Fluid Power Equipment Market

Rising need for water and wastewater infrastructure to boost the market growth

The need for water and wastewater infrastructure is rising globally, as populations continue to grow and urbanize. This is putting strain on existing infrastructure and creating a need for new investment in water and wastewater treatment facilities. The market is expected to benefit from this trend, as demand for products such as pumps, valves, and actuators increases.

The Global Fluid Power Equipment Market Industry is poised for substantial growth, with projections indicating a market size of 51.9 USD Billion in 2024 and an anticipated increase to 109.3 USD Billion by 2035. This growth trajectory suggests a robust compound annual growth rate (CAGR) of 7.02% from 2025 to 2035. Factors contributing to this growth include rising automation demands, infrastructure development, and technological advancements. As industries increasingly adopt fluid power technologies to enhance efficiency and sustainability, the market is likely to expand significantly, reflecting the critical role of fluid power equipment in various sectors.

The Global Fluid Power Equipment Market Industry is experiencing a notable surge in demand for automation across various sectors, including manufacturing and construction. This trend is driven by the need for increased efficiency and productivity, as companies seek to optimize operations. For instance, industries are increasingly adopting hydraulic and pneumatic systems to automate processes, which enhances precision and reduces labor costs. The market is projected to reach 51.9 USD Billion in 2024, reflecting a growing reliance on fluid power technologies to facilitate automation. As automation continues to expand, the demand for fluid power equipment is likely to rise, further propelling market growth.

Infrastructure development initiatives globally are significantly influencing the Global Fluid Power Equipment Market Industry. Governments are investing heavily in infrastructure projects, including transportation, energy, and water management systems. These projects often require advanced fluid power technologies for construction machinery and equipment. For example, hydraulic systems are essential for operating cranes, excavators, and other heavy machinery used in infrastructure development. The anticipated growth in infrastructure spending is expected to drive the market, with projections indicating a rise to 109.3 USD Billion by 2035. This investment in infrastructure not only boosts demand for fluid power equipment but also stimulates economic growth.

The Global Fluid Power Equipment Market Industry is witnessing a growing adoption of fluid power technologies in the renewable energy sector. As the world shifts towards sustainable energy sources, fluid power systems are increasingly utilized in wind turbines, solar tracking systems, and hydroelectric plants. These applications require reliable and efficient fluid power solutions to optimize energy production and enhance system performance. The expansion of renewable energy projects is likely to drive demand for fluid power equipment, aligning with global efforts to transition to cleaner energy sources. This trend not only supports market growth but also contributes to broader environmental objectives.

Sustainability and energy efficiency trends are becoming increasingly prominent within the Global Fluid Power Equipment Market Industry. As industries strive to reduce their carbon footprint, there is a growing emphasis on developing fluid power systems that consume less energy and produce fewer emissions. Innovations in hydraulic and pneumatic technologies are enabling manufacturers to create more efficient equipment that aligns with sustainability goals. For instance, the integration of energy recovery systems in hydraulic circuits can enhance overall efficiency. This shift towards sustainable practices is likely to drive market growth, as companies seek to comply with environmental regulations and meet consumer demands for greener solutions.

Technological advancements are playing a pivotal role in shaping the Global Fluid Power Equipment Market Industry. Innovations such as IoT integration, advanced control systems, and smart sensors are enhancing the performance and reliability of fluid power equipment. These technologies enable real-time monitoring and predictive maintenance, reducing downtime and improving operational efficiency. For example, the adoption of IoT in hydraulic systems allows for better data analysis and decision-making. As these technologies continue to evolve, they are expected to attract investments and drive market growth, contributing to a projected CAGR of 7.02% from 2025 to 2035.

By region, the study provides market insights into North America, Europe, Asia-Pacific, and the Rest of the World. Asia-Pacific held the largest share of the market due to the growing investment in construction activities in emerging nations, such as India and China. China is expected to account for the largest share of the regional market and India is expected to be the fastest-growing country in the region. 

The primary application area of the fluid power equipment in these sectors is fluid transfer. Such factors are likely to drive the market in the Asia-Pacific.

Further, the major countries studied in the market report are The U.S., Canada, Germany, France, the UK, Italy, Spain, China, Japan, India, Australia, South Korea, and Brazil.

Figure 3: Fluid Power Equipment Market Share By Region 2021 (%)

Source Secondary Research, Primary Research, MRFR Database, and Analyst Review

The major market players are investing a lot of money in R&D to expand their product lines, which will spur further market growth. With significant market development like new product releases, contractual agreements, mergers and acquisitions, increased investments, and collaboration with other organizations, market participants are also undertaking various strategic activities to expand their presence. To grow and thrive in a market climate that is becoming more competitive and growing, competitors in the Fluid Power Equipment industry must offer affordable products.

Manufacturing locally to cut operating costs is one of the main business tactics manufacturers use in the Fluid Power Equipment industry to benefit customers and expand the market sector. The market has recently given medicine some of the most important advantages. Major market players, including Bosch Rexroth, Eaton Corporation, Parker Hannifin, Kawasaki, Daikin, and others, are attempting to increase market demand by funding R&D initiatives.

A supplier of drive and control technology is Bosch Rexroth. The business focuses on factory automation, machinery engineering and applications, and mobile machines. Its product categories include mobile hydraulics and electronics, industrial hydraulics, gear technology, tightening technology, electric motors and controls, molding and casting technology, and resistance welding.

Parker Hannifin is a manufacturer of motion and control technology and systems. It is divided into two business segments Diversified Industrial and Aerospace Systems. Diversified Industrial provides engineered materials, filtration, fluid connections, instrumentation, and motion systems. 

Fluid conveyance, fuel, fuel tank inerting, and hydraulic systems and components, as well as fluid metering, delivery, and atomization devices, wheels, brakes, pilot controls, and so on, are all provided by the Aerospace Systems section. Off-road machinery, transportation, oil and gas, industrial production equipment, power generation, healthcare and life sciences, and chemical processing are all markets served by the firm.