Hydraulic Gear Pumps Market Analysis

Hydraulic Gear Pumps Market Analysis

To get key market trends

  Download Free Sample

Based on product type, the market is segmented into external gear pump and internal gear pump. The internal gear pump accounted for revenue of around USD 1.2 Billion in the year 2023 and is estimated to grow at a CAGR of around 6.3% from 2024 to 2032.
 

Internal gear pump dominates the hydraulic gear pump market due to their superior performance characteristics and versatility in handling diverse industrial applications. Unlike external gear pumps, internal gear pumps offer smoother and quieter operation, making them ideal for industries such as manufacturing, automotive, and chemical processing where noise reduction and precision are critical. Their ability to manage high-viscosity fluids efficiently without compromising performance further enhances their appeal in specialized applications like lubrication systems and food processing.
 

Based on the operating pressure, the global hydraulic gear pumps market is categorized as new Below 150 Bar, 150 – 250 Bar, and Above 250 Bar. The Below 150 Bar segment held around 26% of the total market share in 2023 and is anticipated to reach a value of USD 900 million in the forecasted year 2032.
 

Below 150 Bar segment in the market primarily caters to light-duty applications across industries such as agriculture, material handling, and small-scale industrial machinery. Currently, the growth of this segment is driven by its cost-effectiveness and suitability for operations requiring lower pressure and flow rates. Its adoption is particularly strong in emerging economies where affordability is a key factor, and advanced hydraulic systems are not always necessary. Moreover, the segment is expected to maintain steady demand as small and medium-sized enterprises (SMEs) expand in developing regions. However, growth may be tempered by increasing competition from more efficient and compact pump designs in the medium-pressure range.
 

In terms of the country, the U.S. dominates in the North America hydraulic gear pumps market and valued at USD 400 Mn in 2023 and is estimated to grow at a CAGR of over 5.9% from 2024 to 2032.
 

The U.S. dominates the hydraulic gear pump market within North America due to its robust industrial infrastructure, extensive use of heavy machinery, and strong demand across key sectors such as construction, agriculture, and manufacturing. As the largest economy in the region, the U.S. leads in infrastructure investments, driven by initiatives like the Infrastructure Investment and Jobs Act, which allocates billions to modernizing public and private infrastructure.
 

North America: Canada hydraulic gear pumps market witnessed a notable growth rate of around 6.9% over the forecasted period.
 

Canada is experiencing a higher CAGR than the U.S. in the hydraulic gear pump market due to rapid investments in infrastructure, natural resource extraction, and advancements in its agriculture sector. With significant federal funding directed toward infrastructure projects, such as the "Investing in Canada Plan," there is a growing demand for construction equipment that relies on hydraulic systems. Additionally, Canada’s mining and oil & gas sectors are expanding, requiring durable and efficient hydraulic pumps for high-performance applications in challenging environments. The push towards mechanization in agriculture, supported by government subsidies, is also driving demand for hydraulic solutions in farming machinery.
 

Europe: The Europe hydraulic gear pumps market with a market share of around 19% in 2023 and anticipated to grow with a CAGR of around 6.2% during the forecast period.
 

Europe is poised to emerge as a lucrative market for hydraulic gear pumps, driven by the region’s strong focus on industrial automation, renewable energy projects, and advanced manufacturing technologies. The European Union’s Green Deal and other sustainability initiatives are spurring investments in energy-efficient machinery, creating a demand for innovative hydraulic systems.
 

Additionally, the region's robust automotive and aerospace industries are leveraging hydraulic gear pumps for precision engineering and high-performance applications. With increased infrastructure spending in both Western and Eastern Europe, along with rising demand for smart manufacturing solutions, the market is set to benefit from a combination of technological advancements and policy-driven growth.
 

Asia Pacific: The Asia Pacific hydraulic gear pumps market with a market share of around 40% in 2023 and anticipated to grow with a CAGR of around 6.3% during the forecast period.
 

Asia Pacific dominates the hydraulic gear pump market due to its rapid industrialization, large-scale infrastructure projects, and the growing adoption of mechanized solutions in agriculture and manufacturing. Countries such as China and India are leading this growth with significant investments in infrastructure development. For example, China’s Belt and Road Initiative involves extensive construction projects across multiple countries, driving a high demand for hydraulic systems in construction equipment. Similarly, India’s Smart Cities Mission and rural electrification programs necessitate modern machinery powered by hydraulic pumps. The agriculture sector in the region is also undergoing a shift towards mechanization to enhance productivity, with hydraulic systems playing a vital role in modern farm equipment such as tractors and harvesters.
 

Additionally, the region's competitive manufacturing ecosystem contributes to its market leadership. Asia-Pacific is home to numerous manufacturers producing cost-effective hydraulic gear pumps, catering to both local and export markets. Japan and South Korea, known for their advanced manufacturing technologies, are producing high-quality hydraulic systems that are energy-efficient and durable, meeting global standards. The construction boom in Southeast Asia and increased mining activities in countries like Indonesia and Australia further amplify the demand for robust hydraulic solutions.