Global Cooling Tower Market - 2023-2030

Global Cooling Tower Market - 2023-2030

Global Cooling Tower Market reached US$ 2.2 billion in 2022 and is expected to reach US$ 3.1 billion by 2030, growing with a CAGR of 4.5% during the forecast period 2023-2030.

Cooling towers are most commonly employed in eliminating excess heat created by cooling towers and are used to represent a generally dependable and low-cost method of removing low-grade heat from cooling towers. Because of the existence of intelligent buildings, large-scale data centres and building automation providers in the area, North America is likely to account for more than 1/3rd of the global cooling towers market, driven by U.S. and Canada.

Furthermore, the fast increase of structured and unstructured data, as well as the rising need for cloud computing, are expected to boost the data centre industry throughout the projected period, hence driving the global cooling towers market. Cooling towers assist in maintaining the optimal temperature in data centres, resulting in decreased energy use.

Market Dynamics
Rising Investments in Industrial Sector
During the forecast period, massive expenditures in industrial growth will drive demand for the global cooling tower market. For example, the Ministry of Energy in India is planning to install up to 56 GW of coal-fired production capacity by 2030 to fulfil rising energy demand. The increased coal-fired production would represent an increase of 25 percent over the country's current coal-fueled electrical capacity of 204 GW from 285 coal thermal power plants.

Russia reported the successful completion of a new cooling tower for a nuclear power station in November 2022. The cooling tower was erected at the nuclear power facility Kursk II. With a height of 179 metres, it is Russia's highest cooling tower. The cooling tower is 8 metres taller than the previous highest tower in Russian history and is anticipated to last for 100 years.

Rapid Expansion of Construction Industry
The expanding number of building activities across the globe, commercial and residential sectors is expected to increase product demand. Cooling towers are crucial for ensuring a pleasant interior atmosphere in commercial construction projects such as office buildings, retail malls, hotels and hospitals.

Cooling towers cool air conditioning systems, allowing people to work, shop or get medical care in a comfortable and regulated atmosphere. The growth in building activities has resulted in the deployment of industrial equipment that requires regular cooling and hence the need for cooling towers is expected to rise in the predicted years.

Risk of Corrosion and Scaling
Despite its benefits and widespread application, it suffers from corrosion and scaling. Cooling towers suffer from corrosion because, once the process is done, unregulated water flows through the cooling tower, corroding the metal and causing leaks. The mixture and reactivity of air, sodium and other chemical components contained in the water supply causes corrosion.

The chemical reaction destroys or destroys the metal within the cooling tower. The growing industrial setups are causing environmental distress, such as plume, drift and water pollution, which are moderately affecting market demand.

COVID-19 Impact Analysis
Due to the supply chain disruptions and a global halt in various manufactruing industries, the COVID-19 epidemic had a significant impact on the global cooling tower sector. As a result of water stagnation in the building's water systems, the temporary shutdown of the industrial and manufacturing unit has elevated the danger of legionnaires disease from cooling towers. It has accelerated the spread of legionella bacteria.

However, the deployment of new nuclear facilities during a period when some countries faced severe government regulations boosted market development during COVID 19. Following the effects of COVID-19, the expansion of industrial operations requiring cooling towers, such as oil refineries, petrochemical facilities and a few other manufacturing industries, as well as strict environmental standards, are likely to fuel demand for the global cooling towers market.

Russia- Ukraine War Impact
Global supply chain interruptions were triggered by lockdowns, limits and transportation concerns. The war between Russia and Ukraine deepened the impact on the dynamics of the global cooling towers market. Companies operating in the areas may suffer difficulties as a result of legislative changes or political unrest. The factors can have an influence on cooling tower manufacturing, distribution and sales in both nations.
Some businesses may want to diversify their operations and client base in reaction to geopolitical tensions and possible hazards associated with reliance on a single market. It might lead to the investigation of new markets or areas, thereby influencing the cooling towers market's supply and demand dynamics.

Segment Analysis
The global cooling tower market is segmented based on type, water flow, draft, application and region.

Cooling Towers makes HVAC Systems Cost-effective and Energy-efficient driving its growth
HVAC is expected to hold about 30% of the global cooling tower market during the forecast period 2023-2030. According to U.S. Department of Health and Human Services, cooling towers are mostly utilised for HVAC and industrial reasons. Cooling towers make the HVAC system more cost-effective and energy-efficient. More than 1,500 industrial businesses need a large amount of water to keep their equipment cold.

HVAC systems are very widespread in major business buildings, schools and hospitals. The increasing usage of HVAC systems is expected to boost cooling tower demand during the forecast period. Industrial equipment produces a substantial quantity of heat, which can interrupt operations if not properly handled. Cooling towers are used to chill the process water before it is reused. The cooling towers deal with both the heat load and any industry-specific difficulties.

Geographical Analysis
Growing HVAC Demand in Construction Sector in Asia-Pacific
Asia-Pacific is anticipated to have significant growth in the cooling tower market during the forecast period. The rapid development of infrastructure in the region is creating demand for cooling towers. Construction activity in developing economies is increasing demand for HVAC, cooling and refrigeration equipment, which is expected to drive the market. As a result, rising transportation infrastructure such as airports, bridges and port expansion are expected to boost market growth.

Furthermore, the region's electrical consumption is continually expanding. According to IEA, when compared to 2020, energy generation grew by around 8.4% in 2021. Total power generated in 2021 was 13994.4 TWh, whereas total electricity generated in 2020 was 12949.3 TWh. Although several nations in the area are focusing on renewable energy sources to fulfil current electricity demands, many others, like Thailand, India and China, are concentrating on thermal energy power plants.

Competitive Landscape
The major global players include SPX Cooling Technologies, Inc., Classik Cooling Towers, Delta Cooling Towers, Inc., Cooling Tower Products, Inc., ARANER , Brentwood Industries, Inc., Bell Cooling Towers, Enexio, Hamon & Cie International SA and SPIG S.p.A.

Why Purchase the Report?
• To visualize the global cooling tower market segmentation based on type, water flow, draft, application and region, as well as understand key commercial assets and players.
• Identify commercial opportunities by analyzing trends and co-development.
• Excel data sheet with numerous data points of cooling tower market-level with all segments.
• PDF report consists of a comprehensive analysis after exhaustive qualitative interviews and an in-depth study.
• Product mapping available as Excel consisting of key products of all the major players.
The global cooling tower market report would provide approximately 69 tables, 75 figures and 203 Pages.
Draft 2023
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