Refrigeration Oil Market to Witness Enhanced Growth During 2023-2030

 

Refrigeration oils, also called lubricating oil, are utilized to lubricate various parts that cool and pressurize incoming refrigerant liquid to a high-pressure vapor that then flows out of a closed system of the tubing into an air handler. Refrigeration oils also lubricate compressors, freezers, chillers, motors, and fans. Refrigeration oil is typically used in consumer appliances such as freezers and refrigerators. The demand for such products has increased over the years with rising consumption of frozen food. Besides, these appliances are widely used in the pharmaceutical industry during drug discovery. As per the India Brand Equity Foundation (IBEF), the Indian pharmaceutical market was valued at US$ 20.03 billion in 2019, increasing by US$ 18.12 in 2018. Hence, robust development of this end-use sector can stimulate growth of the refrigeration oil market.

Refrigeration oils are generally categorized into five categories based on their viscosity or thickness. The first category, the light oil, has a low density and a low melting point; it is primarily needed in the car to reduce friction and transfer heat. The second category, the dark oil, has a medium-density and a higher melting point; it is often used in industrial refrigeration systems for increasing compression strength and decreasing refrigeration time. Over the years, the demand for consumer appliances such as air-conditioning, refrigerators, and coolers has increased significantly across the globe. This is typically due to the fact there has been a robust economic development with continuous urbanization in both developed and emerging economies. As a result of this, the demand for refrigeration is growing rapidly, subsequently augmenting growth of the refrigeration oil market.

Recently, in January 2021, HB Products launched a new oil level switch HBSO-HP for heat pumps.

When it comes to regional footprint, Asia Pacific seems to be gaining rapid traction in the refrigeration oil market since there is high demand for consumer electronic appliances such as air conditioners, refrigerators, and more. On the contrary, Europe is exhibiting promising signs due to rising manufacturing of automobiles for both domestic consumption.

Another important aspect of refrigeration oil is that to ensure the proper amount of lubricant is present in the lines. Not having enough refrigeration oil in the system will lead to system operation problems. Regardless, there are certain stringent regulations that potentially limit the use of fluorocarbon refrigerants. Besides, the compatibility of refrigeration oil with refrigerators is another major challenge that could impede growth of the refrigeration oil market in the near future.