Press release
Immersion Cooling Fluids Market Future Growth Hotspots and Forecast 2026 to 2035
The global Immersion Cooling Fluids Market for Evs is estimated to reach over USD 5279.4 Mn by 2034, exhibiting a CAGR of 28.2% during the forecast period.
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Immersion cooling is an IT thermal management technique in which key power distribution components are submerged in a thermally conductive dielectric fluid. This method is commonly used to cool equipment such as transformers and computer servers. The dielectric fluids employed in this process are non-conductive and non-capacitive, ensuring the safety and protection of sensitive electronic components during operation.
In parallel, the automotive market is experiencing a significant shift toward electric vehicles (EVs) due to ongoing technological advancements that enhance reliability, performance, and driving range. Consumer demand for EVs continues to outpace that for internal combustion engine (ICE) vehicles. Over the next decade, electric and electrified vehicles are projected to represent approximately 50% of global vehicle production. In addition to rising consumer preference, stringent government regulations on carbon dioxide emissions and fuel efficiency standards are expected to further drive the adoption of electric vehicles, supporting sustained market growth.
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List of Prominent Players in the Immersion Cooling Fluids Market for Evs:
• FUCHS
• The Lubrizol Corporation
• 3M
• Castrol Limited
• M&I Materials Ltd.
• Engineered Fluids
• Shell plc
• TotalEnergies SE
• Cargill Incorporated
• Dober
• LANXESS
• XING Mobility
• MAHLE GmbH
• Kreisel Electric
• E-MERSIV
• Tesla Inc.
• Volkswagen AG
• SAIC Motors
• BYD Co. Ltd.
• Stellantis N.V.
• General Motors
• Ford Motor Company
• Hyundai Motor Company
• Honda Motor Co., Ltd.
• Groupe Renault
• Toyota Motor Corporation
• Bayerische Motoren Werke (BMW) AG
Market Dynamics:
Drivers-
The immersion cooling fluids market is projected to experience steady growth over the next five years, driven by technological advancements and the increasing adoption of immersion cooling solutions across transformers, data centers, and electric vehicle (EV) battery systems. In addition, substantial investments and incentive programs by governments and related agencies aimed at promoting electric vehicle adoption and reducing carbon dioxide emissions are expected to further support market expansion.
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Challenges:
The production of immersion cooling fluids, particularly transformer oils, relies heavily on refined crude oil. As these oils are derived from highly processed and filtered crude oil products, fluctuations in global crude oil prices directly affect the cost of immersion cooling fluids. Since crude oil prices have demonstrated significant volatility since 2014, dependence on mineral oil presents a challenge to cost stability and widespread adoption of immersion cooling solutions.
Regional Trends:
Europe is expected to maintain a leading share of the global immersion cooling fluids market, both in revenue and market influence, with continued high growth projected over the forecast period. Rising demand for immersion cooling solutions in transformers, data centers, and EV batteries across emerging European countries is expected to drive market expansion. In the Asia Pacific region, key markets-including China, Japan, South Korea, and India-are projected to dominate the regional market in terms of value, supported by increasing technological adoption and growth in EV production and data center infrastructure.
Recent Developments:
• In October 2022, Shell plc expanded its global specialized fluids range with the introduction of Shell E-Fluids to support battery electric (BEV) and fuel cell electric (FCEV) powertrains for commercial light, medium, and heavy cargo vehicles.
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Segmentation of Immersion Cooling Fluids Market for Evs-
By Propulsion Type-
• Battery Electric Vehicles (BEVs)
• Hybrid Electric Vehicles (HEVs)
• Plug-in Hybrid Electric Vehicles (PHEVs)
By Vehicle Type-
• Passenger Vehicles
• Light Commercial Vehicles
• Heavy Commercial Vehicles
By Application
• EV Batteries
• EV Motors
• Power Electronics
By Product Type-
• Single-Phase Coolant
• Two-Phase Coolant
By Chemistry
• Mineral Oils
• Synthetic Oils and Esters
By Region-
North America-
• The US
• Canada
• Mexico
Europe-
• Germany
• The UK
• France
• Italy
• Spain
• Rest of Europe
Asia-Pacific-
• China
• Japan
• India
• South Korea
• South East Asia
• Rest of Asia Pacific
Latin America-
• Brazil
• Argentina
• Rest of Latin America
Middle East & Africa-
• GCC Countries
• South Africa
• Rest of the Middle East and Africa
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