Residential Heating Equipment Market Size - By Technology (Heat Pump, Boiler, Furnace, Water Heater), By Application (Single-Family, Multi-Family), By Regional Outlook & Forecast, 2024 – 2032

Residential Heating Equipment Market Size

Residential Heating Equipment Market was valued at USD 168.9 billion in 2023 and is estimated to grow at a CAGR of over 9% from 2024 to 2032. Increasing awareness of energy efficiency and environmental sustainability is prompting consumers to shift toward advanced heating systems.
 

Residential heating equipment encompasses a variety of systems and devices designed to maintain comfortable indoor temperatures in homes. The modern advancements in this sector have introduced highly efficient and eco-friendly options which significantly reduce energy consumption and environmental impact. The smart technologies are increasingly integrated into heating equipment, offering homeowners enhanced control over their heating systems, improved energy efficiency, and cost savings. As energy efficiency standards become stricter and consumer awareness of environmental issues grows the demand for innovative and sustainable residential heating solutions continues to rise.
 

Residential Heating Equipment Market Trends

The government regulations and incentives aimed at reducing carbon footprints are encouraging the adoption of advanced heating solutions. The industry is witnessing a rise in demand for retrofitting and upgrading existing systems to meet modern efficiency standards. These trends collectively indicate a robust expansion of the residential heating equipment industry, with a strong emphasis on innovation and sustainability. The introduction of several government incentives including renewable heat incentives, financial assistance, tax credits, and subsidies to promote the adoption of energy-efficient system will positively influence product penetration.
 

Residential Heating Equipment Market Analysis

The heat pump residential heating equipment industry is set to exceed over USD 120 billion by 2032. Growing investments in the green building infrastructure along with introduction of stringent energy building codes and standards will boost product penetration. For instance, recent updates to the F-gas regulation underscore the imperative to phase out the utilization of F-gases in cooling and heating systems in line with the REPowerEU initiative's goal to deploy over 60 million heat pumps across the EU by 2030.
 

The single family residential heating equipment market size will witness growth rate of over 8.5% by 2032. The integration of smart technology for remote monitoring, predictive maintenance, and optimization of heating processes. Surging demand for customizable furnace solutions that can adapt to different heating needs and process requirements further augmenting the product deployment. Furthermore, flourishing real estate sector in line with shifting consumer interest toward energy efficient systems to reduce energy bills will accelerate the business dynamics.
 

Europe residential heating equipment market is set to surpass USD 160 billion by 2032, driven by the favorable policies, technological advancements, and increasing demand for clean energy solutions. The region's commitment to sustainability and decarbonization have led these systems as a key enabler to a low-carbon economy. Regulations focused on technology have stimulated product adoption across the region.
 

Rising energy consumption along with growing energy security concerns will fuel the growth of U.S. residential heating equipment industry. Rapid investment across real estate in line with introduction of schemes and programs lay favorable grounds for industry expansion. In addition, the growing need to sustainably cater to energy requirements with an increasing focus on reducing carbon emissions will stimulate the product demand.
 

Residential Heating Equipment Market Share

Daikin Industries is one of the global leaders in air conditioning, heating, and refrigeration systems. The company has established itself as a pioneer in the HVAC industry offering a comprehensive range of residential heating solutions. Known for their innovation and commitment to sustainability, its systems include advanced heat pumps, air-to-water systems, and gas furnaces. These systems are designed to provide efficient, reliable, and environmentally friendly heating, catering to diverse climatic conditions and consumer needs. Daikin's focus on integrating cutting-edge technology, such as inverter-driven compressors and intelligent control systems, ensures optimal energy efficiency and user comfort.
 

Residential Heating Equipment Market Companies

The key industry players include:

• A.O. Smith
• Ariston Holding N.V.
• Arovast Corporation
• BDR Thermea Group
• Bradford White Corporation
• Carrier Corporation
• Crane – USA
• DAIKIN INDUSTRIES, Ltd.
• Ferroli S.p.A
• GE Appliances
• Havells India Ltd.
• Hoval
• Johnson Control International
• Lennox International Inc.
• LG Electronics
• Panasonic Corporation
• Rheem Manufacturing Company
• Rinnai America Corporation
• Robert Bosch GmbH
• SAMSUNG
• Trane Technologies
• Vaillant Group
• VIESSMANN
• Whirlpool
   

Residential Heating Equipment Industry News

• In March 2024, Bradford White Water Heaters and Laars introduced their latest water heating and storage innovations at the Canadian Mechanical and Plumbing Exposition (CMPX) in Toronto. The showcased products include the Bradford White AeroTherm Series Heat Pump Water Heater, Bradford White ElectriFLEX HD, Bradford White Infiniti GR Tankless Water Heaters, and Bradford White eF Series Ultra High Efficiency Gas Water Heater. Laars will also present its FT Series Floor Boiler and Combi, FT Series Wall Hung Boiler, and LT Series Tankless Water Heater. These offerings underscore the companies' dedication to delivering dependable, high-efficiency solutions for the plumbing and mechanical industry.
   
• In January 2024, Robert Bosch GmbH introduced the GreenTronic hybrid electric water heater and IDS Heat Pump at the AHR Expo. The model IDS Ultra is set to be available in third quarter of 2024, promises high efficiency in heating and is suitable for almost all European and North American climates. It comes with a 10-year warranty and is compatible with utility demand response systems. Meanwhile, the GreenTronic 7000 T offers 3-4 times the efficiency of traditional electric storage water heaters.
   

This residential heating equipment market research report includes in-depth coverage of the industry with estimates & forecast in terms of “000 Units” & “USD Million” from 2021 to 2032, for the following segments:

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Market, By Technology

• Heat Pump
• Boiler
• Furnace
• Water Heater
• Others

Market, By Application

• Single-Family
• Multi-Family

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

• North America
  • U.S.
  • Canada 
• Europe
  • Germany
  • France
  • UK
  • Italy
  • Spain
  • Portugal
  • Romania
  • Netherlands
  • Switzerland
• Asia Pacific
  • China
  • Japan
  • India
  • South Korea
  • Australia
• Middle East & Africa
  • Saudi Arabia
  • UAE
  • Egypt
  • South Africa
• Latin America
  • Brazil
  • Argentina