Heat Transfer Fluids market - Forecasts from 2023 to 2028

The global heat transfer fluids market is estimated to grow at a CAGR of 8.89% during the forecast period.

One of the key elements driving the demand for the heat transfer fluids market is the quick uptake of concentrated solar power on a global scale. Industrial goods called heat transfer fluids, which are made from petroleum, are used to prevent heating and store thermal energy. Crude oil, silica, and base oils make up the majority of the raw materials used in production. Low viscosity, non-corrosiveness, high thermal conductivity and diffusion, and high phase transition temperatures are the key features that distinguish a heat transfer fluid.

Rising demand for heat transfer fluids for energy-efficient solutions

Industries involved in production and process face intense pressure to boost productivity in the modern environment. As a result, the actual temperature of the heat-transferring fluids system rises, and they must function under high pressure for an extended period of time. Particularly from the industries that work around the clock, there is a considerable demand for these products. For instance, it is crucial to the production processes in the chemical and petrochemical process sectors. These fluids aid in temperature regulation because the operating temperature in these industries is extremely high which increases the heat transfer fluids market size.

Mineral oils hold the highest market share

Mineral oils are inexpensive as they are widely available from big refineries, and they are versatile with a small number of additives incorporated. In the market for heat transfer fluids, mineral oils dominate. Mineral oils are cheaper than other easily available oils on the market. Furthermore, people have been using mineral oils for a long time and find it difficult to switch because they are accustomed to both its benefits and drawbacks. Mineral oils also offer the advantage of fitting into any type of equipment, which has numerous uses in food and beverage, chemical, pharmaceutical, and other industries.

High demand in Concentrated Solar Power

In CSP, a heat transfer fluid has a crucial function. It transports the solar heat that has been captured to the solar field, where it is transmitted to a power block and transformed into electricity. Since water can be unstable and highly challenging to control at high pressure and temperature, it is the most desired fluid in CSP. Additionally, it starts to vaporize at high temperatures, which results in energy losses. These items are utilised to overcome pressure and temperature problems since they operate most effectively and do not expand or contract with temperature changes resulting in a rise in heat transfer fluids market share.

Booming chemical processing industry

In the chemical industry, reboilers are employed as heat exchangers to warm the bottoms of distillation columns. Reboilers heat the liquids at the bottom of the distillation column to produce vapours which drive the separation procedure. With the use of steam or HTFS, the vaporization process is started. The goods are also employed in parts like tubes and pipes that transfer chemicals and acids due to their properties like chemical resistance and thermal stability. For instance, the chemical industry supports the industrial and agricultural development of India and improves the quality of life, which will in turn drive the Heat transfer fluids market.

High demand in the oil & gas industry

Heat transfer fluid systems are an important part of the oil and gas refining system. For initial manufacturing, transport, refining, and recycling, heat transfer fluids are necessary. Heat transfer fluids are preferred by oil and gas plant operators due to their excellent thermal stability and lengthy service lives. This is especially crucial when installing Therminol fluid in remote places where an expensive fluid change must be avoided. The oil and gas industry uses heat transfer fluids for important operations such as processing oil and gas, purifying natural gas, refining, turning gas into liquid, producing asphalt, and storage, among others.

Asia Pacific is projected to lead the Heat transfer fluids market

During the projected period, the Asia Pacific region is anticipated to lead the Heat transfer fluids market. The rise of the chemicals and processing industries as well as an increase in solar power project installations are propelling the market over the forecast period. Additionally, the increased need for energy from renewable energy sources in developing nations like China, India, and Japan is another factor affecting the growth of the heat transfer fluid market. For instance, in China's Qinghai province, a 50-megawatt CSP plant was constructed in May 2023. It will be the first utility-scale CSP project in the country.

Risks of fire and explosion associated with thermal HTFS

Many high-temperature processes in the chemical plant, including the manufacturing of speciality chemicals, plastics, and metals, call for the use of organic fluids because they can create explosive atmospheres. HTFS is insufficient for these high-temperature processes. These heat-transfer fluids are covered by the "Dangerous Substances and Explosive Atmosphere" Regulations of 2002 and are frequently handled at temperatures over their flash point. Additionally, HTFS made from mineral oils deteriorates over time. Thermal fluids that weren't initially flammable at the temperature of operation when installed eventually become volatile at the time of operation due to this degradation, which may lower the fluid's flash point.

Market key launches

• In March 2023, Arteco introduced the cutting-edge "Zitrec® EC" line of heat transfer fluids made for cooling electronics and data centres. To allow the components to run at higher speeds without the risk of overheating, the new Zitrec® EC series of direct-to-chip coolants offers optimal performance and maximum effectiveness precisely. An improved Power Usage Effectiveness (PUE) is attained as a result of the increased energy efficiency. Because of its cutting-edge qualities, equipment lasts longer and experiences less downtime thanks to its long-lasting corrosion prevention and cooling capabilities.
• In July 2022, Eastman declared plans to increase Anniston, Alabama's capability to produce Therminol 66 heat transfer fluid in 2022. The plant's expansion will double US capacity and is anticipated to be finished in 2024.
• In June 2022, Chevron finished acquiring the Renewable Energy Group. The Renewable Energy Group was acquired by Chevron in its entirety. This acquisition is anticipated to assist the company in utilising its advantages to provide lower-carbon electricity.

Segmentation:

By Product

• Silicone Fluids
• Aromatic Fluids
• Mineral Oils

By Application

• Oil & Gas
• Chemical Industry
• CSP
• Food & Beverages

By Geography

• North America
• United States
• Canada
• Mexico
• South America
• Brazil
• Argentina
• Others
• Europe
• United Kingdom
• Germany
• France
• Spain
• Others
• Middle East and Africa
• Saudi Arabia
• UAE
• Israel
• Others
• Asia Pacific
• China
• Japan
• India
• South Korea
• Indonesia
• Thailand
• Others