Commercial Heat Pump Market Size - By Product (Air Source, Ground Source, Water Source), By Application (Education, Healthcare, Retail, Logistics & Transportation, Offices, Hospitality), Regional Outlook & Forecast, 2024 - 2032

Commercial Heat Pump Market Size

Commercial Heat Pump Market was valued at USD 13.9 billion in 2023 and is projected to attain a CAGR of 13.2% from 2024 to 2032, on account of a heightened awareness regarding the environmental impact of traditional heating & cooling systems, escalating energy costs, and government mandates emphasizing energy efficiency and carbon reduction.
 

For instance, in April 2024, the U.S. DOE launched new additions to the Better Buildings Commercial Building Heat Pump Accelerator program propelling manufacturers to introduce cost-effective HP rooftop units for commercial establishments. Moreover, rising demand for energy-efficient HVAC solutions in commercial settings along with the operational advantages, enhanced reliability, and high efficiency of these systems will sway the industry landscape.
 

Commercial Heat Pump Market Trends

The commercial heat pump industry is anticipated to experience significant expansion based on several key factors including a persistent need for energy-efficient heating & cooling solutions across numerous large-scale establishments. Respective governments across the globe are enforcing stricter energy performance standards for buildings, aiming to reduce carbon footprints and curb greenhouse gas emissions. Moreover, a surge in construction spending and disposable incomes across both emerging and developed economies will unveil new opportunities for industry expansion.
 

A commercial heat pump is tailored for large-scale buildings to cater to the elevated demands of commercial spaces, functions similar to the residential heat pump system. These systems efficiently heat and cool by harnessing heat from the outdoors from various sources including air, water, or the ground.
 

Commercial Heat Pump Market Analysis

The commercial air source heat pump market is projected to surpass USD 36 billion through 2032, fueled by rising environmental consciousness regarding conventional heating and cooling systems, bolstered by government mandates emphasizing energy efficiency and carbon footprint reduction. Moreover, technological innovations enhancing system efficiency and operational flexibility across a wide range of application areas will play a pivotal role in shaping the air source heat pump industry dynamics.
 

The commercial heat pumps industry across hospitality application is set to observe a CAGR of over 13% through 2032, primarily driven by the escalating demand for efficient heating & cooling solutions in hotels, resorts, restaurants, and other hospitality venues. The heat pumps are designed for quiet operation, a crucial feature in the hospitality sector where guest comfort is paramount.
 

Moreover, the advanced HP units deliver precise temperature control & zoning capabilities, enabling different areas within hospitality establishments to be heated or cooled separately, thereby ensuring optimal comfort and heightened energy efficiency. In addition, mounting emphasis on energy efficiency, deployment of renewable technologies, and reduction in energy consumption & operational costs are some of the key parameters accelerating the product deployment.
 

North America commercial heat pump market is likely to exceed USD 8 billion by 2032. Supportive regulatory policies at local, state, and federal levels, aimed at fostering the shift towards green energy solutions will boost the industry growth. Major manufacturers are investing heavily in R&D while engaging in strategic partnerships & acquisitions to enhance their manufacturing capabilities, thereby driving up demand for heat pump products in commercial settings.
 

For instance, in April 2023, Transom, a Canadian heat pump manufacturer, unveiled plans to launch a new line of air-to-water hot-water heat pumps using CO2 refrigerants, tailored specifically for North American commercial applications. These pumps offer a capacity ranging from 14 to 205 kW and feature adjustable pump & fan speeds for optimal performance.
 

Commercial Heat Pump Market Share

The commercial heat pump industry is shaped by the new initiatives by key players forging strategic alliances & partnerships to bolster their market standing. Additionally, the companies are prioritizing mergers and acquisitions to gain a competitive advantage and expand their product reach & geographical footprint across various countries & regions. Major manufacturers including Carrier, Bosch Thermotechnology Ltd., Daikin, Mitsubishi Electric Corporation, and Panasonic Corporation, are also allocating significant budgets in expanding their manufacturing facilities and R&D centers to maintain their dominant position across the industry.
 

Commercial Heat Pump Market Companies

Major key players operating across the industry include:

• Bosch Thermotechnology Corp.
• Carrier
• Daikin
• Finn Geotherm UK Limited
• FUJITSU GENERAL
• GREE Commercial
• LG Electronics
• MESTEK, INC.
• Mitsubishi Electric Corporation
• OCHSNER
• Panasonic Corporation
• Rheem Manufacturing Company
• Rinnai UK Ltd.
• SAMSUNG
• Swegon Ltd
• Trane
   

Commercial Heat Pump Industry News

• In April 2024, Bosch introduced its latest CL and RL Series of water source heat pumps in Canada. These models run on the environmentally friendly R454B refrigerant, aligning with the impending AIM Act, slated for implementation in January 2025. The CL series caters to both residential and commercial needs, offering sizes from 0.5 to 6 tons. Meanwhile, the RL series boasts quicker and safer maintenance operations, making it an ideal fit for renovation or new construction projects.
   
• In February 2024, Viessmann unveiled its latest line of air-source heat pumps, designed for commercial and residential application called the Vitocal 200-A Pro with three model series. These units offer heating capacities spanning from 32 kW to 128 kW and cooling capacities ranging from 34 kW to 139 kW. Viessmann asserts that these heat pumps deliver an enhanced COP of up to 4.57 along with a SCOP of up to 4.4.
   

This commercial heat pump market research report includes in-depth coverage of the industry with estimates & forecast in terms of “’000 Units” and “USD Million” from 2021 to 2032 for the following segments:

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Market, By Product

• Air Source
• Ground Source
• Water Source

Market, By Application

• Education
• Healthcare
• Retail
• Logistics & transportation
• Offices
• Hospitality
• Others

The above information has been provided for the following regions and countries:

• North America
  • U.S.
  • Canada 
• Europe
  • Austria
  • Norway
  • Denmark
  • Finland
  • France
  • Germany
  • Italy
  • Switzerland
  • Spain
  • Sweden
  • UK
  • Netherlands
• Asia Pacific
  • China
  • Japan
  • Australia
  • South Korea
• Middle East & Africa
  • Saudi Arabia
  • Türkiye
  • South Africa
• Latin America
  • Brazil
  • Mexico
  • Argentina