Global Automotive Fuel Tank Market Expected to Reach USD 28.5 Billion by 2033 - IMARC Group

Global Automotive Fuel Tank Market Statistics, Outlook and Regional Analysis 2025-2033

The global automotive fuel tank market size was valued at USD 20.6 Billion in 2024, and it is expected to reach USD 28.5 Billion by 2033, exhibiting a growth rate (CAGR) of 3.31% from 2025 to 2033.

Vehicle production has been on the rise, particularly in emerging markets. For instance, according to an article published by ACEA, in 2022, nearly 85.4 million motor vehicles were produced worldwide, up 5.7% from 2021. Similarly, as per the India Brand Equity Foundation, in June 2024, the total production of passenger vehicles, three-wheelers, two-wheelers, and quadricycles in India was 23,36,000. In fiscal year 24, the total production was approximately 2,84,34,000 units. This surge is fueled by factors, such as urbanization, rising disposable incomes, and improved infrastructure, leading to higher demand for fuel tanks. 

Additionally, governing agencies of numerous countries are imposing stringent rules and regulations on vehicle emissions to mitigate environmental impact, which is contributing to the growth of the market. For instance, in March 2024, the U.S. Environmental Protection Agency (EPA) announced new motor vehicle emissions rules, establishing the most restrictive federal limits for carbon dioxide, hydrocarbon, nitrogen oxide, and particulate matter emissions from cars to date. The rules compel vehicle makers to achieve progressively lower emissions for new vehicles in model years 2027-2032, extending the EPA's 2021 regulation that established emissions standards for model years 2023-2026. The criteria apply to all new light-duty and medium-duty vehicles, including passenger cars, light trucks, heavy pickups, and vans. These stricter emissions are leading to the development of advanced fuel tanks. Moreover, the escalating demand for enhanced fuel efficiency in vehicles is supporting the growth of the market. In response to this demand, automakers are increasingly developing vehicles that consume less fuel and emit less greenhouse gas (GHG) emissions. For instance, in October 2024, Geely Automobile Holdings introduced a new hybrid system. The manufacturer revealed the system, known as the Leishen EM-i, a new generation of exceptionally fuel-efficient super hybrid systems designed for mainstream consumers. Test vehicles fitted with the Leishen EM-i system have a range of up to 2,390 kilometers and an average fuel consumption of only 2.62 liters per 100 kilometers. These factors are further propelling the automotive fuel tank market growth.

Global Automotive Fuel Tank Market Statistics, By Region

The market research report has also provided a comprehensive analysis of all the major regional markets, which include Asia Pacific, North America, Europe, the Middle East and Africa, and Latin America. According to the report, Asia Pacific accounted for the largest market share due to the rising production of vehicles. For instance, according to the IBEF, in January 2024, the overall production of passenger vehicles, three-wheelers, two-wheelers, and quadricycles was nearly 23,28,329 units in India.

North America Automotive Fuel Tank Market Trends:

The increasing production and sales of automotive vehicles in North America directly boost the demand for automotive fuel tanks. For instance, according to Statista, in 2023, the auto industry in the United States produced approximately 10.6 million motor vehicles.

Europe Automotive Fuel Tank Market Trends:

European governments are enforcing stricter emissions standards to combat air pollution and climate change. For instance, in May 2024, the European Union approved a law to set tighter CO₂ emissions standards for heavy-duty cars. This regulatory pressure drives investment in research and development for low-emission fuel tank solutions, further driving the market's growth.

Asia Pacific Automotive Fuel Tank Market Trends:

The rising number of export activities is augmenting the market in Asia Pacific, accounting it to be the largest market for automotive fuel. In FY23, total automobile exports from India stood at 47,61,487. In accordance with this, increasing preferences for innovative fuel tank technologies that lower gasoline vapor emissions are helping the market's growth. Additionally, the growing desire for cleaner and more efficient automobiles is providing a favorable outlook.

Latin America Automotive Fuel Tank Market Trends:

The rising disposable incomes and urbanization in countries like Brazil and Argentina have led to higher demand for vehicles, boosting the need for automotive fuel tanks. For example, in 2023, the Latin American automotive industry, which includes significant markets like Brazil, Mexico, Colombia, Ecuador, Chile, Uruguay, Peru, and Argentina, registered an 8.2% YoY increase in unit sales, which is further escalating the demand for automotive fuel tanks.

Middle East and Africa Automotive Fuel Tank Market Trends:

The increasing sales of vehicles in the MEA region are boosting the demand for automotive fuel tanks. For instance, according to Statista, from 2021 to 2026, passenger car sales in the UAE were expected to double to more than half a million units.

Top Companies Leading in the Automotive Fuel Tank Industry

Some of the leading automotive fuel tank market companies include Plastic Omnium, Kautex Textron, Yapp Automotive, TI Automotive, Yachiyo Industries Co. Limited, Magna International, Martinrea International Inc., Unipres Corporation, Continental, Lyondell Basell, Allgaier Automotive, Boyd Welding, Dali and Samir Engineering, Posco co. Ltd, and Baosteel Group Corporation, among many others. For instance, in March 2024, Plastic Omnium, a global leader in automotive components and systems, opened its fifth production unit at the new Technical Centre in Pune. The new manufacturing facility, which covers 10 acres and spans 20,000 square meters in Phase I, is outfitted with cutting-edge production technology to accommodate the growing need for innovative automotive solutions. Also, in September 2024, TI Automotive Aftermarket introduced the new BKS1002 fuel pump kit. This new model is specifically designed for high-pressure, in-tank applications and is the highest flowing fuel pump in the TI Automotive inventory.

Global Automotive Fuel Tank Market Segmentation Coverage

• On the basis of the material type, the market has been bifurcated into plastic, aluminum, and steel, wherein plastic represents the most preferred segment. The rising employment of plastic fuel tanks, as they are lightweight and improve overall vehicle fuel efficiency, is propelling the market growth.
• Based on the capacity, the market is categorized into less than 45 liter, 45 - 70 liter, and above 70 liter, amongst which less than 45 liter accounted for the largest market share. Less than 45-liter fuel tanks are usually found in compact and subcompact passenger cars. These smaller tanks are designed for vehicles with lower fuel consumption and are ideal for urban commuting and short trips.
• On the basis of the vehicle type, the market has been divided into passenger vehicles, LCVs, and HCVs. Among these, passenger vehicles represented the largest segment. Fuel tanks on passenger vehicles, such as sedans, hatchbacks, SUVs, and coupes, are designed to accommodate their size and usage habits. In line with this, fuel efficiency and lightweighting are critical factors for passenger car fuel tanks in order to meet escalating demand for more mileage and reduced emissions.
• Based on the distribution channel, the market is bifurcated into OEM and aftermarket, wherein OEM represents the largest segment. OEM suppliers are collaborating with automakers to develop customized fuel tank solutions that meet safety, performance, and design criteria, further driving the segment’s growth.