Solar Water Heater Market Forecasts to 2028 – Global Analysis By Type (Integral Collector Storage, Thermosyphon), Product (Active Solar Water Heaters, Passive Solar Water Heaters), System Pumped, Thermosiphon) and By Geography

Solar Water Heater Market Forecasts to 2028 – Global Analysis By Type (Integral Collector Storage, Thermosyphon), Product (Active Solar Water Heaters, Passive Solar Water Heaters), System Pumped, Thermosiphon) and By Geography

According to Stratistics MRC, the Global Solar Water Heater Market is accounted for $3.45 billion in 2022 and is expected to reach $6.15 billion by 2028 growing at a CAGR of 10.1% during the forecast period. A solar water heater is a device that can be used to capture sunlight to heat the water. It primarily consists of a thermal panel, tank, circulating pump, and thermal regulator. Solar water heater, also known as solar domestic hot water systems, is majorly used as a cost-effective way to generate hot water for residential, commercial, and industrial end-users.

The global retail value of the water heater market is anticipated to remain relatively constant the next few years, staying between 26.2 and 26.4 billion U.S. dollars each year. In 2021, the global water heater market is forecast to produce a retail volume of 68.2 million units. In 2018, the global revenue of individual solar water heater sales was 20,4 million euros while in 2020 it reached 22.5 million euros.

Market Dynamics:

Driver:

Increasing Demand for Cost-Effective Energy Solutions

The surging equipment for energy-efficient and cost-efficient technologies constantly boosts the demand for the market. Also, the solar water heaters work with zero power and zero harmful emissions. It is a technology that saves costs as well as the environment. These water heaters are suitable for roof places that have exceptional sunlight and heat. During the day, the insulator tank consumes high heat and keeps the water hot. These systems are reasonably priced so as to cater to a wider spectrum of consumers based on their economic condition. Increasing ecological awareness in developed as well as developing regions is also expected to result in industry growth.

Restraint:

Climate Condition

During cloudy days or little or no sunshine days, solar water heaters are at a disadvantageous position. Such climatic conditions negatively impact the solar water heaters' efficiency and can provide an only a limited supply of hot water. The climatic changes may suit the operations of the solar water heater. It remains a serious restraint for the market. The solar water heaters are effective only if there is proper sunlight. The technology specifics the amount of sunlight required to heat the water. These technologies may not work effectively in cloudy or chilly regions. The operations of the solar water heater are not suitable for some regions. The market expansion rate is hindered due to these market restraints.

Opportunity:

Technological Innovations

Technological innovations in solar panels with respect to design specifications and other developments, such as solar tracking mounts and thin film technology, are anticipated to augment the adoption of solar water heaters. The advancements in back up energy systems maintaining performance on cloudy days are predictable to create lucrative opportunities in the market. It spends a lot less to install a solar panel in comparison to a PV panel. A good way to earn rewards is by transferring the unused unit back to the electricity grid. They are a one-time investment for long term benefits.

Threat:

Time-Consuming Process

The time-consuming process of solar water heaters acts as a major threat to the market. Also, the solar water heater is a unique technology. More awareness regarding the product is essential during the forecast period. The less product awareness and high power consumption to use the technology can be a threat to the market.

Covid-19 Impact

The Government of China enforced a nationwide lockdown as part of measures to limit the spread of COVID-19. As a result, photovoltaic equipment manufacturers had to halt their production. China is the major hub for companies involved in manufacture of photovoltaic equipment. Majority of the top 10 solar photovoltaic manufacturers in terms of module shipments are based in China. Halt in production capacity of photovoltaic equipment has raised concerns regarding material supply and logistics. This, in turn, hampering the production of solar water heaters

Thermosyphon segment is expected to be the largest during the forecast period

The thermosyphon system is the commonly known solar-heated hot water system. These commercially available solar hot water systems work by combining a storage tanker and roof-mounted flat plate collector. Growing demand for cost-effective, nature-friendly, energy-efficient, and capacity solar water heater solutions from commercial establishments will increase their deployment in the coming years.

The Commercial segment is expected to have the highest CAGR during the forecast period

Increasing spending from public and private financial institutions toward infrastructure development including government buildings, educational institutes, and the shopping center will stimulate product adoption. The introduction of green building codes and standards to limit carbon emissions, promoting the utilization of clean technologies will further complement the business landscape.

Region with highest share:

The Asia Pacific is projected to hold the highest market share, due to its high growth rate, coupled with positive economic performance, which is predicted to propel China over the next decade, as large investments in research and development are expected to augment growth. The country is introducing extensive changes to its energy policy and shifting its dependence on fossil fuels to renewable fuels in a bid to curb pollution and maintain ecological balance. The governmental policies to promote energy effect technology will drive more demand for the market. China, South Korea, and China are the key contributors to this market. Asia is known for its flourishing solar energy sector. These solar markets will promote the market. The adoption rate of the technology is exceptional in these provinces. Also, product awareness and innovation will increase during the forecast period. Asia pacific will market the highest demand rate in the forecast. There are plenty of market expansion opportunities in this province.

Region with highest CAGR:

Europe is projected to have the highest CAGR, owing to several government initiatives to increase the adoption of renewable sources of energy. Such initiatives include priorities set by the European Union in the energy field for the development of energy production from renewable resources. The renewable resources development targets reducing the dependence on scarce fossil fuels and minimizing CO2 emissions.

Key players in the market

Some of the key players profiled in the Solar Water Heater Market include American Water Heaters, Apricus Solar Co., Ltd, Azuma Solar Corporation, GREENoneTEC Solarindustrie GmbH., Haining Onosi New Energy Co., Ltd, Havells India Limited, Jiaxing Passion New Energy Technology Co., Ltd, O. Smith Water Products Company B.V., Solar Hot USA, SolarPeak New Zealand Limited, Sole S.A., The Alternative Energy Company, Versol Ltd, V-Guard Industries Ltd., Your Home Tech Limited.

Key developments:

In January 2022: Sun Earth, Inc. of Fontana, Ca has partnered with Nyle Water Heating Systems of Brewer, Maine to bring a scalable solar water series heat pump water heater to the multi-family/commercial sector.

In September 2018: A. O. Smith launched Instant Water Heaters With Blue Diamond® Technology in Maharashtra and Gujarat Market. The cutting-edge technology provides two times corrosion resistance and extends the life of water Heater. It also comes with 8 bar pressure rating, making it suitable for even high-rise buildings.

Types Covered:
• Integral Collector Storage
• Thermosyphon
• Pumped

Products Covered:
• Active Solar Water Heaters
• Passive Solar Water Heaters

Capacity’s Covered:
• 100L
• 150L
• 200L

Collector Types Covered:
• Solar Collectors
• Storage Tanks

Applications Covered:
• Residential
• Commercial
• Industrial

Distribution Channels Covered:
• Online Stores
• Offline Stores

Regions Covered:
• North America
US
Canada
Mexico
• Europe
Germany
UK
Italy
France
Spain
Rest of Europe
• Asia Pacific
Japan
China
India
Australia
New Zealand
South Korea
Rest of Asia Pacific
• South America
Argentina
Brazil
Chile
Rest of South America
• Middle East & Africa
Saudi Arabia
UAE
Qatar
South Africa
Rest of Middle East & Africa

What our report offers:
- Market share assessments for the regional and country-level segments
- Strategic recommendations for the new entrants
- Covers Market data for the years 2020, 2021, 2022, 2025 and 2028
- Market Trends (Drivers, Constraints, Opportunities, Threats, Challenges, Investment Opportunities, and recommendations)
- Strategic recommendations in key business segments based on the market estimations
- Competitive landscaping mapping the key common trends
- Company profiling with detailed strategies, financials, and recent developments
- Supply chain trends mapping the latest technological advancements