GVR Report cover Heating Equipment Market Size, Share & Trends Report

Heating Equipment Market Size, Share & Trends Analysis Report By Product (Unitary Heaters, Heat Pumps, Furnaces), By Application (Commercial, Residential, Industrial), By Region, And Segment Forecasts, 2019 - 2025

  • Report ID: GVR-1-68038-206-8
  • Number of Pages: 110
  • Format: Electronic (PDF)

Industry Insights

The global heating equipment market size was valued at USD 33.56 billion in 2018 and is expected to register a CAGR of 5.4% from 2019 to 2025 on account of growing installations of energy-efficient heating systems. Government initiatives for improving energy efficiency across industries coupled with technological innovations are also expected to drive the market. Growing spending in the construction sector is also anticipated to contribute to product demand over the coming years. Initiatives, such as the Leadership in Energy and Environmental Design (LEED) in the U.S., is also expected to benefit the industry growth.

Demand for industrial furnaces in the U.S. is expected to increase over the coming years on account of rising in refurbishing and renovations in the industrial sector. Also, the presence of a stringent regulatory framework in the country is expected to drive market growth over the forecast period. The global market is highly competitive and major companies focus on minimizing the overall product cost by leveraging the significant price of technology and the high cost of installation.

U.S. heating equipment market

Therefore, companies are investing in R&D for developing efficient technologies, remote monitoring devices, and control systems to strengthen their foothold in the market. Favorable government initiatives like the Climate Action Programme (COP21) are contributing to the green transition and are projected to augment the development of energy-efficient products. Manufacturers are mandated to comply with the U.S. Department of Energy (DOE) energy conservation standards for air conditioners and heat pumps.

Increasing disposable income levels in developed as well as developing economies have resulted in increasing demand for technologically advanced systems and comfortable housing solutions, which is projected to boost the demand further. Besides, increasing the number of remodeling activities due to easy credit accessibility or financial support is estimated to have a positive impact on market growth.

Product Insights

The heat pumps segment held the largest share and were valued at USD 14.16 billion in 2018; registering a CAGR of 5.5% during the projected period. Heat pumps are popular due to its ability to effectively transfer at low operational costs. Furnaces are the most common heating systems used on account of their quick heating capability and ease of replacement.

Electric furnaces are gaining wide preference as they require less maintenance, do not give off any harmful emissions, and are affordable. Increasing demand for upgraded heating systems that meet the required regulatory standards is expected to gain traction over the next seven years which in turn is expected to drive the industry growth over the forecast period.

Boiler products are used for various applications such as water heating, power generation, cooking, and sanitation. They are widely used in the commercial, institutional, industrial, as well as the educational sector. Increasing the use of boilers in the residential sector is projected to boost market demand over the coming years.

The industry is expected to register notable gains on account of the production of advanced heating systems for use in residential and commercial construction. Also, a rise in the demand for electrically operated products on account of ease of installation coupled with low emissions is expected to drive the industry growth over the forecast period.

Application Insights

Based on the application, the market has been segmented into the residential, commercial, and industrial sectors. The industrial segment accounted for the largest revenue share in 2018 and is estimated to expand further at the fastest CAGR of 5.7% from 2019 to 2026. Heating equipment is widely used in power generation, mining, automotive, and food & beverage industries.

Global heating equipment market

Rapid industrialization in the Asia Pacific region is one of the primary factors positively influencing industry growth. Favorable government policies and tax rebates offered on installing energy-efficient products are expected to augment the demand further. Increasing product demand in processing, manufacturing, and smelting is also projected to drive the segment growth over the coming years.

Regional Insights

Europe was the largest regional market in 2018 and is likely to maintain dominance over the forecast years. Rapidly recovering construction industry in the region coupled with repair and renovation activities is projected to drive the demand for technologically advanced and compact heating solutions in the residential sector. The growing automotive industry in Europe is expected to boost product demand further. Asia Pacific is projected to be the fastest-growing regional market at a CAGR of 6.3% from 2019 to 2025. The increasing number of residential and commercial constructions in developing countries of the region is expected to augment the market.

Also, rising awareness regarding the usage of such products is further expected to propel market development. Moreover, incentives provided on energy-saving solutions and mandatory government regulations in commercial and industrial sectors are said to boost the market growth. Rapid industrialization and extensive R&D for the development of eco-friendly solutions are also anticipated to impel market growth. North America is also estimated to witness strong growth on account of expensing the construction sector and the rising number of repair and replacement activities for the existing systems.

Heating Equipment Market Share Insights

Companies are adopting cost reduction strategies and are focusing on enhancing product offerings by diversifying their end-user applications and acquiring multiple distribution centers.

Companies are investing in expanding their production capabilities and acquiring certifications to cater to the increasing demand. They also comply with various energy efficiency requirements set by regulatory authorities.

Some of the major companies in this market include The Danfoss Group; United Technologies Corporation; Ingersoll-Rand Plc; Lennox International, Inc.; Johnson Controls; and Robert Bosch GmbH. Several other companies are Uponor Corporation; Emerson Electric Co.; Honeywell International Inc.; Schneider Electric SE; Siemens AG; Mitsubishi Electric Corporation; and Nortek, Inc.

Report Scope



The base year for estimation


Actual estimates/Historical data

2014 - 2017

Forecast period

2019 - 2025

Market representation

Revenue in USD Million and CAGR from 2019 to 2025

Regional scope

North America, Europe, Asia Pacific, Central & South America, Middle East & Africa

Country scope

U.S., Canada, Mexico, Germany, France, U.K., Russia, China, Japan, India, Indonesia, Brazil, and Saudi Arabia

Report coverage

Revenue forecast, company share, competitive landscape, growth factors and trends

15% free customization scope (equivalent to 5 analyst working days)

If you need specific information, which is not currently within the scope of the report, we will provide it to you as a part of customization

Segments Covered in the Report

This report forecasts revenue and volume growth at global, regional, and country levels and provides an analysis of the latest industry trends in each of the sub-segments from 2014 to 2025. For this study, Grand View Research has segmented the global heating equipment market report based on product, application, and region:

  • Product Outlook (Revenue, USD Million, 2014 - 2025)

    • Heat Pumps

    • Furnaces

    • Boilers

    • Unitary Heaters

    • Others

  • Application Outlook (Revenue, USD Million, 2014 - 2025)

    • Residential

    • Commercial

    • Industrial

  • Regional Outlook (Revenue, USD Million, 2014 - 2025)

    • North America

      • The U.S.

      • Canada

      • Mexico

    • Europe

      • Germany

      • France

      • U.K.

      • Russia

    • Asia Pacific

      • China

      • Japan

      • India

      • Indonesia

    • Central & South America

      • Brazil

    • Middle East & Africa

      • Saudi Arabia

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