The global air compressor market size

Air Compressor Market Size & Trends

The global air compressor market size was valued at USD 25.46 billion in 2023 and is expected to grow at a compound annual growth rate (CAGR) of 4.7% from 2024 to 2030. Stringent environmental regulations and a growing emphasis on sustainability have led industries to adopt more environmentally friendly air compressors. Various industries in the Asia Pacific countries, such as manufacturing, oil & gas, food & beverage, energy & medical, and home appliances have been enjoying significant growth through rising investments from public and private entities. China and India remain the most promising countries for upcoming sales and demand of air compressors owing to the presence of manufacturing hubs.

To learn more about this report, request a free sample copy

Various factors such as environmental concerns, strict regulations, industrialization, and the need for high-quality air in an industrial application have been prompting the growth of the demand for air compressors in the U.S. Air compressors are widely used in industries such as food & beverage, pharmaceuticals, electronics, automotive, and healthcare.

In various industries, the quality of compressed air is crucial for maintaining product integrity and quality and ensuring operational efficiency. The food and beverage industry, pharmaceutical production, and semiconductors fabrication are examples of the industry where air quality standards are high and the use of air compressors is a must to comply with various regulations, which is also anticipated to drive the growth of the market over the forecast period.

Technological advancements in product performance such as Internet of Things based pump monitoring system (IoT), design, and enhanced features are also expected to have a positive impact on the growth of the market. For instance, in March 2023, Elgi North America announced the launch of a new GP35FP portable air compressor. The company showcased the new product in CONEXPO-CON/AGG 2023 at the Las Vegas Convention Center. The air compressors are becoming more connected through the Internet of Things (IoT). IoT sensors and data analytics are used to monitor compressor performance in real time. Furthermore, the rising crude oil prices amid the Ukraine crisis are making the raw materials costlier for the steel industry, which is impacting the cost of the compressor.

Market Concentration & Characteristics

Market growth stage is medium, and pace of the market growth is accelerating. The air compressor market is characterized by a high degree of competition owing to the various technologies used for air compressor and large number of manufacturers at the global level.

The air compressor market is also characterized by a high degree of product innovation which results in optimization of air treatment process. The use of sustainable technology and energy efficient product demand is increasing across different industries. The similar trend can be observed in air compressor market.

To learn more about this report, request a free sample copy

The air compressor market is also significantly influenced by the growing regulatory compliance. In the U.S., according to the standard, air compressor products can be installed to aim to prevent emissions of volatile organic compounds in the atmosphere through the industrial process.

Application concentration is a significant factor in the air compressor market owing to a huge number of industrial facilities that require air compressors.

Report Coverage & Deliverables

PDF report & online dashboard will help you understand:

• Competitive benchmarking
• Historical data & forecasts
• Company revenue shares
• Regional opportunities
• Latest trends & dynamics

Request a Free Sample Copy

Click on image to enlarge

Type Insights

Based on type, the stationary air compressor segment led the market and accounted for the highest revenue share of 60.5% in 2023. The stationary air compressors are ideal for use in manufacturing plants, industrial plants, and auto repair shops. Furthermore, stationary air compressors are typically larger and more powerful than portable ones, which are suitable for heavy-duty applications.

Portable air compressors is likely to witness significant growth over the forecast period. They are available in various sizes and shapes. Smaller models are easy to transport whereas larger models are equipped with wheels for mobility. They are ideal for small-scale applications such as job sites and homes. The increasing concerns about environmental sustainability and reducing carbon footprints have led consumers and businesses to seek energy-efficient solutions, including portable air compressors, to lower energy consumption and emissions.

Lubrication Insights

Based on lubrication, the oil-filled air compressor segment led the market and accounted for the highest revenue share in 2023. An oil-filled air compressor, also known as an oil-lubricated air compressor, uses oil as a lubricant and coolant for its internal components, including the compressor pump. Oil-filled air compressors are commonly used in various industrial and commercial applications where clean, dry, and oil-free compressed air is not a strict requirement.

Oil-free air compressors are likely to witness significant CAGR growth over the forecast period. Oil-free mobile air compressors offer a wide range of advantages such as low risk of contamination, reduced maintenance and replacement cost, low energy cost, and minimal environmental impact, which is expected to drive the segment growth. Leading players are developing low-maintenance and eco-friendly oil-free mobile air compressors to persuade consumers to choose advanced and energy-efficient mobile air compressors. To distinguish their products in an incredibly competitive sector, companies such as Ingersoll Rand, Atlas Copco, and BAUER COMP Holding GmbH have developed advanced technologies with high-performance capabilities.

Application Insights

The manufacturing segment dominated the market in 2023. The growth of the manufacturing sector has indeed played a significant role in the expansion of the market. Manufacturing processes often require compressed air for various applications, such as operating pneumatic tools, controlling valves, powering machinery, and more.

To learn more about this report, request a free sample copy

Food & beverage segment is expected to witness highest growth over the forecast period. Oil-free air compressors have gained popularity in the food & beverage industry owing to their ability to provide clean, contaminant-free compressed air. Since oil can contaminate products and compromise their quality, the food & beverage industry requires compressed air that is free of oil and other contaminants, resulting in a growing demand for oil-free air compressors in this industry.

Operating Mode Insights

Based on operating mode, the electric-operated air compressor segment dominated the market in 2023. Electric air compressors are versatile in terms of their energy efficiency, and it is one of the driving factors for use in various industries. Compared to their gasoline or diesel counterparts, electric compressors tend to be more energy-efficient, resulting in cost savings over time.

The internal combustion engine (ICE) segment is expected to witness a significant CAGR over the forecast period. ICE air compressors are commonly used in various industries and applications, and several factors drive their adoption and use. ICE air compressors are often mounted on portable trailers or vehicles, allowing them to be easily transported to job sites. ICE air compressors are often used in emergency response situations, such as roadside assistance and disaster relief efforts, where access to electricity may be limited or non-existent.

Power Range Insights

Based on power range, the 51-250kW segment held highest revenue share of in 2023, and is likely to grow at a significant CAGR over the forecast period. Air compressors in the 51 kW to 200 kW range offer several benefits due to their increased power and capacity. These compressors can provide a higher volume of compressed air, making them suitable for applications that require a significant amount of air, such as industrial manufacturing, large-scale construction, and mining.

Using an air compressor with a power output of over 500kW can offer several benefits, especially in large-scale industrial applications. Compressors in this power range can deliver a significant volume of compressed air at high pressures. This makes them suitable for demanding applications that require substantial airflow, such as heavy manufacturing or mining.

Product Insights

Rotary/screw compressor segment dominated the market in 2023. The features of rotary/screw air compressors, such as low noise output, high energy efficiency, good performance, easy maintenance, and uninterrupted operation, are anticipated to attract more and more customers over the forecast period resulting in an increasing demand for rotary/screw air compressors.

Reciprocating air compressors are made for intermittent duty applications in challenging settings and have a low installation cost. They work best for applications where the compressor is often turned on and off. The factors influencing the growth of the reciprocating air compressors segment are their increasing demand in industries where air quality is critical, such as food & beverage, pharmaceutical, and electronics.

Regional Insights

Asia Pacific led the market and accounted for the highest revenue share of 42.1% in 2023 and is anticipated to grow at the highest CAGR. China has a significant industrial sector with diverse applications that may drive demand for air compressors in the country. China is a major hub for electronics manufacturing, including the production of semiconductors, microchips, and other electronic components.

To learn more about this report, request a free sample copy

The European market is anticipated to grow at a lucrative growth rate over the forecast period owing to the strong emphasis on energy efficiency and sustainability placed by the European countries. Stricter environmental regulations and climate change concerns drove industries to adopt energy-efficient air compressor solutions.

Key Companies & Market Share Insights

The market consists mainly of global players, of which a few operate regionally. New product launches, mergers and acquisitions, partnerships, and collaborations are vital strategies that companies adopt for sustained growth. Furthermore, key raw material suppliers and product manufacturers have integrated their operations to provide raw materials and manufacture the final product to cut down on raw materials procurement and operation costs.

Major market players frequently undertake geographical expansion strategies to enter established and newer markets. New product developments and approvals are also a part of the key initiatives key companies’ are undertaking to gain more substantial product penetration.

Recent Developments

• In August 2023, FS Elliot Co., LLC introduced the P400HPR Centrifugal Air Compressor. The P400HPR ensures energy efficiency and dependability while meeting any high-pressure application with improved features and exceptional performance. Some prominent players in the air compressor market include.
• In April 2023, Atlas Copco announced the acquisition of the compressed air business division of Asven S.R.L., a specialist in the service, installation, and sales of compressed air systems.

Global Air Compressor Market Report Segmentation

This report forecasts revenue growth at global, regional & country levels and provides an analysis on the industry trends in each of the sub-segments from 2018 to 2030. For the purpose of this study, Grand View Research has segmented the global air compressor market on the basis of type, product, lubrication, application, operating mode, power range, and region:

• Type Outlook (Revenue, USD Billion; Volume, Units 2018 – 2030)
  • Stationary
  • Portable
• Product Outlook (Revenue, USD Billion; Volume, Units 2018 – 2030)
  • Reciprocating
  • Rotary/Screw
  • Centrifugal
• Lubrication Outlook (Revenue, USD Billion; Volume, Units; 2018 – 2030)
  • Oil Free
  • Oil Filled
• Application Outlook (Revenue, USD Billion; Volume, Units 2018 – 2030)
  • Healthcare & Medical
  • Manufacturing
  • Oil & Gas
  • Home Appliances
  • Food & Beverage
  • Energy
  • Semiconductor & Electronics
  • Others
• Operating Mode Outlook (Revenue, USD Billion; Volume, Units; 2018 – 2030)
  • Electric
  • Internal Combustion Engine
• Power Range Outlook (Revenue, USD Billion; Volume, Units; 2018 – 2030)
  • Up to 20 kW
  • 21-50kW
  • 51-250 kW
  • 251-500 kW
  • Over 500kW
• Regional Outlook (Revenue, USD Billion; Volume, Units 2018 – 2030)
  • North America
    • U.S.
    • Canada
    • Mexico
  • Europe
    • Germany
    • UK
    • France
    • Italy
    • Spain
  • Asia Pacific
    • China
    • India
    • Japan
    • Australia
    • South Korea
  • Central & South America
    • Brazil
    • Argentina
  • Middle East & Africa
    • Saudi Arabia
    • South Africa