An air compressor is a machinery that uses an electric, diesel, or gasoline engine to convert power into potential energy. An air compressor uses one of several techniques to force more and more air into the storage tank, raising the pressure. The air entirely stops when the tank’s pressure reaches its maximum level. The kinetic energy of the air is used to transfer the energy that has been stored in the compressor to a variety of uses.
The market for industrial air compressors in 2021 was USD 32.42 billion and will be worth USD 43.75 billion by 2030, growing at a 3.9% CAGR during 2021 -2030.
Technology development and the creation of novel products are the main market-driving factors. The demand for these items has significantly increased across a number of industries as a result of these considerations. Heavily industrialized areas will be the main markets for industrial air compressors.
Market Dynamics
Drivers
As technology advances, more businesses utilize compressed air as a possible energy source, and air compressor users upgrade to newer equipment versions. Air compressors with new and better technology can replace older equipment, resulting in increased efficiency, easier operation, and overall cost savings. These characteristics have encouraged air compressor users to replace their equipment frequently, which has fueled the market expansion. The innovation that goes into newer models of air compressors on the market is the reason for their rising appeal.
Restraints
Overheating of the air compressors is a serious concern. Compressed air can produce a lot of heat; thus, it must be exhausted before it reaches the warning temperature since it could harm the system. It costs from $100 to $600, depending on the application. The market’s expansion is hampered by additional hidden costs related to installation and operation. Early detection of a temperature issue is crucial because high temperatures can damage the air compressor over time. Therefore, high costs and maintenance issues have hampered the market’s expansion.
Opportunities
Energy-efficient compressed air solutions are receiving more attention due to rising energy prices and increased greenhouse gas emissions. A compressed air system is the main piece of industrial equipment that must adhere to energy policy. The use of air compressors in numerous industrial applications is rising simultaneously due to the simple and secure production of compressed air. The US DOE estimates that 50% of the air systems in industrial plants hold the potential for significant energy reductions with only moderate project expenses.
Market Segmentation
Type Insights
By 2020, stationary air compressors in manufacturing will have a significant market share of about 56.3%. These compressors are also frequently found in the oil and gas sector, where they are utilized to power pneumatic machinery like pipelines and machinery for the extraction and purification of oil.
As these products are used more frequently in mining and construction, the portable air compressor segment will grow at the highest CAGR over the forecast period. Construction, among other industries, uses portable air compressors as dependable power sources for tools and machinery.
Technology insights
On the basis of technology, the positive displacement segment held the largest market position. This is because there is an increasing requirement for positive displacement air compressors across all industries due to air and gas compression. Manufacturing, chemicals and petrochemicals, power generation, pharmaceuticals, pulp and paper, and food and beverage all contribute to the rising need for these air compressors.
Power Insights
With a market share of more than 43.6% in 2020, 75 kW–500 kW compressors are the most popular due to their flexible operation, high dependability, high productivity, and low energy costs. Additionally, this selection guarantees clean, fresh airflow even in challenging circumstances. Therefore, if manufacturers make significant investments in creating rotary compressors with high capacity and low energy consumption, the segment’s growth will benefit positively.
Application Insights
The manufacturing and services sectors controlled the market in 2020. The demand for innovative and energy-efficient air compressors in manufacturing is growing as a result of the fast industrialization in developing nations like India, China, and Brazil.
Regional Insights
With a 45.55% market share, Asia-Pacific ruled the entire regional market. The Asia Pacific air compressor market is expanding, as are the manufacturing sectors in nations like China and India, thanks to the growing investments in LNG, chemical, and mining projects. According to Statista, China’s manufacturing sector generated approximately 4.1 trillion USD in GDP last year or roughly 6.22% of the nation’s overall GDP.
Key Players
- Ingersoll-Rand PLC.
- Mitsubishi Heavy Industries, Ltd.
- Hitachi Ltd.
- Howden Group Ltd.
- Atlas Copco AB
- Elliott Group Ltd.
- GE Oil & Gas
- Cook Compression
- Doosan Infracore Co. Ltd.
- BelAire Compressors
- Gardner Denver, Inc.
- Boge Kompressoren
- General Electric
- Kirloskar Pneumatics Co. Ltd.
- Man SE
- Sulzer AG
The market for industrial air compressors in 2021 was USD 32.42 billion and will be worth USD 43.75 billion by 2030, growing at a 3.9% CAGR during 2021 -2030. The market is expanding due to rising GDP, rising living standards, and an increase in the number of individuals in the middle- and high-income groups.