Analysis of Relevant Policies, Market Size, and Trends in China's Hydraulic Industry in 2025
China's hydraulic industry started late and has a weak foundation. Before the founding of the People's Republic, there was almost no hydraulic industry in China, and only a very small number of hydraulic components were used in areas such as presses and machine tools. After the founding of the country, the domestic hydraulic industry generally went through four development stages: the initial stage, the growth stage of a specialized production system, the rapid development stage, and the mature development stage. After years of effort, the overall technical level of China's hydraulic industry has been significantly improved.
In recent years, the country has successively introduced policies such as "Made in China 2025," the "14th Five Year Plan for National Economic and Soci-
al Development and the LongRange Objectives Through 2035," and the "14th Five Year Development Plan for the Hydraulic, Hydraulic and Pneumatic Seal ing Industry." These initiatives have deeply implemented measures to enhance the core competitiveness of the manufacturing industry and promote technological transformation. Enterprises are encouraged to apply advanced and applicable technologies, strengthen equipment upgrades, and scale up the application of new products, cultivate advanced manufacturing clusters, and promote innovative development in the hydraulic industry. Both national and local government departments have provided strong support in terms of policy and industrial projects, creating favorable conditions for the industry's development.
In recent years, the global hydraulic industry market has generally shown a fluctuating upward trend and has entered a relatively mature stage of development. The global hydraulic industry market size increased from €27.67 billion in 2016 to €31.596 billion in 2023, with a CAGR of approximately 1.91% from 2016 to 2023. Nowadays, while the market demands a greater quantity and variety of hydraulic products, it also imposes new and higher requirements on hydraulic products, including higher pressure, intelligence, precision, integration, and environmental friendliness.
Since the beginning of the 21st century, China's hydraulic industry has entered a stage of rapid development. Equipment manufacturing industries represented by construction machinery, metallurgical machinery, mining machinery, agricultural machinery, aerospace, and intelligent machine tools have achieved rapid growth. In recent years, against the backdrop of a somewhat extended domestic real estate investment cycle, strengthening infrastructure investment, and accelerated upgrading of the construction machinery industry, the demand for construction machinery products has shown strong growth, and the market capacity for hydraulic components in China continues to increase. The market size of China's hydraulic industry grew from 7.82 billion euros in 2016 to 11.784 billion euros in 2022, with a compound annual growth rate of 6.03%.
The research team of the Industry Research Institute conducted a comprehensive and objective analysis of the hydraulic industry, using a combination of desktop research, quantitative surveys, and qualitative analysis, covering the overall market capacity, industry chain, operational characteristics, profitability, and business models. Scientific research models and methods such as the SCP model, SWOT, PEST, regression analysis, and SPACE matrix were used to comprehensively analyze factors related to the hydraulic industry, including market environment, industry policies, competitive landscape, technological innovation, market risks, industry barriers, opportunities, and challenges. Based on the development trajectory and practical experience of the hydraulic industry, the team meticulously studied and prepared the "20252031 China Hydraulic Industry Market In Depth Analysis and Investment Strategy Research Rep ort" to provide important references for investment decisions, strategic planning, and industry research for enterprises, research institutions, and investment organizations.
