Commercial Heat Pump Water Heater Market Size - By Application, By Operation, Share, Growth Forecast, 2024 - 2032

Commercial Heat Pump Water Heater Market Size

The global commercial heat pump water heater market size was estimated at USD 571.1 million in 2023 and is set to attain a growth rate of 13% from 2024 to 2032. Growing demand for efficient hot water solutions across commercial establishments, coupled with increasing focus toward reducing emissions from buildings is fueling substantial investments in sustainable technologies.
 

Stringent environmental norms and standards along with favorable initiatives toward adoption of low emission and energy efficient technologies will complement the business landscape. For instance, TECH Clean California announced incentives to contractors for installing HPWHs in non-residential properties including retail businesses, office buildings, schools from October 2023.

Commercial Heat Pump Water Heater Market Trends

The commercial heat pump water heater industry will develop as a result of an increase in demand for hot water in multiple sectors and replacement of conventional water heating systems along with the standards implemented by the authorities to lower energy consumption. For example, in December 2023, the European Commission revised EPBD norms on how to lower the carbon footprints of the building stock, introducing the goal of at least 16% of the EU’s lowest rated non-residential buildings being renovated by 2030.
 

Commercial Heat Pump Water Heater Market Analysis

Healthcare facilities segment is projected to surpass USD 300 million by 2032. The ongoing construction of government buildings and the persistent need for temperature regulation within healthcare structures, specifically in super-specialty facilities and hospitals, is likely to witness a rise in the deployment of commercial heat pump water heaters. The deployment of these systems has been expedited by the introduction of government initiatives and schemes along with the positive regulatory environment regarding the clean energy technologies adoption. Ongoing technological advancements, including enhanced efficiency and performance are driving healthcare facilities to implement energy-efficient systems to reduce operational expenditures while decreasing emissions of carbon, further augmenting the product deployment.
 

The commercial heat pump water heater market from the inverter segment is set to observe a growth rate of over 12.5% till 2032, owing to the extensive utilization of variable speed technology as a result of their greater efficiency and lower costs. For instance, LG has launched inverter heat pump water heater in January 2024 representing a superior energy efficiency with UEF greater than 3.93, which is above the ENERGY STAR rating. The system utilizes LG's inverter technology and includes a Dual Inverter Compressor for fast heating and quiet operation. In addition, the increasing use of variable speed products is fueled by increasing energy prices, government favorable support and constant modernization directed at energy savings.
 

The U.S. commercial heat pump water heater market size is set to exceed USD 220 million by 2032, fueled by advancements in energy-efficient technologies and supportive regulations. For instance, in May 2024, the U.S. DoE introduced the Better Buildings Commercial Building Heat Pump Accelerator program. This initiative, in collaboration with industry leaders, aims to design more efficient and cost-effective commercial heat pump rooftop units by 2027.
 

Asia Pacific commercial heat pump water heater industry is set to grow significantly owing to the rising population, increasing urbanization and accelerating development of commercial infrastructure across developing economies have increased the adoption of low-carbon alternatives, further complementing landscape. The adoption of advanced technologies to lower emissions, combined with supportive regulatory policies encouraging energy-efficient systems, is expected to positively impact business operations.
 

Commercial Heat Pump Water Heater Market Share

The major participants in the HPWH industry are involving in joint ventures, partnerships and mergers & acquisitions to expand their market presence and enhance their technological development. These activities allow companies to combine innovations, master new technologies, and develop new products. Addition, these strategic standpoint firms can implement collaborative R&D activities and access additional markets, enabling the strengthening of a company’s position, enhancement of its capabilities and the achieve new advantages.
 

Commercial Heat Pump Water Heater Market Companies

Major players operating across the industry include:

• A.O. Smith
• AIROSD
• Ariston
• Colmac
• Daikin
• Guangteng
• Lochinvar
• Lync
• Mikee
• Nyle
• Rheem
• Sprsun
• State Industries
• Vaughn
• Venus
   

Commercial Heat Pump Water Heater Industry News

• In February 2024, A O Smith unveiled new solutions for heat pumps and tankless water heating systems at the NAHB International Builders Show. The event was held in Las Vegas, U.S. AO Smith’s exhibit showcased the Voltex MAX HPWH and a gas tankless water heater entitled Adapt Premium Condensing which features X3 Scale Prevention Technology. Other products include various Voltex models, the CHP-120 commercial heat pump water heater and Cyclone MXi commercial water heater.
   
• In August 2023, Lochinvar has unveiled a new Veritus air source heat pump water heater that boasts high-efficiency, sustainable, and reliable options for commercial hot water requirements. The modularity of the system allows for easy additions or upgrades and improves energy efficiency while making its operation simple. Recently augmented compliance with energy regulations has been facilitated by the integration of scroll compressors and ECM pumps, thereby enabling an additional boost in performance to Veritus. Considering it aids in providing hot water reliably and efficiently, it fits perfectly into a variety of environments from multifamily buildings to hospitals.
   

The commercial heat pump water heater 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:

Click here to Buy Section of this Report

Market, By Application

• Hotels
• Restaurants
• Cafes
• Hospitality Sector
• Healthcare Facilities
• Academic Institution
• Laundry Services
• Corporate Spaces
• Retail
• Others

Market, By Operation

• Inverter
• Non-Inverter

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