Gas Water Heater Market Size

The global gas water heater market was valued at USD 9.8 billion in 2024 and is estimated to grow at a CAGR of 6.7% from 2025 to 2034. A gas water heater is a device that heats water for domestic or commercial use by burning natural gas or propane as the fuel source. Gas water heaters serve a variety of purposes, including supplying hot water for bathing, cooking, cleaning, and space heating in homes, businesses, and other environments.

Ongoing initiatives by various entities to boost the energy efficiency of their products, coupled with user-friendly interfaces that simplify access to temperature settings and diagnostic data, are set to bolster the industry's prospects. Additionally, the regular rollout of cutting-edge solutions—such as Wi-Fi connectivity, remote monitoring, and voice control—by key industry players, underscores a pronounced focus on both business and product expansion.

On-demand hot water convenience, combined with smart features and environmental considerations, is set to boost the adoption of gas water heaters across diverse applications. The integration of advanced safety features, such as flame failure detection, overheat protection, and air quality sensors, will enhance product penetration. Homeowners and businesses are increasingly replacing their older, less efficient gas water heaters with newer, energy-efficient models, further fueling industry growth. Additionally, emerging markets are witnessing a surge in demand for gas water heating solutions.