The hydraulic equipment market is extensive, as hydraulic systems are used across industries for a variety of functions. Hydraulic systems are capable of generating massive power to deal with heavy machinery at relatively low costs. Around 50 percent of the hydraulic equipment market is dominated by the oil & gas, mining, and chemicals sectors, while food and beverages is an emerging field.
Hydraulic systems are based on fluid mechanics, and use liquids such as oils or water as a powering medium to generate, control and transmit energy by pressurizing the liquids. Since liquids cannot be compressed, they generate more power as compared to gases. In comparison to electric motors, hydraulic machines can be smaller, more compact and used in locations where electricity may be risky, such as underwater.
There are several recent trends in the hydraulic equipment market:
The concept of hydraulics is implemented in small items such as water gun toys to military missiles, automobiles, and aircraft. The power generated is used in machinery in manufacturing, industrial and agricultural purposes. A significant goal of machinery is for machines to be equipped to carry out activities that are dangerous for humans, and mining is one of them.
There is an increasing focus on developing mining equipment based on hydraulics which would generate sufficient power and boost mine safety overall. Mining is an important activity in developed and developing nations, however, in developed regions of North America and Western Europe, the focus is turning towards safety in addition to productivity.
Digitization and Internet of Things
Digitization is impacting technology and machinery in a drastic manner and the effect is expected to influence hydraulic equipment as well. The concept of the Internet of Things (IoT) is also projected to affect hydraulic equipment as well, further increasing the ease of use of hydraulic systems. While earlier mostly professionals would handle such equipment, with digitization, there is immense potential to expand the applications of hydraulics into domestic and commercial activities. Since hydraulics are comparatively safe to use, they are an ideal form of machinery to digitize and include in IoT, further growing the market for hydraulic equipment.
As concerns for global energy efficiency rise, the preference for hydraulic power over electric motors is gaining further traction. A single controllable hydraulic pump consumes less power than electric motors in applications that require a lot of back and forth movement or that hold/move heavy loads. Since a single hydraulic pump can power many axes, there are consider power saving benefits. Water and low-cost fluids can also be used in hydraulics, lowering the cost for fuel and raw materials. Heavy lifting and strong machinery is an unavoidable part of industries today, especially in areas of mass production. Using hydraulics lowers the energy needs and further saves costs.
Global Suppliers Entering Developing Markets
The fragmented markets in APAC and MEA regions have provided opportunities for global service providers to tap into the local markets. By conducting mergers and acquisitions, global suppliers are establishing their footprint in developing regions such as Chile, Brazil, and India, offering global buyers multi-location solutions. Global suppliers are able to get an edge in the developing markets where the use of hydraulic equipment is expanding at a rapid pace. The hydraulic equipment market is set for considerable growth in the coming years, which is evident by recent trends in the market. The concept of hydraulics may have been known for quite some time, however, its applications at a global level continue to expand. Factors such as digitization, energy efficiency, and entry of global players in developing markets are further poised to boost the growth of the hydraulic equipment market.