The Asia-Pacific (APAC) compressor market attained a value of $19.9 billion in 2019, and it is predicted to advance at a CAGR of 3.2% between 2020 and 2030. Furthermore, the market will generate a revenue of $25.7 billion by 2030. The factors driving the market expansion are the expansion of the heating, ventilation, and air conditioning (HVAC) and automotive industries and the surging investments being made in infrastructural development and gas pipeline projects in the region.
The soaring infrastructure spending of several APAC countries such as India and China is fueling the growth of the market. For instance, China currently has many infrastructural projects in the pipeline, with the transportation sector being one of the major contributors. The country announced the launch of urban rail projects worth $43.3 billion (CNY 298 billion) in Shanghai in December 2018. Similarly, the Indian government has recently announced its decision of building 100 smart cities and renovating other 500 cities.
Subsequently, the government announced a budget of $13.9 billion (INR 980 billion) for developing 100 cities and $6.8 billion (INR 480 billion) for renovating 500 others. The rapid expansion of the automotive industry is also propelling the advancement of the APAC compressor market. This is because compressors are increasingly being used in several applications throughout the automobile manufacturing process. Compressors are majorly used in tire inflation, engine construction, car painting, and air-conditioning systems in the automotive industry.
As per reports, the automotive industry registered a growth of nearly 35%, in terms of vehicle sales, from 2012 to 2019 in China and around 22% in vehicle sales in India from 2012 to 2018. Depending on type, the APAC compressor market is bifurcated into positive displacement and dynamic. Between these, the positive displacement bifurcation held the larger share in the market in 2019, due to the extensive requirement for rotary type of compressors.
Moreover, because of the surging usage of these compressors in several applications such as automotive, heating, ventilation, air conditioning, and refrigeration (HVAC-R), industrial manufacturing, power, construction, and food and beverage, the category is predicted to dominate the market in the forthcoming years. When application is taken into consideration, the market is categorized into power, construction, industrial manufacturing, HVAC-R, chemical and cement, oil and gas, automotive, food and beverage, textile, agriculture, research, and healthcare.
Out of these, the automotive category contributed the highest revenue to the market in 2019, on account of the large-scale manufacturing of motor vehicles, mainly electric vehicles, globally. The APAC compressor market will demonstrate the fastest growth in India in the coming years, as per the estimates of PS Intelligence, a market research company based in India. This will be because of the surging automobile manufacturing and the expanding industrial sector in the country.
Hence, the market is certain to exhibit rapid progress in the coming years, primarily because of the expansion of the HVAC and automotive industries, soaring usage of compressors in these industries, and the booming construction sector in several APAC countries.
