A balance shaft is intended to vibrate and rotate in a quiet way to minimize the engine-generated vibration. Balance shafts are also used to fine-tune the turbine. This shaft is vital to counter the inertia forces and reciprocation created by the engine while operating. Aluminum balance shafts are used by most OEMs for weight reduction and increase additional strength. The automotive engine encounters the second stage of vibration, particularly those with inverted design. Back in 1904, British inventor Frederick W. Lanchester developed and patented the balance shaft. It is widely seen on vehicle inline-four and V6 engines. 4-stroke engines run in different directions on either hand of the crankshaft of the engine tow shaft. The shaft phasing is such that the centrifugal forces generated by the weights balance out the vertical loads of the second batch generated by the engine.
The global Automotive Balance Shaft market size was valued at USD 12.1 billion in 2019 and projected to reach USD 18.3 billion by 2027, growing at a CAGR of 5.31% during the forecast period of 2020-2027 due to the rise in upgradation in technology across the globe. In addition, the increase in the population and disposable income of the consumers is estimated further to boost the global market at a significant rate. Moreover, rapid urbanization is projected to fuel the global market. Furthermore, there is a growing increase in fuel quality, reducing emissions of CO2 and weight that are expected to lead the growth of demand for balancing shafts. OEMs are growing the use of aluminum balance shafts for their strength and weight benefit, which is predicted to boost the market.
However, the rise in the electric vehicle is anticipated to hamper the growth of the global automobile balance shaft market. In addition, the rising value of premium cars with high-performance engines and increasing revenue of sports utility vehicles are impeding the development of the global balance shaft sector.
The rising demand for low fuel efficacy coupled with the small carbon release is projected to fuel the market. Globally, strict emission standards, high fuel costs, and increasing environmental consciousness encourage OEMs, governments, distributors, and other stakeholders to produce viable alternatives within a defined time frame. In addition, every year, around 36 billion tons of carbon dioxide (CO2) emits in the environment, in which Air traveling emits the CO2 by about 89%, which led to rising in the average temperature globally by more than 1 degree Celsius. As a result, the environmental CO2 concentration is more significant than 400 ppm, leading towards the highest level in over 800,000 years. Therefore, demand for high gas mileage & lesser pollution rates below the set standards is on the rise, which is anticipated to boost the automotive balance shaft industry.
The rising demand for EV or electric vehicles is estimated to hinder the growth of the market. The electric car (EV) runs on an electric motor, rather than an internal combustion engine producing electricity by consuming a combination of gasoline and gases. In addition, it does not require warm-up, which allows them much more power than traditional automobiles. Furthermore, there is also no requirement for a gearbox, as the power is immediately delivered. There are approximately 3.1 million electric passenger cars on the road worldwide in which China alone accounts for around 1.48 million electric passenger cars. In 2017, Nitin Gadkari, Minister of Transport of India, made a declaration representing the country’s goal of shifting to 100% electric vehicles by 2030. In February 2019, the Union Cabinet cleared Rs 10,000-crore package underneath the FAME-II scheme, the primary goal of which is to enable the quicker implementation of hybrid and electric vehicles. Therefore, tackling the problem of increasing emissions, depleting natural resources, global warming, etc., such as vehicles, is seen as a potential substitute for current-generation automobiles. Thus, it led to a rise in EV demand and created an obstacle in the growth of the automotive balance shaft market.
The COVID-19 outbreak recently severely impacted the automotive sector of developed and developing economies. COVID-19 has affected the world economy in three major ways: actively impacting output and consumption, causing supply chain and business instability, and having an economic effect on businesses and capital markets. The manufacturing work is slow down due to the pandemic in which people cannot do work on a regular shift compared to the pre-pandemic, which is estimated to have an adverse impact in the automotive balance shaft market. Manufacturers are forced to reconsider their strategies and adopt new forms to hold companies floating around their insecure distributor values. The threats to the supply chain due to COVID-19 will translate into a market shock for the domestic sector that will continue for several quarters.
Based on the manufacturing process, the global automotive balance shaft market is bifurcated into forge and cast. The forge manufacturing process segment is expected to dominate the global market during the forecasted period of 2020-2027 across the globe owing to the availability of a wide range of it, such as rolled rings. Forging is a procedure of manufacturing that involves molding the metal utilizing a regionalized shear force. Forging offers improved material characteristics, elasticity, and resistance to fatigue and effect.
However, the cast manufacturing process is estimated to have a significant growth rate due to the low cost of production as compared to the forge manufacturing process cost. Casting is also recognized as foundry, the ancient manufacturing process where liquid raw materials are converted into a refractory material punctured casting membrane.
Based on the engine type, the global automotive balance shaft market is classified into Inline-3 Cylinder Engine, Inline-4 Cylinder Engine, Inline-5 Cylinder Engine, and V6 Engine. The Incline-4-cylinder engine type segment is predicted to hold the largest share due to its lightweight. It is compact and small, and it fits conveniently into almost all engine bay. In addition, engine designs, including 4-cylinder turbocharged engines, offer excellent power and also miles per gallon.
However, the V6 engine is projected to have the fastest growth rate as it offers more torque, power, and refinement.
Based on the vehicle type, the global automotive balance shaft market is segmented into Passenger Cars, Light Commercial Vehicles, and High Commercial Vehicles. The passenger car vehicle type segment is estimated to dominate the market over the forecasted period of 2020-2027 across the globe due to the rise in demand for hybrid vehicles. Additionally, the passenger vehicle market is seeing high growth as opposed to sedans and SUVs as they offer good value for the money.
The lightweight commercial vehicle type is segment estimated to have a considerable growth rate. The LCV industry is driven by partnerships among existing OEMs and start-ups, respectively, in the development of electric LCVs (eLCVs) and the rise of autonomous technology and electrification.
By geography, the global automotive balance shaft market is segmented into North America, Europe, Asia Pacific, South America, and Middle East & Africa. Asia Pacific region is expected to hold the largest share by 2027 due to the rapid expansion in the industrial sector across the region. Additionally, stringent government regulations regarding the emission is expected to boost the market across the globe.
However, North America is predicted to have a substantial growth due to the presence of global leaders of the automobile industry and the propelling activities of the R & D sector within the region.
Companies such as Kubota Corporation, American Axle & Manufacturing Holdings Inc., Linamar, LACO, Engine Power Components Inc, Mitec-jebsen Automotive Systems (Dalian) Co Ltd, Hirschvogel Holding GmbH, Musashi Seimitsu Industry Co. Ltd., Ningbo Jingda Hardware Manufacture Co. Ltd., Groupe PSA, Melrose Industries Plc, Otics Corporation, Sansera Engineering Pvt. Ltd, Suzhou Ishikawa Iron Manufacturing Co. Ltd, SHW AG, SKF Group AB, Daimler AG, TFO Corporation, Dongfeng Motor Corporation, and Metaldyne LLC are the key players in the global Automotive Balance Shaft market.
By Manufacturing Process
By Engine Type
By Vehicle Type