Asia-Pacific Hydraulic Cylinder Market - 2024-2031

Overview

Asia-Pacific Hydraulic Cylinder Market reached US$ 2.9 billion in 2023 and is expected to reach US$ 4.5 billion by 2031, growing with a CAGR of 5.5% during the forecast period 2024-2031.

Despite the availability of alternative technologies like pneumatic and electrical drives, hydraulic cylinders continue to be the most efficient technique of increasing output, especially in high-pressure applications including as metal stamping and forming and large mobile equipment. The hydraulics industry trend of combining hydraulic cylinders and electronics has resulted in higher precision, enhanced usefulness, ease of use and regulated performance.

The integration has broadened the field of applications and helped to fend off competition from other technologies. The leading competitors in India's hydraulic cylinder market are focusing on enhancing their production capacity to fulfill rising demand. In April 2019, engineering products business Pennar Industries established a new production plant in Chennai to raise its production capacity to 200,000 units annually from its current 75,000 units to meet domestic and global demand.

In 2023, China is expected to be the dominant country with about 20% of Asia-Pacific hydraulic cylinder market. The region's main enterprises are growing their hydraulic cylinder production capability. For example, on April 22, 2021, Liebherr, a global manufacturing corporation, recently launched an assembly line in China. Liebherr manufactures hydraulic cylinders in Asia, primarily for the Chinese market. The hydraulic cylinders produced in the Dalian factory serve to a variety of uses, including construction machines and plant engineering.

Dynamics

Rising Demand for Automotive Industry

The automotive sector has seen an increase in demand for improved suspension systems that provide a good combination of comfort and handling. Hydraulic cylinders are widely utilized in suspension systems to provide adaptive damping and better ride quality, hence improving the overall driving experience. Safety regulations are evolving and automakers are adding more active safety measures into their vehicles.

Hydraulic cylinders are used in systems like electronic stability control and active rollover protection, which help to improve vehicle stability and prevent accidents. In December 2019, Gates also introduced a new hydraulic hose, the MXG 4K, in the Indian market. According to the business, it is the next generation of premium hydraulic products, providing a highly versatile, lightweight and compact design for first fit, industrial and automotive sectors.

Rising Demand for Construction Sector

Hydraulic cylinders have a wide range of capabilities, making them useful instruments in construction. It also provides high linear force and accurate control, making it ideal for lifting huge loads, pushing and pulling materials and controlling heavy gear such as excavators and cranes. Asia-Pacific as a whole is experiencing significant economic and population growth, that is expected to continue over time and fuel infrastructure development.

In accordance to the Asia Development Bank estimate, the region's total infrastructure needs will increase from US$ 2.8 trillion to US$ 3.1 trillion. So, the overall annual investment will range between US$ 184 billion and US$ 210 billion, which will be used for large-scale projects involving energy, road, rail, water and other infrastructure. It is projected to stimulate demand for hydraulic equipment in the construction industry.

Stringent Regulations and Presence of Alternatives

Increasing environmental rules aimed at decreasing carbon emissions and boosting energy efficiency provide issues for hydraulic cylinder makers. Compliance with environmental norms and laws may need investments in cleaner technology or the use of alternative materials, which raises production costs. Price fluctuations in raw materials such as steel, aluminum and seals have an impact on hydraulic cylinder production costs.

Raw material prices are volatile, affecting producers' profit margins and pricing tactics, resulting in market instability. Hydraulic systems require frequent maintenance to ensure peak performance and longevity. High maintenance expenses associated with hydraulic cylinders, including the replacement of seals, fluids and components, limit end-users' adoption of hydraulic systems, especially in cost-sensitive industries.

Segment Analysis

The Asia-Pacific hydraulic cylinder market is segmented based on product, specification, application and country.

Rising Demand for Hydraulic Steering in Marine Drives Segment Growth

Marine is expected to be the dominant segment with over 30% of the market during the forecast period 2024-2031. Hydraulic cylinders offer tremendous power and efficiency, making them ideal for heavy-duty marine applications. It can carry heavy loads while also providing smooth and precise movements, which are critical for marine sector operations such as steering, stabilizing and lifting. It is also noted for their endurance, which makes them ideal for aquatic conditions.

For example, on January 19, 2023, Yamaha Marine unveiled new models for 2023, including the F150, F175 and F200, which have unique integrated steering and a clean look. The new F150, F175 and F200 outboards have two options for integrated steering. The initial feature is the Integrated Digital Electro-Hydraulic Steering, which provides smooth and quick steering with adjustable parameters.

Geographical Penetration

Growing Infrastructure Development in India

India is expected to be the fastest-growing country in the Asia-Pacific hydraulic cylinder market covering over 30% of the market. The country witnessed several collaborations for development in a variety of industries. India's governments promote industrial growth through a variety of policies and investments. The measures provide a favorable climate and stimulate growth in the hydraulic cylinder sector.

For example, on August 26, 2022, Wipro Infrastructure Engineering inks a Memorandum of Understanding with the Government of Rajasthan to build a cutting-edge manufacturing plant in Jaipur for hydraulic cylinders and other items. The proposed expenditure for this facility is around INR 200 crores and it is intended to satisfy the high quality requirements required by global clients.

Competitive Landscape

The major global players in the market include Parker-Hannifin Corporation, Pacoma GmbH, Caterpillar Inc., Eaton Corporation Inc, SMC Corporation, Robert Bosch GmbH, Texas Hydraulics, Koyo Seiki Co., Ltd., Weber-Hydraulik Gmbh and HC Hydraulic Cylinder Limited.

COVID-19 Impact Analysis

The epidemic caused interruptions in globally supply networks, including the production and delivery of hydraulic cylinder components and raw materials. Factory closures, transit limitations and logistical issues hampered the supply of hydraulic cylinders throughout Asia-Pacific, causing delays in production and delivery. Many industries that use hydraulic cylinders, including as construction, manufacturing, mining and agriculture, have seen slowdowns or shutdowns due to lockdown measures and economic concerns.

In addition, the organizations took many precautions to ensure the safety and health of its staff and customers. To prevent infection, hydraulic cylinder manufacturing plants globally have used a variety of strategies. For example, in May 2021, Wipro Enterprises P Ltd., a hydraulic cylinder manufacturer, ceased production at its Chennai, India, facility. Under this plan, the corporation decided to declare three days, May 28-31, as no work days so as to break the COVID-19 spread and secure the safety of all its stakeholders.

Russia-Ukraine War Impact

Ukraine is a major manufacturer of steel, a key component in hydraulic cylinder manufacturing. The war's disruption of steel production and supply from Ukraine may result in steel shortages and price instability in Asia-Pacific, hurting hydraulic cylinder manufacturers' manufacturing costs and profitability. With probable disruptions in steel supply from Ukraine, the country's hydraulic cylinder producers seek other raw material sources, such as steel from other nations.

It results in higher demand for steel from other suppliers, influencing pricing and supply dynamics in the global steel market. In response to the Russia-Ukraine war, Asia-Pacific companies evaluated their manufacturing and supply chain plans. Diversifying suppliers, reshoring production or investigating other sourcing options could be used to reduce risks associated with geopolitical instability and supply chain disruptions.

By Product

• Single-Acting Hydraulic Cylinders
• Double-Acting Hydraulic Cylinder

By Specification

• Tie-Rod Hydraulic Cylinder
• Welded Hydraulic Cylinder

By Application

• Automotive
• Marine
• Aerospace Defense
• Mining
• Oil & Gas
• Agriculture and Farming
• Others

By Country

• China
• India
• Japan
• Australia
• Rest of Asia-Pacific

Key Developments

• In April 2022, Japanese business Daikin Industries, Ltd. engaged into a share purchase agreement with the Italian hydraulic equipment producer, Duplomatic MS S.p.A, for an acquisition price of EUR 220 million.
• In June 2021, Jiangsu Hengli has declared the successful closing of its 500T Heave Compensator Project. The project consists of one main hydraulic cylinder, three accumulators and two nitrogen pressure vessels. The structure allows for minimal weight and ensures consistent strength, boosting operational efficiency and performance even in severe ocean conditions.

Why Purchase the Report?

• To visualize the Asia-Pacific Hydraulic Cylinder Market segmentation based on product, specification, application and country, as well as understand key commercial assets and players.
• Identify commercial opportunities by analyzing trends and co-development.
• Excel data sheet with numerous data points of hydraulic cylinder market-level with all segments.
• PDF report consists of a comprehensive analysis after exhaustive qualitative interviews and an in-depth study.
• Product mapping available as excel consisting of key products of all the major players.

The Asia-Pacific hydraulic cylinder market report would provide approximately 42 tables, 30 figures and 161 pages.

Target Audience 2024

• Manufacturers/ Buyers
• Industry Investors/Investment Bankers
• Research Professionals
• Emerging Companies