HVAC System Market: Global Industry Analysis and Forecast (2024-2030) Trends, Statistics, Dynamics, Segmentation by Product Type, End-use and Region

HVAC System Market Overview:

Major drivers driving the growth of the HVAC system market throughout the forecast period include the expanding construction business in major emerging economies & the rising end-user markets, like the data centre market. Energy efficiency, improved performance, & a longer lifespan are just a few of the advantages of using HVAC systems. China is the world's greatest consumer of primary energy, according to British Petroleum (BP) PLC, requiring 3.3 Mn metric tonnes of oil equivalent in the year 2020.

 

The HVAC system market & the HVAC equipment market are inseparably linked. Any variations in equipment demand will have a useful impact on the service sector, as increased demand for new equipment leads to increased installation or retrofitting services. HVAC firms provide a wide range of services to residential & commercial property owners. These services not only focus on enhancing equipment performance, but they also have the potential to lower energy expenses.

 

The utilisation of HVAC equipment has increased as a result of factors like technology advancements and climatic change. The need for air conditioning equipment has increased as a result of global warming, which has resulted in shifting and unpredictable weather conditions. According to the Japan Refrigeration & Air Conditioning Industry Association, worldwide air conditioner demand reached 110.97 Mn units in the year 2020. According to the International Energy Agency (IEA), global energy demand from air conditioners is expected to triple by 2050, necessitating new electrical capacity equal to the combined power capacity of the U.S, the EU, & Japan today. By 2050, the global stock of air conditioners in buildings will have increased to 5.6 Bn.

 

The expansion of the building industry, as well as rising disposable income in emerging countries, has boosted the availability of HVAC equipment to a wider audience. The construction sector's output in the U.S, for example, is predicted to reach USD 1.58 trillion by the end of 2028, according to the Bureau of Labor Statistics. The rising need to install and maintain the energy efficiency of current systems is likely to drive significant growth in HVAC system market.

 

The introduction of fresh technologically enhanced products which are energy-efficient & can be accessed remotely is driving HVAC demand. The HVAC system market is expected to be driven by the usage of natural refrigerants such as CO₂, as well as increased initiatives by governments throughout the world to promote energy-efficient products. Furthermore, over the forecast period, a paradigm shift toward the use of energy-efficient air conditioners that minimize prices & power waste is predicted to maintain HVAC demand.

 

Demand in the HVAC system market has improved as clients' preferences for comfort have shifted. Companies are producing goods that not only meet the customer's comfort needs, but also provide a number of additional benefits. IoT-enabled heating and cooling systems, for example, allow for real-time monitoring of the system's functionality and condition. These HVAC systems also notify customers or management when a system fails, exhibits unexpected behaviour, or is nearing the end of its maintenance cycle, lowering repair costs. In the near future, these variables are expected to raise product demand.

 

One of the major elements promoting the rising adoption of heating & cooling technology is climate change. Because of the volatility of weather & rising temperatures, numerous consumers see HVAC equipment as a good investment. Furthermore, HVAC systems improve the aesthetic value of both residential & business spaces. Companies create items that are appealing to the eye and provide a variety of design possibilities. Over the next few years, increased product demand is expected as a result of improved designs and changing client preferences.

 

Due to factors such as the need for comfort, increased disposable income, & increasing global warming, the demand for HVAC equipment is increasing across sectors such as commercial, real estate, and service industries. One of the largest users of HVAC systems is the real estate business. Retail, housing, commercial, and hospitality are the four subsectors of the sector. The real estate industry is expanding as a result of rising need for office space, sub-urban & urban accommodations, and the expansion of the corporate sector, which favours product demand.

 

 

To get more Insights: Request Free Sample Report

 

HVAC System Market Segment Overview:

With a revenue share of over 54% in 2020, the cooling product segment led the global HVAC system market, and this dominance is likely to continue during the forecast period. Air conditioning units, such as room air conditioners, unitary air conditioners, cooling towers, split & packaged systems, and portable units, make up the cooling segment. Demand for novel cooling systems is anticipated to rise as technical improvements like remote operation, IoT-integrated HVAC systems, and compact units offer cost savings and improve energy efficiency and comfort. Changing climate conditions in the Middle East and Asia Pacific are also projected to increase the need for cooling systems.

 

 

Boilers, furnaces, and heat pumps are common heating systems in residential, commercial, and industrial settings. Space heating, moulding, floor & wall heating, steam generation, vaporization, and drying are all examples of heating equipment applications. As a result, locations with extremely cold climates and sectors that demand heating are the primary drivers of segment growth. Ventilation units are also gaining popularity as people become more conscious of the importance of maintaining a healthy and safe workplace. Air purifiers and other anti-contamination ventilation devices are projected to drive the ventilation product segment of the HVAC system market through out the forecast period.

 

In 2020, the residential segment had the highest revenue share of almost 40%. In comparison to commercial or industrial HVAC units, residential HVAC units are small and simple to install. Equipment for small places, such as dwellings and small stores and restaurants, is included in the residential section. The demand for home equipment is expected to remain stable in the future years as people's lifestyles change and their disposable budgets rise. Due to expanding infrastructure development and increasing urbanization across major regions, creating a demand for more office spaces, the commercial segment is expected to grow at the quickest rate throughout the projection period. Commercial HVAC systems demand a lot of area, therefore they're usually found on the roofs of larger restaurants, shopping malls, theatres, and other businesses. Because these systems are operated on a continual basis, they experience more wear and tear than residential units. Over the next seven years, demand for retrofitting and replacement of these units is likely to drive segment growth in the HVAC system market.

 

HVAC System Market Regional Overview:

Due to factors such as fast urbanization, rising population, & increasing disposable income levels, Asia Pacific was the largest consumer and contributed for over 45 percent of worldwide sales share in 2020. China, in specific, controls global demand for air conditioning systems, with the greatest unit sales in the year 2020. Another factor contributing to APAC HVAC system market growth is the presence of enterprises supplying low-cost equipment in China and adjacent countries.

 

In the year 2020, North America had the second-highest revenue share, and it is expected to continue to increase gradually over the forecast period. The market in Europe is expected to grow at a strong rate, owing to the region's thriving tourist and real estate industries. Subsidies and tax breaks are being offered by the governments of both regions to encourage the usage of energy-efficient systems. As a result, current customers are upgrading to new energy-efficient systems in addition to new developments.

 

The objective of the report is to present a comprehensive analysis of the HVAC System Market to the stakeholders in the industry. The report provides trends that are most dominant in the HVAC System Market and how these trends will influence new business investments and market development throughout the forecast period. The report also aids in the comprehension of the market dynamics and competitive structure of the market by analyzing market leaders, market followers, and regional players.

 

The qualitative and quantitative data provided in the HVAC System Market report is to help understand which market segments, regions are expected to grow at higher rates, factors affecting the market, and key opportunity areas, which will drive the industry and market growth through the forecast period. The report also includes the competitive landscape of key players in the industry along with their recent developments in the HVAC System Market. The report studies factors such as company size, market share, market growth, revenue, production volume, and profits of the key players in the market.

 

 

The report provides Porter's Five Force Model, which helps in designing the business strategies in the market. The report helps in identifying how many rivals are existing, who they are, and how their product quality is in the Market. The report also analyses if the HVAC System Market is easy for a new player to gain a foothold in the market, do they enter or exit the market regularly if the market is dominated by a few players, etc.

 

The report also includes a PESTEL Analysis, which aids in the development of company strategies. Political variables help in figuring out how much a government can influence the Market. Economic variables aid in the analysis of economic performance drivers that have an impact on the Market. Understanding the impact of the surrounding environment and the influence of environmental concerns on the HVAC System Market is aided by legal factors.

 

Global HVAC System Market Scope:

HVAC System Market
Market Size in 2023	USD 150.69 Bn.
Market Size in 2030	USD 223.02 Bn.
CAGR (2024-2030)	5.7%
Historic Data	2018-2022
Base Year	2023
Forecast Period	2024-2030
Segment Scope	by Product Type Heating Ventilation Cooling
	by End-use Free-floating P2P Station based
Regional Scope	North America- United States, Canada, and Mexico Europe – UK, France, Germany, Italy, Spain, Sweden, Austria, and Rest of Europe Asia Pacific – China, India, Japan, South Korea, Australia, ASEAN, Rest of APAC Middle East and Africa - South Africa, GCC, Egypt, Nigeria, Rest of the Middle East and Africa South America – Brazil, Argentina, Rest of South America

 

Global HVAC System Market Major Players:

• DAIKIN INDUSTRIES (Japan)
• Johnson Controls (US)
• Carrier (US)
• Trane Technologies plc, (US)
• LG Electronics (South Korea)
• Emerson Electric Co. (US)
• Honeywell International Inc. (US)
• Mitsubishi Electric Corporation (Japan)
• Nortek Air Management (US)
• Samsung Electronics (South Korea)
• Danfoss (Denmark)
• FUJITSU (Japan)
• GREE (China)
• Hitachi (Japan)
• Midea (China)
• Panasonic (Japan)
• Haier Smart Home (China)
• Toshiba (Japan)
• Whirlpool (US)
• Siemens (Germany)
• Electrolux (Sweden)
• Lennox (US)
• Schneider Electric (France)
• Ferroli (Italy)
• Bosch Thermotechnology (Germany).