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Automotive Parts Remanufacturing Market By Type (Remanufacturing with Identity Loss, Remanufacturing without Identity Loss, Remanufacturing by Recoating Worn Parts), By Component (Mechanical, Electrical, Others) - Growth, Future Prospects And Competitive Analysis, 2017 - 2025

Automotive parts remanufacturing can be defined as the process of rebuilding automobile components to the specifications of the original manufactured product using a combination of reused, repaired, and new parts. The concept of automotive parts remanufacturing started in the 1940s in North America and Europe. During the period of World War II, automotive parts remanufacturing gained serious attention as a process to address issues related to the scarcity of raw materials and resource limitations. The remanufacturing process has proven to be an effective and economical way for both manufacturers and customers to overcome the aforementioned issues.

Besides its economic merits, automotive parts remanufacturing offers a variety of environmental benefits, such as energy conservation, raw material conservation, and landfill reduction. Industrial and environmental organizations across the world have framed and laid down guidelines for automotive parts remanufacturing in order to aid rebuilders and remanufacturers, thereby reducing adverse effects on the environment. Organizations such as the United States Environmental Protection Agency (EPA) implemented the Comprehensive Procurement Guidelines (CPG) program to promote waste reduction and resource conservation through the use of materials recovered from solid waste to be used in remanufacturing. In addition, the Automotive Parts Remanufacturers Association (APRA) provided detailed guidelines for both remanufactures and customers. The aforementioned policies and legal frameworks have certainly uplifted the adoption of automotive parts remanufacturing. Consequently, the market for automotive parts remanufacturing is expected to grow significantly throughout the forecast period from 2017 to 2025.

The report titled "Automobile Parts Remanufacturing Market: Growth, Future Prospects, and Competitive Landscape, 2017-2025" offers strategic insights into the global automotive parts remanufacturing market with a focus on the market's size and estimates for the duration of 2015 to 2025. The research study in question includes an in-depth examination of market segments based on type and components and a cross-sectional study across various geographies. The study covers the comparative analysis of each sub-segment for the years 2016–2025. The report also provides a prolific view of market dynamics, such as market drivers, restraints, and opportunities.

The report also includes competitive profiling of the leading automotive parts remanufacturing companies, their strategies, market positioning, and key developments to assist strategic decision-makers. Some of the major players profiled in the report include Caterpillar Inc., Robert Bosch GmbH, ZF Friedrichshafen AG, BORG Automotive A/S, Detroit Diesel Corporation, Motorcar Parts of America, Inc., Marshall Engines, Standard Motor Products, Inc., Cardone Industries, Inc., Genuine Parts Company, Maval Manufacturing, Inc., ATC Drivetrain, Inc., Team BVBA, Ander Niermann, and Jasper Engines and Transmissions.

Other in-depth analysis provided in the report includes:

  • Current and future market trends to justify the forthcoming attractive markets within automobile parts remanufacturing.
  • Market fuelers, market impediments, and their impact on market growth
  • Market inclination insights and key trend analysis for the automobile parts remanufacturing market
  • in-depth competitive environment analysis
  • Trailing 2-year market size data (2015–2016)

Overall, the research study provides a holistic view of the global automotive parts remanufacturing market, offering market size and estimates for the period from 2017 to 2025, keeping in mind the above-mentioned factors.

The global automotive parts remanufacturing market is segmented, based on type, into the following categories:

  • Remanufacturing with Identity Loss
  • Remanufacturing without Loss of Identity
  • Remanufacturing by Recoating Worn Parts

As of 2016, remanufacturing with identity loss was the dominant segment in terms of revenue in the overall automotive parts remanufacturing market by type. Small parts and components recovered from scrap are thoroughly cleaned, restored, and stocked to be used as replacement parts in remanufacturing. Disassembled parts are inventoried, just like purchased parts, and made available for the final assembly. This method significantly reduces the overall cost of the remanufactured product. The technique is generally used for small parts such as fasteners, springs, gears, and a variety of other components. With a vast array of applications, the demand for remanufacturing with identity loss is expected to thrive consistently in the following years.

Remanufacturing without identity loss trailed remanufacturing with identity loss in terms of revenue as of 2016. The type is generally used for the assembly of components. Parts such as engine assemblies, transmission systems, electrical systems, steering control systems, and brake control systems, among others, are a few examples of parts remanufactured under this category. The remanufactured assemblies are easily available for a variety of vehicle classes and are economical compared to their new counterparts without compromising on quality. As a result, demand for remanufactured parts with no identity loss is expected to rise throughout the forecast period of 2017 to 2025.

The global automotive parts remanufacturing market is segmented, based on components, into the following categories:

  • Mechanical
  • Electrical
  • Others

As of 2016, the remanufacturing of the mechanical components of an automobile dominated the overall automotive parts remanufacturing market worldwide by component segment. Mechanical components such as engines and power plant assemblies, power transmission assemblies, and a variety of control systems are remanufactured on a large scale. Mechanical components are carefully inspected, checked against original equipment, measured specifications for correct dimensional tolerances, and precisely machined. With the rising prices of new components and assemblies, customers prefer remanufactured components without compromising on quality. Therefore, due to the aforementioned factors, the market for mechanical component remanufacturing is expected to demonstrate significant growth in the following years.

Remanufacturing of electrical components trailed the mechanical component remanufacturing market in terms of revenue as of 2016. Remanufacturing of electrical components includes a variety of motors used in automobiles as well as other electrical components such as alternators and starters, among others. Most of the motors are remanufactured either by changing the windings or making minor upgrades to their construction, making the electrical component work as its new variant. Thus, the demand for remanufactured electrical components is uplifted considerably by its merits, such as low cost and reduction in the use of raw materials, and is further expected to grow throughout the forecast period.

The global automotive parts remanufacturing market has been segmented on the basis of geographical regions, as per the following regions and countries:

North America

  • U.S.
  • rest of North America

Europe

  • U.K.
  • Germany
  • France
  • Rest of Europe

Asia Pacific

  • Japan
  • China
  • India
  • Rest of Asia Pacific

Rest of the World (RoW)

  • The Middle East and Africa
  • Latin America

As of 2016, Asia Pacific dominated the overall automotive parts remanufacturing market in terms of revenue as well as volume. One of the major driving factors for the automotive parts remanufacturing market in this region has been low cost. Consistently growing automobile sectors, including new and used automobiles, as well as the expansion of the automotive aftermarket, have aided the growth of the remanufactured parts market significantly. Asia Pacific is expected to dominate the overall automotive parts remanufacturing market throughout the forecast period from 2017 to 2025.

North America trailed Asia Pacific in the overall automotive parts remanufacturing market in terms of revenue and volume. Besides economic factors, environmental factors are one of the primary factors promoting the adoption of remanufactured automobile parts. The Comprehensive Procurement Guideline (CPG) issued by the United States Environmental Protection Agency (EPA) for the reduction and recycling of solid waste has boosted the demand for automotive parts remanufacturing in this region. With the perpetual growth in the automotive sector and the rise in the use of remanufactured parts, it is expected that the market will witness positive growth in the following years.

Frequently Asked Question:

The market for Automotive Parts Remanufacturing Market is expected to reach USD$ 33.16 Bn in 2025.

The Automotive Parts Remanufacturing Market is expected to see significant CAGR growth over the coming years, at 6.6%.

The report is forecasted from 2017 -2025.

The base year of this report is 2016.

Caterpillar Inc., Robert Bosch GmbH, ZF Friedrichshafen AG, BORG Automotive A/S, Detroit Diesel Corporation, Motorcar Parts of America, Inc. are some of the major players in the global market.

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Godaddy
Published Date:  Sep 2017
Category:  Automotive & Transportation
Report ID:   58684
Report Format:   PDF
Pages:   120
Rating:    4.7 (60)
Delivery Time: 24 Hours to 48 Hours   
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