The Global Antifreeze Coolant Market was valued at USD 5.20 Billion in 2022 and is projected to reach USD 6.55 Billion by 2030, registering a CAGR of 2.83% for the forecast period 2023-2030.
Market Definition
Deionized water and a base liquid, typically ethylene glycol or propylene glycol, are combined to create an antifreeze coolant. Antifreeze coolants work to both raise the coolant's boiling temperature and lower its freezing point. The fundamental function of engine coolant in cars is to move heat from the internal combustion engine to the radiator, where airflow cools the fluid. Mineral or inorganic inhibitors like phosphate, borate, silicate, nitrite, and nitrate are found in traditional coolants. Only organic corrosion inhibitors, like carboxylates, are present in a coolant made with organic additive technology. The market for antifreeze coolant is driven by the increase in sales of electric vehicles. The market's expansion has been driven by the automotive industry's growing need for coolant and antifreeze materials. Coolants and antifreeze keep the engine of a car running at its ideal temperature by removing extra heat and preventing serious internal component damage. In addition, it has outstanding qualities like low viscosity, chemical inertness, anti-corrosion, non-toxicity, and thermal capacity. The automotive industry's need for coolants and antifreeze has increased due to technological advancements and engine development.
Market Size:
- 2022: USD 5.20 Billion
- 2030: USD 6.55 Billion
- CAGR (2023-2030): 2.83%
Antifreeze Coolant Market Dynamics
Drivers Propelling the Demand for Antifreeze Coolant include
The market is expanding because vehicles are using more antifreeze coolants : CAGR of the Antifreeze Market The automotive industry's increased use of antifreeze coolants is the driving force behind coolants. The liquid known as antifreeze is made of chemicals. In the engine of the car, it raises the boiling and lowers the freezing temperatures of the water-based liquids. It protects the engine from harm and keeps engine parts from freezing or overheating. On the other hand, coolant is produced using a mixture of water and antifreeze, the precise ratios of which differ depending on the car. Coolants are used to control the external temperature of fluids and engine parts in any kind of weather, it also keeps the fluid in the car's radiator from boiling in the summer and freezing in the winter. Antifreeze and coolants are used in the automotive, aerospace, and industrial sectors. In addition, the market has expanded due to the car industry's growing need for coolant and antifreeze ingredients. Antifreeze and coolants keep the engine of a car running at the proper temperature by reducing excess heat and avoiding major damage to the internal parts of the engine. It also has excellent properties like anti-corrosion, non-toxicity, and low viscosity. The development of engines and advances in technology have led to an increase in the demand for cooling agents and antifreeze in the automotive industry. Furthermore, it is projected that the growth of HVAC systems in the manufacturing sector will support market expansion. Some certain restrictions and challenges will keep the market from growing. Limitations in the market, such as the increasing demand for electric cars and the volatility of raw material prices, are having a negative effect. The size of the antifreeze/coolant market is expected to be driven by the aforementioned factors over the projected period. due to this factor fueling the growth of the Antifreeze Coolant market.
For instance, in February 2023, according to Kline, the automotive coolants market is experiencing changes, driven by shifts in automotive design technology, as well as the desire for longer fluid service life and better performance. Modern vehicles have engines that are downsized and have higher power density compared to conventional vehicles so that they are compact and can run faster. These engines function at higher temperatures and need to be supported by cooling fluids that can offer good heat removal and robust corrosion protection properties.
Creation of bio-based antifreeze to get rid of toxins in the environment : Extended contact with automobile antifreeze can result in toxic consequences for small animals and poisoning for humans. Several nations' governments are taking punitive measures to counteract negative effects that could contaminate water supplies and harm the environment. To comply with the regulations set out by different government agencies, producers in the automotive antifreeze industry are adding bio-based antifreeze into a variety of lubricant formulations. Autonomous and biodegradable, bio-based antifreeze is becoming more and more popular among consumers. By providing bio-based substitutes, producers and distributors in the antifreeze coolant industry can set themselves apart from the competition. This could provide an advantage over competitors in the market by drawing in clients who care about the environment and companies searching for sustainable solutions. Research and development expenses are frequently incurred in the creation of bio-based alternatives for antifreeze coolant. More effective and efficient bio-based solutions are anticipated to be introduced to the market as technology and innovation in this field develop, which will fuel market growth even more. The automotive, manufacturing, and energy industries are just a few of the industries that are affected by the worldwide trend toward green technologies. This larger trend is supported by bio-based antifreeze coolants, which are positioned as essential elements in the shift to environmentally friendly and sustainable practices. Policies and incentives may be put in place by governments and regulatory agencies to promote the use of environmentally friendly and biobased products. The adoption of bio-based antifreeze coolants in various industries may benefit from this support, this factor driving the growth of the Antifreeze Coolant market.
For instance, in November 2022, according to Mitsui Chemicals Inc., Mitsui Chemicals, Inc. again acquired certification for several products under the International Sustainability and Carbon Certification (ISCC) PLUS system for certifying sustainable products. Aiming to expand the social implementation of biomass-based products under a mass balance system, Mitsui Chemicals plans to continue working toward the acquisition of ISCC PLUS certification across the Mitsui Chemicals Group to contribute to further advances in society’s use of biomass.
Recent Developments
In August 2021, Valvoline Inc., a leading provider of automotive services and premium branded lubricants, and Haertol today launched new coolant technology specifically designed for modern engines, Valvoline Antifreeze Coolant HT-12 Green and Valvoline Antifreeze Coolant HT-12 Pink.
In June 2023, ExxonMobil said today it has finalized corporate plans, which increase spending to $15 billion on greenhouse gas emission-reduction projects over the next six years while maintaining disciplined capital investments in its industry-leading portfolio. The plans support the corporate strategy of continued structural cost savings, investment in low-cost-of-supply and lower-emission products, and further portfolio high-grading, positioning the company to double earnings and cash flow by 2027 versus 2019.
Restraint
Volatile Prices of Raw Material Impedes Market Growth : One of the things that can limit the global antifreeze coolant market's growth is the fluctuating prices of raw materials. This is because various raw materials, such as corrosion inhibitors and ethylene and propylene glycol, are used to make antifreeze coolants. These raw materials can have highly variable prices due to a variety of factors, including energy prices, weather patterns, and global supply and demand. Manufacturers of antifreeze coolants may experience higher production costs as a result of rising raw material prices. This may therefore result in increased costs for customers. Consequently, some customers might be less inclined to buy antifreeze coolant, which could impede the market's expansion. Manufacturers of antifreeze coolant have several options for reducing the effects of fluctuating raw material costs. Manufacturers can lessen their reliance on any one supplier and safeguard themselves against price increases by collaborating with several suppliers. Manufacturers can use hedging as a financial tool to fix the price of raw materials for a specific future date. They may be better protected from price increases as a result. New formulations that utilize fewer of the most volatile raw materials can be created by manufacturers. They may be less vulnerable to price swings and have lower production costs as a result. To create antifreeze coolant in novel and more effective ways, manufacturers can spend money on research and development, this factor hinders the growth of the Antifreeze Coolant market.
For instance, in July 2022, according to Amazon, GoMechanic Smartcool Coolant Antifreeze Green Concentrate price is $3, Waxpol Antifreeze Coolant Green Concentrate is $2.5, Wurth Antifreeze Coolant Green Concentrate is $4.
Challenges
Stringent regulations with the Antifreeze Coolant industry : Manufacturers are frequently required by strict regulations to adhere to different safety, environmental, and labeling standards. The need for extra testing, certification, and the application of safety precautions may result in higher production costs. Complying with intricate regulations can also be time- and resource-consuming, which reduces operational effectiveness and competitiveness in the market. Strict laws can put major obstacles in the way of new businesses looking to enter the antifreeze coolant industry. In order to compete with established companies, new players may find it challenging to obtain regulatory approvals, adhere to stringent safety and manufacturing protocols, and obtain specialized equipment. This may impede the development of fresh and enhanced antifreeze coolant technologies by reducing market diversity and innovation. Because of safety or environmental concerns, strict regulations may limit the use of specific chemicals or ingredients in antifreeze coolant formulations. Manufacturers may find it more difficult to create new, improved products with better performance attributes as a result. Regulations may also call for the reformulation of current products to adhere to new standards, which would raise the cost and complexity of production.
Opportunities
Government initiative is a significant opportunity : Environmentally friendly technology development and adoption are being encouraged by several government policies and regulations being put into place. This includes tax breaks for producers and users of environmentally friendly antifreeze coolants, financial support for research and development, and laws requiring the use of non-toxic or biodegradable formulations. As a result, producers are in a better position to invest in green technologies and produce environmentally friendly antifreeze coolant solutions, drawing in eco-aware customers and growing their market share. Regulators have the authority to impose restrictions on the environmental effects of antifreeze coolant at every stage of its lifecycle, from manufacturing to disposal. This can involve limitations on the use of dangerous chemicals, specifications for recycling and end-of-life care, and guidelines for correctly discarding spent coolant. By encouraging producers to create safer, greener products and enforcing ethical standards throughout the supply chain, these regulations help to reduce potential environmental risks and promote environmental sustainability. The antifreeze coolant industry may profit indirectly from government investments in infrastructure projects like renewable energy facilities and networks for charging electric vehicles. High-performance antifreeze coolants are necessary for these projects' specialized cooling systems, which generates new market opportunities and demand. Research and development in fields like advanced materials, better coolant performance, and creative manufacturing techniques for antifreeze coolants can be supported by government grants and funding initiatives. Government initiatives are a significant opportunity for the Antifreeze Coolant market.
Snapshot:
| Attributes | Details |
| Market Size in 2022 | USD 5.20 Billion |
| Market Forecast in 2030 | USD 6.55 Billion |
| Compound Annual Growth Rate (CAGR) | 2.83 % |
| Unit | Revenue (USD Million) and Volume (Kilo Tons) |
| Segmentation | By Base Fluid, By Technology, By Application & By Region |
| By Base Fluid |
|
| By Technology |
|
| By Region |
|
| Base Year | 2022 |
| Historical Year | 2018 - 2022 |
| Forecast Year | 2023 - 2030 |
Segment Analysis of the Antifreeze Coolant Market
The Antifreeze Coolant Market is segmented by base fluid, technology application, and region.
By Base Fluid
The Ethylene Glycol segment held the largest market share in 2022 : By base, fluid is sub-segmented into ethylene glycol, propylene glycol, and glycerin. The ethylene glycol segment accounted for the highest market share 59% in the global antifreeze coolant market for 2022. EG is the most economical choice for the production of antifreeze coolant because it is substantially less expensive than other viable base fluids like propylene glycol or glycerol. Because of their affordability, manufacturers can keep up their market competitiveness and provide consumers with competitive prices. Excellent freezing point depression and boiling point elevation are provided by EG, which are vital characteristics for an antifreeze coolant. This guarantees sufficient engine protection in extremely cold and hot weather, avoiding freezing in the former case and overheating in the latter. Furthermore, EG has a high heat conductivity, which facilitates effective heat transfer inside the engine. Rubber, polymers, and metals are just a few of the materials that are frequently utilized in engine cooling systems and are compatible with EG. As a result, producers won't need to create unique formulas for various car models, streamlining operations and cutting expenses.
On the other hand, the propylene glycol segment has a significant market share over the forecast period, due to Compared to ethylene glycol, propylene glycol is thought to be safer and more environmentally friendly. Because it is non-toxic and biodegradable, it is a popular option for customers who care about the environment and for applications where the environment is a top priority. This results in less of a risk to the environment from spills and inappropriate disposal, making the market greener and more sustainable. Compared to ethylene glycol, propylene glycol is more compatible with rubber and different metals that are used in automotive cooling systems. This prolongs the cooling system's lifespan and may lower maintenance costs by lowering the chance of corrosion and damage to engine parts. In the event of accidental ingestion or exposure, propylene glycol is safer for both humans and animals due to its significantly lower toxicity compared to ethylene glycol.
By Technology
The Organic Acid Technology segment was the leading segment in 2022 : Technology is divided into organic acid technology, hybrid organic acid technology, and inorganic additive technology. the organic acid technology segment accounted for the largest share of the global Antifreeze Coolant market in 2022. In terms of performance, OAT coolants are superior to those made with traditional inorganic acid technology (IAT). Their improved heat transfer properties, longer lifespan, and better corrosion protection are all displayed by them. Customers find them more and more appealing as a result of their longer-lasting engines, lower maintenance costs, and higher fuel efficiency. When compared to the inorganic acids used in IAT coolants, organic acids are far less hazardous to humans and the environment when they are used in the formulation of OAT coolants. In line with the growing consumer demand for sustainable products, this lessens the antifreeze coolant's environmental impact throughout its life cycle. Many aluminum components found in modern engines are prone to corrosion from conventional IAT coolants. Modern engines, including aluminum ones, can be compatible with OAT coolants.
The hybrid organic acid technology segment is anticipated to register rapid growth in the forecast period, The performance of HOAT-based antifreeze coolants is better than that of conventional inorganic additive technology (IAT) coolants. They offer aluminum engine components greater protection against corrosion, longer service lives, increased thermal stability, and better protection. Longer coolant changes intervals, lower maintenance costs, and longer engine longevity are the results of this. Modern engines, especially those produced after 2003, are compatible with HOAT coolants because of their special formulation. These engines frequently have aluminum parts that need extra defense against cavitation and corrosion, which HOAT coolants successfully offer. Unlike IAT coolants, which contain silicates and phosphates, HOAT coolants are made with organic acid salts. This lessens the effect that coolant production and disposal have on the environment, making them a more environmentally friendly choice.
By Application
The Automotive segment held the largest market share in 2022 : By application, sub-segmented into automotive, industrial, and others. The ethylene glycol segment accounted for the highest market share 75% in the global antifreeze coolant market for 2022. Internal combustion engines, which power the great majority of cars on the road today, need antifreeze coolant to run efficiently. High rates of vehicle ownership and use, especially in developing nations, result in a substantial need for antifreeze coolant replacement and routine maintenance. The automotive segment includes a range of vehicle types, such as off-road vehicles, motorcycles, passenger cars, and commercial vehicles. A diversified market with significant demand is created by the need for specific coolant formulations for each type, which have differing specifications and performance requirements. Compared to older models, antifreeze coolant replacement intervals on modern cars are generally longer, necessitating fewer purchases over an extended period while maintaining demand stability. Manufacturers are being forced to develop more efficient engines that can operate at higher temperatures as a result of governments around the world enforcing stricter emission regulations for automobiles.
The aerospace segment is anticipated to register rapid growth in the forecast period, because of the large sums of money invested in aerospace research and development, as well as the large number of participants in nations like Sweden, Poland, Germany, France, and the UK. Additionally, industry growth is anticipated to be fueled by the expanding commercial aerospace subsector as a result of the accelerated equipment replacement cycle and the rise in demand for passenger travel.
Regional Analysis
Asia Pacific occupied the largest market share in 2022 : Asia Pacific has the largest revenue market share of 40% in 2022, The Asia Pacific area is a major hub for the production of automobiles, with nations like China, India, and Japan producing a sizable share of the global auto fleet. Due to this high production, there are many cars installed, Infrastructure in the Asia Pacific area is developing quickly, with investments being made in renewable energy projects and networks for charging electric vehicles. Due to the need for sophisticated cooling systems that depend on high-performance antifreeze coolants, this market is seeing an increase in demand. Because of its reputation for cost-competitive manufacturing, the Asia Pacific area can produce antifreeze coolant at a lower cost for manufacturers. This increases market share by lowering the cost of their products for consumers, especially in price-sensitive markets. The Asia Pacific region's automotive aftermarket sector is expanding. Antifreeze coolant and related services are easily accessible thanks to the Asia Pacific region's expanding automotive aftermarket sector. This includes an expanding network of repair shops, service centers, and internet merchants that provide antifreeze coolant testing, replacement, and top-up services.
On the other hand, North America accounted for a significant share over the forecast period, The automotive industry is well-established and mature in North America, where major manufacturers such as Ford, General Motors, and Chrysler have a strong presence. This results in a large number of cars that need frequent upkeep and servicing, such as replacing the antifreeze coolant, which raises market demand. Some of the highest rates of car ownership in the world are found in North American nations. This results in a greater demand for original equipment manufacturer (OEM) and aftermarket products as well as a larger consumer base for antifreeze coolant. Larger vehicles like trucks and SUVs are strongly preferred by North American consumers, and as a result, these vehicles usually need larger coolant capacities than smaller cars. This raises the need for antifreeze coolant in the area even more.
List of the prominent players in the Antifreeze Coolant Market:
- Royal Dutch Shell
- CCI Corporation
- BASF SE
- Old World Industries Inc.
- KMCO
- SONAX GmbH
- KOST USA, Inc.
- Recochem Inc.
- Amsoil, MITAN
- PARAS Lubricants
- TOTAL
- Gulf Oil International
- PENTOSIN
- Millers Oils
Segmentation Analysis of the Antifreeze Coolant Market
By Base Fluid
- Ethylene Glycol
- Propylene Glycol
- Glycerin
- Organic Acid Technology
- Hybrid Organic Acid Technology
- Inorganic Additive Technology
- Automotive
- Industrial
- Others
- North America
- Europe
- Asia Pacific
- Latin America
- Middle East and Africa
Impact of the COVID-19 Pandemic on the Antifreeze Coolant Market:
Many industries, including the aerospace sector, were severely impacted by the COVID-19 pandemic. One of the very first industries hit by the pandemic was the aerospace sector. Governments around the world battled to stem the infection's spread as cases increased, enacting travel bans, border closures, and other measures that grounded aircraft. The International Air Transport Association (IATA) reports that in April 2020, passenger air travel as measured by revenue passenger kilometers was 90% YoY lower than in August 2020. The decline in trade and economic activity had an impact on freight, which in April 2020 was nearly 30% lower year over year and remained roughly 12% lower in August 2020. Several airlines were forced to halt operations due to the pandemic, which resulted in job losses in the aerospace sector. According to the International Civil Aviation Organization (ICAO), Airport Council International (ACI), and International Air Transport Association (IATA), it will take the aviation industry at least three to four years to return to pre-pandemic levels. The need for antifreeze coolants is also impacted by the fact that less maintenance is necessary because many airlines are still prohibited from operating.
