Global HVAC Market Size, Trend by 2026

MARKET INTELLIGENCE . CONSULTINGwww.techsciresearch.com

2016 – 2026

GLOBAL HVAC MARKETFORECAST & OPPORTUNITIES

2

Scope of ReportProduct of Interest (POI): HVAC

Review Period

2016 – 2019

Base Year

2020

Estimated Year

2021

Forecast Period

2022 – 2026

Year Range

REGION

• Asia-Pacific

• Europe

• North America

• South America

• Middle East &

Africa (MEA)

Heating, ventilation and air conditioning (HVAC) is a technology used to create a comfortable indoorenvironment with acceptable indoor air quality and thermal comfort. HVAC is considered to be an importantpart of residential buildings, single family homes, hotels, medium and large offices and industrial buildings.Primary function of HVAC is to provide thermal comfort along with the acceptable indoor air quality andreasonable maintenance cost.

Market SegmentationTYPE

• Direct Expansion Systems

• Split

• Window

• Ductable Split

• VRF

• Cassette

• Other

• Central Air Conditioning

Systems

• Chillers

• Boilers

• Cooling Towers

• Air Handling Units

• Fan Coil Units

• HVAC Control

System

• Others

END USE

• Residential

• Commercial Real

Estate

• Institutional

• Marine & Offshore

• Oil & Gas

• Power

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Table of Contents

S. No. Contents Page No.

1. Product Overview

2. Research Methodology

3. Impact of COVID-19 on Global HVAC Market

4. Global HVAC Market Outlook

4.1. Market Size & Forecast

4.1.1. By Value & Volume

4.2. Market Share & Forecast

4.2.1. By Type (Direct Expansion Systems and Central Air Conditioning Systems)

4.2.1.1. By Direct Expansion Systems (Split, Window, Ductable Split, VRF, Cassette and Others)

4.2.1.2.By Central Air Conditioning Systems (Chillers, Boilers, Cooling Towers, Air Handling Units, Fan Coil Units, HVAC Control System and Others)

4.2.2.By End Use (Residential, Commercial Real Estate, Institutional, Power, Oil & Gas, Marine & Offshore)

4.2.3. By Region

4.2.4. By Company

4.3. Market Map (Region, Type)

5. Asia-Pacific HVAC Market Outlook




5.2.1. By Type

5.2.1.1. Direct Expansion Systems, By Product Type

5.2.1.2. Central Air Conditioning Systems, By Product Type

5.2.2. By End Use

5.2.3. By Country

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Table of Contents


5.2.3.1. China HVAC Market Outlook

5.2.3.1.1. Market Size & Forecast

5.2.3.1.1.1. By Value & Volume

5.2.3.1.2. Market Share & Forecast

5.2.3.1.2.1. By Type

5.2.3.1.2.1.1.Direct Expansion Systems, By Product Type

5.2.3.1.2.1.2.Central Air Conditioning Systems, By Product Type

5.2.3.2. Japan HVAC Market Outlook




5.2.3.2.2.1. By Type



5.2.3.3. India HVAC Market Outlook




5.2.3.3.2.1. By Type



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Table of Contents


5.2.3.4. Indonesia HVAC Market Outlook




5.2.3.4.2.1. By Type



5.2.3.5. Vietnam HVAC Market Outlook




5.2.3.5.2.1. By Type



6. North America HVAC Market Outlook




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Table of Contents


6.2.1. By Type



6.2.2. By End Use

6.2.3. By Country

6.2.3.1. United States HVAC Market Outlook




6.2.3.1.2.1. By Type



6.2.3.2. Mexico HVAC Market Outlook




6.2.3.2.2.1. By Type



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Table of Contents


6.2.3.3. Canada HVAC Market Outlook




6.2.3.3.2.1. By Type


6.2.3.3.2.1.2.

Central Air Conditioning Systems, By Product Type

7. Europe HVAC Market Outlook




7.2.1. By Type



7.2.2. By End Use

7.2.3. By Country

7.2.3.1. Russia HVAC Market Outlook




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Table of Contents


7.2.3.1.2.1. By Type



7.2.3.2. Italy HVAC Market Outlook




7.2.3.2.2.1. By Type



7.2.3.3. Spain HVAC Market Outlook




7.2.3.3.2.1. By Type



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Table of Contents


7.2.3.4. United Kingdom HVAC Market Outlook




7.2.3.4.2.1. By Type


7.2.3.4.2.1.2.


7.2.3.5. France HVAC Market Outlook




7.2.3.5.2.1. By Type


7.2.3.5.2.1.2.


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Table of Contents


8. South America HVAC Market Outlook




8.2.1. By Type



8.2.2. By End Use

8.2.3. By Country

8.2.3.1. Brazil HVAC Market Outlook




8.2.3.1.2.1. By Type

8.2.3.1.2.1.1. Direct Expansion Systems, By Product Type

8.2.3.1.2.1.2. Central Air Conditioning Systems, By Product Type

8.2.3.2. Argentina HVAC Market Outlook




8.2.3.2.2.1. By Type

8.2.3.2.2.1.1. Direct Expansion Systems, By Product Type

8.2.3.2.2.1.2. Central Air Conditioning Systems, By Product Type

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Table of Contents


8.2.3.3. Colombia HVAC Market Outlook




8.2.3.3.2.1. By Type


8.2.3.3.2.1.2.


9. MEA HVAC Market Outlook




9.2.1. By Type



9.2.2. By End Use

9.2.3. By Country

9.2.3.1. Saudi Arabia HVAC Market Outlook




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Table of Contents


9.2.3.1.2.1. By Type



9.2.3.2. Egypt HVAC Market Outlook




9.2.3.2.2.1. By Type



9.2.3.3. Turkey HVAC Market Outlook




9.2.3.3.2.1. By Type



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Table of Contents


9.2.3.4. UAE HVAC Market Outlook




9.2.3.4.1.2. By Type


9.2.3.4.2.1.2.


10. Market Dynamics

10.1. Drivers

10.2. Challenges

11. Market Trends & Developments

12. Porter’s Five Forces Analysis

13. Competition Benchmarking

14. Competitive Landscape

14.1. Company Profiles

14.1.1. Company Details

14.1.2. Products & Services

14.1.3. Financials (As Reported)

14.1.4. Key Market Focus & Geographical Presence

14.1.5. Recent Developments

14.1.6. Key Management Personnel

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Table of Contents


15. Strategic Recommendations

16. About Us & Disclaimer

RESEARCH METHODOLOGY

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Research Methodology

✓ Identifying Key Opinion

Leaders

✓ Questionnaire Design

✓ In-depth Interviews

Data Collection

Developing List of Respondents

Formulating Questionnaire

Market Profiling

Data Validation

Data Analysis

In-depth secondary research was conducted to

determine top players in the global HVAC market, overall market size and segmental market size.

In order to conduct industry experts’

interviews, TechSci formulated a detailed

discussion guide.

List of industry players and industry

specialists was developed.

TechSci conducted interviews with

industry experts and industry players for data collection and

verification.

Data obtained as a result of primary and secondary research was

validated through rigorous

triangulation.

The data was scrutinized using MS-Excel, statistical

tools and internal proprietary database to obtain qualitative and

quantitative insights about the global HVAC market.

Data Collection

Data Filter& Analysis

Research &Intelligence

ActionableInsights

BusinessSolution

Primary Research Desk Research Company Analysis

✓ Recent Developments

✓ Market Changing

Aspects/Dynamics

✓ Government Policies

✓ Conclusion

✓ Market Participants

✓ Key Strengths

✓ LinkedIn✓ TechSci Internal

Database

✓ Factiva✓ Hoovers

Paid Sources

✓ Company Websites✓ Company Annual

Reports✓ White Paper Study✓ Financial Reports✓ Investor

Presentations✓ Regulatory Body✓ Associations, etc.

Secondary Research

Primary Research

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Baseline Methodology

Our dedicated team of industry experts has monitored and analyzed various aspects of the global HVAC market. The team has analyzed the

outlook of various segments of this market, while considering the major influencing factors such as increase in construction and infrastructure

development activities. The study includes market forecasting, which would enable our clients to take better decisions while planning their

strategy to achieve sustainability in the global HVAC market.

Methodology Followed for Calculation of Market Size:

• Market Size by Value: Market size, in terms of value, for the year 2020 was calculated based on information collected through exhaustive

secondary research and primary surveys, with various key opinion leaders/stakeholders, such as HVAC manufacturers, channel partners,

market influencers & end users, industry experts, and other industry participants.

• The team interviewed more than 15 – 20 HVAC manufacturers, 100 – 120 end users, and 15 – 20 industry experts and other value chain

stakeholders in the global HVAC market to obtain the overall market size from 2016 to 2020, which was validated by the Delphi technique.

Taking standard deviation into consideration, the market size was averaged out, to arrive at the market size data during 2016-2020.

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• Respondents were asked about the current and future market growth rates, market shares by type, by end use, by region and by company.

Removing the outlier responses, the geometric mean of growth estimates and provider wise revenue shares generated across various

segments were considered, to arrive at the final revenue shares. Revenue shares generated across various segments were further

triangulated from other stakeholders.

Methodology Followed for Calculation of Market Shares:

• Market shares by type, by end use, by region and by company were calculated based on the responses received through primary surveys

with industry experts, in which the respondents were asked about the market shares or revenue generated from various segments of HVAC

markets. The final shares were calculated by taking the geometric mean of the responses gathered from key opinion leaders after

eliminating the outliers.

Methodology Followed for Forecasting:

• TechSci Research performed periodical checks on data collected through the surveys with logic checks and analyzed the survey results in

SPSS/Tableau Software.

• Data triangulation techniques were applied to fill the gaps and to present a more meaningful picture of the market. To forecast global HVAC

market, TechSci Research used various forecast techniques such as:

✓ Moving Average

✓ Time Series Analysis

✓ Regression Analysis

✓ Econometric and Judgmental Analysis

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TechSci Research used its own forecast tool, which is based on the growth of various allied industries in respective regions. TechSci Research

also used the impact analysis during short, medium and long term period to estimate the demand and to reach accurate market numbers. It

should be noted that the figures compiled are only for the organized market including market share data. The currency used in the report is the

United States Dollar (USD), with the market size indicated in USD million.

Partial List of Companies Interviewed Key Secondary Sources

▪ Daikin Industries, Ltd.

▪ Gree Electric Appliances Inc.

▪ Midea Group Co., Ltd.

▪ Carrier Global Corporation

▪ Samsung Electronics Co. Ltd.

▪ Panasonic Corporation

▪ Mitsubishi Electric Corporation

▪ Toshiba Corporation

▪ Ingersoll Rand Public Limited Company

▪ Johnson Controls-Hitachi Air Conditioning Limited

▪ World Bank

▪ TechSci Research Proprietary Database & Knowledge Repository

▪ Company Annual Reports

▪ Industry Magazines

▪ Industry Reports

▪ News Dailies

▪ Credible Paid Databases

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Industry Brief

According to TechSci Research report, “Global HVAC Market By Type (Direct Expansion Systems and Central Air Conditioning Systems), By Direct Expansion Systems Product Type (Split, VRF,

Ductable Split, Window, Cassette and Others), By Central Air Conditioning Systems Product Type (Chillers, Air Handling Units, HVAC Control Systems, Fan Coil Units, Boilers, Cooling Towers,

Others), By End User (Residential, Commercial Real Estate, Institutional, Power, Oil & Gas, Marine & Offshore and Others), By Region, Competition, Forecast & Opportunities, 2026”, Global HVAC

market is expected to reach USD198.10 billion by 2026, growing at a CAGR of 4.40% during the forecast period. The growth in the global HVAC market can be attributed to the rising need for energy

efficient HVAC systems, increasing construction activities, developing infrastructure in emerging countries and growing replacement demand for HVAC systems in developed countries. Direct

expansion systems dominated the global HVAC market in 2020 and are forecast to garner a revenue share of over 74% by 2026. This is primarily due to various advantages associated with them

such as energy efficiency, lower running cost, easy availability and integration of latest technologies along with rising urban population and increasing construction activities. The rapid urbanization in

developing countries has resulted in a significant increase in the demand for HVAC equipment. The rise in disposable income has led to change in the lifestyle of consumers as the preferences of

people are inclining more towards the smart connected equipment.

HVAC equipment is being transformed by technologies such as automated control systems, and remote-control access. The automated control system monitors the outside atmosphere and adjusts

the temperature and fan speed to provide the best possible comfort. Remote control access permits users to control associated frameworks distantly using mobile applications and the internet. In

September 2020, Johnson Controls launched OpenBlue technology, which integrates touchless technology, advanced ventilation, and sanitization systems, as well as a flexible infrastructure into

digital offerings.

The global HVAC market is segmented into by type, by direct expansions systems, by central air conditioning, by end user, by region and by company. In terms of type, the global HVAC market can

be segregated into direct expansions systems and central air conditioning systems. Among which direct expansions have accounted majority of market share of more than 74% in 2020 followed by

central air conditioning systems.

In terms of direct expansion systems, the market is segregated into Split, VRF, Ductable Split, Window, Cassette and Others (Portable, Cube, Floor Standing, etc.). Among which, split air

conditioners market has accounted for the majority of market share in the global HVAC market owing to their various advantages such as energy efficiency, lower running cost, easy availability, and

integration of latest technologies.

In terms of global central air conditioning systems, the market is segregated into Chillers, Air handling units, HVAC control systems, fan coil units, boilers, cooling towers and others. Among which,

the chillers segment type has accounted for the majority of market share in global HVAC market on account of factors such as infrastructure growth, rising thermal plant establishments, growing

IT/ITeS sector, increasing number of data centers, increasing construction of high-rise buildings, etc., are the key end use sectors driving demand for chillers across the globe.

In terms of End User, the global HVAC market is segmented into residential, commercial real estate, institutional, power, oil & gas, marine & offshore, and others. Among which, the residential sector

has accounted for the majority of market share in 2020 due to robust growth in residential space, growing population and increasing urbanization. Moreover, growing awareness about latest air

conditioner technologies coupled with increasing purchasing power of consumers across the globe is boosting the demand for air conditioners from the residential sector across the globe.

In terms of regional analysis, the global HVAC market is segmented into Asia-Pacific, Europe, North America, South America and Middle East & Africa. Among these, the Asia-Pacific region is

dominating the global HVAC market followed by North America in 2020 on account of growing middle class population base, rising temperatures due to climate change, growing commercial sector

and increasing purchasing power of consumers.

Major players operating in the global HVAC market include Daikin Industries, Ltd., Carrier Global Corporation, Gree Electric Appliances Inc., Panasonic Corporation, Midea Group Co., Ltd., and

others. Among which Daikin Industries, Ltd., has accounted for the majority of market share in 2020 in the global HVAC market. Leading players are focusing on expanding their product portfolios to

maintain sustainable growth in the market. The companies are also expanding their distribution reach across various countries and surge in the distribution of HVAC in the market.

“One of the most popular trends in the global HVAC market is the growing demand for HVAC Sensor Based System. Smart HVAC technology decreases the workload of facility workers, lowers

energy costs, and increases employee comfort. Smart HVAC, like other forms of smart building technology, relies on sensors that are connected to the building automation system. These sensors

gather information about the building's conditions. Other advanced HVAC equipment allows the facility to fine-tune temperature, humidity, and air flow in different zones to maximize comfort while

lowering the energy use.” said Mr. Karan Chechi, Research Director with TechSci Research, a research-based global management consulting firm.

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Sample Data - Snapshot

Global HVAC Market Size, By Value (USD Million), By Volume (Million Units), 2016-2026F

5.00 6.00 7.00 8.00 9.00 10.00 11.00 12.00 13.00 14.00 15.00

10.00 20.00 30.00 40.00 50.00 60.00 70.00 80.00 90.00 100.00 110.00

2016 2020 2021E 2026F

By Value (USD Million)

By Volume (Million Units)

CAGR By Value & Volume

XX%CAGR By Value & Volume

YY%

North America HVAC Market Share, By Type, By Value, 2016–2026F

50%50%50%50%50%50%50%50%50%50%50%

50%50%50%50%50%50%50%50%50%50%50%

2016

2018

2020

2022F

2024F

2026F

Direct Expansion Systems Central Air Conditioning Systems

United States HVAC Market Share, Direct Expansion Systems, By Product Type, By Value, 2016–2026F

17%

17%

17%

17%

17%

17%

17%

17%

17%

17%

17%

17%

17%

17%

17%

17%

17%

17%

17%

17%

17%

17%

17%

17%

17%

17%

17%

17%

17%

17%

17%

17%

17%

17%

17%

17%

17%

17%

17%

17%

17%

17%

17%

17%

16%

16%

16%

16%

16%

16%

16%

16%

16%

16%

16%

16%

16%

16%

16%

16%

16%

16%

16%

16%

16%

16%

2016

2017

2018

2019

2020

2021E

2022F

2023F

2024F

2025F

2026F

Split Window Ductable Split VRF Cassette Others

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Report Name: GLOBAL HVAC MARKET

FORECAST & OPPORTUNITIES

2016 – 2026

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About Us & Disclaimer

TechSci Research is a global market research and consulting company with offices in the US, UK and India. TechSci Research provides market research reports in

number of areas to organizations. The company uses innovative business models that focus on improving productivity, while ensuring creation of high-quality reports. The

proprietary forecasting models use various analyses of both industry-specific and macroeconomic variables on a state-by-state basis to produce a unique ‘bottom-up’

model of a country, regional and global industry prospects. Combined with the detailed analysis of company activity and industry trends, the result is a uniquely rich

evaluation of the opportunities available in the market.

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The contents of this report are based on inPriceation generally available to the public from sources believed to be reliable. No representation is made that it is timely,accurate or complete. TechSci Research has taken due care and caution in compilation of data as this has been obtained from various sources including which it considersreliable and firsthand. However, TechSci Research does not guarantee the accuracy, adequacy or completeness of any inPriceation and it is not responsible for any errors oromissions or for the results obtained from the use of such inPriceation and especially states that it has no financial liability whatsoever to the subscribers / users of thisreport. The inPriceation herein, together with all estimates and forecasts, can change without notice. All the figures provided in this document are indicative of relative marketsize and are strictly for client’s internal consumption. Usage of the same for purpose other than internal will require prior approval of TechSci Research.

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Global HVAC Market Size, Trend by 2026