Thermal Management Market Size

Global Thermal Management Market Overview:

Thermal Management Market Size was valued at USD 10736.208 million in 2023. The Thermal Management market industry is projected to grow from USD 12016.38048 million in 2024 to USD 25343.2 million by 2032, exhibiting a compound annual growth rate (CAGR) of 9.78% during the forecast period (2024 - 2032). increasing adoption of IoT in robotics, shifting towards domestic robots, and introducing intuitive technologies in robotics solutions are the key market drivers enhancing the Thermal Management market growth.

Source: Secondary Research, Primary Research, MRFR Database and Analyst Review

Thermal Management Market Trends

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  Growing demand for cutting-edge heat dissipation technologies market growth

  
  

To transmit heat, thermal interface materials must have a compression force characteristic that can accommodate both the component generating the heat and the chassis or heat sink being utilized to disperse it. When operating, electronic components generate heat. The usefulness and dependability of these items are determined by how they control their heat-generating and -cooling systems. When temperatures rise too high, there must be a means to transfer heat from the components to a heat-dissipating device, such as a liquid cooling plate, chassis, or conventional heat sink. 

For instance, the dependability and lifespan of the printed circuit board (PCB) components would suffer if the PCB had a means of transferring heat. Under severe circumstances, they may melt or sustain damage. These reasons lead to the employment of heat dissipation systems as thermal management components. Thus, this factor is driving the Thermal Management market CAGR.

The number of linked devices has also been growing quickly in recent years due to the growing acceptance of the Internet of things (IoT). This technology enables the communication between objects or between objects and people via the Internet and IP-enabled protocols. For example, Cisco predicts that by 2023, there will be 29.3 billion networked devices. Because most IoT devices (wearables, smart home systems, etc.) have such tiny form factors, active thermal management techniques like liquid cooling or cooling fans cannot be used. The key to minimizing overheating of crucial components in these devices is the implementation of passive thermal management techniques at the board level combined with circuit optimization.

One of the main drivers propelling market growth is the significant expansion of the electronics sector. As consumer electronics manufacturing processes advance, a need for smaller products with increased power densities is rising. Reduce the high heat flux created by these devices, increasing the requirement for thermal management technology. 

Chip-cooling technologies have advanced in recent years to account for the rise in heat flow. Several firms focus on creating sophisticated cooling solutions based on multi-phase heat transfer technology. Technologies like jet impingement mechanisms, cold plates, and heat vapor chambers have significantly changed the future of these systems. Thus, this aspect is anticipated to accelerate Thermal Management market revenue globally.

Thermal Management Market Segment Insights:

Thermal Management Material Insights

The Thermal Management market segmentation, based on Material, includes Adhesive and Non-adhesive Materials. The Non-adhesive Materials Thermal Management segment held the majority share in 2022, contributing to around ~65-67% of the Thermal Management market revenue. The factors can be attributed to their benefits, which include their mechanical stun absorption limit, ability to re-energize in response to changes in ambient temperature, and suitability for various applications needing temperature management.

Figure 1: Thermal Management Market, by Material, 2022 & 2030 (USD billion)

Thermal Management End-User Insights

Based on End-User, the Thermal Management market segmentation includes Automotive, Aerospace, Consumer Electronics, Servers and Data Centers, Aerospace and Defense, and Healthcare. Consumer Electronics dominated the Thermal Management market in 2022 and is projected to be the faster-growing segment during 2024-2032. The consumer electronics industry is anticipated to have the highest CAGR over the measurement period. Because of advancements in the gadget industry, the components may be applied to simpler and more sophisticated goods.

Thermal Management Regional Insights

By Region, the study provides market insights into North America, Europe, Asia-Pacific, and the Rest of the World. Asia Pacific Thermal Management market accounted for USD 5.35 billion in 2022. The thermal management market is anticipated to grow at the highest CAGR of 10.9% in Asia Pacific during the projected period. The expansion of the thermal management market in the Asia Pacific is attributed to the flourishing chip manufacturing industries in nations like China and South Korea. Also, this Region is seeing a rise in the demand for autos and consumer electronics. The need for thermal management systems is also anticipated to increase due to economic and technical developments in the Asia Pacific region. Moreover, the China Thermal Management market held the largest market share, and the India Thermal Management market was the fastest-growing market in the Asia-Pacific region.

Further, the major countries studied in the market report are The U.S., Canada, Germany, France, the UK, Italy, Spain, China, Japan, India, Australia, South Korea, and Brazil.

Figure 2: THERMAL MANAGEMENT MARKET SHARE BY REGION 2022 (%)

Due to rising investments in technical innovation and the widespread use of thermal management technology, the North American Region is anticipated to have the biggest market share. The regional headquarters of some leading market participants, including Parker-Hannifin Corp., Advanced Cooling Technologies Inc., Honeywell International Inc., and Gentherm Inc., is located here. One of the main drivers fueling the market's expansion is the Region's expanding consumer electronics sector. In the United States, the consumer technology sector is anticipated to produce retail sales revenue of over USD 505 billion for the first time, according to a recent CTA prediction. The forecast shows an increase in sales of 2.8% from the remarkable rise of 9.6% over 2020 in 2021.

Europe Thermal Management market is growing at a significant rate. There is a rising demand for autos and consumer gadgets. The general need for thermal management systems is also anticipated to be driven by European technical and economic developments. Further, the Germany Thermal Management market held the largest market share, and the UK Thermal Management market was the fastest-growing market in the European Region.

Thermal Management Key Market Players & Competitive Insights

Leading market players are investing a lot of money in R&D to expand their product portfolios, which will spur further market growth for Thermal Management. With significant industry changes, including new product releases, contractual agreements, mergers and acquisitions, increased investments, and collaboration with other organizations, market developments are also undertaking various strategic activities to expand their presence. To grow and remain in a market that is becoming increasingly competitive, Thermal Management industry competitors must provide affordable products.

One of the primary business strategies Thermal Management industry manufacturers utilize to service clients and expand the market sector is local manufacturing to reduce operating expenses. Some of the most significant benefits recently offered to medicine come from the Thermal Management industry. The Thermal Management markets major players such as Honeywell International Inc., Aavid Thermalloy LLC., Vertiv Co., European Thermodynamics Ltd., Master Bond Inc., Laird PLC, Henkel AG & Company, KGaA, Delta Electronics Inc., Advanced Cooling Technologies Inc., Dau Thermal Solutions Inc., and others are working on expanding the Thermal Management market demand by investing in research and development activities.

The corporate headquarters of the American multinational company Honeywell International Inc. are in Charlotte, North Carolina. Aerospace, building technologies, performance materials and technology, and safety and productivity solutions make up its four main business sectors. Regardless of the fuel used in the airplane, Honeywell International Inc. and Reaction Engines Limited, a British aerospace business began working together in August 2022 to develop thermal management technology. To provide sustainable aircraft thermal management solutions, Honeywell and Reaction Engines will adapt the special microtube heat exchanger technology from Reaction Engines and use it across various Honeywell systems.

The corporate headquarters of the American multinational company Honeywell International Inc. are in Charlotte, North Carolina. Henkel purchased Thermexit, a division of Nanoramic Labs that dealt with heat management materials, in September 2022. With this purchase, Henkel improved its position in the expanding thermal interface material (TIM) industry.

Key Companies in the Thermal Management market include

• Honeywell International Inc.

• Aavid Thermalloy LLC.

• Vertiv Co.

• European Thermodynamics Ltd.

• Master Bond Inc.

• Laird PLC

• Henkel AG & Company

• KGaA

• Delta Electronics Inc.

• Advanced Cooling Technologies Inc.

• Dau Thermal Solutions Inc.

Thermal Management Industry Developments

July 2023: Mahle, a supplier to the automotive industry, and ProLogium, a producer of solid-state battery cells in Taiwan, have joined forces to create and assess thermal management solutions for the next-generation solid-state batteries. The businesses have agreed to work together on this project by signing  letter of intent. The development of battery systems with higher efficiency, service life, energy density, and fast-charging capabilities is the main objective of this alliance. However, examining how these batteries age will also receive considerable attention. Mahle stresses the significance of taking into account the battery's effectiveness, cost, and ageing evaluations since these elements are essential for the widespread use of electric cars and the upcoming second-hand market.

July 2023: The new iTMM (integrated Thermal Management Module) from Marelli is now available for electric cars. It makes it possible to effectively combine the many thermal circuits of the car into a one component to provide a more effective thermal management system, thereby enhancing driving range, safety, and flexibility. With the use of a clever valve design, the module modularizes water-cooled heat exchangers like the chiller/water-cooled condenser. The Marelli iTMM integrates the three systems, utilizing their synergies and exchanging components to provide efficient energy management. This integrated valve regulates up to 6 channel combinations.

June 2023: At its annual Global Technology Day event, the technology giant ZF recently announced its in-house thermal management system for the electric vehicles (EVs). With this technique, EV range in the winter might be increased by about one-third. It has an improved electric drivetrain with power electronics, motor, and an 800-volt silicon carbide-based reduction gearbox. The business claims that this cutting-edge solution raises the bar for weight and compactness while increasing efficiency thanks to freshly created powertrain software. The modular architecture of thermal management system allows automakers to incorporate it into their cars in a variety of ways.

May 2022: The Nextreme Recirculating Chiller established the market by offering high-quality parts, eco-friendly refrigerants, quiet parts, and an easy-to-use operator interface at a competitive price. Compared to traditional compressor-based systems, the new chiller uses high-performance variable speed motors that decrease noise, cut room heat input, and consume up to 50% less energy.

October 2022: To offer maintenance, repair, and overhaul (MRO) services for Boeing 777 thermal components, Collins Aerospace, an aerospace and military product supplier, and Limco Airepair, a fully owned subsidiary of TAT, have signed a contract extension. Customers of Collins will gain from TAT's services thanks to this arrangement.

Thermal Management Market Segmentation:

Thermal Management Material Outlook

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  Adhesive Materials

  
  

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  Non-adhesive Materials

  
  

Thermal Management End User Outlook

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  Automotive

  
  


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  Aerospace

  
  


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  Consumer Electronics

  
  


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  Servers and Data Centers

  
  


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  Aerospace and Defense

  
  


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  Healthcare

  
  

Thermal Management Regional Outlook

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  North America

  
  

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  US

  
  


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  Canada

  
  

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  Europe

  
  

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  Germany

  
  


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  France

  
  


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  UK

  
  


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  Italy

  
  


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  Spain

  
  


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  Rest of Europe

  
  

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  Asia-Pacific

  
  

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  China

  
  


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  Japan

  
  


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  India

  
  


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  Australia

  
  


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  South Korea

  
  


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  Australia

  
  


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  Rest of Asia-Pacific

  
  

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  Rest of the World

  
  

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  Middle East

  
  


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  Africa

  
  


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  Latin America