Liquid Desiccant HVAC Systems Market To Reach $1,143.0 Million By 2033

Liquid Desiccant HVAC Systems Market Growth & Trends

The global liquid desiccant HVAC systems market size is anticipated to reach USD 1,143.0 million by 2033 and is projected to grow at a CAGR of 18.2% from 2025 to 2033, according to a new report by Grand View Research, Inc. The demand for liquid desiccant HVAC systems is being propelled by the growing need for energy efficiency and sustainability in cooling and humidity control. Traditional HVAC and dehumidification systems, especially vapor-compression ones, consume a lot of electricity, often use refrigerants with high global warming potential, and are less efficient in highly humid environments. Liquid desiccant systems offer lower energy consumption, especially when paired with waste heat, solar thermal, or other renewable or low-grade heat sources for regeneration of the desiccant.

Another significant driver is the increased awareness of indoor air quality, especially after COVID-19, which has pushed buildings, especially commercial, healthcare, pharmaceutical, data centers, and others that require tight humidity or air quality control, to adopt systems that can control both moisture and airborne contaminants more tightly. High humidity leads to mold, mildew, structural damage, and health problems; many industrial processes (food, pharma, electronics) have tolerances that require precise moisture control.

The market for liquid desiccant HVAC is increasingly shaped by stringent energy efficiency regulations, refrigerant phase-down policies, and indoor air quality standards such as ASHRAE and LEED. These frameworks drive demand for systems with lower emissions and higher moisture control. Government incentives and green building mandates further accelerate adoption in both new construction and retrofits. Compliance is becoming a competitive advantage, not just a requirement.

Leading companies like Alfa Laval and Copeland LP focus on integrating desiccant technologies with heat recovery and smart controls to boost efficiency. Mojave Energy Systems and 7AC Technologies emphasize modular, low-energy cooling solutions that align with net-zero and sustainability goals. These firms also prioritize strategic partnerships, R&D in advanced materials, and market expansion into high-humidity, regulation-driven regions. For instance, in March 2025, Copeland LP partnered with KCC Companies HVAC to develop a new commercial dedicated outdoor air system (DOAS) incorporating Copeland’s HMX liquid desiccant module. The collaboration allows KCC to leverage Copeland’s R&D and innovation capabilities, positioning both companies at the forefront of advanced liquid desiccant technology in the commercial HVAC market.

 Request a free sample copy or view report summary: Liquid Desiccant HVAC Systems Market Report

Global Liquid Desiccant HVAC Systems Market Report Highlights

• Based on equipment, the liquid desiccant heat pump AC systems segment led the market in 2024 due to their ability to independently control humidity and temperature, making them ideal for buildings in hot, humid climates or with high latent loads.

• Based on application, the commercial segment led the market due to its high demand for precise humidity and temperature control in spaces like offices, hospitals, data centers, and retail environments.

• Based on region, the market in North America dominated the global revenue share, driven by strict energy efficiency regulations, rising demand for sustainable HVAC solutions, and increased retrofitting in commercial buildings. Adoption is further supported by incentives for low-emission technologies and growing awareness of indoor air quality.

• In June 2025, Mojave Energy Systems announced the expansion of its sales partner program across 16 U.S. states and five Latin American countries, adding over 20 new partners. These partners will exclusively represent Mojave for commercial air conditioning customers in their regions.

Global Liquid Desiccant HVAC Systems Market Segmentation

Grand View Research has segmented the global liquid desiccant HVAC systems market based on equipment, application, and region.

Liquid Desiccant HVAC Systems Equipment Outlook (Revenue, USD Million; 2021 - 2033)

• Liquid Desiccant Dehumidifier

• Liquid Desiccant Heat Pump AC Systems

• Liquid Desiccant Chiller-Integrated Systems

Liquid Desiccant HVAC Systems Application Outlook (Revenue, USD Million; 2021 - 2033)

• Residential

• Commercial

• Industrial

Liquid Desiccant HVAC Systems Regional Outlook (Revenue, USD Million, 2021 - 2033)

• North America

  • U.S.

  • Canada

  • Mexico

• Europe

  • Germany

  • France

  • Italy

  • Spain

  • UK

• Asia Pacific

  • China

  • India

  • Japan

  • South Korea

  • Australia

• Latin America

  • Brazil

  • Argentina

• Middle East and Africa

  • Saudi Arabia

  • UAE

List of Key Players in the Liquid Desiccant HVAC Systems Market

• Alfa Laval

• AirGreen, Inc.

• Blue Frontier

• Mojave Energy Systems

• Copeland LP

• Ventilex

• AOLAN

• 7AC Technologies, Inc. (Emerson Electric Co)