Global Heat Pump Market - 2022-2029

Global Heat Pump Market - 2022-2029

Market Overview

The global heat pump market reached US$ XX million in 2021 and is expected to reach US$ XX million by 2029, growing at a CAGR of XX% during the forecast period 2022-2029.

A heat pump is a heat engine variant that operates in the other direction. A heat pump, in other terms, is a device that transfers heat energy to a thermal reservoir. They are frequently used to transmit thermal energy by absorbing heat from a cold environment and releasing it to a warmer environment.

Heat pumps use mechanical energy supplied by an external source to transfer heat from a hot body to a cold body. The chilly body is gradually cooled. A heat pump comprises four main components: a condenser, a compressor, an expansion valve, and an evaporator. The refrigerant is the functional material in these components.

Market Dynamics

The capability of heat pump technology in reducing carbon footprint can act as a driver that propels the market growth. Nonetheless, the unawareness of the respected technology in emerging economies tends to stunt the global heat pump market growth.

Ability to reduce carbon footprint

Although energy is a vital power source in many institutions, its manufacture and uses result in considerable greenhouse gas emissions. Therefore, major economies worldwide are gradually shifting toward renewable energy sources to reduce greenhouse gas emissions by minimizing the reliance on non-renewable energy sources.

Heat pump technology has the capability to minimize greenhouse gas emissions. Heat pumps, which use aerothermal and geothermal technology, are cost-effective in heating a room. When utilized in heating, ventilation, and air conditioning (HVAC) systems, the heat pump is frequently recognized as a sustainable technology. Heat pumps are widely utilized for space heating, cooling, and water heating in the residential, commercial, and industrial sectors. The thermal energy reserves in the air and on the ground are enormous. Heat pumps use energy input, primarily electricity, to extract ambient heat from the air and ground at low temperatures and raise the temperature. The heat pump can extract up to 77% of the energy contained in the air. As a result, as compared to other heat transfer mediums, the usage of a heat pump can significantly reduce fossil fuel consumption, minimizing the carbon footprint. The respective factor could be recognized as a pivotal driver driving market expansion by increasing the number of heat pump installations across industries.

Lack of awareness in emerging economies

Since the heat pump is a technically challenging piece of equipment, a limited understanding of the energy efficiency, environmental benefits and cost-efficiency of heat pumps and technical know-how in end-users from emerging and undeveloped economies could limit their penetration in emerging markets.

According to United Nations Environment Program, contractors are unaware of the International Organization for Standardization (ISO) regulations for heat pumps. The ISO standards are critical in ensuring the quality and safety of the products and services provided. For instance, ISO 13612-2:2014 provides a method under steady conditions that correspond to a calculation step, incorporated in larger building models and considers external conditions' influence. Thus, lack or limited awareness regarding the advantages of using heat pumps and related ISO standards is expected to restrain the market growth.

COVID-19 Impact Analysis

The COVID-19 pandemic has badly impacted both the service and manufacturing industries. The global economy has slowed as most countries have implemented statewide lockdowns to prevent the virus from spreading further. According to the World Bank, the epidemic has sparked profound recessions and is projected to impact the global economy due to a drop in investments and trade and supply chain interruptions.

The deployment of lockdown measures to limit the spread of the virus and restrict the movement of items and persons significantly impacted the heat pump market during the COVID-19 pandemic. Because of three primary elements, the COVID-19 pandemic had a negative impact on the global heat pump market:

The first and most significant impact of the pandemic on the market is its impact on the supply chain, which tarnishes the availability of raw materials and the sales of the finished product. Further, a scarcity of raw materials and disturbing production processes resulted in a severe demand-supply gap due to the pandemic.

Second, industrial gas-glass manufacturing involves numerous manufacturing and purification processes, severely hampered by lockdowns imposed in response to the COVID-19 pandemic. For instance, HVAC production lines in the European Union were halted for several weeks, and new installation projects were postponed.

The interruptions in the major end-user verticals are the last explanation for the pandemic's high impact on the global heat pump market. For instance, The pandemic issue has brought construction and industrial activity to a halt worldwide, limiting demand for heat pumps.

However, growth in end-user verticles also helpt in the development of the market in the future. Further, financial support by the governments to manufacturers and distributors of heat pumps is expected to reduce the impact of the pandemic crisis on the market players.

Segment Analysis

The global heat pump market is classified based on type, energy source, refrigerant, category, capacity, power, end-user and region.

Global warming, energy crunch and regulations implemented by governments counter these by improving the efficiency of temperature management devices drive the residential sector’s the demand for heat pump demand

The heat pump market is divided into three categories based on the end-user: residential, commercial, and industrial. A heat pump employs a refrigerant to transfer heat from one location to another. A heat pump absorbs heat from a residence during the summer and distributes it to the outside air via a condensing unit. However, the process is reversed in winter, with heat being taken from the outside air, compressed, and released within.

According to the U.S. Department of Energy, heat pumps can offer up to four times the energy they require in electricity since they transport heat rather than generate heat. Depending on the temperature, air-source heat pumps are 1.5 to 3 times more efficient than electric resistance heating alone. Since they do not use combustion, no interior pollutants such as carbon monoxide are produced. Government measures to improve energy efficiency in the residential sector during the projected period are expected to drive the residential segment.

Geographical Analysis

Demand to regulate energy and manage temperature and pollution due to heavy population growth and industrial expansion

The heat pump market is expected to be dominated by the Asia-Pacific. Government-led measures to minimize air pollution originating from traditional sources of energy employed in heating residential, industrial and commercial sectors are likely to boost the expansion of the Asia-Pacific heat pump market. For instance, as per data, since 2010, sales of heat pump water heaters (for sanitary hot water production) have more than tripled, mainly primarily to purchases in China. Japan is the world's second-largest market for heat pumps, with sales falling from 570 000 units in 2010 to 400 000 in 2015 (the lowest point in the last decade), but rising again to 500 000 units in 2020.

Competitive Landscape

The worldwide heat pump market is extremely active in terms of the number and size of global and local producers. Due to the presence of numerous manufacturers such as Stiebel Eltron Gmbh & Co.KG, DAIKIN INDUSTRIES, Ltd, Flamingo Heat Pumps, Danfoss, Lennox International Inc, Robert Bosch GmbH, NIBE Industrier AB, Glen Dimplex Group, FUJITSU GENERAL, and Mitsubishi Electric Corporation, the market has been described as fragmented. Mergers, acquisitions, product launches, contributions, and partnerships are common market methods used by significant market stakeholders to obtain competitive advantages and recognition in their respective industries.

Robert Bosch GmbH

Overview: Robert Bosch GmbH is a prominent manufacturer of high-quality heating, cooling, and hot water systems and was established in 1906. The company employs around 35,400 personnel in over 100 facilities across North America. Industrial Technology, Consumer Goods, Mobility Solutions, and Energy and Building Technology are the corporation's four business categories.

Product Portfolio:

Climate 5000 Mini-Split Gen 2: The product is a simple to install and use versatile air-to-air heat pump system capable of alternative heating and cooling. The product maintains consistent temperature and humidity levels throughout selected spaces through a series of automatic adjustments.

Key Development:

Robert Bosch GmbH expanded its adaptable ductless series with the New Climate 5000 Mini-Split Gen 2 ductless system, which is appropriate for residential and light commercial applications, on April 6, 2020. With improved performance, redesigned wall-mounted units, new four-way cassettes, and concealed duct systems, the new second-generation mini-split portfolio expanded on the first.

Why Purchase the Report?

To visualize the global heat pump market segmentation based on type, energy source, refrigerant, category, capacity, power, end-user and region, as well as understand key commercial assets and players.

Identify commercial opportunities in the global heat pump market by analyzing trends and co-development.

Excel data sheet with numerous data points of heat pump market-level with four segments.

PDF report consisting of cogently put together market analysis after exhaustive qualitative interviews and in-depth market study.

Product mapping available as excel consisting of key products of all the major market players

The global heat pump market report would provide approximately 93 tables, 104 figures and almost 220 pages.

Target Audience 2023

Manufacturers/ Buyers

Industry Investors/Investment Bankers

Research Professionals

Emerging Companies