Thermal Energy Storage (TES)

Global Thermal Energy Storage (TES) Market to Reach US$8.2 Billion by 2030

The global market for Thermal Energy Storage (TES) estimated at US$5.4 Billion in the year 2024, is expected to reach US$8.2 Billion by 2030, growing at a CAGR of 7.2% over the analysis period 2024-2030. Water, one of the segments analyzed in the report, is expected to record a 6.3% CAGR and reach US$3.3 Billion by the end of the analysis period. Growth in the Molten Salt segment is estimated at 7.4% CAGR over the analysis period.

The U.S. Market is Estimated at US$1.7 Billion While China is Forecast to Grow at 8.7% CAGR

The Thermal Energy Storage (TES) market in the U.S. is estimated at US$1.7 Billion in the year 2024. China, the world`s second largest economy, is forecast to reach a projected market size of US$890.3 Million by the year 2030 trailing a CAGR of 8.7% over the analysis period 2024-2030. Among the other noteworthy geographic markets are Japan and Canada, each forecast to grow at a CAGR of 5.7% and 6.5% respectively over the analysis period. Within Europe, Germany is forecast to grow at approximately 6.6% CAGR.

Global Thermal Energy Storage (TES) Market - Key Trends & Drivers Summarized

Why Is Thermal Energy Storage Crucial For Sustainable Energy Solutions?

Thermal Energy Storage (TES) is emerging as a critical technology for enhancing the sustainability and efficiency of energy systems. TES systems store thermal energy by heating or cooling a storage medium, enabling the energy to be used at a later time. This capability is particularly valuable for balancing supply and demand in renewable energy systems, where production can be intermittent. By storing excess energy during periods of low demand or high production, TES can provide a steady supply of energy during peak demand periods or when renewable sources are not producing. This helps to stabilize the grid, reduce reliance on fossil fuels, and minimize greenhouse gas emissions. Furthermore, TES can be used in various applications, including residential heating and cooling, industrial processes, and large-scale power plants, making it a versatile and integral component of the transition to a more sustainable energy future.

How Is The Development Of Molten Salt Storage Impacting The TES Industry?

One of the most exciting trends in Thermal Energy Storage is the development and application of molten salt storage systems. Molten salt TES is particularly effective for high-temperature applications, such as those in concentrated solar power (CSP) plants. These systems use salts heated to high temperatures to store thermal energy, which can then be used to generate electricity even when the sun is not shining. This technology allows CSP plants to operate around the clock, significantly enhancing their reliability and efficiency. Molten salt systems have a high heat capacity and can store large amounts of energy at a relatively low cost, making them an attractive option for large-scale energy storage. The ability to store energy for extended periods without significant losses further strengthens their appeal. As CSP technology continues to advance, the integration of molten salt storage is expected to play a critical role in the expansion and viability of solar power as a major renewable energy source.

What Are The Emerging Trends In Thermal Energy Storage?

The field of Thermal Energy Storage is witnessing several emerging trends that are shaping its development and adoption. One significant trend is the increasing integration of TES with renewable energy systems, particularly solar and wind power. By storing excess energy generated during peak production times, TES helps to mitigate the variability of renewable sources and ensures a reliable supply of energy. Another trend is the growing use of TES in district heating and cooling networks, which provide efficient thermal energy distribution in urban areas. This approach not only enhances energy efficiency but also reduces the carbon footprint of heating and cooling systems. Additionally, the development of hybrid TES systems, which combine different storage technologies to optimize performance and cost, is gaining traction. These systems can leverage the strengths of various storage methods, such as combining TES with battery storage, to provide more flexible and reliable energy solutions. Furthermore, advancements in thermal storage materials and system designs are expanding the range of applications for TES, from residential buildings to large industrial processes and power plants.

What Factors Are Driving Growth In The Thermal Energy Storage Market?

The growth in the Thermal Energy Storage market is driven by several factors that highlight the increasing demand for efficient and sustainable energy solutions. Firstly, the rising adoption of renewable energy sources, such as solar and wind power, is driving the need for effective energy storage solutions to manage the intermittent nature of these sources. TES provides a reliable way to store and dispatch energy as needed, making it a crucial component of renewable energy systems. Secondly, advancements in TES technology, including improved storage materials and system designs, are enhancing the efficiency and cost-effectiveness of TES solutions, making them more attractive to consumers and industries. The increasing focus on energy efficiency and the need to reduce greenhouse gas emissions are also promoting the adoption of TES in various applications, from residential heating and cooling to industrial processes and power generation. Additionally, government incentives and regulatory support for clean energy technologies are encouraging investment in TES projects, further boosting market growth. Lastly, the expansion of district heating and cooling networks in urban areas is creating new opportunities for TES, as these systems require efficient thermal energy storage to optimize performance and reduce environmental impact. These factors collectively contribute to the robust growth and ongoing innovation in the Thermal Energy Storage market.

SCOPE OF STUDY:

The report analyzes the Thermal Energy Storage (TES) market in terms of units by the following Segments, and Geographic Regions/Countries:

Segments:
Type (Water, Molten Salt, Phase Change Material (PCM)); Technology (Sensible, Latent, Thermochemical); End-Use (Utility, Commercial & Industrial, Residential)

Geographic Regions/Countries:
World; USA; Canada; Japan; China; Europe; France; Germany; Italy; UK; Rest of Europe; Asia-Pacific; Rest of World.

Select Competitors (Total 50 Featured) -

• Burns & McDonnell
• Caldwell Energy Company
• Cryogel Thermal Energy Storage
• Evapco
• Fafco
• Fluence Energy, LLC
• Goss Engineering
• ENGIE Group
• Trane Technologies PLC
• McDermott International, Inc.

TARIFF IMPACT FACTOR

Our new release incorporates impact of tariffs on geographical markets as we predict a shift in competitiveness of companies based on HQ country, manufacturing base, exports and imports (finished goods and OEM). This intricate and multifaceted market reality will impact competitors by artificially increasing the COGS, reducing profitability, reconfiguring supply chains, amongst other micro and macro market dynamics.

We are diligently following expert opinions of leading Chief Economists (14,949), Think Tanks (62), Trade & Industry bodies (171) worldwide, as they assess impact and address new market realities for their ecosystems. Experts and economists from every major country are tracked for their opinions on tariffs and how they will impact their countries.

We expect this chaos to play out over the next 2-3 months and a new world order is established with more clarity. We are tracking these developments on a real time basis.

As we release this report, U.S. Trade Representatives are pushing their counterparts in 183 countries for an early closure to bilateral tariff negotiations. Most of the major trading partners also have initiated trade agreements with other key trading nations, outside of those in the works with the United States. We are tracking such secondary fallouts as supply chains shift.

To our valued clients, we say, we have your back. We will present a simplified market reassessment by incorporating these changes!

APRIL 2025: NEGOTIATION PHASE

Our April release addresses the impact of tariffs on the overall global market and presents market adjustments by geography. Our trajectories are based on historic data and evolving market impacting factors.

JULY 2025 FINAL TARIFF RESET

Complimentary Update: Our clients will also receive a complimentary update in July after a final reset is announced between nations. The final updated version incorporates clearly defined Tariff Impact Analyses.

Reciprocal and Bilateral Trade & Tariff Impact Analyses:

USA
CHINA
MEXICO
CANADA
EU
JAPAN
INDIA
176 OTHER COUNTRIES.

Leading Economists - Our knowledge base tracks 14,949 economists including a select group of most influential Chief Economists of nations, think tanks, trade and industry bodies, big enterprises, and domain experts who are sharing views on the fallout of this unprecedented paradigm shift in the global econometric landscape. Most of our 16,491+ reports have incorporated this two-stage release schedule based on milestones.

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