Computational fluid dynamics (CFD) is a branch of fluid mechanics that uses numerical analysis and algorithms to solve and analyze problems that involve fluid flows. It can be used to model the interaction of liquids and gases with surfaces defined by boundary conditions. CFD is applied to a variety of industrial and non-industrial applications in heat transfer, mass transfer and fluid flow where flow regimes may range from pure laminar flow to turbulent or mixed flows. CFD is used for product design, process modeling and optimization, cooling system improvement, ventilation enhancements and other applications around generating energy savings.

The global Computational Fluid Dynamics Market is estimated to be valued at US$ 2477 Mn in 2023 and is expected to exhibit a CAGR of 21% over the forecast period 2023 to 2030, as highlighted in a new report published by Coherent Market Insights.

Market Opportunity

The opportunity in energy efficient design presents a lucrative opportunity for growth of CFD market. CFD supports analysis of fluid flow and heat transfer problems and enables optimization of the product or system design for enhanced energy efficiency. Using CFD simulation tools in design process enables evaluation of thousands of design options virtually to optimize for factors like minimal resistance, drag or heat loss which can significantly improve energy efficiency. This reduces physical testing needs thereby lowering costs and speeding up product development cycles. As energy efficiency becomes a key priority across industries to reduce costs and environmental impact, the application of CFD is expected to grow substantially creating a major market opportunity over the forecast period.

Porter's Analysis

Threat of new entrants: The computational fluid dynamics market requires high R&D investments and stringent government regulations lowering the threat of new entrants.

Bargaining power of buyers: Buyers have moderate bargaining power due to the availability of several solution providers and switching costs being relatively low.

Bargaining power of suppliers: Suppliers have low to moderate bargaining power as there are many component and raw material suppliers in the market.

Threat of new substitutes: There are no close substitutes for computational fluid dynamics (CFD) simulations limiting the threat from new substitutes.

Competitive rivalry: The market is moderately competitive due to the presence of many established players globally.

SWOT Analysis

Strength: The computational fluid dynamics market is growing exponentially due to the rising demand for simulation software from industries such as automotive, aerospace, and energy.

Weakness: High software costs act as a restraint for small and medium enterprises. Integration of CFD software with complex product design workflows requires substantial investments and expertise.

Opportunity: Increasing R&D investments in the automotive, aerospace, and industrial machinery sectors offer growth opportunities for market players. Growing demand for electric vehicles will further drive the demand for CFD simulations.

Threats: Open-source CFD simulation tools could emerge as a threat; however, their capabilities are currently limited compared to commercial tools. Data security compromises pose a challenge.

Key Takeaways

The Global Computational Fluid Dynamics Market Size was valued at US$ 2477 million in 2023 and is projected to reach over US$ 8181 million by 2030, expanding at a CAGR of 21%. North America dominated the market in 2023 with over 30% share owing to strong presence of leading automotive and aerospace companies adopting CFD simulations.

Europe is the second largest market, projected to expand at around 20% CAGR during the forecast period. Stringent emission regulations and rising demand for electric vehicles are major factors driving adoption of CFD solutions in the automotive industry across Europe.

Key players operating in the computational fluid dynamics market are AVL, Cummins, Inc, Johnson Matthey Battery Systems, L&T Technology Services, Merlin Equipment Ltd., Navitas System, LLC, Nuvation Engineering, The Ventec Company, Toshiba Corporation, TWS (Technology with Spirit), Vecture Inc. Major players are focusing on new product launches and partnerships with OEMs and research institutes to strengthen their market position.

For More Insights, Read: https://www.newswirestats.com/computational-fluid-dynamics-market-demand-growth-and-regional-outlook-by-2030/