Spark Plug Market

The global spark plug market is expected to experience a decline in both volume and value terms over the next eight years, with a forecasted contraction in market volume and value by 2030. Significant declines in consumption and production were observed in 2022, with key countries such as the United States, China, and India playing a significant role in impacting market trends. The highest volumes of consumption and production were recorded in China, Japan, and Russia, while Japan emerged as the main exporter of spark plugs in the world. Thailand recorded the highest rates of growth in terms of exports, while Germany had the highest average export price in 2022.

Market Forecast

Depressed by shrinking demand for spark plug worldwide, the market is expected to continue its downward consumption trend over the next eight-year period. The performance of the market is forecast to contract with an anticipated CAGR of -1.0% for the period from 2022 to 2030, which is projected to depress the market volume to 3.7B units by the end of 2030.

In value terms, the market is forecast to contract with an anticipated CAGR of +2.3% for the period from 2022 to 2030, which is projected to bring the market value to $7.3B (in nominal prices) by the end of 2030.

Consumption

World Consumption of Sparking Plugs

In 2022, after three years of growth, there was significant decline in consumption of sparking plugs, when its volume decreased by -10.3% to 4B units. Over the period under review, consumption continues to indicate a mild reduction. Over the period under review, global consumption hit record highs at 4.5B units in 2012; however, from 2013 to 2022, consumption stood at a somewhat lower figure.

The global spark plug market revenue dropped to $6.1B in 2022, falling by -7.5% against the previous year. This figure reflects the total revenues of producers and importers (excluding logistics costs, retail marketing costs, and retailers' margins, which will be included in the final consumer price). In general, consumption saw a relatively flat trend pattern. The most prominent rate of growth was recorded in 2020 with an increase of 7.4% against the previous year. Global consumption peaked at $6.6B in 2021, and then contracted in the following year.

Consumption By Country

The countries with the highest volumes of consumption in 2022 were the United States (880M units), China (790M units) and India (360M units), together accounting for 50% of global consumption. The United Arab Emirates, Indonesia, Mexico, Turkey, Germany, Brazil and Japan lagged somewhat behind, together comprising a further 19%.

From 2012 to 2022, the most notable rate of growth in terms of consumption, amongst the key consuming countries, was attained by the United Arab Emirates (with a CAGR of +2.6%), while consumption for the other global leaders experienced more modest paces of growth.

In value terms, the largest spark plug markets worldwide were the United States ($599M), Germany ($454M) and Brazil ($397M), with a combined 24% share of the global market. China, Mexico, India, the United Arab Emirates, Indonesia, Turkey and Japan lagged somewhat behind, together accounting for a further 25%.

The United Arab Emirates, with a CAGR of +3.9%, saw the highest rates of growth with regard to market size among the main consuming countries over the period under review, while market for the other global leaders experienced more modest paces of growth.

In 2022, the highest levels of spark plug per capita consumption was registered in the United Arab Emirates (16 units per person), followed by the United States (2.6 units per person), Germany (1.2 units per person) and Turkey (1.1 units per person), while the world average per capita consumption of spark plug was estimated at 0.5 units per person.

In the United Arab Emirates, spark plug per capita consumption expanded at an average annual rate of +1.6% over the period from 2012-2022. The remaining consuming countries recorded the following average annual rates of per capita consumption growth: the United States (-0.0% per year) and Germany (-5.9% per year).

Production

World Production of Sparking Plugs

In 2022, approx. 4.8B units of sparking plugs were produced worldwide; falling by -7.4% compared with the year before. In general, production continues to indicate a slight slump. The pace of growth was the most pronounced in 2021 with an increase of 17%. Global production peaked at 5.7B units in 2013; however, from 2014 to 2022, production stood at a somewhat lower figure.

In value terms, spark plug production fell to $6.2B in 2022 estimated in export price. Overall, production showed a mild contraction. The pace of growth was the most pronounced in 2021 when the production volume increased by 14% against the previous year. Over the period under review, global production attained the peak level at $7.8B in 2013; however, from 2014 to 2022, production failed to regain momentum.

Production By Country

The countries with the highest volumes of production in 2022 were China (1.1B units), Japan (1.1B units) and Russia (351M units), with a combined 53% share of global production. The United States, India, Mexico, Thailand, Indonesia, Turkey, Germany, Brazil and the UK lagged somewhat behind, together comprising a further 32%.

From 2012 to 2022, the biggest increases were recorded for Thailand (with a CAGR of +14.1%), while production for the other global leaders experienced more modest paces of growth.

Imports

World Imports of Sparking Plugs

In 2022, supplies from abroad of sparking plugs increased by 2.2% to 2.3B units, rising for the third year in a row after three years of decline. Over the period under review, total imports indicated a modest increase from 2012 to 2022: its volume increased at an average annual rate of +1.2% over the last decade. The trend pattern, however, indicated some noticeable fluctuations being recorded throughout the analyzed period. Based on 2022 figures, imports increased by +49.5% against 2019 indices. The pace of growth appeared the most rapid in 2015 when imports increased by 47%. Over the period under review, global imports attained the peak figure in 2022 and are expected to retain growth in years to come.

In value terms, spark plug imports rose rapidly to $3.7B in 2022. The total import value increased at an average annual rate of +4.2% over the period from 2012 to 2022; however, the trend pattern indicated some noticeable fluctuations being recorded throughout the analyzed period. The most prominent rate of growth was recorded in 2021 when imports increased by 26% against the previous year. Over the period under review, global imports reached the maximum in 2022 and are expected to retain growth in the near future.

Imports By Country

The United States was the largest importing country with an import of around 1B units, which accounted for 45% of total imports. It was distantly followed by the United Arab Emirates (164M units), constituting a 7.1% share of total imports. China (101M units), Germany (72M units), Russia (71M units), the Netherlands (68M units), Mexico (65M units) and India (54M units) followed a long way behind the leaders.

From 2012 to 2022, average annual rates of growth with regard to spark plug imports into the United States stood at +1.4%. At the same time, India (+20.7%), the Netherlands (+8.2%), China (+5.9%), the United Arab Emirates (+2.8%), Mexico (+2.3%) and Russia (+2.1%) displayed positive paces of growth. Moreover, India emerged as the fastest-growing importer imported in the world, with a CAGR of +20.7% from 2012-2022. By contrast, Germany (-6.2%) illustrated a downward trend over the same period. While the share of India (+2 p.p.) and China (+1.6 p.p.) increased significantly in terms of the global imports from 2012-2022, the share of Germany (-3.5 p.p.) displayed negative dynamics. The shares of the other countries remained relatively stable throughout the analyzed period.

In value terms, the largest spark plug importing markets worldwide were the United States ($578M), Germany ($457M) and China ($338M), with a combined 37% share of global imports. The Netherlands, Mexico, the United Arab Emirates, Russia and India lagged somewhat behind, together accounting for a further 21%.

In terms of the main importing countries, the Netherlands, with a CAGR of +17.5%, recorded the highest growth rate of the value of imports, over the period under review, while purchases for the other global leaders experienced more modest paces of growth.

Import Prices By Country

The average spark plug import price stood at $1.6 per unit in 2022, growing by 3.7% against the previous year. Overall, import price indicated a moderate increase from 2012 to 2022: its price increased at an average annual rate of +3.0% over the last decade. The trend pattern, however, indicated some noticeable fluctuations being recorded throughout the analyzed period. Based on 2022 figures, spark plug import price increased by +14.9% against 2020 indices. The most prominent rate of growth was recorded in 2014 an increase of 46%. As a result, import price reached the peak level of $2.2 per unit. From 2015 to 2022, the average import prices remained at a lower figure.

Prices varied noticeably by country of destination: amid the top importers, the country with the highest price was Germany ($6.4 per unit), while India ($0.5 per unit) was amongst the lowest.

From 2012 to 2022, the most notable rate of growth in terms of prices was attained by Germany (+11.2%), while the other global leaders experienced more modest paces of growth.

Exports

World Exports of Sparking Plugs

In 2022, overseas shipments of sparking plugs increased by 4.4% to 3B units, rising for the second year in a row after three years of decline. Over the period under review, exports, however, showed a relatively flat trend pattern. The growth pace was the most rapid in 2021 with an increase of 42% against the previous year. The global exports peaked at 3.2B units in 2013; however, from 2014 to 2022, the exports failed to regain momentum.

In value terms, spark plug exports expanded sharply to $3.7B in 2022. The total export value increased at an average annual rate of +4.5% from 2012 to 2022; however, the trend pattern indicated some noticeable fluctuations being recorded in certain years. The pace of growth appeared the most rapid in 2021 when exports increased by 29% against the previous year. The global exports peaked in 2022 and are likely to see steady growth in years to come.

Exports By Country

Japan was the main exporter of sparking plugs in the world, with the volume of exports amounting to 1B units, which was approx. 33% of total exports in 2022. The United States (489M units) ranks second in terms of the total exports with a 16% share, followed by China (15%), Russia (13%) and Thailand (5%). The following exporters - Mexico (117M units) and Germany (74M units) - together made up 6.3% of total exports.

Exports from Japan increased at an average annual rate of +1.3% from 2012 to 2022. At the same time, Thailand (+32.3%), Russia (+15.3%) and China (+6.6%) displayed positive paces of growth. Moreover, Thailand emerged as the fastest-growing exporter exported in the world, with a CAGR of +32.3% from 2012-2022. By contrast, the United States (-1.4%), Mexico (-3.4%) and Germany (-17.2%) illustrated a downward trend over the same period. Russia (+10 p.p.), China (+7.2 p.p.), Thailand (+4.7 p.p.) and Japan (+4.1 p.p.) significantly strengthened its position in terms of the global exports, while Mexico, the United States and Germany saw its share reduced by -1.5%, -2.3% and -13.7% from 2012 to 2022, respectively.

In value terms, the largest spark plug supplying countries worldwide were Japan ($935M), Germany ($814M) and the United States ($298M), with a combined 55% share of global exports. China, Thailand, Mexico and Russia lagged somewhat behind, together comprising a further 18%.

Thailand, with a CAGR of +35.8%, recorded the highest rates of growth with regard to the value of exports, among the main exporting countries over the period under review, while shipments for the other global leaders experienced more modest paces of growth.

Export Prices By Country

The average spark plug export price stood at $1.2 per unit in 2022, remaining relatively unchanged against the previous year. Overall, export price indicated tangible growth from 2012 to 2022: its price increased at an average annual rate of +4.5% over the last decade. The trend pattern, however, indicated some noticeable fluctuations being recorded throughout the analyzed period. Based on 2022 figures, spark plug export price decreased by -8.0% against 2020 indices. The pace of growth appeared the most rapid in 2019 when the average export price increased by 32%. The global export price peaked at $1.3 per unit in 2020; however, from 2021 to 2022, the export prices stood at a somewhat lower figure.

There were significant differences in the average prices amongst the major exporting countries. In 2022, amid the top suppliers, the country with the highest price was Germany ($11 per unit), while Russia ($0.2 per unit) was amongst the lowest.

From 2012 to 2022, the most notable rate of growth in terms of prices was attained by Germany (+27.8%), while the other global leaders experienced more modest paces of growth.

Source: IndexBox Market Intelligence Platform