Automotive parts re-manufacturing market, valued at USD 33.16 billion in 2016, is estimated to grow at a CAGR of 6.6 per cent from 2017 to 2025, revealed the research report by Credence Research. Remanufacturing of automotive components is a form of the recovery process to remanufacture a machine part or component that would match the customer’s expectation as a replacement, said the report titled ‘Automotive Parts remanufacturing Market- Growth, Future Prospects, and Competitive Landscape 2017-2025’. The report predicts that the market would touch USD 58.8 billion by 2025.
“Economic benefits for both remanufacturing companies as well as the customers are considered as the biggest driver for the overall automotive parts remanufacturing market. It aids in reducing cost pertaining to major parameters such as material, machining, production time, energy, fuel and labor costs, among others. Apart from economic benefits, factors such as limitation of natural resources such as metals and other earthy elements is another major driving factor for the promotion of automotive parts remanufacturing,” the report said.
Major players in the market are Caterpillar, Robert Bosch, ZF Friedrichshafen, BORG Automotive, Detroit Diesel Corporation, Motorcar Parts of America, Marshall Engines, Standard Motor Products , Cardone Industries, Genuine Parts Company, Maval Manufacturing, ATC Drivetrain , Teamec BVBA, Ander Niermann and Jasper Engines and Transmissions.
Reducing the use of raw materials, reducing landfill space and reduction in air pollution are a few merits offered by automotive parts remanufacturing.