HVAC Equipment Market By Cooling Equipment, By Heating Equipment, By Ventilation Equipment, By Implementation Type, By Application, & Region for 2024-2031

HVAC Equipment Market Valuation - 2024-2031

Integration of technical developments helps generate energy-efficient systems essential for improving air quality and temperature. This needs for maintaining or controlling the condition of air The growing need for energy-efficient systems, technical developments, and an increase in construction activity worldwide have all contributed to the HVAC Equipment Market's significant expansion. According to the analyst from Verified Market Research, the HVAC Equipment Market is estimated to reach a valuation of USD 319.38 Billion over the forecast 2031, by subjugating the revenue of USD 203.43 Billion valued in 2023.

Continuous technological breakthroughs led to the creation of smart HVAC systems that provide greater control, automation, and energy efficiency. The integration of sensors, smart thermostats, and IoT connectivity has changed traditional HVAC systems and enables the market to grow at a CAGR of 5.8% from 2024 to 2031.

What are they Key Drivers Shaping the Growth Trajectory of the

HVAC Equipment Market?

The consumers desire to achieve energy efficiency at lower costs is driving the demand for HVAC systems. As a result, the market has seen an increase in demand for energy-efficient HVAC equipment as people become more aware of the environmental benefits of these systems over time.

As worldwide construction activity increases, so does demand for HVAC systems for new buildings and infrastructure projects. In particular, the creation of smart buildingshas accelerated the adoption of modern HVAC technology, resulting in the expansion of construction industry

Furthermore, the global trend of urbanization results in an increase in demand for HVAC systems, especially in residential and commercial settings, creating lucrative demand for HVAC equipment. Also, rising disposable income has allowed consumers to invest in high-quality HVAC solutions, resulting in market development.

How do Environmental Concerns Related To Refrigerants Restrain the Growth of the HVAC Equipment Market?

The environmental impact of refrigerants used in cooling systems is restraining the acceptance of HVAC equipment. The phase-out of specific refrigerants, such as hydrochlorofluorocarbons (HCFCs) and hydrofluorocarbons (HFCs), has prompted the industry to invest in environmentally friendly alternatives, increasing the complexity and cost of HVAC system manufacture.

The upfront expenditures of installing HVAC systems, particularly modern and energy-efficient types, can be significant. This is a considerable hurdle, particularly for small and medium-sized businesses, preventing the widespread adoption of innovative HVAC technologies.

Furthermore, the COVID-19 epidemic has affected worldwide supply networks, affecting the manufacturing and distribution of HVAC equipment. Manufacturing delays, transportation issues, and supply chain interruptions have all contributed to market uncertainty, harming both suppliers and end customers in the HVAC Equipment Market.

Category-Wise Acumens

What Factors Contribute to the Dominance of the Heat Pumps Technology in the HVAC Equipment Market?

According to VMR analysis, the heat pumps segment is estimated to hold a major share in the heat equipment segment during the forecast period. The growing concerns regarding the impact of heat generated on the environment is propelling the application of energy-efficient and advanced heat pumps. With the integration of advanced technologies and the government support, the demand for these systems in comparison to the traditional heating solutions is project rise over the forecast period.

Heat pumps are naturally more energy-efficient than traditional heating techniques as the heat is transferred using ambient air or ground temperatures rather than generating it. This mode of energy-saving is intensifying the focus on on sustainable and eco-friendly technology, resulting in the supremacy of heat pumps in the HVAC Equipment Market.

Furthermore, one of the main reasons for their popularity is that heat pumps are dual fuctionality devices that is they can be used for both cooling and heating purposes. This versatility is appealing to customers valuing space-saving and versatile solutions. Thus, heat pumps reduce the need for separate heating and cooling systems, making HVAC installations more efficient and improving space utilization.

Will Sales of Air-handling Units Skyrocket Over the Forecast Period?

The air-handling units segment is estimated to dominate the HVAC Equipment Market during the forecast period owing to the versatile capabilities of AHUs, efficiently managing multiple functions such as air filtration, temperature control, humidity regulation, and ventilation. Thus, these features of widespread use in a variety of commercial and industrial applications enables AHUs dominate the HVAC Equipment Market.

The multifunctionality property of AHU such as offering multiple functions at once, including air filtration, temperature management, humidity adjustment, and ventilation is bolstering its application. Thereby, increasing its use in a wide range of commercial and industrial contexts, including hospitals, offices, factories, and data centers, and driving the market.

Additionally, AHUs' dominance arises from their ability to meet the complex needs of these diverse applications, giving a complete answer to the complex demands of air quality control and environmental regulation. This dominance emphasizes the pragmatic and utilitarian appeal of AHUs, cementing their position as a key driver in the HVAC Equipment Market.

Country/Region-wise Acumens

How will the Infrastructural Development in China Impact HVAC Equipment Market in Asia Pacific?

According to VMR analyst, Asia Pacific is estimated to dominate the HVAC Equipment Market during the forecast period owing to rapid urbanization, ongoing infrastructure development, and rising living standards in key countries like China, India, and Japan. The region's dedication to green initiatives and sustainable practices strengthens its position as a worldwide HVAC equipment leader in the marketplace.

Rapid urbanization in nations such as China, India, and Japan have resulted in a significant increase in construction activity, driving up demand for HVAC solutions. As cities grow, the requirement for efficient heating, ventilation, and air conditioning becomes critical to ensuring acceptable living and working conditions. This boom in building, both in the residential and commercial sectors, is a main driver of the region's rising HVAC equipment industry.

Furthermore, as environmental concerns gain traction, governments in the region actively promote the use of energy-efficient solutions. Incentives, laws, and policies aimed at promoting green buildings foster wider adoption of energy-efficient HVAC solutions. This dedication to sustainability strengthens Asia Pacific's position as a global leader in the HVAC equipment industry.

Will North America become the Epicenter of Growth for HVAC EquipmentMarket?

Increasing inclination toward smart home technology in the region is demanding energy efficient systems like HVAC equipment. Also, the rising use of furnaces, heat pumps, and air conditioners in the residential and commercial sectors is enabling the regionhold a dominant position in HVAC Equipment Market.

There is a renewed emphasis on energy efficiency, driven by a growing awareness of environmental issues and a shared commitment to sustainable practices. This emphasis influences not only consumer preferences but also regulatory norms, resulting in a strong demand for energy-efficient HVAC systems. As stakeholders emphasize environmentally friendly solutions, the market in North America has witnessed a significant movement toward technologies that reduce energy usage and environmental effect.

Furthermore, the growing popularity of smart home technology is serving as an important factor of growth for the HVAC market in this region. As people look for integrated and intelligent solutions to improve their living environments, the need for smart HVAC systems increases. The incorporation of these technologies into residential settings is consistent with the larger trend of home automation, in which people seek accessible and connected ways to manage their indoor environments efficiently.

Competitive Landscape

The competitive landscape of the HVAC Equipment Market is defined by a dynamic interaction of numerous elements that influence industry dynamics. Market participants face competition from technical improvements, regulatory changes, and the quest for sustainable and energy-efficient solutions. The industry's competitive nature is highlighted by a constant pursuit of innovation, as companies aim to differentiate themselves through the development of innovative heating, ventilation, and air conditioning technologies.

Some of the prominent players operating in the HVAC Equipment Market include:

Carrier

Daikin Industries

Johnson Controls International

Ingersoll Rand

United Technologies Corporation

Mitsubishi Heavy Industries

Trane Technologies

LG Electronics

Gree Electric Appliances

Midea Group

Emerson Electric

Lennox International

Goodman Global

Rheem Manufacturing Company

O.Smith Corporation

Hitachi

Fujitsu General

Panasonic

Toshiba Carrier Corporation

Samsung Electronics

Latest Developments

HVAC Equipment Market Key Developments And Mergers

In January 2024, Carrier, the world's largest producer of heating, ventilation, and air conditioning (HVAC) systems, announced the launch of the Infinity(R) 26 air conditioner, the most efficient single-stage air conditioner the business has ever created. The new air conditioner has a SEER rating of up to 26, allowing it to cool a home more efficiently than ever before.

In January 2024, Daikin Industries, a Japanese multinational air conditioning producer, established a partnership with Amazon to sell its VRV-X air conditioners through the Amazon website. The VRV-X is a variable refrigerant volume (VRV) system intended for commercial use.

In January 2024, Johnson Controls International, an American multinational conglomerate that provides fire, security, and building management solutions, announced the acquisition of Temenos, a Swiss provider of building automation software. The acquisition will allow Johnson Controls to expand its products in the smart building industry.

In January 2024, Ingersoll Rand, an American industrial business that provides climate control and industrial technologies, revealed the debut of the Nexgen(TM) NGH10 heat pump, which is the most efficient heat pump the company has ever manufactured. The new heat pump has a COP of up to 5.3, allowing it to heat homes more efficiently than ever before.

In January 2024, United Technologies Corporation, an American multinational conglomerate that offers aircraft and building technologies, announced the spin-off of its Otis elevator division into a separate company. The spin-off will enable Otis to concentrate on its core business of elevators and escalators.

HVAC Equipment Market, By Category

• Cooling Equipment:
• Unitary Air Conditioners
• Variable Refrigerant Flow Systems (VRF)
• Chillers
• Room Air Conditioners
• Coolers
• Cooling Towers
• Heating Equipment:
• Heat Pumps
• Furnaces
• Unitary Heaters
• Boilers
• Ventilation Equipment:
• Air-handling Units
• Air Filters
• Dehumidifiers
• Ventilation Fans
• Humidifiers
• Air Purifiers
• Implementation Type:
• New Construction
• Retrofit
• Application:
• Residential
• Commercial
• Industrial
• Region:
• North America
• Europe
• Asia-Pacific
• South America
• Middle East & Africa