China compressor market is expected to reach $15.7 billion by 2024, registering a CAGR of 3.5%, over the forecast period. The growth in the market is backed by strong increase in automotive industry, coupled with growing construction sector, according to P&S Intelligence.
Insights into the market segments
Based on dynamic compressor, by type, China compressor market is categorized into centrifugal and axial flow segments. Among these types, the centrifugal compressor held the largest share in the market in 2018. The major application areas of centrifugal compressors are in oil-refineries, natural gas processing, and in food & beverage industries. In oil-refineries, compressors are used in oil & gas pipelines to increase or maintain the gas flow from the production site to the consumers. With the increasing expansion of the oil & gas pipeline network in China, demand for centrifugal compressors is witnessed to be growing positively.
Based on portability, China compressor market is categorized into a stationary compressor and portable compressor. Among these, stationary compressors held the largest share in the market in 2018. This is due to a large number of application areas of these compressors in power, industrial manufacturing, HVAC-R, chemical and cement, oil & gas, automotive, and food & beverage industries. Among these industries, portable compressor accounted for dominant share in the construction and cement industries. It is used in various applications in the cement industry such as in an ash handling system, conveying, and cleaning. Hence, with increasing application areas of these compressors, demand for the portable compressor is increasing positively.
Based on application, China compressor market is segmented into automotive, HVAC-R, industrial manufacturing, chemical and cement, oil & gas, power, construction, food & beverage, textile, and others, wherein ‘others’ include healthcare, research laboratories, and agriculture. Among these, the automotive application category accounted for around 37.5% share in 2018. This is due to growing automotive sector in China and increasing government initiatives toward the adoption of electric vehicles.
According to The International Trade Administration (ITA), China has the world’s largest vehicle market with sales of over 28 million units in 2016, a year-over-year (YoY) growth of 9% from 2015. Further, with rising government initiatives toward selling one million units of domestically produced pure electric and plug-in hybrid cars in the country by 2020, the automotive market in China is growing positively.
Based on the region, central China is expected to be the fastest growing region as it consists of Hubei province that has a strong industrial base. As a part of the 13th five-year plan, the Hubei government is focusing on the development of emerging manufacturing industries. Also, Wuhan, the capital of Hubei province, has a large number of automotive and advanced manufacturing companies in the province. The region is also exhibiting benefits from large investments in farm machinery and mechanization.
Moreover, Luan a province of Anhui has also listed the automotive as a key industry for priority development in its industrial development plan. As compressors play a key role in automotive and manufacturing industries, the development of these industries in the region is expected to boost the market for compressors over the forecast period.
Browse report overview with 57 tables and 40 figures spread through 114 pages and detailed TOC on "China Compressor Market Research Report: By Type (Positive Displacement, Dynamic), Lubrication Type (Oil-Free, Oil Flooded), Portability (Portable, Stationary), Pressure (Ultra-Low, Low, Medium, High, Hyper), Application (Construction, Power, Industrial Manufacturing, HVAC-R, Chemical and Cement, Automotive, Oil & Gas, Food & Beverages, Textile) – Industry Size, Share Analysis and Forecast to 2024" at:https://www.psmarketresearch.com/market-analysis/china-compressor-market
Growing automotive industry to drive the market growth
The automotive industry makes use of compressors throughout the vehicle production process which include, product finishing, car painting, tire inflation, and plasma cutting and welding. The major factors driving the automotive industry in China includes rising disposable income of the populace and increasing vehicle production. For instance, in 2017, the production of a motor vehicle in the country increased to 29.7 million units from 7.7 million units in 2013.
Additionally, in the motor vehicle segment, electric vehicles recorded the highest growth rate in the past years. This is due to rising government initiatives toward offering substantial subsidies to manufacturers as well as giving incentives and discounts to consumers for the purchase of electric vehicles. Hence, with increasing production of cars and increasing initiatives taken by the government toward electric vehicle purchases, demand for compressors utilized in various applications during the production process is increasing positively.
China Compressor Market Competitive Landscape
China compressor market is a highly competitive market. Companies like Hanon Systems and MAHLE GmbH are involved in facility expansions in China. Moreover, companies such as Atlas Copco AB, Kaeser Kompressoren SE were majorly involved in product launches to increase their business. Some of the key players operating in the China compressor market include RECHI PRECISION CO., LTD, ELGI EQUIPMENTS LIMITED, Kaeser Kompressoren SE, Ingersoll-Rand plc, Atlas Copco AB, Kobe Steel Ltd., ANEST IWATA Corporation, Hitachi, Ltd., Zhe Jiang Hongwuhuan Machinery Co., Ltd, MAHLE GmbH, Hanon Systems, and Toyota Industries Corporation.
China Compressor Market Segmentation
Market Segmentation by Type
Market Segmentation by Lubrication Type
Market Segmentation by Portability
Market Segmentation by Pressure
Market Segmentation by Application
Market Segmentation by Region