The Two-Wheeler Catalytic Converter Market size was estimated at USD 2.8 billion in 2023 and is projected to reach USD 4.5 billion by 2030, exhibiting a compound annual growth rate (CAGR) of 7.00% during the forecast period (2024-2030).

Two-Wheeler Catalytic Converter Market

Market Summary

The two-wheeler catalytic converter market is an integral segment within the global automotive emissions control industry, focused specifically on motorcycles, scooters, mopeds, and other motorized bicycles. Catalytic converters are essential exhaust emission control devices that convert toxic gases and pollutants from the internal combustion engine into less-toxic pollutants by catalyzing a redox reaction. This market is primarily driven by the implementation of stringent government emission regulations and norms across various countries aimed at reducing vehicular pollution. Manufacturers are continually engaged in research and development to produce more efficient, durable, and cost-effective catalytic converters that comply with these evolving standards. The Asia-Pacific region dominates this market, owing to its high volume of two-wheeler production and sales, particularly in countries like India, China, and Indonesia, which are also progressively tightening their emission laws. The market features a mix of global exhaust system suppliers and specialized component manufacturers competing on technology, price, and compliance. The ongoing global push towards electrification presents a long-term challenge, but the vast existing fleet of internal combustion engine two-wheelers ensures sustained demand for aftermarket and OEM catalytic converters for the foreseeable future.

Key Highlights

The two-wheeler catalytic converter market is characterized by several key highlights that define its current state and trajectory. A significant trend is the technological shift from traditional two-way catalytic converters to more advanced three-way catalytic converters, which offer superior efficiency in reducing nitrogen oxides (NOx), carbon monoxide (CO), and unburnt hydrocarbons (HC). The material composition is also evolving, with increased use of palladium and other platinum group metals alongside rhodium to enhance performance and longevity while managing costs. Another critical highlight is the intense focus on lightweight and compact design to accommodate the limited space available on two-wheelers without compromising on performance or fuel efficiency. The aftermarket segment represents a substantial portion of the business, driven by the need for replacement parts due to wear, damage, or failures in the emission control system. Furthermore, the market is witnessing a growing emphasis on developing catalytic converters that are effective across a wider range of engine temperatures, which is a particular challenge for two-wheelers due to their frequent stop-start operation in urban environments. Collaboration between two-wheeler OEMs and exhaust system specialists like Faurecia and Tenneco is crucial for developing integrated solutions.

Drivers, Opportunities & Restraints

The growth of the two-wheeler catalytic converter market is propelled by a confluence of drivers, while simultaneously facing specific restraints and opportunities. The most powerful driver is the relentless tightening of emission standards worldwide. Regulations such as Bharat Stage VI in India, Euro 5 and the upcoming Euro 6 in Europe, and similar norms in other regions mandate significantly lower limits for pollutant emissions, compelling manufacturers to adopt advanced exhaust after-treatment technologies. Growing environmental awareness among consumers and increasing urbanization, which exacerbates pollution problems in cities, further support regulatory actions. A significant opportunity lies in the expansion of these stringent emission standards to emerging economies in Latin America, Africa, and Southeast Asia, opening new markets for catalytic converter manufacturers. However, the market faces considerable restraints. The high cost of precious metals like platinum, palladium, and rhodium, which are critical for the catalyst substrate, directly increases the manufacturing cost and final price of the unit. Additionally, the rapid advancement and government incentives for electric two-wheelers pose a long-term threat to the internal combustion engine market, potentially curbing future growth for related components like catalytic converters. Technological challenges in designing systems that perform optimally under the diverse and often harsh operating conditions of two-wheelers also act as a restraint.

Concentration Insights

The global two-wheeler catalytic converter market exhibits a moderately concentrated landscape, featuring a blend of large, multinational automotive exhaust giants and specialized component suppliers. A handful of major players hold significant market share due to their extensive research and development capabilities, global supply chains, and long-standing relationships with leading two-wheeler original equipment manufacturers (OEMs). Prominent companies in this space include Faurecia, Tenneco Inc., Ebersp?cher, and BASF Catalysts. These corporations often supply integrated exhaust systems or key components to global OEMs like Honda, Yamaha, Hero MotoCorp, and Bajaj Auto. Alongside these titans, there exists a robust ecosystem of regional and local manufacturers, particularly in Asia, who cater to domestic OEMs and the vast aftermarket. These smaller players often compete effectively on price and agility, serving specific local requirements. The market concentration is influenced by high barriers to entry, including the need for significant capital investment in R&D, testing facilities, and compliance certification. Furthermore, the industry is seeing a trend of consolidation as larger entities acquire smaller technology-focused firms to enhance their product portfolios and gain access to new markets or patented technologies, further shaping the competitive concentration.

Type Insights

The two-wheeler catalytic converter market is segmented based on the type of catalyst and its construction, primarily into two-way oxidation and three-way reduction-oxidation catalytic converters. Two-way catalytic converters were more common in older models and are designed to oxidize carbon monoxide (CO) into carbon dioxide (CO2) and unburnt hydrocarbons (HC) into water (H2O) and CO2. However, with the advent of stricter emission norms that also limit nitrogen oxides (NOx), the industry has largely shifted towards three-way catalytic converters (TWC). TWCs are more complex and efficient, capable of simultaneously reducing NOx to nitrogen and oxygen while oxidizing CO and HC. The substrate material within these converters is also a key differentiator; most modern units use a ceramic honeycomb structure coated with a washcoat containing precious metals like platinum, palladium, and rhodium as catalysts. There is ongoing research into metallic substrates, which offer advantages in terms of heat resistance and light-off time?the time taken to reach optimal operating temperature. The choice of type is directly dictated by the emission regulations a vehicle must comply with, engine displacement, and the specific design and cost targets set by the two-wheeler manufacturer.

Application Insights

Application insights for the two-wheeler catalytic converter market are primarily divided into OEM (Original Equipment Manufacturer) and aftermarket segments. The OEM segment involves the installation of new catalytic converters on motorcycles, scooters, and mopeds during the production process. This segment is directly tied to the production volumes of two-wheelers and is highly influenced by the emission standards applicable in the region of sale. OEMs work closely with catalytic converter suppliers to develop customized solutions that meet specific performance, packaging, and cost requirements for each model. The aftermarket segment, on the other hand, caters to the replacement demand generated over the vehicle's lifecycle. Catalytic converters can fail or become inefficient due to physical damage, contamination from engine oil or coolant, or simply aging and degradation of the catalyst. Vehicle owners replace them to restore performance, pass mandatory emission tests, or comply with local laws. The aftermarket is substantial, especially in regions with a large population of older two-wheelers. Furthermore, application can also be viewed through the lens of vehicle type, with requirements differing significantly between high-performance motorcycles, standard commuter bikes, and small-displacement scooters, each demanding converters with specific durability and efficiency characteristics.

Regional Insights

The two-wheeler catalytic converter market demonstrates distinct regional dynamics shaped by local regulations, vehicle parc, and industrial activity. The Asia-Pacific region is the undisputed leader and the largest market globally. This dominance is fueled by the colossal production and sales of two-wheelers in countries such as India, China, Indonesia, Vietnam, and Thailand. The implementation of stringent emission standards like Bharat Stage VI (BS-VI) in India and China 4/China 5 standards has been a major catalyst for market growth in this region. Europe represents another significant market, driven by the well-established Euro emission standards, currently at Euro 5 for motorcycles. The presence of premium motorcycle manufacturers also pushes technological advancements in emission control. North America, while a smaller market in terms of two-wheeler volume compared to Asia, has strict regulations from the Environmental Protection Agency (EPA) and a high demand for replacement parts in the aftermarket. Latin America and the Middle East & Africa are emerging regions where the adoption of stricter emission norms is gradually increasing, presenting future growth opportunities for market players. The regulatory landscape remains the primary differentiator influencing regional market size and technology adoption rates.

Company Insights

The competitive landscape of the two-wheeler catalytic converter market includes a roster of established global players and specialized component manufacturers. Leading companies such as Tenneco Inc., a major force in clean air and ride performance products, provide advanced catalytic solutions to automotive and two-wheeler OEMs worldwide. Faurecia, through its emissions control technologies division, is another key player known for its innovative exhaust systems and catalytic converters. Ebersp?cher, a German exhaust technology expert, also holds a significant position, particularly in the European market. BASF SE, as a leading supplier of catalytic coatings and precious metal services, plays a critical role in the supply chain rather than manufacturing complete converter units. Beyond these giants, several prominent players have a strong regional focus. For instance, companies like Mark Exhaust, Sharda Motor Industries, and Shukla Vibracion in India are important suppliers to domestic OEMs and the aftermarket. Japanese firms like Futaba Industrial Co., Ltd. also have a notable presence. These companies compete on various factors including technological innovation, product efficiency and durability, cost-effectiveness, compliance with global standards, and the ability to provide integrated system solutions alongside standalone components.

Recent Developments

The two-wheeler catalytic converter market is witnessing several recent developments focused on innovation, regulatory adaptation, and strategic maneuvering. A primary area of development is the continuous effort to enhance the efficiency of catalytic converters to meet ever-tightening emission norms like Euro 5 and the proposed Euro 6. This involves R&D into new catalyst formulations that use lower amounts of expensive precious metals like rhodium without compromising on performance, thereby managing costs. There is also a significant push towards improving the light-off time?the time taken for the catalyst to reach its optimal operating temperature after a cold start, which is a critical period for emissions. Manufacturers are exploring advanced substrate materials and designs, including ultra-thin-wall ceramics and metallic substrates, to achieve this. Another notable development is the increased integration of the catalytic converter within the exhaust manifold or a close-coupled position to harness exhaust heat more effectively for quicker light-off. Furthermore, the industry is seeing strategic partnerships and acquisitions, such as Tenneco's acquisition of various automotive aftermarket and ride performance companies, to strengthen its portfolio and global reach. The focus on counterfeit prevention and protecting intellectual property related to catalyst technology has also intensified in recent years.

Report Segmentation

This comprehensive market research report on the global two-wheeler catalytic converter market provides a detailed analysis segmented across multiple dimensions to offer a granular understanding of the industry. The report is systematically segmented by type, distinguishing between the technological applications of two-way oxidation catalytic converters and the more advanced three-way reduction-oxidation catalytic converters, detailing the adoption trends and technological specifications of each. The application segmentation provides insights into the distinct dynamics of the OEM sector, tied to new vehicle production, versus the replacement-driven aftermarket sector, analyzing factors influencing demand in each channel. Geographically, the report offers a thorough regional analysis, breaking down the market into key regions and major countries within those regions, such as Asia-Pacific (India, China, Indonesia, etc.), Europe, North America, Latin America, and the Middle East & Africa. This regional segmentation highlights the varying impact of emission regulations, market maturity, growth rates, and competitive landscapes. The report also includes a dedicated company landscape section, profiling key players, their market shares, product portfolios, and recent strategic initiatives, providing a clear view of the competitive environment. This multi-faceted segmentation allows stakeholders to identify specific growth pockets, understand application-specific demand, and formulate targeted strategies.

FAQs

What is the purpose of a catalytic converter on a motorcycle?

The primary purpose of a catalytic converter on a motorcycle is to reduce the emission of harmful pollutants from the exhaust gas. It converts toxic gases like carbon monoxide (CO), unburnt hydrocarbons (HC), and nitrogen oxides (NOx) into less harmful substances such as carbon dioxide (CO2), water vapor (H2O), and nitrogen (N2) through catalytic chemical reactions.

How does a two-wheeler catalytic converter work?

A two-wheeler catalytic converter works by passing the hot exhaust gases through a substrate, typically a ceramic honeycomb structure coated with a wash containing precious metal catalysts like platinum, palladium, and rhodium. These metals facilitate oxidation and reduction reactions, transforming carbon monoxide into carbon dioxide, hydrocarbons into water and carbon dioxide, and nitrogen oxides into nitrogen and oxygen.

What are the different types of catalytic converters used in bikes?

The main types of catalytic converters used in motorcycles are two-way catalytic converters and three-way catalytic converters. Two-way converters oxidize carbon monoxide and unburnt hydrocarbons. Three-way catalytic converters are more advanced and perform three simultaneous tasks: reducing nitrogen oxides to nitrogen and oxygen, while oxidizing carbon monoxide and hydrocarbons.

What materials are used in making a catalytic converter?

Catalytic converters are constructed using a ceramic or metallic honeycomb substrate. This substrate is coated with a washcoat, usually made of alumina, which provides a high surface area. impregnated into this washcoat are the precious metal catalysts, most commonly platinum (Pt), palladium (Pd), and rhodium (Rh), which are responsible for the catalytic reactions. The entire assembly is housed in a stainless-steel shell for protection.

Can a motorcycle run without a catalytic converter?

Technically, a motorcycle can run without a catalytic converter, but it is illegal in most regions due to emission laws. Removing it will cause the vehicle to emit significantly higher levels of harmful pollutants. It may also trigger a check engine light, cause the vehicle to fail emission tests, and potentially lead to legal penalties. Furthermore, it may alter the exhaust backpressure and affect engine performance and fuel economy.

What are the signs of a failing catalytic converter on a bike?

Common signs of a failing catalytic converter on a motorcycle include a significant loss of engine power and reduced acceleration, decreased fuel efficiency, a rotten egg or sulfur smell from the exhaust, excessive heat under the vehicle, the illumination of the check engine light, and failed emission tests. In some cases, the converter may become physically clogged, preventing the engine from running altogether.

Citius Research has developed a research report titled “Two-Wheeler Catalytic Converter Market Report - Global Industry Analysis, Size, Share, Growth Trends, Regional Outlook, Competitive Strategies and Segment Forecasts 2024 - 2030” delivering key insights regarding business intelligence and providing concrete business strategies to clients in the form of a detailed syndicated report. The report details out the factors such as business environment, industry trend, growth opportunities, competition, pricing, global and regional market analysis, and other market related factors.

Details included in the report for the years 2024 through 2030

• Two-Wheeler Catalytic Converter Market Potential
• Segment-wise breakup
• Compounded annual growth rate (CAGR) for the next 6 years
• Key customers and their preferences
• Market share of major players and their competitive strength
• Existing competition in the market
• Price trend analysis
• Key trend analysis
• Market entry strategies
• Market opportunity insights

The report focuses on the drivers, restraints, opportunities, and challenges in the market based on various factors geographically. Further, key players, major collaborations, merger & acquisitions along with trending innovation and business policies are reviewed in the report. The Two-Wheeler Catalytic Converter Market report is segmented on the basis of various market segments and their analysis, both in terms of value and volume, for each region for the period under consideration.

Two-Wheeler Catalytic Converter Market Segmentation

Regions Covered

• North America
• Latin America
• Europe
• MENA
• Asia Pacific
• Sub-Saharan Africa and
• Australasia

Two-Wheeler Catalytic Converter Market Analysis

The report covers below mentioned analysis, but is not limited to:

• Overview of Two-Wheeler Catalytic Converter Market
• Research Methodology
• Executive Summary
• Market Dynamics of Two-Wheeler Catalytic Converter Market
  • Driving Factors
  • Restraints
  • Opportunities
• Global Market Status and Forecast by Segment A
• Global Market Status and Forecast by Segment B
• Global Market Status and Forecast by Segment C
• Global Market Status and Forecast by Regions
• Upstream and Downstream Market Analysis of Two-Wheeler Catalytic Converter Market
• Cost and Gross Margin Analysis of Two-Wheeler Catalytic Converter Market
• Two-Wheeler Catalytic Converter Market Report - Global Industry Analysis, Size, Share, Growth Trends, Regional Outlook, Competitive Strategies and Segment Forecasts 2024 - 2030
  • Competition Landscape
  • Market Share of Major Players
• Key Recommendations

The “Two-Wheeler Catalytic Converter Market Report - Global Industry Analysis, Size, Share, Growth Trends, Regional Outlook, Competitive Strategies and Segment Forecasts 2024 - 2030” report helps the clients to take business decisions and to understand strategies of major players in the industry. The report delivers the market driven results supported by a mix of primary and secondary research. The report provides the results triangulated through authentic sources and upon conducting thorough primary interviews with the industry experts. The report includes the results on the areas where the client can focus and create point of parity and develop a competitive edge, based on real-time data results.

Two-Wheeler Catalytic Converter Market Key Stakeholders

Below are the key stakeholders for the Two-Wheeler Catalytic Converter Market:

• Manufacturers
• Distributors/Traders/Wholesalers
• Material/Component Manufacturers
• Industry Associations
• Downstream vendors

Two-Wheeler Catalytic Converter Market Report Scope

COVID-19 Impact Analysis

Like most other markets, the outbreak of COVID-19 had an unfavorable impact on the Two-Wheeler Catalytic Converter Market worldwide. This report discusses in detail the disruptions experienced by the market, the impact on flow of raw materials, manufacturing operations, production trends, consumer demand and the projected future of this market post pandemic.

The report has helped our clients:

• To describe and forecast the Two-Wheeler Catalytic Converter Market size, on the basis of various segmentations and geography, in terms of value and volume
• To measure the changing needs of customers/industries
• To provide detailed information regarding the drivers, restraints, opportunities, and challenges influencing the growth of the market
• To gain competitive intelligence and uncover new opportunities
• To analyse opportunities in the market for stakeholders by identifying high-growth segments in Two-Wheeler Catalytic Converter Market
• To strategically profile key players and provide details of the current competitive landscape
• To analyse strategic approaches adopted by players in the market, such as product launches and developments, acquisitions, collaborations, contracts, expansions, and partnerships

Report Customization

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