Automotive turbochargers major, Honeywell Turbo Technologies, has released its Global Turbo Forecast that estimates the industry will generate USD 12 billion in revenue by equipping 49 million vehicles with turbochargers annually by 2019. The continued growth of turbocharging technologies will be driven by requirements for manufacturers to meet global environmental emissions regulations and bolstered by strong demand in emerging markets.
Downsized turbocharged engines are a “no compromise solution” for automakers seeking to satisfy more stringent global fuel economy and emission regulations and customer demand for better-performing vehicles. Turbochargers can help downsized engines improve fuel economy as much as 20 to 40 percent in gas and diesel engines, respectively, when compared with larger naturally aspirated engines and still provide the same or better engine performance. In addition to improving fuel efficiency, downsized turbocharged engines also reduce harmful exhaust emissions.
Terrence Hahn, President and CEO of Honeywell Transportation Systems said, “Continued pressure to improve the driver experience and meet future industry requirements is spurring the positive trend seen in this year’s forecast, which include double-digit growth in both North America and China. We expect the industry to produce more than 200 million new turbo-equipped vehicles during the next five years, driving continued demand for well-designed, boosted engines that reduce fuel consumption and improve vehicle performance.”
Milind Godbole, Managing Director, Honeywell Turbo Technologies, India added, “With our localized engineering and manufacturing capability, we are optimistic about the India market. We project turbo penetration to increase from 46 percent in 2014 to 48 percent in 2019 reflecting nearly 3 million sales of turbocharged vehicles, with petrol applications increasing in the mix.”
GLOBAL TURBO PROJECTIONS
• China leading global turbo growth: The world’s fastest-growing automotive market is expected to increase turbo penetration from 23 percent in 2014 to 41 percent in 2019, thereby doubling the number of turbocharged vehicles sold each year to more than 13 million.
• U.S. adding turbos at double-digit rate: As the second-fastest-growing global market, North America’s turbo market will grow by 14 percent per year in the next five years to more than 8 million total turbocharged vehicles by 2019, equating to 38 percent of the market.
• Europe adding gas turbos to world’s largest turbo diesel fleet: Turbo penetration in Europe is already the highest globally and will grow 2 percent by 2019 from 67 percent to 69 percent with an expected 16 million total turbocharged vehicles sold each year.
• Japan adding turbos despite expected decline in overall sales: Honeywell projects turbo penetration will increase by 5 percent from 18 percent in 2014 to 23 percent, reflecting annual sales of 1.3 million turbocharged vehicles by 2019.
• Korea turbo penetration outpacing production: Honeywell projects turbo penetration to increase by 3 percent from 42 percent in 2014 to 45 percent, reflecting annual sales approaching 1 million turbocharged vehicles in 2019.
• South America adding turbo technologies to mix: Honeywell projects turbo penetration to increase by 7 percent from 17 percent in 2014 to 24 percent, reflecting annual sales approaching 2 million turbocharged vehicles in 2019.
The Honeywell Global Turbo Forecast is a proprietary analysis and estimate of automotive industry trends and is based on comprehensive data received from global vehicle- makers, third-party analysts and industry experts.
Global regulatory standards have automotive manufacturers leveraging the performance and efficiency of turbocharged engines to provide an improved driver experience and achieve industry environmental requirements. Europe, China and the United States are all facing more stringent regulations in the years ahead, beginning with Europe’s Euro 6 standard affecting new vehicle production starting January 2015.
High-growth regions, including China, Brazil, Russia and India, are contributing to the adoption of turbo as the emerging middle class in these regions takes advantage of the technology’s greater reliability, performance and fuel efficiency. Regulations and emerging regions will fuel turbo growth worldwide.
Honeywell continues to play a key role in the global adoption of turbo technology and each year launches an average of 100 new turbo applications. Honeywell has more than 500 programs in its product development pipeline and works with nearly every major global manufacturer. Its advanced turbo technologies cover the broadest range of engine applications, from micro-cars and light automobiles to construction vehicles and the racing circuit.