Heat Transfer Fluids Industry

The global heat transfer fluids market size was estimated at USD 11.06 billion in 2023 and is anticipated to grow at a compound annual growth rate (CAGR) of 3.7% from 2024 to 2030. The rapid adoption of concentrated solar power globally is one of the major factors driving demand. Heat transfer fluids are industrial products derived from petroleum sources that prevent overheating and store thermal energy. The primary raw materials involved in production are crude oil, silica, and base oils. The essential characteristics that define a heat transfer fluid are low viscosity, non-corrosive nature, high thermal conductivity and diffusivity, and extreme phase transition temperatures.

Heat transfer fluids are traditionally used for the sole purpose of transferring heat to the process stream. However, the selection of the right HTF is a multi-dimensional complication wherein factors such as pumpability, thermal stability, and pressure requirements are put into consideration. Heat transfer fluids are gaining significant importance in their applications, such as extracting heat from the sun in concentrated solar panels to processing gas & oil in cold climatic conditions.

Gather more insights about the market drivers, restrains and growth of the Global Heat Transfer Fluids market

Heat Transfer Fluids Market Segments:

Market Concentration & Characteristics

The heat transfer fluids market is moderately consolidated in nature with the presence of large players like Dow Inc, Exxon Mobil Corporation, British Petroleum, Eastman Chemical Company and Royal Dutch Shell operating in the market. Market players are adopting the product differentiation strategy that insulated them from price wars.

Product Insights

Glycol-based heat transfer fluids form the fastest-growing product category as they exhibit excellent antifreeze properties; the segment is anticipated to exhibit a revenue CAGR of 4.1% over the forecast period. Bio-based glycols are increasingly gaining significance as one of the critical ingredients in heat transfer fluid formulations, as they are compatible with high and low-temperature applications.

Mineral oils are generally utilized in diverse convenient radiator heaters, which are used broadly for commercial and residential applications. These oils have a high level of resistance toward chemical oxidation and thermal cracking and are simultaneously non-toxic and non-corrosive. They provide high thermal conductivity and specific heat, which helps them efficiently transfer heat. Mineral oils are also used in multiple heat transfer mediums but have a high degradation rate when exposed to higher temperatures.

Application Insights

The oil and gas segment dominated the market with a revenue share of 22.2% in 2023. The oil & gas processing dynamics require very specific heat transfer fluids that are formulated to suit desired temperatures and compatibility. These products find application in processes such as recycling, production, refining, and transportation. Offshore platforms utilize heat transfer liquid in the aqueous phase for regenerating glycols and facility heating, which eventually removes water from the produced natural gas.

Regional Insights

Asia Pacific heat transfer fluid market is the dominant market with key macroeconomic indicators, such as high per capita income and manufacturing output, supporting market growth. The region accounted for a market share of 47.9% in 2023. The use of heating, ventilation, and air conditioning (HVAC) systems is growing tremendously in the Asia Pacific region because of the increasing population, changing climatic conditions, increasing urbanization, and demographic changes in the two economic giants, India and China. These two factors are likely to drive the growth of the Asia Pacific heat transfer fluid market.

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Key Companies & Market Share Insights

Key companies are adopting several organic and inorganic growth strategies, such as capacity expansion, mergers & acquisitions, and joint ventures, to maintain and expand their market share.

• In September 2023, Valvoline invested in a European manufacturer of heat transfer fluids in order to broaden its product portfolio and cater to the consumers globally.
• In May 2023, ORLEN Południe announced the completion of the first operational year of its BioPG plant, involving the conversion of glycerol into renewable propylene glycol. BASF provided its BioPG technology for the purpose, while Air Liquide Engineering & Construction contributed with the licensing, proprietary equipment, and basic engineering services
• In February 2022, Chevron announced the agreement to acquire Renewable Energy Group which further helped the company in delivering lower carbon energy.
• In May 2023, ORLEN Południe announced the completion of the first operational year of its BioPG plant, involving the conversion of glycerol into renewable propylene glycol. BASF provided its BioPG technology for the purpose, while Air Liquide Engineering & Construction contributed with the licensing, proprietary equipment, and basic engineering services

Key Heat Transfer Fluids Companies:

• Dynalene, Inc.
• Indian Oil Corporation Ltd. (IOCL)
• KOST USA, Inc.
• Hindustan Petroleum Corporation Ltd. (HPCL)Delta Western, Inc. (DWI)
• British Petroleum (BP)
• Huntsman Corporation
• Royal Dutch Shell Plc
• Eastman Chemical Company
• Phillips 66
• Chevron Co.
• BASF SE
• Exxon Mobil
• DowDuPont Chemicals
• Dalian Richfortune Chemicals Ltd.
• GJ Chemical
• Radco Industries Inc.
• LANXESS AG
• Schultz Chemicals
• Sasol Limited
• Evermore Trading Corporation
• Tashkent Industrial Oil Corporation
• Shaeffer Manufacturing Co.
• Paras Lubricants Limited.

Segments Covered in the Report

Grand View Research has segmented the global heat transfer fluids market based on product, application, and region:

Heat Transfer Fluids Product Outlook (Volume, Kilotons; Revenue, USD Million, 2018 - 2030)

• Silicone Fluids
  • Oil & Gas
  • Chemical Industry
  • CSP
  • Food & Beverages
  • Plastics
  • Pharmaceuticals
  • HVAC
  • Others
• Aromatic Fluids
  • Oil & Gas
  • Chemical Industry
  • CSP
  • Food & Beverages
  • Plastics
  • Pharmaceuticals
  • HVAC
  • Others
• Mineral Oils
• Glycol-based Fluids
• Other (Including Molten Salts & HFPE)

Heat Transfer Fluids Application Outlook (Volume, Kilotons; Revenue, USD Million, 2018 - 2030)

• Oil & Gas
• Chemical Industry
• CSP
• Food & Beverages
• Plastics
• Pharmaceuticals
• HVAC
• Others

Heat Transfer Fluids Regional Outlook (Volume, Kilotons; Revenue, USD Million, 2018 - 2030)

• North America
  • US
  • Canada
  • Mexico
• Europe
  • Germany
  • UK
  • Russia
• Asia Pacific
  • China
  • India
  • Japan
  • South Korea
  • Thailand
  • Malaysia
  • Australia
• Central & South America
  • Brazil
• Middle East & Africa
  • Africa
  • Saudi Arabia

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