Auxiliary Oil Cooler Market – Global Industry Size, Share, Trends, Opportunity, and Forecast, Segmented By Material Type (Zinc, Steel, Aluminum, And Others), By End-User (Industrial, Manufacturing, And Agriculture), By Region, Competition 2021-2031F

Forecast Period	2027-2031
Market Size (2025)	USD 1.08 Billion
CAGR (2026-2031)	6.88%
Fastest Growing Segment	Aluminum
Largest Market	North America
Market Size (2031)	USD 1.61 Billion

Market Overview

The Global Auxiliary Oil Cooler Market will grow from USD 1.08 Billion in 2025 to USD 1.61 Billion by 2031 at a 6.88% CAGR. Auxiliary oil coolers are specialized heat exchangers designed to regulate the temperature of engine oil, transmission fluids, and hydraulic systems, primarily within high-performance and heavy-duty vehicles. The market is fundamentally driven by the expanding logistics and commercial transport sectors, which require durable machinery capable of sustaining heavy loads without thermal degradation, alongside stricter emission standards that mandate efficient thermal management to ensure engine reliability. Illustrating this demand for heavy commercial vehicles, according to ACEA, in 2024, global bus production reached 362,005 units, marking a 10.3% increase compared to the previous year.

However, a significant challenge impeding continued market expansion is the accelerating transition toward vehicle electrification. As the automotive industry shifts focus to battery-electric powertrains, the reliance on internal combustion engines diminishes, thereby eliminating the necessity for traditional engine oil cooling components and reducing the long-term addressable market for these conventional systems.

Key Market Drivers

Growth in heavy-duty commercial and off-highway vehicle production acts as a primary catalyst for the auxiliary oil cooler market, driven by the necessity for robust thermal management in machinery subjected to high-load cycles. Commercial trucks, agricultural equipment, and construction vehicles require specialized heat exchangers to maintain the viscosity of transmission fluids and hydraulic oils, thereby preventing mechanical failure during strenuous operations. This sector's expansion is quantitatively evident in logistics fleet modernizations. According to the European Automobile Manufacturers’ Association, January 2024, in the 'Commercial Vehicle Registrations' report, new EU truck registrations surged by 16.3% reaching 346,986 units over the preceding year. Consequently, manufacturers of cooling systems are seeing sustained demand to equip these larger powertrains with durable thermal regulation components.

The rising demand for high-performance and turbocharged automotive engines further propels the adoption of auxiliary oil cooling solutions. As automakers downsize engines to comply with emission regulations while preserving power, the integration of turbochargers has become ubiquitous, creating extreme thermal conditions that mandate dedicated oil coolers to prevent lubricant coking and engine degradation. According to Garrett Motion Inc., February 2024, in the 'Fourth Quarter and Full Year 2023 Financial Results', the company reported net sales of $3.9 billion, a performance attributed significantly to the increased penetration of turbocharger technologies. This trend extends beyond passenger vehicles into industrial applications; according to the Indian Construction Equipment Manufacturers Association, in 2024, total construction equipment sales in India crossed 135,650 units, reflecting the critical need for advanced cooling in hydraulically intensive machinery.

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Key Market Challenges

The primary challenge hampering the growth of the Global Auxiliary Oil Cooler Market is the accelerating transition toward vehicle electrification. As the automotive sector shifts its focus to battery-electric powertrains, the fundamental reliance on internal combustion engines is significantly diminishing. Electric vehicles function without the complex engines and traditional transmissions that generate excessive heat and require dedicated fluid cooling systems. Consequently, this technological displacement directly eliminates the necessity for standard engine oil coolers in a growing proportion of new vehicles, effectively shrinking the long-term addressable market for these conventional thermal management components and creating a structural decline in demand.

Illustrating the speed of this market disruption, according to the China Association of Automobile Manufacturers, in 2024, the sales of New Energy Vehicles (NEVs) reached approximately 12.9 million units, representing a robust 35.5% increase compared to the previous year. This rapid expansion of the electric vehicle fleet signifies a substantial volume of automotive production that no longer requires traditional auxiliary oil cooling hardware, thereby restricting volume growth for suppliers in this specific market segment.

Key Market Trends

The Development of EV-Specific Thermal Management Solutions represents a critical pivot for suppliers mitigating the structural decline of internal combustion engine dependency. Manufacturers are actively re-engineering oil cooling architectures to manage the thermal loads of electric drive units, specifically for e-axles and wet-rotor motors which require specialized dielectric fluid cooling. This technological adaptation ensures continued commercial relevance by transferring heat exchange expertise from traditional powertrains to the burgeoning electrification ecosystem. Highlighting this strategic transition, according to Hanon Systems, November 2024, in the 'Third-Quarter 2024 Results' report, the company achieved a 2 percentage point quarterly increase in electrification-related sales, which accounted for 26% of its total revenue despite broader market volatility.

Simultaneously, the Expansion of Online Aftermarket Distribution Channels is structurally altering how auxiliary cooling components are procured by end-users and fleet operators. This trend is characterized by a migration from traditional brick-and-mortar distributors to digital platforms that offer streamlined inventory search and direct fulfillment, which is essential for minimizing downtime in commercial logistics applications. This channel shift is creating new revenue streams and increasing price transparency across the sector. Illustrating this growth in digital procurement, according to the Auto Care Association, November 2024, in the '2024 Joint E-commerce Trends and Outlook Forecast', e-commerce sales of automotive parts and accessories, excluding third-party marketplaces, grew by 4.3% compared to the previous year.

Segmental Insights

The Aluminum segment represents the fastest-growing material category within the Global Auxiliary Oil Cooler Market due to its favorable balance of weight reduction and thermal conductivity. Manufacturers increasingly adopt aluminum alloys to satisfy stringent weight limits and efficiency mandates imposed by regulatory frameworks like the Corporate Average Fuel Economy standards. This transition allows for improved fuel efficiency in automotive and industrial machinery while maintaining durability against corrosion. The material offers a cost-effective solution for heat dissipation requirements, ensuring its continued dominance and rapid expansion across global manufacturing supply chains.

Regional Insights

North America holds a dominant position in the Global Auxiliary Oil Cooler Market, driven primarily by the high production volume of commercial vehicles and heavy-duty trucks in the United States. This market leadership is reinforced by strict regulatory frameworks established by the Environmental Protection Agency, which mandate higher fuel efficiency and lower emissions. These regulations necessitate the use of effective thermal management components to prevent engine overheating and ensure compliance. Additionally, the region benefits from a strong industrial base requiring hydraulic cooling systems, further sustaining the demand for auxiliary oil coolers across various applications.

Recent Developments

• In July 2025, Parker Hannifin launched the QDC026 FlatFit air fluid cooler, a new thermal management solution designed specifically for compact electrification applications. This advanced cooler was engineered to be compatible with both water-glycol and oil-based fluids, making it a versatile addition to the auxiliary oil cooler market. The unit featured a high-performance 850 V DC brushless motor with an integrated inverter, which allowed for precise fan speed control via a CAN bus signal to minimize power consumption. Its compact design, with a reduced installation depth, addressed the industry's growing demand for space-saving cooling components in modern electric vehicles and mobile machinery.
• In April 2025, Mishimoto released two new universal oil cooler kits designed to provide enhanced thermal management for high-performance vehicles and trucks. The product launch included a 23-row tube-and-fin cooler, which featured strutted tubes for increased strength and fluid capacity, and a 25-row stacked-plate cooler engineered for superior heat transfer with minimal pressure loss. Both systems were equipped with an 8-inch electric fan capable of moving 600 CFM of air, ensuring consistent oil temperature regulation even in low-airflow conditions. These auxiliary cooling solutions were developed to prevent premature engine wear by maintaining optimal oil viscosity under heavy loads.
• In November 2024, Hankook & Company Group finalized a share purchase agreement to acquire a controlling stake in Hanon Systems, a leading global supplier of automotive thermal and energy management solutions. Through this strategic transaction, the parent company of Hankook Tire & Technology secured 54.77% ownership of the thermal management firm, which produces a wide range of components including powertrain cooling systems. The acquisition was intended to generate significant synergies by combining the companies' global sales networks, supply chain capabilities, and technological infrastructures. This major corporate consolidation reshaped the competitive landscape for manufacturers of heat exchangers and auxiliary cooling products.
• In September 2024, Valeo unveiled the Smart eDrive, a fully integrated 6-in-1 electric axle system that featured a breakthrough internal oil cooling architecture. This new propulsion unit combined the electric motor, inverter, and reducer into a single module that was self-cooled using a smart oil pump, eliminating the need for a separate external water-cooling loop. By integrating this self-contained oil cooling technology, the company achieved a lighter and more compact system that reduced overall costs. This innovation represented a significant advancement in thermal management research, offering a highly efficient alternative to traditional cooling methods for electric vehicle powertrains.

Key Market Players

• Dana Incorporated
• MAHLE GmbH
• Denso Corporation
• Hayden Automotive
• Derale Performance, Inc.
• Modine Manufacturing Company
• Setrab AB
• PWR Holdings Limited
• Valeo SA
• Mishimoto Automotive

By Material Type	By End-User	By Region
Zinc Steel Aluminum And Others	Industrial Manufacturing And Agriculture	North America Europe Asia Pacific South America Middle East & Africa

Report Scope:

In this report, the Global Auxiliary Oil Cooler Market has been segmented into the following categories, in addition to the industry trends which have also been detailed below:

• Auxiliary Oil Cooler Market, By Material Type:

• Zinc
• Steel
• Aluminum
• And Others

• Auxiliary Oil Cooler Market, By End-User:

• Industrial
• Manufacturing
• And Agriculture

• Auxiliary Oil Cooler Market, By Region:

• North America
• United States
• Canada
• Mexico
• Europe
• France
• United Kingdom
• Italy
• Germany
• Spain
• Asia Pacific
• China
• India
• Japan
• Australia
• South Korea
• South America
• Brazil
• Argentina
• Colombia
• Middle East & Africa
• South Africa
• Saudi Arabia
• UAE