Secondary Refrigerants Market Size & Share Analysis - Growth Trends and Forecast (2026 - 2031)

Global Secondary Refrigerants Market Trends and Insights

Regulatory Phase-down of High-GWP Primary Refrigerants

The phase-down of hydrofluorocarbons is changing equipment decisions in the secondary refrigerants market. The American Innovation and Manufacturing Act program reduced U.S. hydrofluorocarbon production and consumption allowances to 60% of historical baselines for 2024 through 2028^{[1]U.S. Environmental Protection Agency, “Frequent Questions on the Phasedown of Hydrofluorocarbons,” U.S. Environmental Protection Agency, epa.gov}. The program requires new residential split-system air-conditioning and heat-pump installations from January 1, 2026, to use refrigerants with a global warming potential below 700. In Europe, servicing air-conditioning and heat-pump equipment with fluorinated gases having a global warming potential of 2,500 or more has been prohibited since January 1, 2026. Indirect designs reduce the quantity of primary refrigerant used in occupied and food-contact areas. Glycol and brine loops can therefore help operators manage future compliance needs while maintaining serviceability.

Heat-pump and District-energy Deployment

Heat-pump deployment is increasing the use of circulating fluids in the secondary refrigerants market. The European Heat Pump Association reported sales of 2.9 million heat pumps across 21 European countries in 2025, a 13% increase from 2024^{[2]European Heat Pump Association, “Heat Pump Sales Testify to Government Action,” European Heat Pump Association, ehpa.org}. Germany recorded 50% sales growth in 2025, and heat pumps accounted for half of heating equipment sold in the country. European sales rose a further 17% in the first quarter of 2026. Large heat pumps in district heating networks need fluid circulation across extended piping runs. Germany had nearly 900 megawatts of district-heating heat-pump capacity under construction or planning in 2026. Those installations also require fluid monitoring, inhibitor replenishment, and replacement services over their operating life.

Cold-chain, Food Processing, Pharmaceutical Capacity Expansion

Cold-chain expansion supports demand for controlled-temperature systems in the secondary refrigerants market. DP World announced a EUR 100 million investment in a 55,000 m² temperature-controlled logistics hub at the Port of Antwerp in August 2026. Pharmaceutical storage places a high value on uniform temperatures and controlled fluid flow. Those requirements can favor secondary systems with tighter freeze-point margins and managed fluid quality. Data centers are also introducing a separate source of demand for glycol-water coolants. Higher rack densities have moved glycol formulations from conventional heating, ventilation, and air-conditioning chillers into direct-to-chip cold-plate loops. Dynalene, Inc. received Open Compute Project Accepted recognition for its PG-D25 direct-to-chip propylene glycol coolant in August 2026. These applications require low ionic contamination, biofouling resistance, and copper compatibility, which broadens the role of specialized secondary fluids.

Demand for Energy-efficient, Low-leakage Cooling

Energy use and leakage control are becoming more important selection factors in the secondary refrigerants market. Secondary loops allow designers to limit the charge of the primary refrigerant circuit. This configuration can reduce the exposure created by leaks in retail, industrial, and building cooling systems. Carbon dioxide systems can also use secondary-loop arrangements to limit direct-emissions risks. The North American Sustainable Refrigeration Council projected that secondary-carbon-dioxide store installations in the United States would increase 620% between 2024 and 2028. System performance still depends on appropriate fluid selection, pipe design, and pump operation. Suppliers that pair efficient formulations with ongoing fluid management can address both operating and maintenance needs.

Higher Upfront Cost of Pumps, Heat Exchangers, and Secondary Piping

Indirect refrigeration systems require circulation pumps, plate heat exchangers, and secondary piping. These additions can raise capital expenditure by 20% to 35%, depending on facility size and design complexity. Cost sensitivity is especially important for mid-scale cold-storage operators in Southeast Asia and Latin America. Many cold-storage projects use target payback periods of 4 to 7 years. The added cost of a secondary loop can extend payback toward the outer end of that range. Modular skid designs and improvements in plate heat-exchanger fabrication can narrow the gap over time. Markets without policy incentives, however, may continue to see slower adoption of indirect systems.

Fluid Viscosity and Pumping Penalty at Low Temperatures

Glycol and formate-salt fluids become more viscous at temperatures below -20 °C. A 50% ethylene glycol formulation can have a viscosity 6 to 10 times higher at -30 °C than at 0 °C. Higher viscosity increases pump energy use and can require larger pipes and pumps. The effect is most significant in blast freezing, cold-storage tunnels, and other sub-zero food processing systems. Potassium formate and potassium acetate blends can reduce the pumping penalty, but they have higher material costs and need specific corrosion inhibitor programs. Material compatibility, corrosion protection, pH monitoring, and timely fluid replacement also remain necessary to preserve system performance and fluid life.

*Our forecasts treat driver/restraint impacts as directional, not additive. The impact forecasts reflect baseline growth, mix effects, and variable interactions.

Segment Analysis

By Product Type: Glycols Lead While Carbon Dioxide Gains Pace

Glycols held 44.13% of the secondary refrigerants market share in 2025. Ethylene glycol and propylene glycol work with stainless steel, copper, aluminum, and carbon steel systems when appropriate inhibitor packages are used. Propylene glycol has a food-safety advantage in applications where incidental food contact is possible. Salt brines remain relevant in deep-freeze uses where lower material cost can offset higher corrosion risk. Carbon dioxide is projected to advance at an 8.35% CAGR through 2031. Carbon dioxide has a global warming potential of 1 and a high volumetric heat capacity, which supports its use in commercial refrigeration secondary-loop designs.

The secondary refrigerants market size for carbon dioxide is supported by supermarket operators seeking alternatives to legacy hydrofluorocarbon racks. The North American Sustainable Refrigeration Council projected that secondary-carbon-dioxide store installations in the United States would grow 620% between 2024 and 2028. Climalife stated that its Greenway Neo N fluid, made from bio-1,3-propanediol produced through renewable-corn fermentation, has up to 84% lower carbon dioxide emissions and uses 70% less nonrenewable energy than conventional propylene glycol. The fluid has NSF HT1 registration for food-adjacent uses. Food and pharmaceutical buyers are increasingly assessing the embodied carbon of heat-transfer fluids. This places greater importance on certified renewable feedstocks and documented fluid performance.

By Application: Heat Pumps Lead While Air Conditioning Accelerates

Heat pumps held 31.45% of the secondary refrigerants market share in 2025. District-energy and ground-source heat-pump systems commonly circulate brine or glycol between ground loops, heat exchangers, and building distribution equipment. This equipment base supports continuing secondary-fluid use throughout installation, maintenance, and replacement cycles. European rules require district heating and cooling systems to source at least 50% of their energy from renewables, waste heat, or high-efficiency cogeneration by 2027. Commercial refrigeration also uses secondary-loop rack systems to minimize primary refrigerant charge. Industrial refrigeration requires formulations that can operate at temperatures as low as -50 °C.

The secondary refrigerants market size for air conditioning is projected to advance at an 8.63% CAGR through 2031. Urban growth, data-center construction, and commercial real estate development are expanding the use of chilled-water plants in Asia-Pacific, the Middle East, and parts of South America. These plants can use glycol in cooling-tower and air-handling loops. A 2026 study of integrated carbon-dioxide supermarket systems in Southern Europe recorded annual integrated coefficients of performance from 3.00 to 3.22 under different climate conditions. The result supports the application of secondary-loop designs in warmer climates, giving designers a performance reference beyond conventional temperature-zone assumptions.

Geography Analysis

Europe held 33.67% of the secondary refrigerants market share in 2025. The region combines district-energy infrastructure, strict fluorinated-gas rules, and active heat-pump deployment. European heat-pump sales reached 2.9 million units in 2025 across 21 countries. Germany recorded 50% heat-pump sales growth in 2025. Germany’s Kälte-Klima-Richtlinie program supports eligible refrigeration and cooling systems using non-halogenated refrigerants through the end of 2026. 

Asia-Pacific is projected to advance at an 8.10% CAGR through 2031. Demand is linked to cold-chain investment in China, India, and the Association of Southeast Asian Nations. China added more than 15 million cubic meters of refrigerated warehouse capacity from 2019 to 2025. Japan and South Korea have mature cooling systems where retrofits and charge-reduction programs create incremental demand. Vietnam, Thailand, and Indonesia are developing modern cold chains as investment activity increases. This creates an opening for glycol, brine, and carbon dioxide systems suited to local operating conditions.

North America drives demand through supermarket conversions and pharmaceutical cold-chain activity. The regulatory path under the American Innovation and Manufacturing Act continues to encourage lower-global-warming-potential refrigerant systems. The secondary refrigerants market size in the region also benefits from data-center investments that require specialized liquid coolants. South America has demand from food processing and cold storage. The Middle East and Africa have emerging needs in commercial real estate and temperature-controlled logistics. These regions remain smaller demand pools, but cooling infrastructure can create longer-term fluid requirements.