Heat Transfer Fluids are gases or liquids that are commonly used for transferring heat from one system to another. Heat transfer fluids are gaining significant importance in terms of their applications such as extracting heat from the sun in concentrated solar panels to processing gas & oil in cold climatic conditions. Heat transfer fluids are used in various chemical processes to transfer heat between reaction vessels and heat exchangers, helping to regulate the temperature of the reaction and ensure optimal performance.
Based on Type, the market is segmented into Mineral Oils, Silicones & Aromatics, and Glycols. Mineral Oils hold the largest share in the market. Mineral oils such as petroleum, paraffin, wax, and others are commonly used in various applications such as automotive fuel, and machinery because the application of mineral oil is much easier and less expensive. Mineral oil is less expensive than glycol-based fluids and silicone-based fluids.
In terms of demand by application, the Heat Transfer Fluids market is segmented into Chemical Processing, Oil & Gas, Automotive, Renewable Energy, Pharmaceuticals, Food & Beverages, and Plastics. The Oil & Gas segment holds the highest share of the global market. The oil & gas processing process require very specific Heat Transfer Fluids that are formulated to suit the required temperatures and compatibility. These products find application in processes such as recycling, production, refining, and transportation. Offshore platforms use Heat Transfer Fluids in the aqueous phase for regenerating glycols and facility heating, which helps in removing water from the production of natural gas.
The demand for Heat Transfer Fluids in the Oil and Gas Processing system will boost the market. They are needed for the initial production, transfer, refining, and recycling of the fluids. Heat Transfer Fluids are preferred by oil and gas plant operators due to their great thermal stability and long service life. This is particularly essential when Therminol fluid is installed in remote locations where a costly fluid change must be avoided. The oil and gas sector uses Heat Transfer Fluids for various processes such as oil and gas processing, natural gas purification, refining, gas to a liquid, asphalt processing, and storage, among others. The Heat Transfer Fluids used for downstream heating petrochemicals also contribute to the demand for efficient heat transfer fluids. As a result, the factors listed above are expected to have a significant impact on the thermic fluid market in the coming years.
Heat Transfer Fluids Region Analysis
Asia Pacific is a highly attractive market for Heat Transfer Fluids. The rapid industrialization observed by the region's emerging economies, particularly China and India, is creating a strong demand for Heat Transfer Fluids. The renewable energy sector in India is likely to be one of the fastest-growing sectors in the Asia Pacific Heat Transfer Fluids market. The increased use of renewable energy for environmental protection, social development, and economic advantages is also accelerating the growth of the Heat Transfer Fluids market in the Asia Pacific region.
In 2022, Eastman announced the capacity expansion of its Eastman Therminol® 66 heat transfer fluid manufacturing unit located in Anniston, Alabama. The plant expansion is expected to be complete by 2024 and will increase U.S.-based capacity by 50%.
The raw materials used in the manufacture of Heat Transfer Fluids are phenol, benzene, and glycol. The fluctuations in the prices of crude oil may affect the raw materials used in Heat Transfer Fluids. Manufacturers have to adjust to volatile raw material costs, which lowers the profit margins. This reason will hinder the Heat Transfer Fluids market in the forecast period.
Need help
How can we help you?
Reach us with your research requirements and we shall provide the optimum solution to suit your needs.