HVAC Linesets Market Growth Opportunities & Forecast [2031]

Report Description

The global HVAC linesets market size was USD 9 Billion in 2022 and is likely to reach USD 15.90 Bn by 2031, expanding at a CAGR of 8.8% during 2023–2031. The market growth is attributed to the increasing usage of HVAC for different purposes and technological advancements.

Increasing technological advancements such as variable refrigerant flow (VRF) systems are driving the market. VRF is a ductless, large-scale system for HVAC that performs at a high capacity and offers superior energy efficiency. It allows several indoor units to run on the same system, designed differently depending on the application. These systems are considered either heat recovery systems or heat pump systems, which can heat and cool simultaneously.

• In June 2023, Mitsubishi Electric Trane HVAC US LLC, a leading provider of ductless and VRF systems in the US and countries in Latin America, launched a Hybrid VRF. It is a pioneering two-pipe VRF zoning system designed to use water instead of refrigerant in indoor spaces.

  Get Free Sample Report
  

The high usage of HVAC for different purposes is expected to fuel the market. HVAC is used in the textile, manufacturing, and other industries for the production of high-quality products. In the textile industry, the AC plant improves yarn productivity and plays a significant role, as it is necessary for the production of high-quality products.

Rising income levels of corporate employees, especially in China, India, and other emerging countries, are providing increased revenues for HVAC systems. Adoption of air conditioning units, due to the convergence of climate factors and improved income. Thus, in turn, is likely to increase the demand for the HVAC linesets.

The market report finds that the COVID-19 pandemic hindered the market, due to the strict regulations imposed by the governments. During the pandemic, several manufacturing delays and shortages of equipment and workers. Additionally, the pandemic impact on commercial HVAC has affected building operators, facility managers, and vendors who oversee the building maintenance and others.

However, the increasing consumption of HVAC linesets pandemic propelled the market. High demand for HVAC systems and transition to sustainable systems for commercial use boosts the market.

HVAC Linesets Market Dynamics

Major Drivers

HVAC demand on a global level is urbanization and an increase in residential construction is expected to drive the HVAC linesets market during the forecast period. New buildings in urban areas increase electricity consumption, especially due to the high demand for air conditioning and ventilation in hot and tropical environments. Buildings are the largest consumers of electricity, accounting for more than 50% of global electricity consumption, overtaking the industrial sector.

• According to the National Renewable Energy Laboratory (NREL), estimated that the window air conditioner recommendation methods resulted in 5% to 10% cooling energy savings, which is enough to pay for the air conditioner over its lifetime. If all window air conditioners were improved in this way, the nation’s energy use could be reduced by 40 trillion BTU per year, saving consumers USD 400 million each year.

Existing Restraints

Increasing adoption of local cooling solutions is expected to hamper the HVAC linesets market in the coming years. The expensive and non-existent electricity supply of traditional AC systems is not achievable in local areas or slum areas. However, in September 2022, without any electricity, the Massachusetts Institute of Technology offered a way to use passive cooling to preserve food crops and supplement conventional air conditioners in buildings with only a small need for water. These alternatives reduce the use of air conditioning units, which hampers the market.

Emerging Opportunities

Growing adoption of smart homes is leading to the high demand for intelligent HVAC systems is expected to create lucrative opportunities for the market players. An intelligent HVAC system uses wireless technology to communicate with other sensors and devices in the home, which means that the system automatically adjusts itself based on settings and schedules. Installing a smart HVAC system in a home helps the homeowner save energy and help the environment and saving money.

• In September 2023, KOVA, a leader in building material solutions, launched KOVA Comfort Intelligent HVAC. It is an advanced AI-powered HVAC system that effortlessly incorporates into any construction project to make it healthy, a comfortable environment based on a variety of inputs, including users' daily routines.

  Get Free Sample Report
  

Scope of HVAC Linesets Market Report

The market report includes an assessment of the market trends, market segments, and regional markets. Overview and dynamics have also been included in the report.

HVAC Linesets Market Segment Insights

Material Type Segment Analysis

Based on material type, the HVAC linesets market is divided into low carbon, copper, and others. The low carbon segment is expected to expand at a significant pace during the projection period, due to its applicability and versatility. Low carbon is used for seamless tubing in HVAC and refrigeration industries, low carbon steel withstands extreme temperatures, making it ideal for refrigerant transport.

The segment growth is attributed to the presence of major retail chains, robust construction activity, and a strong HVAC system provider network.

Get Free Sample Report

Implementation Segment Analysis

In terms of implementation, the global market is segregated into retrofit and new construction. The retrofit segment is projected to register a considerable CAGR during the forecast period, as it is a cost-effective way to improve system performance without replacing the entire system. There are ways to retrofit existing HVAC systems to improve indoor air quality and save energy.

High-impact retrofits include heat and energy recovery ventilation, building automation systems, installing air economizers, and demand control ventilation. Other energy efficiency upgrades help to reduce the cost of providing outdoor air for ventilation.

• In September 2023, Belimo introduced the RetroFIT + program, which helps customers maximize building efficiency and contribute to a greener future. RetroFIT+ is the next iteration of the Belimo retrofit program. This provides online resources, including personal support and product selection tool, that offers easy and quick access to HVAC replacement solutions for valves, actuators, and sensors.

End-User Segment Analysis

On the basis of end-user, the market is segmented into commercial, residential, and industrial. The commercial segment is expected to register a robust pace during the forecast period, due to the increasing demand for cooling solutions such as air conditioners required by banks, offices, the hospitality sector, and supermarkets & hypermarkets. The HVAC linesets are extensively used in commercial settings, due to their high building area that requires free space to cool.

Get Free Sample Report

Regional Analysis

In terms of region, the global HVAC linesets market is classified as Asia Pacific, North America, Latin America, Europe, and Middle East & Africa. Asia Pacific is expected to dominate the market during the projection period, owing to the high population and increasing industrial growth. The regional market growth is attributed to the changing consumer lifestyle and increasing disposable income in emerging countries such as India and China.

China has the highest demand for HVAC linesets, due to the tremendous increase in commercial and residential construction. Thus, the country is heavily investing in various large-scale commercial construction projects across the region, which in turn, is likely to increase the demand for HVAC linesets in the region.

• According to the Japan Refrigeration and Air Conditioning Industry Association (JRAIA), in 2021 the world’s total air conditioners demand is estimated to be 110,041 thousand units, which represents 102% of the world demand a year before. The largest demand is from China, which is estimated to reach 41,035 thousand units, representing 98% of its 2020 demand.

The market in North America is anticipated to expand at a rapid pace in the coming years, due to the strict government regulations and increasing industrial growth. The regional market growth is attributed to the increasing disposable income and urbanization. Increasing investments in the development of new technologies and well-developed infrastructure are expected to boost the market in the region.

Get Free Sample Report