Heat Transfer Fluid Market Research Report - Forecast to 2030

Impact of COVID-19 on the Heat Transfer Fluid Market

A heat transfer fluid is a liquid or gas that takes part in heat transfer by helping as an intermediate in cooling on one side of the process, and storing and transporting thermal energy, and heating on the other. The main driver for market growth is the increasing development in emerging economies where there is a rising demand for automotive manufacturing, chemical processing, and renewable energy generation. Besides, the market is estimated to grow due to the increasing oil & gas exploration and drilling activities around the world. However, the spread of COVID-19 has changed the entire scenario. The outbreak of the pandemic has led to reduced activity across refineries worldwide, which has caused supply shortages for various end-use sectors. Also, the decrease in the prices and demand for oil & gas during the pandemic has significantly affected the oil & gas industry and, thus, the growth of the heat transfer fluids market. The decrease in the supply and demand for oil & gas owing to the COVID-19 pandemic has also halted the onshore and offshore production processes, especially in regions such as North America and Europe, which in turn, is likely to hinder the growth of the heat transfer fluids market. The suspension of new solar power projects and the halted operations of ongoing projects are also hampering the growth of the market.

Global Investment in Energy (2017-2020)

The resumption in the installation of solar power projects and the growth of the chemical and processing industries, post the pandemic, are estimated to drive market growth in the Asia-Pacific region, which is currently leading the market and is projected to continue its domination over the forecast period. Besides, the growth in industrial manufacturing processes in North America and Europe is anticipated to fuel the heat transfer fluids market. The future stabilization of the oil & gas industry is also projected to boost the growth of the market.

Source: IEA