Push for Decreased Emissions and Better Fuel Economy Drives Demand for Auto Chemical Sensors, says Frost & Sullivan

    SAN ANTONIO--June 18, 2001--As emissions standards continue to tighten throughout North America and automobile manufacturers strive to meet federal standards for fuel economy, the market for sensors that improve engine control functions and emissions should see increased demand.
    New analysis by Frost & Sullivan (www.transportation.frost.com) North American Automotive OEM Chemical Sensor Market, reveals this total market decreased from $372.1 million in 1999 to $370.1 million in 2000.
    But according to Frost & Sullivan Analyst Prince De, this market could see a turnaround. Manufacturers will need to translate ideas in development into market-ready products. Sensors that succeed will be those that ensure faster response times and stability over the long term.
    "Chemical sensors provide effective solutions by enabling precise control over car engines, transmission shift points, and air quality that can help save fuel and reduce exhaust," says De. "Response times need to be in the milliseconds to be effective and sensors must withstand the harsh automotive environment and still be reliable."
    A commitment to research and development will remain crucial for industry success. At the same time, rising competition will challenge all market participants.
    "Competition in this market is fierce as automakers try to squeeze margins through volume orders and suppliers face the prospect of fewer accounts to pursue," says De. "Competitive advantages are largely based on technological factors and the ability to engineer the technology into mass production in a cost-efficient way."
    Frost & Sullivan presents the 2001 Market Engineering Awards to companies that have worked diligently to make a positive contribution to the automotive chemical sensor industry. These market-specific awards are presented to: Delphi Automotive Systems and the Robert Bosch Corporation.
    Frost & Sullivan is a global leader in international strategic market consulting and training. This ongoing research is part of the Automotive OE Subscription which also includes market analysis of the North American Automotive OE Sensor Market. Frost & Sullivan also offers custom consulting to a variety of national and international companies. Executive summaries and interviews are available to the press.

    North American Automotive OEM Chemical Sensor Market
    Report: 7932-18