Turbocompressor Market Size, Share, & Industry Impact Analysis By Type (Centrifugal and Axial Turbocompressor), By Stage (Single-Stage and Multi-Stage), By Application (Oil & Gas, Power Generation, Chemical, Water & Wastewater, Automotive, Mining, and Others), and Regional Forecast, 2024-2032

The global turbocompressor market size was USD 5.59 billion in 2023. The market is projected to be worth USD 5.92 billion in 2024 and reach USD 10.04 billion by 2032, exhibiting a CAGR of 6.8% during the forecast period.

A turbocompressor is an overhung machine used for the compression and injection of gases. They further help eliminate the pressure surge present in the injected gas. In these compressors, the pressure rises due to the continuous conversion of angular momentum imparted by a high-speed impeller into static pressure. Furthermore, they are utilized in every aspect of natural gas development. They have wide-scale applications in the oil & gas sector, and the demand for these compressors has risen substantially due to the need for growing power generation capabilities.

The global impact of COVID-19 has been unprecedented and staggering, with witnessing a negative impact on demand across all regions amid the pandemic. Manufacturers of compressors faced several issues related to order closures on time due to the worldwide lockdown. Also, delays in obtaining raw materials and other parts from suppliers, majorly located in China and other Southeast Asian countries, emerged as the key factor impacting the industry pace. Meanwhile, due to the negative impact of the pandemic, major players in the market, such as Atlas Copco, Howden, Kobe Steel, and Sulzer, registered a decline in sales for 2020.

Turbocompressor Market Trends

High Efficiency and High Reliability of Turbocompressor to Spur Opportunities

Turbocompressors have various advantages, such as high reliability and high efficiency for energy conversion, hence triggering the demand for the product, which is estimated to drive market growth over the projected period. Additionally, increasing demand for natural gas, which is growing the installation of gas pipeline networks, is anticipated to be among the most notable drivers for the compressor market. Furthermore, the emergence of technological innovations in the product and the growing utilization of these compressors in CO2 transmissions are set to offer potential growth opportunities in the market.

Mergers and Acquisitions Initiatives by Key Players to Boost Industry Growth

Various industry players continuously work toward organic and inorganic expansion activities to augment their product portfolio and reach globally, stimulating market growth. For instance, in July 2021, L. A Turbine, one of the global manufacturers of turboexpanders products consisting of Ares, including turboexpanders-compressor package, was procured by Chart Industries for USD 80 million.

Turbocompressor Market Growth Factors

Continuous Technological Advancements and R&D to Propel Industry Growth

The ongoing market research and development with advancements in the product, such as advanced process control features and real-time data monitoring, are driving growth and encouraging investments from emerging and key players in the oil and gas industry. The modern turbocompressor offers various advantages compared to traditional engines, such as increased air intake in the combustion chamber, high engine performance, and reuse of exhausted air from combustion. As turbocompressors work better in high-speed engines and do not demand additional power sources, more automotive manufacturers have included twin turbocompressors in their new models.

For instance, Toyota launched its newest LC300 Land Cruiser with twin turbochargers and V6 engines, which offer 415 horsepower and 480 pound-feet of torque. Both the engines are equipped with 10-speed automatic transmission and these turbocompressors are fuel efficient. In addition, in 2021-2022, Nissan launched its seventh-gen Z car, the Nissan Z sports car, which features a 405hp, twin-turbo V6 engine and a new retro-infused design. This new launch is 30% more efficient compared to traditional models. Such developments by key players are driving the market growth.

Moreover, in October 2021, Atlas Copco compressors demonstrated many technologies, including aeration technologies and various blowers for wastewater treatment. The firm can deliver integrated packages for compressors, vacuum pumps, blowers, industrial chillers, control systems, and nitrogen systems.

Growing Adoption of Turbocompressors Across End-Use Industries to Boost Industry Growth

The growing adoption of these compressors across end-use sectors, including power generation, chemical industry, and oil & gas, is estimated to enhance the market outlook over the forecast period. These compressors have large-scale applications in the oil & gas sector, and the demand for the product increased significantly in the industry, owing to the need for rising power generation capabilities. In addition, these compressors are also used for ventilation, air-conditioning, heating in electric hybrid vehicles, wastewater treatment, and others.

Wastewater treatment facilities use air treatment through air compressors and air blowers. Turbocompressor compresses air and regulate pressure, requiring less overall output than blowers used in many traditional wastewater treatment plants. Recently, an increase in turbocompressors has been observed in waste treatment plants. For instance, in 2022, Howden, which is a global provider of air and gas handling products, technologies, and services, was signed to supply turbo compressors for the sewage treatment plant Niederrad, responsible for cleaning water for over 750,000 people in Frankfurt, Germany. Howden site supplied nine of its KA22SV-GL225 blowers with sensor technology, corresponding controls, and acoustic bonnet.

RESTRAINING FACTORS

Availability of Substitute Products Poses Risk to Turbocompressor Market

The availability of substitute products for these compressors, including rotary compressors, is estimated to restrain the market growth over the forecast period. Additionally, stringent environmental regulations in the oil and gas sector and rising customization demand from various end-user industries hamper market growth. Also, the maturity of products in Europe and the introduction of new compressor technology, including screw compressors, are further expected to hamper the market.

Turbocompressor Market Segmentation Analysis

By Type Analysis

Centrifugal Turbocompressor to Augment the Segment Outlook

Based on type, the market is classified into centrifugal and axial turbocompressor. Centrifugal turbocompressors are expected to hold a major market share owing to their characteristics and benefits over conventional compressors. These compressors are constructed uniquely according to plant requirements and consume less energy than other compressor designs. They have applications in various end-use sectors, including mining, power generation plants, municipal (water and wastewater plants), automotive, and other end-use industries. Besides, axial turbocompressors have applications in steel plants, chemical industries, and others, owing to their high peak efficiency and small frontal area for a given flow.

By Stage Analysis

Multi-Stage Turbocompressor to See Maximum Adoption During the Forecast Period

By stage, the market is divided into single-stage and multi-stage. Single-stage type dominated the market in 2023. These compressors are designed for low maintenance, long life, and continuous service in corrosive and unclean applications, including refineries, natural gas processing, petrochemical plants, power stations, and coal gasification. Additionally, single-stage turbocompressors are adopted in a large range of end-use industries due to their smooth operation, ease of maintenance, and higher efficiencies, which ensure reliable performance. On the other hand, multi-stage turbocompressors are used in the aerospace industry, as most high-compression jet engines utilize multi-stage axial compressors for their operation.

By Application Analysis

Oil & Gas Application Segment to Dominate the Market Owing to the Product's Large Fleet Size

Based on application, the global market is segmented into oil & gas, power generation, chemical, water & wastewater, automotive, mining, and others. The oil & gas application segment is estimated to lead the market, owing to the suitable operation of these compressors for pumping, compression, and electricity generation in the oil & gas industry. In the oil & gas sector, the product is used in downstream, upstream, and midstream applications.

Additionally, these compressors have applications in wastewater management, power generation, mining, pharmaceutical, chemical, and other end-use industries. These applications offer plenty of growth opportunities for the product in the coming years. As industries move toward automation, product applications are increasing in these areas.

REGIONAL INSIGHTS

The market size in North America stood at USD 1.81 billion in 2023. North America is estimated to dominate the market due to the high adoption of technological product advancements. Also, the presence of leading players is estimated to drive the regional market's growth. Manufacturers such as GE Power, Elliot Group, and others have dominated the regional market. Water & wastewater industries are estimated to propel the market outlook. For example, in Canada, almost 86% of the population has been served by municipal wastewater systems.

Asia Pacific is anticipated to grow at the highest CAGR over the forecast period. The market growth in Asia Pacific can be attributed to several factors, such as rapid growth and subsequent increases in economic activities, including industrialization, modern agriculture, and urbanization. In addition, China, India, South Korea, Indonesia, and Taiwan hold a significant share in the global chemical industry, a key application for the product.

Europe is anticipated to witness promising growth in the market. The primary factors driving the growth in the region are the rising demand for smart water systems and the penetration of the automotive sector. Europe is witnessing a rising installation of water and wastewater plants with increasing demand for clean water across various sectors. For instance, in July 2020, H+E GmbH in Germany, Stuttgart, one of the leading international suppliers of industrial process water and wastewater management solutions, secured a contract for a supply water treatment plant for an automobile manufacturer in Germany.

Latin America is anticipated to grow due to the region's rising demand for water treatment technologies. Furthermore, the growing industrialization in the region is anticipated to drive the market. In the Middle East and Africa, GCC countries have experienced increased population. They are expected to experience an increasing strain on their electricity, food, and water supplies to ensure sustainable growth. Hence, the market in this region is anticipated to experience opportunities during the forecast period.

List of Key Companies in Turbocompressor Market

Ingersoll Rand and Atlas Copco Dominate the Market

The market's competitive landscape depicts an industry dominated by Ingersoll Rand Plc and Atlas Copco. These players hold a major portion of the market spread across Europe, North America, and Asia Pacific. The market also has the presence of other major players such as Elliot Group, Sulzer, Howden, Kawasaki Heavy Industries, Kobe Steel, MAN Diesel & Turbo, and others. The widespread customer reach in different parts of the world, along with higher brand value compared to other companies, has been a prominent factor in companies such as Ingersoll Rand's developing a strong footprint in the global market.

List of Key Companies Profiled:

• Ingersoll Rand (Ireland)


• Atlas Copco (Sweden)


• Elliot Group (U.S.)


• Howden (Scotland)


• Kawasaki Heavy Industries, Ltd. (Japan)


• Kobe Steel (Japan)


• MAN (Germany)


• Mitsubishi Heavy Industries (Japan)


• GE (U.S.)


• Sulzer (Switzerland)


• SKF (Sweden)


• Siemens Energy (Germany)

KEY INDUSTRY DEVELOPMENTS:

• August 2023- MITSUI E&S Co., Ltd. completed the first two MET turbocharger orders of Mitsubishi Heavy Industries Marine Machinery & Equipment Co., Ltd. The turbochargers would be installed on the 6G80ME-C10.6-EGRTC marine main engine.


• November 2022- Sulzer opened a new highly automated and digitized pump production and logistics center in Kotka, Finland. It is a key provider of agitators, configured process pumps, and high-speed turbocompressors for the market.


• August 2021: R&D Dynamics Corporation, based in Bloomfield, Connecticut, secured a contract from the U.S. Department of Energy to produce air management system compressors for heavy-duty truck applications under its Million Mile Fuel Cell Truck program. The firm pioneered producing, manufacturing, and developing clean energy technology products, including turbocompressors for fuel cells, turbogenerators for waste heat recovery power generation, and others.


• June 2020- Sulzer launched the HST 30-58-8 and HST 30-38-2 turbocompressor, adding to its highly popular HST 30 range of turbocompressors. These two new launches offer increased flow and pressure, respectively, for applications in the wastewater industry and are cost-effective and reliable solutions for aeration applications.


• February 2020: Siemens, a German engineering company, secured an agreement to supply boil-off compressor (BOG) packages containing STC-SV turbocompressors for Venture Global’s LNG project, a liquefied natural gas (LNG) producer based in the U.S. The LNG export facility is estimated to develop 10 million tonnes per annum of clean energy, which is anticipated to be exported globally.

REPORT COVERAGE

The market research report presents a comprehensive industry assessment by offering valuable insights, facts, industry-related information, and historical data. Several methodologies and approaches are adopted to make meaningful assumptions and views and formulate the report. Furthermore, the report covers a detailed global turbocompressor market analysis with segments, including end-users, regions, and key market trends, helping our readers get a comprehensive global industry overview.

REPORT SCOPE & SEGMENTATION