The global automotive heat exchanger market is projected to grow from USD 27.07 billion in 2025 to USD 29.94 billion by 2032, at a CAGR of 1.5%, according to a new report by MarketsandMarkets. This growth is driven by rising demand for efficient thermal management systems across vehicle types, particularly as emission regulations tighten and electrification accelerates.
Passenger cars are adopting compact brazed aluminum radiators and charge air coolers (CAC) to support engine downsizing and turbocharging. In contrast, electric and hybrid buses use multi-layer battery cooling plates and roof-mounted HVAC condenser units to meet zero-emission mandates. Trucks typically rely on bar and plate intercoolers and heavy-duty oil coolers, designed to withstand high engine loads and challenging operational conditions in logistics and construction.
The hybrid electric vehicle (HEV) segment is expected to hold the second-largest market share during the forecast period. HEVs use a range of heat exchangers—including engine radiators, inverter coolers, and HVAC components—to manage the combined thermal load of internal combustion engines and electric drive systems. Demand for these systems is supported by regulatory pressure for lower CO2 emissions and the rising popularity of HEVs as a cost-effective alternative to full electric vehicles. Companies such as MAHLE GmbH, Denso Corporation, Valeo, ESTRA, and HANON SYSTEMS are key suppliers. Denso International America supplied radiators to Honda for its 2025 CR-V Hybrid, while ESTRA provided condensers for 2024 hybrid models from Mitsubishi and Suzuki.
Tube and fin heat exchangers are projected to hold the largest share of the market, owing to their balance of cost, performance, and manufacturing ease. These systems are widely used in ICE vehicles, particularly in emerging markets, and are compatible with existing vehicle architectures. Technological advancements have improved performance, including finned aluminum tubes with etched internal structures that enhance boiling heat transfer in refrigerants such as R-515B and R-134a. Manufacturers such as Denso, Valeo, Hanon Systems, and AKG Group offer a range of tube and fin-type heat exchangers.
North America is expected to hold the second-largest regional market share, led by the United States. Increased production of light trucks is boosting demand for large-capacity thermal management systems. Heat exchanger manufacturers in the region, including Dana Limited, Modine, and BorgWarner Inc., are focusing on solutions for electrified vehicles. MAHLE Behr Namestovo s.r.o. supplied battery cooling chillers to Mercedes-Benz for the 2024 EQE SUV in the US. Regulatory frameworks such as the EPA’s GHG standards and California’s Advanced Clean Cars II program are further accelerating demand for efficient thermal control systems.
Prominent companies in the market include MAHLE GmbH (Germany), Denso Corporation (Japan), Valeo (France), Hanon Systems (South Korea), and T.RAD Co., Ltd. (Japan).