The Economic & Global Market for Hydraulic Pumps
When COVID hit, the global hydraulic pump market for 2020 was valued at USD $9.7 billion. After major shutdowns around the globe, the future economic demand for hydraulic pumps was adjusted in 2021. The adjusted forecast period now projects the growth rate is 3.6 percent CAGR (compound annual growth rate) with a value of USD $13.9 billion by 2030
Where Are Hydraulic Pumps Used?
Hydraulic pumps are used in numerous industries and are found in virtually every single hydraulic system. The pump is responsible for converting mechanical power into fluid energy to perform a wide range of tasks that would otherwise be too difficult or impossible to complete manually.
You can find hydraulic pumps used on:
- Construction Vehicles
- Agricultural Equipment
- Forestry Equipment
- Mining Equipment
- Marine Equipment
- Oil extraction Equipment
- Injection Moulding Machines
- Printing Presses
- Stamping Presses
- Fork Lifts
- Conveyor Systems
- Steel Manufacturing Equipment
- Foundry Equipment
This is just a small sampling of the numerous mobile and industrial equipment that rely on hydraulic pumps. As you can imagine, as demand grows or declines in these different industries and market segments occurs, it has a direct impact on overall hydraulic pump market demand.
Types of Hydraulic Pumps
There are three general types of hydraulic pumps used in hydraulic systems, including:
- Gear Pumps – Of the three types, gear pumps are the most widely used. This pump uses two interlocking gears, with one gear connected to a shaft. As the gears rotate fluid is carried round the outside of the gears between the gear teeth.
- Vane Pumps – Vane pumps feature vanes attached to a central shaft that create distinct compartments within the cam ring within which the shaft rotates. As the fluid moves through the pump, it fills one compartment, that is gradually compressed as the shaft rotates and the volume of the compartment shrinks before it is pushed out of the high pressure side of the pump.
- Piston Pumps – Piston pumps use one or more pistons inside a cylinder. As the piston moves up and down or back and forth, it pushes the fluid through the pump housing.
How Has COVID Affected Hydraulic Pump Demand?
During the global shutdown during COVID, the demand for hydraulic pumps declined. The only industries and market segments that still created demand were the essential services that remained open. After the global shutdowns ended, the market growth was slow to recover, just like in so many industries and market segments.
Once things began reopening, there were delays in production, obtaining raw materials, and other factors that caused supply shortages. As such, the inventories of hydraulic pumps available from most hydraulic pump suppliers were gradually depleted. This resulted in bottlenecks in the supply of hydraulic pumps simply because there were shortages and production delays.
How Does COVID Continue to Affect Market Growth?
Even though it has been two years since the global shutdown, COVID is still having an impact on global markets and their growth, not just in the hydraulic pump segment. Furthermore, there are countries that are still implementing lockdown measures every time there is a significant increase in reported COVID cases, as we have seen in China.
As a result, this is creating further production delays that continue to create shortages. In addition, there are supply chain issues causing additional delays in getting finished products moved from manufacturing facilities to suppliers. For instance, even though pumps are being shipped globally, it is taking longer for cargo ships to unload cargo and get it through customs.
Meanwhile, while COVID continues to cause production delays, the demand for hydraulic pumps has continued to increase as worldwide industries have reopened and are returning to normal operating levels, including:
- Alternative Energy
- Energy Conservation
- Oil and Gas
Many of these industries are also experiencing their own growth, further increasing hydraulic pump demand.
For example, as gas and fuel prices continue to increase around the world, there is an increased demand for oil and gas exploration to become less reliant on Russia and OPEC oil nations. There is also an increase in demand for developing alternative energy solutions, many of which, such as wind turbines, rely on hydraulic pumps.
Anticipated Market Share Growth by Pump Type
Market analysis of gear pumps, vane pumps, and piston pumps indicates that gear pumps are anticipated to have the most growth by 2030. By 2026, the expected growth in the gear pump segment is anticipated to increase by $660.16 million USD.2
However, there will still be continued demand for vane pumps and piston pumps. As a result, vane pumps will experience significant growth but be behind the increased demand for gear pumps. In comparison, growth in the piston pump market segment will increase but not be as much as the other two pump types.
Anticipated Market Growth by Market Segment
The mobile hydraulic market segment is expected to generate increased demand for hydraulic pumps by 2030. For example, building construction, infrastructure development, and modernisation of agricultural equipment will create higher demand for hydraulic pumps in the mobile market segment.
Conversely, the demand for hydraulic pumps in the industrial sector will gradually decline as manufacturing processes continue to become more efficient. As the demand for electric-powered vehicles continues to increase, the automotive industry will cause an increase in demand for energy-efficient digital hydraulic pumps.
What Countries Will Increase Hydraulic Pump Demand?
China will have the highest demand for hydraulic pumps, followed by the United States, India, and Indonesia. Combined, these countries are anticipated to account for two-thirds of demand. There is also expected to be increased demand in the United Kingdom, Japan, and Germany. Demand will also be driven by developing regions, such as the Middle East, Africa, and South America.
Ongoing Global Hydraulic Pump Demand Challenges
One of the ongoing factors driving demand will be continued global challenges in supply chains and the availability of the necessary raw materials, parts, and components needed to manufacture hydraulic pumps. If shortages continue to be an issue, demand levels will continue to be higher. If production output is able to return to normal levels and lead times revert to normal lengths, demand will gradually level off. However, overall global demand is expected to continue to increase year on year.
Other factors that could affect hydraulic pump demand are concerns in financial markets over increased inflation. As inflation increases, it could potentially lead to a recession, which would slow demand.
In addition, increased petroleum prices could be another factor affecting future demand and growth. For example, as prices increase, the costs needed to manufacture hydraulic pumps can increase since it will cost more to source raw materials.
The increase in costs will also affect mobile hydraulic machinery, as it will cost more to operate the equipment. These combined cost increases could cause a slow-down in specific market segments, which would then cause lowered demand.
Even with these concerns, the overall outlook for hydraulic pump demand in 2022 through 2030 is still expected to increase, continuing to create even more opportunities for the hydraulic pump industry.
Meeting the Need for Global Hydraulic Pump Demand
White House Products, Ltd. holds one of the largest inventories of hydraulic pumps in the world. As a result, we have over 6,000 different specifications of hydraulic gear pumps available for immediate global shipment. Additionally, we can custom-build hydraulic pumps to your exacting specifications and requirements.
We also hold large stocks of hydraulic pump parts, hydraulic motors, cylinders, and related items. For all your hydraulic system and hydraulic pump needs, please feel free to register on our website for complete access or contact us at +44 (0) 1475 742500 for further information today.
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- Allied Market Research. Hydraulic Pump Market by Product Type: Global Opportunity Analysis and Industry Forecast 2021 - 2030. Retrieved 29 June 2022.
- PR Newswire. Gear Pump Market 2022 - 2026. Retrieved 29 June 2022.