The global compressor oil market size was estimated to be US$ 5.75 billion in 2021 and is expected grow at a CAGR of 3.2% between 2023 to 2032.
Compressor oil is a lubricant used in air conditioning and refrigeration systems to reduce heat and cool down compressors. With its anti-rust qualities, it guarantees the proper operation of the metal components and enhances the efficiency of machinery. The exceptional oxidation stability of compressor oil and the low carbon residue result in lower operating and maintenance costs for the user. It is produced using a mixture of base oil and several additives.
The compressor oil's quality and durability are dependent on the type of base oil used, which can be synthetic, mineral, semi-synthetic, or bio-based. Thanks to its cost- and energy-saving qualities, it has many uses in various industries, including construction, general manufacturing, mining, power generation, chemical, and petrochemical.
Modern compressors are built to function better and withstand larger loads in harsh conditions. Due to their excellent durability and shelf life and the better operation of machinery and equipment, consumers require high-quality lubricants that can endure extreme temperatures and pressure.
In response, several manufacturers created single compressor oils that include anti-foaming, antioxidant, waterproofing, and rust-prevention properties. High-quality compressor oil is in high demand in Europe and North America due to increased consumer education and purchasing power. The need for high-quality compressor oil is growing not only in developed countries but also in emerging countries due to the longer drain interval of high-quality compressor oils in various equipment that provides cost savings.
Market Growth Drivers:
One of the main factors driving the consumption of such oils is the sharp increase in demand from the expanding end-use sectors, such as power generation, automotive, oil & gas, manufacturing, and construction, across developing nations like China, India, Brazil, Thailand, and Vietnam. Additionally, it is anticipated that these nations' growing industrialization will increase demand in the upcoming years, supporting the expansion of the compressor oil market.
The market is split into positive displacement and dynamic compressors based on the kind of compressor. Due to its widespread adoption in small and medium-sized companies, the buoyant displacement sector held the largest market share. Additionally, several benefits, including greater efficiency, a high-pressure ratio for a relatively compact size, and cheaper cost, are accelerating the market expansion of positive displacement compressors.
Rotary and reciprocating compressors are further divisions of the positive displacement compressor. The market's largest share belonged to the sector of rotary compressors. Also divided into the in-line, diaphragm, tandem piston, double-acting, "v" shaped, and single-acting reciprocating compressors. Additionally, the screw, lobe and scroll, and vane are types of rotatory compressors. Centrifugal and axial compressors are further divisions of the dynamic compressor.
The market is segmented into portable and stationary segments based on portability. In terms of both portable and fixed units, the static segment dominated the compressor market.
The market is classified into two categories based on lubrication: oil-free and oil-flooded. Due to rising demand from the beverage & food, and chemical sectors, the oil-free category is predicted to develop at the fastest rate of all the lubrication types in the market.
The market is separated into five categories according to pressure: ultra-low, high, medium, low, and hyper-pressure. Due to the growing use in the chemical, textile, automotive, and cement sectors, low pressure accounted for the most significant proportion of all forces in the compressor industry.
The United States is anticipated to continue to be a global market leader for compressor oil. The demand for and use of various compressors has increased due to the expansion of industries such as oil and gas, transportation, power generation, food and beverage, chemical, and others.
More than 60% of the world's population lives in Asia, where the general manufacturing sector is thriving to meet the demand for consumer goods. This is driving up the need for compressors and favourably affecting the growth rate of the region's product markets.
The Chinese compressor oil market has grown significantly due to the rise of numerous end-use industries. Due to rising end-use industry demand, compressor oil sales in China are also anticipated to rise over the projected year.
The industrialization of India has greatly aided the growth of the compressor oil industry. Throughout the predicted period, demand for electricity and power supply will increase due to a developing economy.
Additionally, it is anticipated that Germany will make up about one-fifth of the entire European market for compressor oil.
Growth Limiting Factors:
Although compressor oil has several benefits that aid in boosting manufacturing productivity, the oil's high cost has caused manufacturers and industrialists to switch to oil-free compressors, which are considerably less expensive. As a result, the compressor oil market will probably see some effects throughout the forecast period.
BASF SE, B.P. plc., Chevron Corporation, Croda International plc., Exxon Mobil Corporation, Fuchs Petrolub AG, Lukoil, Royal Dutch Shell plc, Sasol Limited, Sinopec Limited, The Dow Chemical Company, and Total S.A., among others.
By Base Oil:
By Compressor Type:
By End-Use Industry:
Compressor oil is widely used in many industries, including construction, mining, power generation, chemical, etc., where it helps to dissipate heat and control the compressor's temperature. This is what is mainly driving the worldwide compressor oil market.
The manufacturing sector is anticipated to continue being the primary end-user of compressor oil. Pharmaceuticals, food and beverage production, metal and mining, air gas separation, and other industries are included in the manufacturing sector.
On the global market for compressor oil, synthetic oil is expected to continue to dominate sales.
The global compressor oil market is estimated to exhibit a CAGR of 3.2% from 2023 to 2032.
The compressor oil market size was estimated to be US$ 5.75 billion in 2021.
United state is expected to account for the largest share of the compressor oil market.
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