The global heat transfer fluids (HTFs) market was valued at an estimated $2,811.0 million in 2015, and it is expected to grow at a CAGR of 6.8% during 2016-2021. The growing chemical, petrochemical, and HVAC industries; expanding concentrating solar power (CSP) activity in North America and Europe, and relatively higher replacement rates of synthetic aromatic HTFs are driving the growth of the global heat transfer fluids market.
GLOBAL HEAT TRANSFER FLUIDS MARKET SIZE BY TYPE KT (2012–2021)
HTFs are used by the heat exchangers as a medium to dissipate or transfer heat produced from one source to the other, during a particular operation. A wide range of heat transfer fluids are available in the market, according to the requirement of a particular industry and the specification of the heat transfer equipment. HTFs are generally composed of one major chemical ingredient along with additives. These additives help to enhance one or more particular properties of HTFs, such as reduction of fouling or corrosive effect. The HTFs manufacturing companies have developed emergent technologies that have improved the efficiency of heat transfer fluids, and hence their longevity.
HTFs are generally classified into five broad categories, including mineral oil, synthetic aromatics, silicones, glycols, and mineral salts. Mineral oil is the medium to high temperature HTFs, with maximum operating temperature of around 320oC, and is generally of crude/petroleum origin. These are higher alkanes formed after the distillation of crude oil in a refinery/petrochemical complex. Synthetic aromatics are the high temperature HTFs, with maximum operating temperature exceeding 400oC. Similarly, silicone HTFs are also high temperature HTFs, with operating temperatures exceeding 430oC. Aromatics and silicone HTFS are the most commonly consumed HTFs across the globe. Although, synthetic aromatic HTFs are specially formulated to perform at high temperatures, yet on an average, almost 10% volume share of HTFs is lost to degradation annually in a typical plant using them. Hence, this leads to HTF users requiring steady annual volume top ups, hence, creating a steady demand for HTFs in the market. This creates an opportunity for HTF manufacturers, as almost 10% volume will always be required by end users, irrespective of them opening new plants or not.
Heat exchangers find applications in almost all industries, wherever energy is needed for the combustion, reaction, or conversion of a particular substance. Heat transfer fluids are used in heat exchangers to collect heat and transfer it from one point to another. Some of the end-user industries, which use heat transfer fluids, include oil & gas, CSP, chemical industry, manufactures processing and bio-diesel production, among others. Among the various end-users, the CSP segment is expected to witness the fastest growth, CAGR of 8.6% during 2016 – 2021, in the global heat transfer fluids market.
The increased activity in the CSP industry has led to higher demand for high temperature HTF’s. CSP technology has emerged as one of the most efficient sources for sustainable energy. CSPs have experienced exponential growth over the last five years, particularly in South-Western United States. According to International Energy Agency (IEA), the CSP capacity in North America is expected to be approximately 50 GW by 2020. This creates high growth opportunities for HTF manufacturers of synthetic, aromatic and molten salts.
Asia-Pacific is anticipated to witness the highest growth for the consumption of HTFs. In 2015, an estimated 117.9 kilotons of HTFs was consumed in the region, which is expected to reach 179.0 kilotons by 2021.
Some of the major players operating in the global heat transfer fluids market are Honeywell International Inc., Exxon Mobil Corporation, Chevron Corporation, BASF SE, Bharat Petroleum Corporation Limited, The Dow Chemical Company, Hindustan Petroleum Corporation Limited, ConocoPhillips, Indian Oil Corporation Ltd., and Huntsman Corporation.