Europe Industrial Heat Pump Market size worth $765 Mn by 2032

Europe Industrial Heat Pump Market size is set to surpass USD 765 million by 2032, according to a new research report by Global Market Insights Inc.
 

The soaring adoption of industrial heat pumps to reduce energy usage for heating purposes, coupled with increasing efforts to provide an energy-efficient replacement for conventional space heating systems is slated to boost business growth. Moreover, the war between Russia and Ukraine has also spiked the demand for heat pumps due to the ensuing energy crisis. Furthermore, the growing availability of subsidies to replace oil boilers and to promote the use of upgraded energy-efficient solutions is expected to drive heat pump sales for heating system renovations through 2032.
 

Advantage of low operating costs to impel ground-source industrial heat pumps demand

In terms of product, the Europe industrial heat pump market from ground source segment is expected to witness over 6% CAGR by 2032. When compared to traditional heating systems, ground source heat pumps help an ordinary European household to make substantial savings on heating costs annually, which is contributing to their rising adoption rate. In addition, the increased utilization of ground source heat pumps due to subsurface geothermal resources or stable ground temperatures for heating applications, as well as low operating costs and high operational efficiency, is speculated to positively affect industry growth.
 

Surging necessity to reduce the use of fossil fuels for heating applications to stimulate 1 MW to 2 MW segment expansion

Based on capacity, the 1 MW-2 MW segment held around 13% share of the Europe industrial heat pump market in 2022. This growth is attributed to rising efforts to reduce the need for fossil fuels for heating needs, which has propelled the usage of heat pumps with capacities ranging from 1 MW to 2 MW. In addition, several leading industry participants are actively developing high-capacity heat pump variations through research and development, collaboration, and tie-ups with other vendors, which is anticipated to support the segment expansion.
 

Increasing number of favorable initiatives to bolster product uptake for industrial applications

Europe industrial heat pump market from the industrial application segment is foreseen to record significant growth over 2023-2032. The decarbonizing industry is essential to attaining Europe's climate targets as it contributes to over 25% of the EU's greenhouse gas emissions. Increasing government initiatives and investments to encourage the deployment of sustainable heating technologies, together with continuous industrialization and the renovation of aging industrial infrastructure, are forecast to drive segment development through 2032. To cite an instance, Sinloc, a major Italian firm, has joined forces with Horizone Europe to promote the new EU project SPIRIT, which seeks to make heat pumps the primary heating solution for the industry by 2030.
 

Browse key industry insights spread across 460 pages with 541 market data tables & 26 figures & charts from the report, “Europe Industrial Heat Pump Market Size By Product (Air Source, Ground Source, Water Source, Closed Cycle Mechanical, Open Cycle Mechanical Vapor Compression, Open Cycle Thermocompression, Closed Cycle Absorption), By Capacity, By Temperature, By Application (Industrial, District Heating), & Forecast 2023 – 2032”, in detail along with the table of contents:
https://www.gminsights.com/industry-analysis/europe-industrial-heat-pump-market
 

Growing application for process water heating to amplify chemical segment share

Under the industrial segment, the Europe industrial heat pump market from chemical sub-segment reached over USD 120 million in 2022. Heat pumps are employed in many different chemical processes, such as separations, process water heating, and waste fluid compression, which is projected to have a positive impact on product uptake. Moreover, increased demand for polymers, petrochemicals, and consumer chemicals in European chemical refineries and industries is estimated to boost segment share between 2023 and 2032.
 

Government subsidiaries for installation of heat pumps to augment industry growth across Germany

Industrial heat pump market in Germany is poised to register more than USD 70 million by 2032 owing to a positive outlook toward the incorporation of sustainable heating technologies. Additionally, the government is providing subsidiaries to promote the deployment of sustainable heating systems, which is slated to strengthen the industry scenario. For instance, in January 2023, the German government suggested modifications in its rebate program to encourage the use of sustainable heating. The program offers a baseline subsidy rate of 25% and covers up to 40% expenses of purchasing and installing heat pumps.
 

Strategic partnerships to define the competitive landscape of the industry

Top companies operating in the industrial heat pump market in Europe are MAN Energy Solutions, Daikin Applied Europe S.p.A., Atlas Copco AB, Trane Technologies International Limited, Siemens Energy, Carrier, Oilon Group Oy, Thermax Limited, Hybrid Energy AS, OCHSNER, Danfoss, and Mitsubishi Electric Corporation. To acquire a competitive advantage, major manufacturers are working on mergers, partnerships, and acquisitions. Recently, in December 2022, Atlas Copco partnered with STRABAG Umwelttechnik GmbH, a German business, to develop high-performance and industrial heat pumps, bolstering its market position.