Light Commercial Vehicles Exhaust System Market – Global Industry Size, Share, Trends, Opportunity, and Forecast, Segmented By Fuel Type (Gasoline, Diesel), By After Treatment Type (Diesel Oxidation Catalyst, Selective Catalytic Reduction, Gasoline Particulate filter), By Component Type (Catalytic Converter, Tailpipe, Mufflers) By Region, By Competition, 2021-2031F

Forecast Period	2027-2031
Market Size (2025)	USD 16.11 Billion
CAGR (2026-2031)	6.63%
Fastest Growing Segment	Tailpipe
Largest Market	Asia Pacific
Market Size (2031)	USD 23.68 Billion

Market Overview

The Global Light Commercial Vehicles Exhaust System Market will grow from USD 16.11 Billion in 2025 to USD 23.68 Billion by 2031 at a 6.63% CAGR. The Global Light Commercial Vehicles Exhaust System Market comprises specialized hardware such as manifolds, catalytic converters, and mufflers designed to treat and expel engine combustion gases while minimizing noise and toxic emissions. The sector is primarily propelled by stringent environmental regulations necessitating advanced emission control technologies and the robust expansion of the logistics and e-commerce sectors which rely heavily on delivery fleets. This demand for internal combustion engine components remains significant in major regions. According to the European Automobile Manufacturers' Association, in 2024, diesel remained the preferred choice for new EU van buyers with registrations rising by 10.5 percent to 1,340,003 units.

However, the market faces a substantial impediment in the form of rapid fleet electrification. The transition toward battery electric vehicles, which require no exhaust hardware, threatens to erode the long-term customer base for combustion engine components. Regulatory mandates aiming for zero-emission transportation and the establishment of green zones in urban centers further accelerate this shift, presenting a critical challenge to the continued expansion of the conventional exhaust system sector.

Key Market Drivers

The implementation of stringent global emission standards acts as a primary catalyst for technological innovation and volume growth within the exhaust system sector. Regulatory bodies worldwide are enacting rigorous limits on nitrogen oxides and particulate matter, compelling manufacturers to integrate complex after-treatment components such as gasoline particulate filters and selective catalytic reduction systems. These mandates effectively increase the value per vehicle by requiring higher-grade materials and additional filtration hardware to ensure compliance with tightening legislative frameworks. According to the United States Environmental Protection Agency, March 2024, in the 'Final Rule: Multi-Pollutant Emissions Standards for Model Years 2027 and Later Light-Duty and Medium-Duty Vehicles', the updated regulations enforce a stricter particulate matter standard of 0.5 milligrams per mile for every vehicle class, necessitating enhanced filtration capabilities across light-duty fleets.

Simultaneously, the rising global production and sales of light commercial vehicles, underpinned by the expansion of last-mile delivery networks, directly amplify the demand for exhaust assemblies. As logistics providers expand their fleets to meet e-commerce volumes, the manufacturing of vans and light trucks has accelerated, ensuring a steady stream of orders for conventional exhaust manifolds and tailpipes. This trend is particularly evident in major manufacturing hubs where industrial output is rebounding aggressively. According to the China Association of Automobile Manufacturers, January 2024, in the 'The auto market in 2023' report, commercial vehicle sales in China reached a total of 4.031 million units, representing a year-on-year increase of 22.1 percent. Furthermore, production resilience in established markets continues to support component suppliers; according to the Society of Motor Manufacturers and Traders, in 2024, commercial vehicle manufacturing in the United Kingdom surged by 98.4 percent in February alone, driven largely by robust export demand.

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Key Market Challenges

The rapid electrification of light commercial fleets represents a critical structural challenge to the global exhaust system market. As logistics companies and municipalities transition toward battery electric vehicles (BEVs) to meet decarbonization mandates, the demand for traditional combustion hardware—such as manifolds, catalytic converters, and mufflers—is directly eliminated. Unlike internal combustion engines, battery-powered platforms require no exhaust infrastructure, meaning that every electric van added to a fleet effectively reduces the total addressable market for exhaust component manufacturers. This shift is not merely a pause in growth but a permanent displacement of the core product.

This erosion of the conventional customer base is evident in key markets where fleet modernization is actively underway. According to the Society of Motor Manufacturers and Traders, in 2024, registrations of new battery electric vans in the United Kingdom rose by 3.3 percent to 22,155 units. This upward trajectory in zero-emission variants confirms a gradual but irreversible transition, forcing suppliers to contend with a market landscape where the primary driver of their revenue is being systematically replaced by technologies that render their products obsolete.

Key Market Trends

The shift towards hybrid-specific exhaust architectures is gaining momentum as manufacturers adapt to the unique thermal demands of intermittent internal combustion cycles. Unlike traditional engines, hybrid powertrains frequently engage and disengage, leading to fluctuating exhaust temperatures that can compromise catalytic converter efficiency. To mitigate this, suppliers are developing systems with enhanced thermal encapsulation and active heat management to maintain optimal operating conditions during engine-off phases. This technical evolution is directly driven by the surging market penetration of hybrid light commercial vehicles, which serve as a critical bridge between combustion and electric fleets. According to Ford Motor Company, January 2025, in the '2024 US Sales Report', the F-150 hybrid finished the year as America's best-selling hybrid truck with sales of 73,845 units, representing a significant 47 percent increase that underscores the growing necessity for specialized hybrid exhaust hardware.

Simultaneously, the utilization of sustainable and recyclable materials in exhaust manufacturing has emerged as a key strategy to reduce lifecycle carbon emissions. As automotive OEMs enforce strict Scope 3 decarbonization targets, component suppliers are transitioning from conventional steel to fossil-free and high-recycled-content stainless steel alloys for manifolds and mufflers. This transition not only lowers the embodied carbon of the exhaust system but also aligns with circular economy principles without sacrificing high-temperature durability. This focus on material sustainability is exemplified by major raw material advancements; according to Outokumpu, March 2025, in the 'Annual Report 2024', the company's stainless steel products, widely used in exhaust systems for their corrosion resistance, achieved a record 95 percent recycled material content, enabling manufacturers to significantly lower the carbon footprint of their emission control components.

Segmental Insights

Based on leading market intelligence, the Tailpipe segment is positioned as the fastest-growing category in the Global Light Commercial Vehicles Exhaust System Market. This expansion is primarily driven by the increasing demand for aesthetic and acoustic enhancements, particularly as light commercial vehicles like pickup trucks increasingly serve dual-purpose lifestyle roles. Manufacturers are utilizing corrosion-resistant materials such as stainless steel to ensure longevity and reduce overall vehicle weight. These design optimizations improve exhaust flow and engine efficiency, which is critical for complying with rigorous emission standards established by regulatory authorities like the Environmental Protection Agency.

Regional Insights

Asia Pacific holds the leading position in the Global Light Commercial Vehicles Exhaust System Market due to robust vehicle manufacturing activities in major economies like China and India. The region experiences high demand for light commercial vehicles to support expanding logistics and delivery networks. Additionally, the implementation of rigorous emission standards by authorities, including the Bharat Stage VI norms in India and China VI regulations, compels manufacturers to integrate compliant exhaust technologies. These factors collectively drive the regional market expansion while ensuring adherence to environmental mandates.

Recent Developments

• In November 2025, Marelli received the Innovations in Lightweighting Award from the Society of Automotive Analysts for its LeanExhaust system, a breakthrough technology for internal combustion and hybrid vehicles. The company designed this compact exhaust platform to address the automotive industry's critical need for weight reduction and improved sustainability. By integrating a dual-layer catalytic converter with a micro-hole muffler design, the system achieved a weight reduction of 16 kilograms and eliminated the need for traditional glass wool insulation. This development offered a significant decrease in the carbon footprint of vehicle exhaust systems while maintaining high standards for emissions control and noise reduction.
• In July 2025, Purem by Eberspaecher unveiled a modular exhaust air system specifically engineered for hydrogen fuel cell applications in the commercial vehicle and stationary power sectors. Leveraging its extensive expertise in exhaust technology, the company developed components to effectively manage water vapor separation and noise reduction, which are critical for the safe and efficient operation of fuel cell stacks. The system included specialized gas control and cathode isolation valves designed to prevent premature aging of the fuel cells. This product launch highlighted the company's focus on advancing zero-emission mobility solutions for trucks and other commercial applications.
• In April 2025, Cummins Emission Solutions introduced the Twin Module, a sophisticated aftertreatment system designed to meet the stringent EPA 2027 emissions standards for light, medium, and heavy-duty vehicles. The new system featured a dual-assembly architecture incorporating a Diesel Particulate Filter and a Selective Catalytic Reduction unit, coupled with a 48-volt electric heating system. This innovative technology was developed to provide precise thermal management, ensuring rapid catalyst activation during cold starts and low-load conditions. The breakthrough allowed for significant reductions in nitrogen oxide emissions while maintaining optimal fuel efficiency and engine performance.
• In October 2024, Benteler Automotive Corporation announced a strategic expansion of its manufacturing facility in Spartanburg, South Carolina, representing an investment of $47.9 million. The project was initiated to upgrade the plant’s machinery, fixtures, and infrastructure, thereby enhancing its capacity to produce complex welded assemblies and modules. This facility plays a critical role in the company's global supply chain, manufacturing key components such as exhaust systems, chassis structures, and engine applications for major automobile manufacturers. The expansion underscored the company's commitment to meeting the increasing demand for high-quality automotive components in the international market.

Key Market Players

• Faurecia
• Tenneco Inc.
• Eberspächer Group
• Benteler International AG
• Bosal International N.V.
• Friedrich Boysen GmbH & Co. KG
• Futaba Industrial Co., Ltd.
• Continental AG
• Yutaka Giken Co., Ltd.
• Johnson Matthey

By Fuel Type	By After Treatment Type	By Component Type	By Region
Gasoline Diesel	Diesel Oxidation Catalyst Selective Catalytic Reduction Gasoline Particulate filter	Catalytic Converter Tailpipe Mufflers	North America Europe Asia Pacific South America Middle East & Africa

Report Scope:

In this report, the Global Light Commercial Vehicles Exhaust System Market has been segmented into the following categories, in addition to the industry trends which have also been detailed below:

• Light Commercial Vehicles Exhaust System Market, By Fuel Type:

• Gasoline
• Diesel

• Light Commercial Vehicles Exhaust System Market, By After Treatment Type:

• Diesel Oxidation Catalyst
• Selective Catalytic Reduction
• Gasoline Particulate filter

• Light Commercial Vehicles Exhaust System Market, By Component Type:

• Catalytic Converter
• Tailpipe
• Mufflers

• Light Commercial Vehicles Exhaust System Market, By Region:

• North America
• United States
• Canada
• Mexico
• Europe
• France
• United Kingdom
• Italy
• Germany
• Spain
• Asia Pacific
• China
• India
• Japan
• Australia
• South Korea
• South America
• Brazil
• Argentina
• Colombia
• Middle East & Africa
• South Africa
• Saudi Arabia
• UAE