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Refrigeration Oil Market Size
Refrigeration Oil Market is projected to witness notable growth from 2024 to 2032, owing to the increasing application scope in frozen food and pharmaceutical sectors. Rapid growth of the urban population and the gradual shift in eating habits is increasing the consumption of packaged and ready-to-eat food products, which are perishable and need lower temperatures for storage.
Lately, the adoption of refrigerators across homes, retails stores, supermarkets, and restaurants is surging. Pharmaceutical products also require low temperatures for storage and transportation, further driving the demand for refrigeration systems. As per the Association of British Pharmaceutical Industry, the pharmaceutical sector across the U.K. has a turnover of 40.8 billion euros. The expanding pharmaceutical sector will fuel the demand for refrigeration oil during the projected timeframe.
Moreover, there has been significant rise in the demand for air conditioning systems in household settings, commercial buildings, as well as vehicles. Oils that are compatible with the refrigerant and can withstand extreme temperature differences will continue to witness demand in industrial, residential, and commercial environments. The preference for oils with suitable miscibility properties, flow characteristics, high thermal and chemical stability, and superior aging resistance will also propel the market forward.
Refrigeration Oil Market Trends
The growing demand for energy-efficient refrigeration systems, particularly in commercial and industrial sectors is driving the industry growth. The shift towards environmentally friendly refrigerants, such as hydrofluorocarbons (HFCs) and hydrochlorofluorocarbons (HCFCs) is influencing the choice of refrigeration oils. The development of synthetic and polyolester-based oils is enhancing their performance and extending the equipment lifespan. Surging investments in cold chain infrastructure and the growing demand for frozen and chilled food products are also escalating the product appeal.
Refrigeration Oil Market Analysis
The industry share from the air conditioner application segment is estimated to rise at noticeable rate from 2024 to 2032. This can be attributed to the expanding heating, ventilation, air conditioning and refrigeration (HVACR) sector, particularly in regions experiencing rising temperatures and urbanization. Technological innovations in compressor technology and the rising need for efficient cooling solutions is accelerating the appeal of high-performance refrigeration oils. The implementation of strict regulations regarding energy efficiency and environmental sustainability will also promote the use of refrigeration oils in air conditioner applications.
Refrigeration oil market share from the residential end-use segment will rise at notable rate between 2024 and 2032. The increasing adoption of refrigeration and air conditioning systems in households can be attributed to the rising living standards and urbanization. The strong emphasis on energy efficiency and environmentally friendly solutions is encouraging the use of specialized oils to enhance system performance and minimize environmental impacts. The growing need for reliable and long-lasting lubrication in residential cooling appliances is boosting the segment growth.
North America refrigeration oil industry is anticipated to depict substantial growth from 2024 to 2032. This is owing to the robust HVACR sector, increasing construction activities and high demand for energy-efficient cooling solutions. Strict environmental regulations and the transition towards low-GWP refrigerants is facilitating the use of compatible refrigeration oils. According to the Centers for Medicare and Medicaid services, the prescription drug spending in the U.S. accounted for $405.9 billion in 2022. Some prescribed drugs need to be kept in stable temperatures to sustain their effectiveness, leading to increased product requirement in the region. The development of new lubricant formulations is making way for hefty investments in cold chain infrastructure. The rising demand for frozen and chilled food products will further bolster the preference for refrigeration oils.
Refrigeration Oil Market Share
Leading firms operating in the refrigeration oil industry are incorporating various business expansion strategies, such as mergers, acquisitions, partnerships and launch of new products to gain substantial market presence.
Some of the major refrigeration oil industry players are:
- BASF SE
- Chevron Corporation
- ExxonMobil
- PETRONAS
- Royal Dutch Shell
- Johnson Controls
- TotalEnergies SE
- Sinopec Group (China Petrochemical Corporation)
- Petro-Canada Lubricants Inc (HollyFrontier)
- Behr Hella Service GmbH
- National Refrigerants, Inc.
- Indian Oil Corporation Ltd.
- Cosmo Oil Lubricants Co., Ltd.
- FUCHS
- CAMCO Lubricants
Refrigeration Oil Industry News:
- In July 2023, FUCHS launched RENISO UltraCool 68, a synthetic solution designed for refrigeration compressors using NH3, claiming to be the ideal lubrication for cold compressors.