Emerging Trends to Drive Hydraulics Market Growth at 4.7% CAGR Through 2029

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Hydraulics Market Size Growth Forecast: What to Expect by 2025?
Significant expansion has been observed in the hydraulics market in the past years. Its size is expected to rise from $42.59 billion in 2024, hitting $44.75 billion in 2025, reflecting a compound annual growth rate (CAGR) of 5.1%. Factors contributing to this historical growth include an increase in the utilization of hydraulic fluids; growing demand of hydraulic systems in aerospace, marine, and manufacturing industries; and heightened use of said systems in oil, gas, and transportation sectors.

How Will the Hydraulics Market Size Evolve and Grow by 2029?
The hydraulics market is projected to witness a consistent increase in its size in the coming years. It is estimated to reach a value of $53.73 billion by 2029, growing at a compound annual growth rate (CAGR) of 4.7%. This growth during the anticipated period can be linked to factors such as government-led efforts in infrastructure rehabilitation and modernization, the rising demand for hydraulic systems that offer high performance and efficiency, urban growth and the emergence of intelligent cities, substantial investment in R&D, and a concentrated effort on enhancing the durability and dependability of hydraulic components. Key trends during this forecast period encompass the convergence of hydraulic and electric systems in construction equipment, sophisticated simulation tools for design and testing, the evolution of high-pressure hydraulic systems, efforts to diminish noise levels in hydraulic systems, and the creation of digital duplicates of hydraulic systems.

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What Drivers Are Propelling the Growth of Hydraulics Market Forward?
The escalation of infrastructure development projects is anticipated to stimulate the progress of the hydraulics market in the near future. The increase in such projects is linked to various factors including fast-paced urbanization, economic development, governmental schemes, advances in technology, modernization, environmental issues, globalization, rising population, involvement of the private sector, enhanced funding alternatives, and planning for resilience against natural calamities. The role of hydraulic technology is vital in infrastructure advancements as it facilitates the completion, upkeep, and administration of diverse structural assignments. For example, in July 2024, the Office for National Statistics, an executive agency of the UK government, noted a 9.6% increase in total governmental investment in infrastructure in 2022 compared to the previous year. Additionally, the total expenditure on infrastructure by the government in 2022 was approximately $32.4 billion. This figure included nearly $24.1 billion from the federal purse and about $8.6 billion from local authorities. Thus, the surge in infrastructure development projects is fuelling the expansion of the hydraulics market.

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Which Emerging Trends Are Transforming the Hydraulics Market in 2025?
Leading entities in the hydraulics market are focusing on the production of innovative hydraulic components in an effort to improve efficiency, reliability, and overall performance. Within this context, hydraulic components are defined as pumps, valves, and cylinders necessary for conducting power through the pressure of fluids. For example, Danfoss, a manufacturer based in Denmark, introduced the Danfoss H1F fixed displacement bent axis hydraulic motor in November 2023. Its overall efficiency extends up to 95% and it features a compact design that is compatible with open and closed circuit systems. The motor is specifically engineered for usage in agriculture, construction, and forestry machinery, assuring optimum performance and reliability.

What Are the Key Segments in the Hydraulics Market?
The hydraulics market covered in this report is segmented -

1) By Product Type: Hydraulic Pumps, Hydraulic Motors, Hydraulic Cylinders, Hydraulic Valves, Hydraulic Filters, Other Product Types
2) By Application: Construction, Agriculture, Automotive, Aerospace, Oil And Gas, Mining, Marine, Other Applications
3) By End-User: Original Equipment Manufacturers (OEMS), Aftermarket

Subsegments:
1) By Hydraulic Pumps: Gear Pumps, Piston Pumps, Vane Pumps, Screw Pumps
2) By Hydraulic Motors: Gear Motors, Vane Motors, Piston Motors, Radial Piston Motors
3) By Hydraulic Cylinders: Single-Acting Cylinders, Double-Acting Cylinders, Telescopic Cylinders, Rodless Cylinders
4) By Hydraulic Valves: Directional Control Valves, Pressure Relief Valves, Flow Control Valves, Check Valves
5) By Hydraulic Filters: Return Line Filters, Pressure Line Filters, Suction Filters, Inline Filters
6) By Other Product Types: Hydraulic Accumulators, Hydraulic Tanks, Hydraulic Hose And Fittings, Hydraulic Seal Kits

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Who Are the Key Players Shaping the Hydraulics Market's Competitive Landscape?
Major companies operating in the hydraulics market are Caterpillar Inc, Komatsu Ltd, Eaton Corporation, Parker Hannifin Corporation, Kawasaki Heavy Industries Ltd., Webtec Products Limited, Moog Inc., KYB Corporation, HYDAC International GmbH, Nachi-Fujikoshi Corporation, Bucher Hydraulics, Hengli Hydraulic, HAWE Hydraulik SE, HydraForce Inc., Concentric Hydraulics, Prince Manufacturing Corporation, Linde Hydraulics GmbH & Co. KG, Oilgear Company, Yuken Kogyo Co. Ltd., Cross Manufacturing Company Inc., Walvoil S.p.A, Permco Inc., Salami SpA

What Geographic Markets Are Powering Growth in the Hydraulics Market?
Asia-Pacific was the largest region in the hydraulics market in 2023. North America is expected to be the fastest-growing region in the forecast period. The regions covered in the hydraulics market report are Asia-Pacific, Western Europe, Eastern Europe, North America, South America, Middle East, Africa.

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