenue and accounted for a 42.0% share of the market in 2021. The increasing automobile production across the globe owing to the rising disposable income and spending capacity is expected to impact overall market growth. The moving vehicles transmit vibrations near the human spine. Seats possess low natural frequencies and magnify the vibration effect at some frequencies which are transmitted over a long period and can result in spine injury. Using foam in car seats provides support to the tailbone and back. As a result, the vehicle driver can sit for extended hours in conditions requiring longer travel time.

Automotive foam in the door panels held a significant share of the market and is expected to witness steady growth during the forecast period. Increasing demand for vehicles in emerging economies owing to growing disposable incomes, rapid urbanization, and changing lifestyles has directly impacted demand for noise control products in automobiles. In addition, the growing market for replacement auto parts and increasing post-purchase customizations being done by the customers is anticipated to augment demand for the automotive foams in the door panels during the forecast period.

Function of the bumpers is to absorb most of the impact during low-speed collisions, protecting the passengers and vehicle from serious damage. Hence, bumpers are the critical safety component of vehicles. Polypropylene is widely found in automobile bumpers. It is rugged and highly resistant to many chemical solvents, acids, and bases. Most automotive OEMs use polypropylene in their automobile bumpers. For instance, Toyota and Lexus bumpers are made from Toyota Super Olefin Polymer (TSOP), a proprietary polypropylene-based material.

End-use Insights

In 2021, the passenger cars sub-segment under the end-use segment held the largest market share. Increasing demand for low-emission vehicles has forced manufacturers to innovate and develop new technologies that help to reduce the environmental impact. These trends are expected to drive automotive production and impact the market during the forecast period. With the growing working population in countries such as India and China, the demand for all types of passenger cars is expected to rise. In addition, in countries such as the U.S., there is an increase in the sale of vintage vehicles. This rise in demand is expected to propel the growth of automotive foam during the forecast period.

Light commercial vehicles (LCV’s) are expected to witness significant growth throughout the forecast period. LCV’s are produced as compact trucks and are built ruggedly, have lower operating costs and powerful fuel efficient engines, and are utilized for intra-city mobility. Increasing production of LCV across the globe is expected to act as a key driver for the automotive foam market revenues in this end-use segment.

Increasing demand for LCV’s, such as delivery vans, pickup trucks, and minibuses in emerging economies across North America, Europe, and Asia Pacific, owing to the expanding logistic networks of various types of product manufacturers, is likely to impact production, which in turn is expected to drive demand for the product during the forecast period.

Regional Insights

Asia Pacific was the leading region in the global automotive foams market in terms of revenue and accounted for more than 38% market share in 2021. The automobile industry in the region is expected to be fueled by the rise in spending capacity, increasing consumer preferences for their own personal mobility, and economical models introduced by automotive manufacturers.

China is considered the largest vehicle market in terms of manufacturing output and annual sales. According to the data provided by International Trade Administration, domestic production is expected to reach 35 million vehicles by 2025. COVID-19 spread in China again in March 2022 has resulted in a declined estimate in the 2022 vehicle sales target according to the China Association of Automobile Manufacturers.

However, it still is expected to be 3% high than the sales recorded in 2021. Moreover, the Chinese government’s initiatives to stimulate its economy such as reduced vehicle tax increased the sales of gas-powered vehicles which indicate a positive market outlook for the automotive foams. In addition, the ongoing talks between the Chinese government and the electric vehicle manufacturers to extend the electric vehicle subsidies are expected to result in increased sales of electric vehicles and positively impact sales of automotive foams in the country.

Europe held a significant share of the market in 2021. This share can be attributed to the growing automotive industry in Germany and UK. The UK has witnessed a steady growth in the number of vehicles being used in the country. The number has increased over the years owing to steady economic growth in the country. The presence of major automobile manufacturers in the region, who are continuously increasing their production capacity, is expected to impact demand for the product in Europe during the forecast period.

The mining industry in Europe and Africa is witnessing unprecedented changes. The spike in prices of metals such as nickel, palladium, copper, and others is due to the sanctions imposed on Russia on account the of Ukraine invasion. These metals are used in electric vehicle batteries and motors and can witness a growth in demand during the forecast period leading to increased mining activities. The enhancement in mining activities can result in augmented demand for mining trucks categorized under heavy commercial vehicles that are used for mining operations, thus positively impacting the automotive foams market.

Key Companies & Market Share Insights

The automotive foams market is characterized by the presence of various well-established players. Intense competition is witnessed among the market players due to the large consumer base. Also, the players have strong and vast distribution networks, enabling them to have a significant global presence.

The key players in the market cater to the demand from the automotive industry by introducing enhanced products that help them to increase their market penetration. For instance, in May 2022, King long United Automotive (SuZhou) Co., Ltd., a leading bus manufacturer in China in collaboration with BASF SE developed water-blown polyurethane insulation spray foam named Elastoflex CE 3651/108. This foam will be used for the insulation of parts and the interior of the commercial buses.Some of the prominent players  in global automotive foam market include:

• Armacell

• BASF SE

• Woodbridge

• Dow

• DuPont

• Recticel NV

• Borealis AG

• Johnson Controls

• Bridgestone Corporation

• Saint Gobain

• Paul Bauder GmbH & Co. KG

• CT Formpolster GmbH

• Vita (Holdings) Limited

• GF. Manufacturing Co., Ltd

• Huntsman International LLC

• Sekisui Voltek, LLC

• Sondor

• Asahi Kasei Corporation

• Sheela Foam Ltd

Automotive Foam Market Report Scope

Global Automotive Foam Market Segmentation

The report forecasts revenue growth at the global,  regional & country levels. The report provides an analysis of the latest industry trends in each of the sub-segments for the period 2019 to 2030. For this study, Grand View Research has segmented the global Automotive Foam Market report based on the type, application, end-use, and region:

• Type Outlook (Volume, Kilotons; Revenue, USD Million, 2019 - 2030)

  • Polyurethane (PU) Foam

  • Polyolefin (PO) Foam

  • Others

• Application Outlook (Volume, Kilotons; Revenue, USD Million, 2019 - 2030)

  • Interior

    • Seating

    • Instrument Panels

    • Headliners

    • Door Panels &Water shields

    • Seals, Gaskets & NVH

    • Others

  • Exterior

    • Bumper System

    • Others

• End-Use Outlook (Volume, Kilotons; Revenue, USD Million, 2019 - 2030)

  • Passenger Cars

  • Light Commercial Vehicles (LCV)

  • Heavy Commercial Vehicles (HCV)

• Regional Outlook (Volume, Kilotons; Revenue, USD Million, 2019 - 2030)

  • North America

    • U.S.

    • Canada

    • Mexico

  • Europe

    • Germany

    • U.K.

    • Italy

    • France

    • Spain

  • Asia Pacific

    • China

    • India

    • Japan’

    • Southeast Asia

  • Central & South America

    • Brazil

    • Argentina

  • Middle East & Africa

    • GCC Countries

    • South Africa