Fluid Transfer System Market

Global Fluid Transfer System Market Size (2024 to 2032)

The global fluid transfer system market was valued at USD 21.19 billion in 2023 and is anticipated to reach USD 22.40 billion in 2024 from USD 36.35 billion by 2032, growing at a compound annual growth rate (CAGR) of 6.18% during the forecast period from 2024 to 2032.

MARKET DRIVERS

A fluid transfer system is an integral part of an engine or a machine that transfers fuel from one component to another for smooth performance and proper functionality.

The spike in the purchase of automobiles globally is acting as a primary factor for the growth in the global fluid transfer system market. In addition, the boom in the manufacturing, chemical, and other industries is acting as a catalyst for the rapid adoption of these systems to handle several processes like liquid handling, cooling, fluid flow, heat transfer, and water desalination. Also, the growing emphasis on conserving energy and reducing environmental damage, along with the stringent government regulations to improve fuel efficiency, is pushing companies in this market to come up with new ideas and innovations. Besides, the recent developments in technology have resulted in the creation of more reliable and portable fluid transfer systems with advanced features such as smart sensors. The surge in opportunities to operate in overseas markets has opened new avenues for players in the fluid transfer system market to explore and expand their operations.

The booming e-commerce industry has created extensive potential for the transportation and logistics sectors that are completely dependent on vehicles, supporting the fluid transfer system market. Also, these fluid transfer systems offer more protection in industries like manufacturing and automobiles by avoiding leakages and decreasing downtime. Further, the expanding highway network is promoting the movement of many vehicles, which is a boon to the fluid transfer system business. Moreover, continuous innovations through collaborations between original equipment manufacturers and different industry players are likely to generate new growth opportunities for the global fluid transfer system market in the coming days.

MARKET RESTRAINTS

The major constraint in the fluid transfer system market is the high dependency of the business on only a few industries like oil & gas, automotive, and manufacturing. Also, several geopolitical and economic factors lead to uncertainty or disruptions in the supply of raw materials that are pivotal in the production of these transfer systems. In addition, the expenses associated with the development of advanced systems can act as a barrier to some of the new entrants to the fluid transfer system market. The limitations of the existing products in terms of durability, along with the availability of other affordable options, are further inhibiting the market’s growth rate. Besides, the issues surrounding the installation, maintenance, and repair of the systems can indirectly pull the global market growth in an unfavorable direction. Furthermore, the lack of proper awareness about the benefits of fluid transfer systems in the long run and increasing emphasis on switching from internal combustion engines to electric vehicles can act as a threat to the fluid transfer systems market over the forecast period.

Impact Of COVID-19 On The Fluid Transfer System Market

The COVID-19 pandemic had a huge impact on the fluid transfer system market due to disruptions to the supply chain and restricted movements across the globe. The lockdown situation globally changed consumer priorities towards essentials, restricting the purchase of vehicles. In addition, the temporary shutdown of industries led to the halt of several research and development activities in the automotive industry. Market instability, along with uncertainty in the adoption of new processes, limited most companies' ability to slow down their investments in innovations, which affected the fluid transfer system market. In addition, several governments have shifted investments towards essentials during COVID-19, which impacted the additional investments and developments in the automobile sector. Moreover, the strict lockdown conditions and safety protocols resulted in a decrease in workers at the manufacturing units and a shortage of raw materials, leading to a negative impact on the entire fluid transfer system business. However, the pandemic also highlighted the significance of clean energy and pollution-free society, which in the long run will definitely benefit the EV and hybrid vehicles market, creating new opportunities for the fluid transfer system market.

REPORT COVERAGE

SEGMENTAL ANALYSIS

Fluid Transfer System Market By Equipment Type

The air suspension lines segment is poised to witness promising growth in the foreseen period. Typically made of thermoplastic material, these suspension lines offer various advantages, like air sealing. The increasing commercial activities are creating demand for more heavy-duty vehicles that prefer the use of air suspension coils compared to spring coils. The air suspension coils are extensively used in trucks to maintain durability in irregular terrains and offer high performance. Latin America and Asia Pacific witnessed huge adoption of these suspension lines in recent times. In addition, AC lines are also expected to register notable growth in the period owing to the spike in the purchase of luxury vehicles and improved innovations from product manufacturers. Although SCR and DPF lines are in demand from diesel engine manufacturers, they might face a downtrend with more shift towards electric and hybrid vehicles.

Fluid Transfer System Market By Vehicle Type

The light commercial vehicles segment accounted for a notable share of the fluid transfer systems market in 2022. However, with the increasing technological advancements, heavy vehicles like trucks and agricultural tractors are likely to overtake the business in the coming years.

Fluid Transfer System Market By Material

There is a huge requirement in the market for lightweight components that can reduce the total weight of the vehicle, thereby decreasing the final prices and improving fuel efficiency. Therefore, the demand for materials such as aluminum and thermoplastics has exploded in recent years. In addition, new manufacturing methods were employed to decrease the weight and increase the strength of the steel products used in the vehicles. Nonetheless, the original equipment manufacturers are continuously researching different materials that can offer more durability at cheaper prices.

Fluid Transfer System Market By EV Type

Battery electric vehicles (BEVs) are foreseen to record the highest growth in this segment due to the rapid switch in population from internal combustion engine-based vehicles to electric vehicles. The supporting government incentives and tax benefits are encouraging more customers towards BEVs, which directly boosts the fluid transfer system market. BEVs majorly use AC lines, air suspension lines and brake lines, avoiding the traditional SCR, turbo coolant and DPF lines. In addition, the flourishing need for long-range driving and quick battery charging is estimated to create more business potential for battery cooling lines.

REGIONAL ANALYSIS

Asia Pacific holds the lion’s share in the global fluid transfer system market and is expected to continue a similar growth trend in the forecast period. The surge in government initiatives to encourage electric vehicles and control carbon emissions is supporting the regional fluid transfer system business. China is the leading market in the Asia Pacific, with the presence of large manufacturing units and huge automobile usage. Also, the government funding to modernize the agricultural industry, which includes the tractors, is indirectly promoting the sales of the fluid transfer systems. Moreover, the rising transition to electric vehicles in both passenger and commercial activities is anticipated to boost the fluid transfer system market in this region.

Europe is predicted to witness a tremendous growth rate in the market with increasing investments from both government and private organizations towards electric and hybrid vehicles. The rising emphasis on curbing air pollution and the emission of greenhouse gases is pushing towards more alternative solutions like EVs, which are beneficial to the fluid transfer system market.

North America is also a prominent player in this market with an expanding truck network and transition towards electrification of the vehicles. North America is also home to some of the leading players in the automotive sector who are investing in several new innovations.

Latin American and Middle Easter and African regions holds a smaller share in the global fluid transfer system market. However, these areas are estimated to witness considerable growth in the forecast period due to the rise in foreign investment and steadiness in the financial ecosystem.

KEY MARKET PLAYERS

Continental AG, Akwel, ContiTech AG, Kongsberg Automotive, Gates Corporation, Hutchinson SA, TI Fluid Systems, Tristone Flowtech Holding SAS, Lander Automotive LTD, Cooper Standard, Castello Italia SpA, AGS Company, Graco Inc., Sanoh Industrial Co., Ltd., Parker Hannifin Corporation, Yamada America, Inc., and Pirtek Fluid Systems.

RECENT HAPPENINGS IN THE GLOBAL FLUID TRANSFER SYSTEM MARKET

• In December 2022, Graco Inc., a key player in fluid handling tools, launched its QUANTM pump, which is a double diaphragm pump with enhanced performance to fit any kind of application associated with fluid transfer.
• In May 2023, Eastman, a leading specialty materials company, launched its Fluid Genius, which offers advanced predictive trends to business leaders to monitor the performance of heat transfer fluid using artificial intelligence.
• In October 2023, Watson-Marlow Fluid Technology Solutions introduced its Bredel hose pumps to support fluid transfer applications and handle more solid content in the food and beverages industry.

DETAILED SEGMENTATION OF THE GLOBAL FLUID TRANSFER SYSTEM MARKET INCLUDED IN THIS REPORT

This research report on the fluid transfer system market is segmented and sub-segmented into the following categories.

By Equipment Type

• Air Suspension Lines
• AC Lines
• Brake Lines
• Selective Catalytic Reduction (SCR) Lines
• Diesel Particulate Filter (DPF) Lines
• Fuel Lines
• Turbo Coolant Lines
• Transmission Oil Control Lines

By Vehicle Type

• Passenger Cars
• Light Commercial Vehicles
• Trucks
• Buses
• Agricultural Tractors
• Construction Equipment
• Mining Equipment

By Material

• Stainless Steel
• Nylon
• Rubber
• Aluminium
• Others

By EV Type

• Battery
• Hybrid
• Plug-in Hybrid

By Region

• North America
• Europe
• Asia Pacific
• Latin America
• The Middle East and Africa