Heat Transfer Fluid Market is projected to be worth USD 6.82 billion by 2028, registering a CAGR of 5.87% during the forecast period (2021 - 2028), The market was valued at USD 3.28 billion in 2021.
Heat Transfer Fluid is fluid or gas produced for the transmission of heat from one system to another. The fluid is produced from pre petroleum and synthetically formulated silicone and hydrocarbons. They offer low system pressure and high temperature; they are easy to maintain, provide safety and durability. All these properties play a huge role in the Heat Transfer Fluid market growth.
Heat Transfer Fluids have wide applications in the oil and gas, chemical, and renewable energy sectors. In the chemical processing sector, heat transfer is required for the indirect heating process of polymers and liquids, pipeline tracing, gas processing, single fluid batch processing, drying and heating bulk materials, low-pressure cogeneration, and gas processing. The increasing demand for chemicals in various sectors such as automotive, construction, electronics, consumer goods, health, and nutrition, has propelled the production of chemicals; as a result, the demand for Heat Transfer Fluid, ultimately increasing the Heat Transfer Fluid market size.
Also, Heat Transfer Fluid is highly used in the solar energy sector for solar energy generation and solar thermal storage. Heat Transfer Fluid is issued to collect the heart's energy and then transfers the heat to a power station. The rapid adoption of solar energy and renewable energy has increased the Heat Transfer Fluid market growth. The major countries like China, Spain, and India have highly invested in solar energy to meet the energy needs and to reduce carbon emissions. As a result, it will further boost the Heat Transfer Fluid market trends. The Heat Transfer Fluid market is all set to grow at a faster rate in the forecast period.
The rapid spread of coronavirus has become a major problem for the world. More than 100 countries are suffering because of this covid-19 pandemic. The spread of the coronavirus has affected the global economy, and the economy is in the worst shape ever since the 1930s. Many countries have imposed lockdown and social distancing guidelines to reduce virus transmission; due to this, the production of products is halted. Due to lack of production, the supply is less, and as a result, the demand for products has declined. So many sectors are affected due to this, and they are witnessing huge losses. As Heat Transfer Fluid is used in the manufacturing process of chemicals and products, its demand has decreased due to the low production of products. As a result, the Heat Transfer Fluid market trends declined. Further, the travel restriction has also affected the Heat Transfer Fluid market. It is expected that the Heat Transfer Fluid market will come back to normal after the post-Covid situation.
Drivers in the Heat Transfer Fluid market
One of the major drivers in the Heat Transfer Fluid market is the increasing use of solar energy. Heat Transfer Fluid is used to transfer heat in renewable energy technology. So the demand for solar energy in the major countries has propelled the demand of the Heat Transfer Fluid market. The demand for renewable energy is increasing, and the government is also taking initiatives to reduce carbon emissions. As a result, the countries have set up big solar plants, and it will boost the growth of the Heat Transfer Fluid industry. According to the U.S. Department of Energy, the solar power capacity has grown 97.2 GW in the U.S. Apart from that, Heat Transfer Fluid is issued in various chemicals and the production of various products, and it has increased the demand of the market.
Heat Transfer Fluid has better heat transfer ability than petroleum oil. They offer great oxidation and thermal stability, which is why they are widely used in heat transfer systems, molds, laminating rolls, chemical processing equipment, and dyes in the rubber and plastic industries. And aluminum alloys. Besides reducing energy consumption and operating costs, Heat Transfer Fluid has improved quality, high production volume, and low maintenance. All these properties have a positive impact on the Heat Transfer Fluid market.
The energy conservation need has increased rapidly due to energy scarcity and environmental safety rules in the past few years. This has increased the demand for energy transfer devices. For energy use in an efficient way, the application of heat management is very crucial. In this case, Heat Transfer Fluid will play a crucial role by offering better energy management solutions to use heat better and more productive. Heat Transfer Fluid has already provided better solutions that have improved the energy efficiency, lowered the cost and the management. All these factors will bring opportunities for the Heat Transfer Fluid market.
The application of Heat Transfer Fluid in plastic, metal, and chemical products can lead to an explosion. That is why the use of it becomes very important. These fluids have high flashpoint, and it falls under the dangerous substances. Also, these fluids degrade over time, making fluids explosive, restraining the Heat Transfer Fluid market growth.
The fluctuating raw material prices are one of the major challenges for the manufactures. The raw materials used in the production of Heat Transfer Fluids are benzene, glycol, phenol, and other materials. The rise or fall of the prices of these materials affects production. The manufactures have to deal with this, and it can reduce their profit margin, and it has become a major challenge for the Heat Transfer Fluid market.
Cumulative growth analysis
The wide range of applications of Heat Transfer Fluid in various sectors will help the Heat Transfer Fluid market grow in the forecast period. The rapid adoption of solar technology in various regions will boost the Heat Transfer Fluid industry demand in the future, and the market is expected to register a healthy CAGR of 5.7% in the forecast period.
The Heat Transfer Fluid market is divided based on type and application.
Based on type, the Heat Transfer Fluid industry is divided into mineral oils, glycols and Nano-fluids, synthetic fluids, silicones, and aromatics. The mineral oils segment holds the highest Heat Transfer Fluid market share because it is the largest type of heat transfer fluids due to its increasing demand in the end-use industries and chemical processing. It has slow prices, and that is why many products manufacturers use it. Synthetic fluids are the faster-growing segment in the market due to their high thermal stability and enhanced lubricity.
By application, the Heat Transfer Fluid industry is segmented into chemicals & processing, oil & gas, pharmaceuticals, renewable energy, automotive, and food & beverage. Renewable energy is expected to grow faster because solar technology, bio-based technology, and windmills grow worldwide. The chemicals & processing segment is expected to dominate the market in the forecast period and hold the highest Heat Transfer Fluid market share.
The major regions in the Heat Transfer Fluid market are Asia-pacific, North America, Europe, and the rest of the world. Among them, Asia-Pacific is expected to hold the highest share in the Heat Transfer Fluid market due to the increasing investments in the automotive sector in this region. Apart from that rising purchasing power of the people and the presence of big countries will boost the Heat Transfer Fluid market in this region. Additionally, rapid industrialization in Europe is expected to propel the Heat Transfer Fluid market in this region. North America is a highly developed and economically strong region, and it will boost the market demand in this region.
The major key players in the Heat Transfer Fluid market are
Among these key players, Huntsman Corporation (U.S.) contributes highly to the market. These key players have played a huge role in boosting the market trends.
In April 2019, Eastman acquired the Marlotherm, which is HTFs manufacturing assent in Germany. Eastman is a global energy and chemical company, and this acquisition helped the company manufacture more heat transfer products.
This global Heat Transfer Fluid market report is based on the qualitative and quantitative analysis of the market. It highlights the Heat Transfer Fluid market on the market overviews, covid-19 analysis, market dynamics, and Heat Transfer Fluid market analysis. This Heat Transfer Fluid market report also highlights regional analysis, competitive landscape, and recent market development.
|Market Size||2030: USD 6.82 billion|
|CAGR||5.87% CAGR (2022-2030)|
|Forecast Period||2022 to 2030|
|Historical Data||2019 & 2020|
|Forecast Units||Value (USD Million)|
|Report Coverage||Revenue Forecast, Competitive Landscape, Growth Factors, and Trends|
|Segments Covered||Type , End-Use industries|
|Geographies Covered||North America, Europe, Asia-Pacific, and Rest of the World (RoW)|
|Key Vendors||DOW (U.S), Exxonmobil (U.S), Chevron (U.S), Paratherm (U.S), BASF (Germany), Lanxess (Germany), Huntsman Corporation (U.S), and Global Heat Transfer Ltd. (Canada). Royal Dutch Shell plc (Netherlands), Phillips 66 (U.S), Arkema (France), Schultz Canada Chemicals Ltd. (Canada), and Radco Industries (U.S) are among others.|
|Key Market Opportunities||New product launches and R&D Amongst major key Players|
|Key Market Drivers||
Frequently Asked Questions (FAQ) :
The global heat transfer fluid market is likely to witness a substantial market valuation owing to the increasing oil and gas sector operations acorss the globe.
The global heat transfer fluid market is projected to register a moderate 5.87% CAGR in the forecast period.
The silicones and aromatics segment is slated to expand as the fastest-growing segment.
The oil and gas segment is slated to expand as the fastest-growing segment.
A few major market players operating in the global heat transfer fluid market are Phillips 66 (U.S), Schultz Canada Chemicals Ltd. (Canada), Arkema (France), and Radco Industries (U.S), are among others.