The surging investments being made in infrastructural development and construction projects in countries such as India and China are causing a sharp rise in the sales of compressors in the Asia-Pacific region. Currently, there are many infrastructural development projects in pipeline in China. According to reports China approved the development of rail projects worth $43.3 billion in Shanghai in December 2018. Similarly, the Indian government is aiming to build as many as 100 smart cities and renovate other 500 cities.
For the completion of these projects, the government has allocated a budget of $6.8 billion (for the renovation and upgradation of various cities) and $13.9 billion (for the development of 100 smart cities). Besides the increasing number of infrastructural development and construction projects, the expansion of the automotive industry is also positively impacting the sales of compressors in the Asia-Pacific (APAC) region. Compressors are required heavily in the automotive industry in several applications during the vehicle manufacturing process.
Browse detailed – APAC Compressor Market Revenue Estimation and Growth Forecast Report
Some of the major application areas of compressors in this industry are car painting, tire inflation, engine construction, and air-conditioning systems. As per many surveys, the sales of vehicles (all types) grew by around 35% in China from 2012 to 2019, while in India, automobile sales increased by almost 22% from 2012 to 2018. With the rise in vehicle sales, the demand for compressors is surging sharply in the region.
This is fueling the expansion of the Asia-Pacific (APAC) compressor market. As a result, the value of the market will grow from $19.9 billion in 2019 to $25.7 billion by 2030. Furthermore, the market will advance at a CAGR of 3.2% between 2020 and 2030. When application is taken into consideration, the market is divided into automotive, construction, power, industrial manufacturing, chemical and cement, heating, ventilation, air conditioning, and refrigeration (HVAC-R), oil and gas, food and beverage, and textile.