Global Statistics Representing Heat Transfer Fluids (HTFs) Market Scenario
A heat transfer fluid is a gas or, specifically, liquid that is used to prevent a device from overheating or to store thermal energy. It flows inside a system or device so as to transfer the heat outside that particular device or system, thereby preventing overheating. Increasing demand for HTFs in industries such as chemical processing, automotive, and oil & gas for heat transfer applications is positively influencing the heat transfer fluids market. The heat transfer fluid market has observed significant growth over the past few years, against the backdrop of a growing manufacturing sector and rising demand for primary energy in developed and emerging economies.
The increasing demand for application-based HTFs for optimum energy competence is projected to drive the growth of the heat transfer fluid market. Heat transfer fluids enable higher cost savings as compared to their counterparts such as electric and steam, and exhibit high temperature control properties, which contribute to the growth momentum in the market.
The global heat transfer fluids market was valued at USD 1441.11 Million in 2018 and is expected to reach USD 2435.66 million by 2026, with an anticipated CAGR of 6.78% during the forecast period, 2019–2026.
Global heat transfer fluids market can be segmented by type, and end-use industry.
By type, heat transfer fluids market can be segmented into mineral oil, silicon & aromatics, and glycols. The silicones & aromatics segment is pegged to register the highest growth, owing to the increasing demand for synthetic thermal oils from oil and gas (O&G) and chemical sectors. Furthermore, silicone & aromatic HTFs, owing to their desirable properties such as inertness, corrosion resistance, nontoxicity, and low volatility, are widely used in spin and weave, plastics, wood processes, chemical industries.
By end-use industry, heat transfer fluids market can be segmented into chemical processing, automotive, oil & gas, renewable energy, pharmaceuticals, and food & beverages. Chemical processing is the leading end-use industries for the heat transfer fluids market, followed by renewable energy, owing to the high demand for all types of thermic fluids. The segment is expected to significantly contribute to market growth as energy recovery and heat recovery play an important role in chemical processing. Furthermore, increasing demand for thermic fluids in concentrated solar power projects is also expected to spur the demand for energy from renewable sources.
Geographically, global heat transfer fluids market can be segmented into North America, Europe, Asia Pacific, Latin America and the Middle East & Africa.
Asia Pacific is expected to dominate heat transfer fluids market in 2017 and is projected to retain its prominent position throughout the forecast period. The region’s dominance can be attributed to its lower dependence on imports, increasing production capacity, growing population, and enhanced standard of living. Moreover, increasing number of solar power project installations and growth in chemical and processing industries are expected to foster market growth in the years to come. Another factor influencing the growth of the heat transfer fluid market is the increasing demand for renewable energy in emerging economies such as China, India and Japan.
Europe is likely to accounts largest share in the global heat transfer fluids market, owing the region’s growing population, and growing energy sector, driven by the accrued energy demand. Germany and Spain account for prominent market shares in the region, owing to the growing industrial expansion in these countries.
North America is a developing region for the heat transfer fluids market. A noteworthy trend witnessed in the region is the focus on utilizing the energy released during various processes across key industries such as concentrated solar power plants, chemical, and HVAC. Furthermore, the market is expected to grow in tandem with the chemical and processing sectors in the region.
The Middle East & Africa region witnessing notable share in the heat transfer fluids market, but the region is slated to have growth potential in the future. Growing natural gas production, mainly in the Gulf Cooperation Council (GCC), is expected to support market growth in coming years. Moreover, evolution in natural gas production is also projected to positively influence the demand for synthetic lubricants along with heat transfer fluids. The enhanced performance delivered by thermic fluids along with the increasing number of applications in the industrial sector are some of the other key factors driving the heat transfer fluid market in the region.
Latin America is witnessing lucrative growth in the renewable energy segment. Solar PV technology has been playing an increasingly important role in facilitating energy access across Latin America. Moreover, lower capital expenditure and improvements in equipment efficiency and capacity factors are collectively driving down the cost of solar PV technology.
Some of the key players in global heat transfer fluids market are Dow (U.S.), Eastman (U.S.), Exxon Mobil (U.S.), Chevron (U.S.), Paratherm (U.S.), BASF (Germany), Lanxess (Germany), Huntsman (U.S.), Global Heat Transfer (U.K.), Royal Dutch Shell plc (Netherlands), Phillips 66 (U.S.), Arkema (France), Schultz Canada Chemicals Ltd. (Canada), and Radco Industries (U.S.).
Heat Transfer Fluids Market Segmentation
By End-Use Industry