Understanding the Role of Automotive Shielding in Electric Vehicles and the Future Growth Opportunities to the Industry

Automotive shielding entails the use of different protective materials and techniques to protect the vehicle and the electronic systems within the vehicle from electromagnetic and radio frequency interference. While in most cases, metal foils are used for shielding purposes, in certain cases metal plating of the entire vehicle is also done. In some cases, formation of Faraday cage is also done so as to protect the vehicle from electromagnetic interference.

Importance of automotive shielding for electric vehicles

The past few years have seen a gradual shift from gasoline automobiles to electric vehicles. This shift has brought about many changes in the automobile manufacturing industry and peripheral markets. Automobile shielding has become even more important now as the number of electric systems and components is far more in electric vehicles as compared to traditional vehicles. Power converters, electric motors, batteries and charging points, collision avoidance radars, navigation systems, etc., are a few of the important electronic systems used in electric vehicles. All these systems are extremely vulnerable to electromagnetic interference. Electromagnetic interference can result in cross talking or complete breakdown of these systems which can reduce the efficiency and reliability of the vehicles. In extreme cases, failure of these systems at critical junctures can also result in vehicles accidents. Automotive shielding, thus, becomes extremely vital for smooth functioning of an electric vehicle.

Future growth opportunities for the market

The automotive shielding market has experienced major upheaval in recent times due to various factors. Firstly, the growing shift towards electric and hybrid vehicles has provided a major push to this market. Along with this, rapid advancements in vehicle technologies and development of complex systems such as advanced driver assistance systems (ADAS) have necessitated the use of innovative shielding technologies. Such factors are expected to help the market to register a CAGR of 4.7% during the 2023-2032 period.

Furthermore, the industry is segmented on the lines of material, vehicle type, shielding type, and application. On the basis of material, the copper sub-segment is predicted to be the fastest growing with a CAGR of 5.2%, while by vehicle type, the passenger vehicles sub-segment will have the highest CAGR of 4.9%. Based on shielding type, the electromagnetic induction shielding sub-segment will be the most profitable with a CAGR of 4.8% during the 2023-2032 period. On the basis of application, however, the advanced driver assistance systems sub-segment will experience the most dominant growth with a CAGR of 5.2%. Regional analysis has shown that the market in India will surge ahead at a CAGR of 6.0% during the same period.

Mergers and acquisitions by major companies of the industry have also played an important role in expanding the scope of the market. For instance, in June 2022, TE Connectivity announced the acquisition of Kemtron, a shielding solutions provider. As per a statement released by TE Connectivity, the acquisition will enhance the company’s engineering capabilities in the coming period. Thus, such acquisitions help the acquiring company to expand its operations, which ultimately creates new growth opportunities in the market.

The automotive shielding market, to conclude, is predicted to increase its footprint in the near future owing to growing shift towards electric and hybrid vehicles. The significant growth of the market in India will further augment the growth rate of the market in the next few years

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