Wouldn't the water boil out of your windscreen washer bottle if it was that hot under the bonnet ?
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I reckon your right there is no way it could get that hot. I have a TM-2 on the block of my Tdi and it only gets up to 90 degrees max. I guess near the turbo and exhaust manifold it might get a bit warm but I wouldn't have thought 150
I would imagine that with a turbo being < 10cms away from the insulation, you would have to place a heat shield on both the turbine, and exhaust manifold. If EGTs get to ~650*C, The manifold will also be at a temperature close to that, so the radiant heat from the exhaust turbine / manifold would degrade the vinyl over time. Should be fine with a heat shield on the turbine manifold however, so long as the insulation is not touching it.
The operating range is recommended to ensure longevity of the product, however, the actual melting temperature of this particular vinyl is >150*C (MSDS attached)
I'd be keen to find out what temperature it does get to, as I'm planning to install it on mine when I get around to it.
Cheers
Bojan