Heat Pump Market Size - By Product (Air Source, Ground Source, Water Source), By Application (Residential, {Single Family, Muti family}, Commercial, Industrial), & Forecast, 2024 - 2032

Heat Pump Market Size

Heat Pump Market was valued at USD 54 billion in 2023 and is set to set to attain about 13.6% CAGR between 2024 and 2032. Rising demand for efficient heat and cooling solutions and shifting inclination toward energy efficiency is set to complement the industry landscape. Stringent regulatory framework for reduction in emissions and enhance building efficiency will positively influence the business dynamics.
 

For instance, in April 2024, the Department of Energy finalized energy efficiency standards for commercial heat pumps that will focus on save USD 29 billion on utility bills and limit 109 Mt of CO2 emissions by 2029. Moreover, favorable schemes by authorities including tax & credit rebates, to adoption energy efficient systems will favor the industry outlook.
 

Heat Pump Market Trends

The heat pump industry is set to grow owing to rising retrofitting and construction of energy efficient building infrastructure driven by increasing urbanization along with increasing inclination toward clean energy alternatives. Favorable grants and policies to accelerate the deployment of energy efficient systems and ongoing replacement of traditional heating systems has favored the business dynamics. Moreover, stringent regulatory framework to curb emissions, shifting consumer preference for smart and reliable heating & cooling systems driven by increasing disposable incomes and varying climatic conditions, augmenting the business dynamics.
 

Heat Pump Market Analysis

Air source heat pump segment is set to reach over USD 160 billion by 2032. Rising demand for efficient space heating and hot water solutions across residential, commercial and industrial establishments coupled with ongoing replacement of tradition heating systems will accelerate the product demand. Moreover, introduction of financial grants and schemes including subsidies, tax rebates, and credit schemes for adoption of clean energy technologies will positively influence air source heat pump industry outlook.
 

Ground source heat pump market is anticipated to grow owing to rising adoption of low-carbon emitting systems and strict energy efficiency regulations by authorities to reduce emissions. Additionally, ongoing expansion of residential and commercial infrastructure and growing emphasis toward boosting energy efficiency of buildings will further complement the industry landscape.
 

Residential segment is set to witness a CAGR of over 13.5% through 2032. Rapid expansion of households driven by increasing population along with rising demand for space heating & cooling and hot water for domestic applications. Positive outlook toward adoption of clean and energy efficient systems accompanies by introduction of stringent efficiency standards for buildings has favored the business dynamics. Favorable financial schemes for installation of heat pumps, rising disposable incomes accompanied by shifting preference toward luxury and comfort, will sway the residential heat pump business dynamics.
 

Asia Pacific heat pump market size surpass USD 60 billion in 2032. Ongoing infrastructure expansion owing to rapid population growth, urbanization has accelerated the demand for space heating, and cooling solutions complementing the industry growth. Favorable regulatory reforms and beneficial schemes for the adoption of high energy efficient systems has positively influence the business dynamics. Moreover, growing inclination toward adoption of energy efficient systems and rising integration of renewables will augment the industry landscape.
 

Heat Pump Market Share

Key manufacturers operating in the heat pump industry are focusing on introducing new products and technologies, together with making beneficial partnerships, joint ventures, agreements, collaborations, to gain their market position. Companies including, Bosch Thermotechnology Corp., Carrier, DAIKIN INDUSTRIES, Ltd., Panasonic Corporation, LG Electronics, and Samsung among other, holds the majority market share across the industry.
 

Heat Pump Market Companies

Major players operating across the industry include:

• Bosch Thermotechnology Corp.
• Carrier
• DAIKIN INDUSTRIES, Ltd.
• Finn Geotherm UK Limited
• FUJITSU GENERAL
• Glen Dimplex Group
• GREE ELECTRIC APPLIANCES, INC.
• Johnson Controls
• Kensa Heat Pumps
• LG Electronics
• Lochinvar
• Mitsubishi Electric Corporation
• NIBE Industrier AB
• OCHSNER
• Panasonic Corporation
• SAMSUNG
• STIEBEL ELTRON GmbH & Co. KG
• Trane
• Vaillant Group
• WOLF GmbH
   

Heat Pump Industry News

• In April 2024, Daikin Applied unveiled air-source heat pump units to its Rebel Applied and Rebel rooftop systems. These systems are electricity-powered with low-GWP R-32 refrigerant and highly efficient inverter compressors. They are designed to enhance comfort and reduce costs while supporting decarbonization of facilities. These units are effective in cold climatic conditions and are easy to install across retrofits or new constructions, offering enhanced performance and simplified installation processes.
   
• In April 2024, Bosch introduced water source heat pump including RL and Cl Series featuring a low global warming potential. The CL Series is suitable for commercial projects and is known for compact design and quiet operation, enhancing accessibility for maintenance. The RL series offers similar features for residential use, including efficient motors and protective modules for enhanced performance and homeowner convenience.
   

This 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

• Residential
  • Single Family
  • Multi Family
• Commercial
  • Education
  • Healthcare
  • Retail
  • Logistics & Transportation
  • Offices
  • Hospitality
  • Others
• Industrial

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