Compressed Air Treatment Equipment Market

Market Overview

The global compressed air treatment equipment market size was valued at USD 8.38 billion in 2022. It is estimated to reach USD 14.40 billion by 2031, growing at a CAGR of 6.2% during the forecast period (2023–2031). Special applications, particularly in the medical sector, require high degrees of air purification, driving the compressed air treatment equipment market growth.

Before the air enters the air compressor, it goes through a process known as compressed air treatment equipment, which dehumidifies and cleans the air. This system removes particles and reduces the dew point, which might affect the air compressor. Air dryers, filters, and aftercoolers are all components of compressed air treatment systems. A condensate trap, an air cooler, a filter, an air receiver tank, and a distribution system are all parts that make up this device. It finds widespread application in various products, including paint sprays, conveyor systems, robotic arms, drills, jackhammers, and even nitrogen generators.

Compressed air treatment provides several benefits, including minimizing rust and corrosion, increasing operational productivity, and compacting compressed air. Applications can be found for it in various end-user industries, including the chemical, healthcare, pharmaceutical, automotive, and aerospace industries, as well as the food and beverage industries. Growth in the demand for clean air and dry compressed air to provide a long life for machines that compress air, such as compressors and pneumatic devices. Growth in using precise engineering machines and increased manufacturing expertise boosts productivity.

Market Dynamics

Global Compressed Air Treatment Equipment Market Drivers

Demand From Diverse Application Areas

Compressed air treatment equipment is essential in various industrial sectors, including food, healthcare, pharmaceutical, and electronics/semiconductor industries. It is used for various tasks such as spray coating, valve operation, vacuum, packing, and cleaning. The clean and dry air supply is crucial for cost-effective and efficient production, leading to market growth in compressed air filter equipment.

However, water, oil, and dirt deposits on pipes and fittings can cause increased pressure to drop, resulting in loss of energy used to compress air. This leads to reduced performance efficiency and increased use of air filters in manufacturing operations. Compressed air is also used in food and beverage, healthcare, pharmaceutical, and electronics/semiconductor industries, ensuring contaminant-free compressed air for food product protection. Special applications, particularly in the medical sector, also require high degrees of air purification, driving the market growth.

Need to Achieve Energy Efficiency

Compressed air treatment equipment is a crucial component of air compressors, ensuring the reliability of filtration systems to prevent contaminants from entering the air system. These contaminants can damage production equipment, tools, motors, valves, cylinders, and corrosion within pressure vessels. Without filters, these systems can lead to inefficient production processes, damaged products, reduced efficiency, and increased manufacturing costs. Compressed air treatment equipment minimizes production loss by increasing supply reliability, enhancing safety and health, detecting leaks, upgrading inefficient equipment, and adjusting controls.

It also saves energy, improves manufacturing processes, reduces plant noise, and enhances system reliability. Special filters remove germs and viruses, producing sterile compressed air. These filters minimize pressure drop and energy consumption, improving efficiency and driving market growth. The net gain of using an efficient compressed air filter at the point of use is more than the initial investment.

Global Compressed Air Treatment Equipment Market Restraint

Expensive Equipment

A compressed air system uses watering plants to give people clean air. Different end-use businesses require different air quality levels. The number of pollutants and how dry the air is are two things that set low air quality apart from high air quality. But better air costs more, so air treatment equipment is expensive and may slow the compressed air treatment equipment market growth. For high-quality air to be made, more air treatment equipment is needed. This increases the initial capital investment and makes the system more expensive for upkeep costs and energy use. The price of air treatment equipment is often a factor in deciding whether or not to buy it. This is expected to be another challenge for the compressed air treatment equipment market.

Global Compressed Air Treatment Equipment Market Opportunities

Advent of Smart Systems

The compressed air treatment industry is experiencing significant growth due to innovation, global competition, and new technologies. Companies invest in research and development to create advanced, energy-efficient, cost-effective products. The Industry 4.0 revolution, driven by data exchange and automation, will drive market growth in the next seven years. Compressed air treatment solution providers are implementing smart technologies to improve equipment performance.

Kaeser Kompressoren has introduced the SIGMA AIR MANAGER 4.0, an advanced compressed air management system that enhances reliability and efficiency through adaptive 3-D Advanced Control. LOOXR GmbH, a German company, has introduced intelligent software for smart compressed air systems that optimize costs, save energy, and increase reliability. The software can be fitted to existing compressed air systems and digitized without new equipment purchase. With more market players developing smart technologies for new and existing equipment, the market is expected to grow steadily over the forecast period.

Regional Analysis

Based on region, the global compressed air treatment equipment market share is bifurcated into North America, Europe, Asia-Pacific, South America, and the Middle East and Africa.

North America Dominates the Global Market

North America is the most significant global compressed air treatment equipment market shareholder and is estimated to exhibit a CAGR of 7.4% over the forecast period. Since North America holds a sizeable portion of the international market for compressed air treatment equipment, this part of the world is considered the most significant market for selling goods. The market's growth can be attributed to a variety of factors, including the presence of important market participants, stringent air quality regulations, and well-established industrial sectors in the area. A lot of these components have helped bring about this expansion. The United States and Canada, together with several other countries, are the ones that have made the most substantial contributions to the market in this part of the world.

Europe is anticipated to exhibit a CAGR of 7.0% over the forecast period. Compressed air treatment equipment is typically produced in Europe, which is also the location of a sizeable section of the industry responsible for producing this equipment worldwide. Maintaining great air quality standards is a priority for several nations, including Germany, the United Kingdom, France, and Italy; these nations have sizable manufacturing and production bases. The region's emphasis on energy efficiency, environmental sustainability, and legislation about compressed air consumption is driving the market's growth. In other words, these factors are driving the market. In addition, this concentration is one of the key drivers responsible for expanding the market.

The Asia-Pacific region has only recently been identified as a market for compressed air treatment equipment that is seeing massive growth. As a consequence of the considerable increases in industrial output that are taking place in several countries, including China, Japan, India, and South Korea, there has been a growth in the demand for compressed air treatment solutions in these countries. The expansion of the region's manufacturing sector, rising worries about air pollution, and actions made by the government to boost industrial efficiency are the key drivers driving the market's growth. In addition, expanding the region's manufacturing sector is one of the primary factors driving the market's growth.

The compressed air treatment equipment market in South America has expanded significantly in recent years. Countries such as Brazil, Argentina, and Chile are investing in developing industrial infrastructure and adopting solutions to treat compressed air to improve manufacturing processes. The growth of the region's manufacturing, oil, gas, and automotive industries are all factors that contribute to the market's rise.

The Middle East and Africa region is steadily progressing toward adopting various solutions involving compressed air treatment equipment. Countries such as the United Arab Emirates, Saudi Arabia, and South Africa are experiencing a boom in their industrial sector and progress in their infrastructure. The expansion of the market is being driven by the demand for compressed air that is both dependable and free of contaminants in industries such as the oil and gas industry, the petrochemical industry, and the food and beverage industry.

Segmental Analysis

The global compressed air treatment equipment market is bifurcated into product and end-user.

Based on the product, the global compressed air treatment equipment market is bifurcated into filters, dryers, and aftercoolers. 

The filters segment owns the highest market share and is predicted to exhibit a CAGR of 7.7% over the forecast period. The filter market is anticipated to expand due to their minimal energy consumption, easy functioning, and capacity to provide clients with both security and adaptability in their products. These aspects are important contributors to the expansion of the market. It is anticipated that the availability of high-performance filters that contribute to a reduction in pressure loss of around 40–50% will be a significant driver of market expansion over the following years. This expansion is expected to take place. This growth is projected to occur in the years after these. It is projected that this growth will take place throughout the subsequent years.

Based on end-users, the global compressed air treatment equipment market is divided into chemical, paper, food and beverages, pharmaceuticals, and healthcare. 

The chemical segment is the most significant contributor to the market and is estimated to exhibit a CAGR of 7.4% over the forecast period. Various end-use industries, such as the chemical, paper, food and beverage, pharmaceutical, and healthcare industries, substantially use the machinery and tools designed to treat compressed air. Storage issues are a common problem in the chemical business, ranging from ineffective to chaotic. Utilizing storage and handling technologies that are either extremely specialized or that are adapted particularly to the load is one possible solution for getting around this challenge. It is projected that an increase in product demand will be the primary driver of the demand. This is because of the extensive application of the product in various chemical processes.

Recent Developments

• November 2023- Hitachi Global Air Power US, Michigan City, Ind., purchased General Air Compressors North, Modesto, Calif. General Air Compressors North provides sales and service of air compressors, air treatment products, accessories, and related equipment.
• October 2022- Ingersoll Rand Inc. (NYSE: IR), a global provider of mission-critical flow creation and industrial solutions, acquired SPX FLOW’s Air Treatment business for approximately USD 525 million.