Market Size of Asia-Pacific Heating Equipment Industry
| Study Period | 2019 - 2029 |
| Base Year For Estimation | 2023 |
| Forecast Data Period | 2024 - 2029 |
| Historical Data Period | 2019 - 2022 |
| CAGR | 6.85 % |
| Market Concentration | Medium |
Major Players
*Disclaimer: Major Players sorted in no particular order |
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APAC Heating Equipment Market Analysis
The Asia Pacific Heating Equipment market is expected to grow at a CAGR of 6.85% over the forecast period (2022-2027). To meet Sustainable Development Scenario (SDS), the share of clean heating technologies, such as heat pumps, district heating, renewable, and hydrogen-based heating, is expected to be doubled by 50% of sales by 2030; thus, positively influencing the market demand.
- Significant drivers of the heating equipment market's growth over the projection period include the burgeoning construction industry in various emerging economies and the expanding end-user markets. A few advantages of heating equipment are energy efficiency, better outcomes, and lifespan. A few key reasons impacting the market's expansion are changes in urbanization, industrialization, and migration, which have increased the number of enterprises, manufacturing facilities, and residential complexes that employ heating equipment.
- According to International Energy Agency (IEA), global district heating production was 16 EJ of heat in 2020, jumping 30% from the 2000 level at an annual compound growth rate of around 1.3%. The striking 2.3% increase from 2019 to 2020 was prompted mainly by China and partially by Korea (7% growth each).
- The COVID-19 outbreak in 2020 and 2021 had a negative impact on the market's growth. Lockdowns were imposed on the region's governments in 2020 and 2021. As end users' activities were suspended, this had a negative effect on the market. Additionally, production has slowed down, and the supply chain has been disrupted, putting a strain on the region's demand for heating equipment.
- Rapid urbanization in the region is driving the demand and pushing to switch to renewable energy sources for centralized heating and cooling, which can help meet rising urban energy needs, improve efficiency, reduce emissions and provide cost-effective temperature control. For instance, driven by urbanization, China has rapidly increased its use of centralized systems in its northern regions. The Asia Pacific heating Market is facing a significant challenge due to the high costs of the equipment.
