Global Demand for Heat Pumps to Grow 5.6% Annually Through 2027

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Oct 10, 2024, 14:41 ET

CLEVELAND, Oct. 10, 2024 /PRNewswire/ -- According to the Freedonia Group study, Global HVAC Equipment, global demand for heat pumps is projected to rise 5.6% per year to $46.1 billion in 2027, with growth primarily being driven by increasing unit sales. Sales increases for these products are expected to be faster than for any other major type of HVAC equipment, due to several factors:

Heat pumps provide year-round comfort with both heating and cooling capabilities, without the incorporation of any additional equipment.
These products can be installed in buildings that lack the necessary ductwork for unitary air conditioners.
Heat pumps are among the most energy-efficient types of HVAC equipment available, a key purchasing criterion among some consumers.

Heat pump demand is largely concentrated in Asia, especially Japan and China, which together accounted for 69% of global value demand in 2022. Heat pumps have been utilized for decades in these countries, and many buildings are constructed with the necessary infrastructure for their installation. Growth will be mainly attributable to China.

Heat pumps will make strong gains in Europe, with sales advancing over 8% annually in Western and Eastern Europe between 2022 and 2027:

Growth in demand for these products has been promoted by EU efforts to improve energy efficiency and phase out products using carbon-intensive energy sources.
Heat pumps still have significant potential for further market share gains in Europe, and rapid sales growth is expected.

About The Freedonia Group
The Freedonia Group is a premier international business research company, providing clients with product analyses, market forecasts, industry trends, and market share information. From one-person consulting firms to global conglomerates, our analysts provide companies with unbiased, reliable industry market research and analysis to help them make important business decisions. The Freedonia Group's brands also include Packaged Facts, a trusted provider of consumer market research on food & beverage, pet products and services, demographics, and financial services, and Simba Information, the leading authority for market intelligence and forecasts on the education and professional publishing industries. Find off-the-shelf studies at https://www.freedoniagroup.com/.

SOURCE The Freedonia Group