Refrigerant Compressors Market Research, 2032
The Global Refrigerant Compressors Market size was valued at $35.1 billion in 2020, and is projected to reach $59.7 billion by 2032, growing at a CAGR of 4.5% from 2023 to 2032.
Refrigerant compressors are a vital component of refrigeration systems that enable the flow of the refrigerant. Refrigerant compressors operate by increasing the pressure and temperature of the refrigerant. Reciprocating, rotary, and centrifugal compressors are the most common types of refrigerant compressors.
Market Dynamics
The Refrigerant Compressors Market is primarily driven by various factors such as growth in food and beverages and pharmaceutical industries, rise in cold-chain industries, and increase in industrialization in developing economies. In these industries, refrigerant compressors are used for maintaining a conducive environment for the storage and transportation of perishable goods, as well as volatile chemicals.
Refrigeration systems are integral systems of food & beverage, and pharmaceutical industry, as these industries handle and produce products that need to be stored in a refrigerated environment to prevent their decay or deterioration. A refrigeration system maintains a lower temperature where the food & beverages and pharmaceutical products are stored, preventing them from decaying, and preventing bacteria and pathogens infestation.
Both the food & beverages, and pharmaceutical industries are witnessing a rise across the world. The primary reason for the growth of the food & beverages industry is the increased disposable income of the people and change in general lifestyle trends where dining out and fast food are promoted. Thus, various companies are expanding their production capabilities.
For instance, in October 2022, Hi-Food, a subsidiary of CSM Ingredients, opened its new headquarters and production plant for producing and developing ingredients for the food and beverage sectors in Parma, Italy. Similarly, in August 2021, McCain Food, a Canada-based French fries' producer, invested $20 million to modernize its factory and add a new packaging line at its plant in Béthune, a town in France.
The growth in food & beverages, and pharmaceutical industries have driven demand for new and sophisticated refrigerant compressors systems. Thus, various companies such as Blue Star, Carrier Global, Daikin, and others, have launched refrigeration systems for cold storage requirements from food and beverages, pharmaceutical industries, cold-chain industries, and others. For instance, in February 2021, Blue Star Limited, launched temperature-controlled refrigerators and transporters for vaccine distribution in India. Therefore, growth of food & beverage, and pharmaceutical is driving the growth of the refrigerant compressors market.
The Refrigerant Compressors Market is witnessing various obstructions in its regular operations due to the COVID-19 pandemic and the economic slow-down due to inflation across the world. Earlier, the worldwide lockdowns due to COVID-19 resulted in reduced industrial activities, eventually leading to reduced demand for refrigerant Compressors from various sectors such as food and beverages sectors. However, COVID-19 has subsided, and the major manufacturers in 2023 are performing well. Contrarily, the rising global inflation which is soon expected to cause recession in major economies is a new major obstructing factor for the entire industry. The inflation, which is a direct result of the Ukraine-Russia war, and few long-term impacts of the coronavirus pandemic, has introduced volatility in the prices of food and oil & gas, including raw materials used for manufacturing refrigerant Compressors systems.
Furthermore, the countries in Europe, Latin America, North America, the Middle East, and Sub-Saharan Africa are experiencing severe negative impacts on industrial production, including the production of refrigerant compressors systems. However, India and China are performing relatively well, and the refrigerant compressors market outlook is positive in these countries. In addition, inflation is expected to worsen in the coming years, as the possibility of the war between Ukraine and Russia ending is less. Moreover, the cost of food products has risen substantially, discouraging their trade, which is also expected to have slight negative effects on the refrigerant compressors market growth. However, with the continued talks between different countries, a peace agreement between Ukraine and Russia can be devised.
Segmental Overview
The Refrigerant Compressors Market is segmented into Type, Refrigerant and End User Industry. Depending upon type, the market is categorized into centrifugal, rotary, and reciprocating. On the basis of refrigerant type, it is divided into ammonia, carbon dioxide, hydrofluorocarbons (HFC), hydrochlorofluorocarbons (HCFC), and others. As per end user industry, the market is classified into food & beverage, chemical & petrochemical, pharmaceutical, domestic and other. Region wise, it is analyzed across North America (U.S., Canada, and Mexico), Europe (Germany, France, Italy, UK, and rest of Europe), Asia-Pacific (China, Japan, India, South Korea, Australia, Malaysia, Indonesia, Singapore, and rest of Asia-Pacific), and LAMEA (Latin America, Middle East, and Africa).
By Type:
The Refrigerant Compressors Market is divided into centrifugal, rotary, and reciprocating. In 2022, the reciprocating compressor segment dominated the market, in terms of revenue, and the rotary segment is expected to grow at a higher CAGR during the forecast period. Reciprocating compressors can efficiently handle a wide range of operating conditions. In addition, reciprocating compressors have fewer moving parts, thereby requiring less maintenance and provide higher reliability. Hence, the technical and economic advantages of rotary compressors fuel the growth of the market.
By Refrigerant Type:
The refrigerant compressors market is divided into ammonia, carbon dioxide, hydrofluorocarbons (HFC), hydrochlorofluorocarbons (HCFC), and others. In 2022, the hydrofluorocarbons (HFC) segment dominated the market, in terms of revenue, and the carbon dioxide segment is expected to witness growth at a higher CAGR during the forecast period. HFCs have been used for decades, and a majority of the refrigeration systems are made for HFCs, which is a reason for its high revenue generation in 2022. However, Hydrofluorocarbon (HFC) refrigerants are being phased out from commercial applications due to increasing concerns of environmental issues such as the depletion of the ozone layer and global warming. Furthermore, carbon dioxide is a cheap refrigerant, widely available and easily obtainable from the combustion of hydrocarbons, which is a reason for its high CAGR throughout the forecast period.
By End User Industry:
The refrigerant compressors market is categorized into food & beverage, chemical & petrochemical, pharmaceutical, domestic and other. The domestic segment accounted for a higher market share in 2022. This is attributed to increased consumption of these products driven by the rising disposable income of people. However, the chemical & petrochemical segment is anticipated to register a higher growth rate throughout the forecast period, owing to the increased demand for chemicals from almost all types of manufacturing industries, including textiles, petrochemicals, electronics, plastic, and other industries.
By Region:
Asia-Pacific was the largest contributor to the market revenue in 2022 and is expected to maintain its dominance during the forecast period. On the other hand, LAMEA is expected to emerge as a region with maximum growth potential in the coming years. Asia-Pacific is the fastest growing refrigerant compressors market. The increase in food demand, growth in the cold storage market, and rise in the number of refrigerated warehouses in the region have fueled the growth of the market. Major demand is generated especially from countries such as China and Japan. Moreover, the surge in demand for frozen and processed food items in LAMEA has boosted the growth of the market. Further, increase in the export of perishable products to the U.S. has supplemented the growth of the market in LAMEA.
Competition Analysis
Competitive analysis and profiles of the major players in the industry are provided in the refrigerant Compressors market forecast report. Major companies in the report include Bitzer, Danfoss, Tecumseh Products Company LLC, Copeland LP, Panasonic, Mitsubishi Electric Corporation, LG Electronics, Carrier, Samsung, and Johnson Controls. To remain competitive, major players adopt development strategies such as product launch, business expansion, acquisition, and others.
Key Benefits For Stakeholders
This report provides a quantitative analysis of the market segments, current trends, estimations, and dynamics of the refrigerant compressors market analysis from 2020 to 2032 to identify the prevailing refrigerant compressors market opportunity.
The market research is offered along with information related to key drivers, restraints, and opportunities.
Porter's five forces analysis highlights the potency of buyers and suppliers to enable stakeholders make profit-oriented business decisions and strengthen their supplier-buyer network.
In-depth analysis of the refrigerant compressors market overview assists to determine the prevailing market opportunities.
Major countries in each region are mapped according to their revenue contribution to the global market.
Market player positioning facilitates benchmarking and provides a clear understanding of the present position of the market players.
The report includes the analysis of the regional as well as global refrigerant compressors market trends, key players, market segments, application areas, and market growth strategies.
Refrigerant Compressors Market Report Highlights
| Aspects | Details |
 Market Size By 2032 | USD 59.7 billion |
 Growth Rate | CAGR of 4.5% |
 Forecast period | 2020 - 2032 |
 Report Pages | 190 |
 By Type |
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 By Refrigerant |
|
 By End User Industry |
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 By Region |
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 Key Market Players | BITZER Group, Danfoss A/S, Carrier Global Corporation, Copeland LP, Johnson Controls, LG Electronics, Panasonic Holdings Corporation, SAMSUNG ELECTRONICS CO., LTD., Tecumseh Products Company, Mitsubishi Electric Corporation |
Analyst Review
The refrigerant compressors market has witnessed significant growth in the past few years owing to an increase in global trade of goods including perishable goods such as food and beverages, and pharmaceuticals.
Furthermore, the demand for energy-efficient and eco-friendly refrigerants such as CO? and ammonia is on the rise owing to various government regulations that restrict their usage. In addition, other natural refrigerants; pentane, propane, and butane are also experiencing a relatively higher adoption rate.
Moreover, the demand for CO2 refrigerants in the U.S. is not very widespread and is mostly driven by very few companies as well as retail stores that are strictly following their sustainable development policies. Contrarily, it is expected to change, owing to phasing-out policies related to hydrofluorocarbon (HFC) refrigerants. However, countries in Europe are leading in the adoption of CO2-based refrigeration systems. Japan is also among the top countries to adopt CO2-based refrigeration systems in Asia-Pacific. Moreover, according to the statement made by the president of the Association of Ammonia Refrigeration (AAR) India in 2019, around 90% of the refrigerant compressors in India is using ammonia as a safe and reliable refrigerant, and this trend is expected to grow further in the coming years.
On the contrary, according to a report published in 2020 by the Clean Energy Manufacturing Analysis Centre, China is extensively increasing its production of conventional refrigerants for domestic use as well as export.
In addition, high maintenance costs and negative impacts of global inflation are expected to have negative impacts on market growth. Contrarily, various technological developments in the refrigerant compressors market are expected to provide lucrative growth opportunities to the key players.
Rise in the development of efficient and environment-friendly compressors is a major upcoming trend in the Refrigerant Compressors Market.
Food & beverage, chemical & petrochemical, pharmaceutical, and domestic are some of the leading applications of Refrigerant Compressors.
Asia-Pacific is the largest regional market for Refrigerant Compressors.
$37,942.6 Million is the estimated industry size of Refrigerant Compressors.
Bitzer, Danfoss, Tecumseh Products Company LLC, Copeland LP, Panasonic, Mitsubishi Electric Corporation, LG Electronics, Carrier, Samsung, and Johnson Controls are some of the major payers in the industry.
The Refrigerant Compressors market is projected to reach $59,711.6 million by 2032.
The company profile has been selected on factors such as geographical presence, market dominance (in terms of revenue and volume sales), various strategies and recent developments.
Latest version of global Refrigerant Compressors market report can be obtained on demand from the website.
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