United Technologies Corporation’s Carrier segment (UTC) had one of the largest shares of the North American HVAC market. In 2018, the company’s net sales totaled **** billion U.S. dollars, an increase from the previous year. UTC Climate, Controls & Security is owned by UTC and provides HVAC products as well as fire safety and security solutions. HVAC industry The heating, ventilation, and air conditioning (HVAC) industry is based on technology that is used to provide thermal comfort and improve air quality indoors. Generally, the installation and controls are integrated into an HVAC system in individual buildings, however, HVAC systems may also be part of a larger district heating/cooling networks. Residential vs Commercial market HVAC systems are used in both the residential and commercial sectors. The residential market tends to be less complex than the commercial sector due to less competitors along the supply chain and the consolidation of the manufacturing and distribution processes. On the other hand, the commercial consists of more market players, due to market support has placed more importance on the efficiency of HVAC equipment.

The US HVAC Equipment Market report segments the industry into By Type Of Equipment (Air Conditioning Equipment, Heating Equipment, Ventilation Equipment), By End User (Residential, Commercial, Industrial), and By Region (West, South, Midwest, Northeast). Get five years of historical data alongside five-year market forecasts.

The Residential HVAC Market report segments the industry into By Equipment (Air Conditioning/Ventilation Equipment, Heating Equipment) and By Geography (North America, Europe, Asia Pacific, Latin America, Middle East and Africa). Five-year historical data and five-year forecasts are covered.

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HVAC Market Size 2025-2029

The HVAC market size is forecast to increase by USD 90.5 billion, at a CAGR of 7% between 2024 and 2029. The market is experiencing significant growth, driven primarily by the expanding construction sector. With the increasing number of infrastructure projects and new building developments, the demand for heating, ventilation, and air conditioning systems is on the rise.

Major Market Trends & Insights

APAC dominated the market and accounted for a 56% share in 2023. The market is expected to grow significantly in Europe region as well over the forecast period. Based on the Type, the HVAC equipment segment led the market and was valued at USD 145.10 billion of the global revenue in 2023. Based on the End-user, the non-residential segment accounted for the largest market revenue share in 2023.

Market Size & Forecast

Market Opportunities: USD 224.90 Billion Future Opportunities: USD 90.5 Billion CAGR (2024-2029): 7% APAC: Largest market in 2023

There is a trend towards the integration of building automation systems, which not only enhances energy efficiency but also offers improved comfort and convenience for occupants. However, the market faces challenges as well. The failure issues with HVAC equipment pose a significant threat, leading to increased maintenance costs and potential downtime. Companies must focus on addressing these challenges by investing in robust design and manufacturing processes, as well as implementing effective maintenance strategies to ensure the reliability and longevity of their systems.

To capitalize on the opportunities presented by this dynamic market, businesses must stay informed of the latest trends and be prepared to adapt quickly to changing customer needs and regulatory requirements.

What will be the Size of the HVAC Market during the forecast period?

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The market continues to evolve, driven by advancements in technology and the growing demand for energy efficiency and improved indoor air quality. System efficiency improvements, such as air conditioning systems with variable refrigerant flow and demand-controlled ventilation, are gaining popularity. Air quality monitoring, thermal imaging analysis, and sensor network integration are also crucial components of modern HVAC system design. Control system integration and building energy modeling are essential for optimizing energy performance. For instance, a leading retailer reported a 15% energy savings by implementing predictive maintenance and smart HVAC controls in their stores. The HVAC industry is expected to grow by 4% annually, with a focus on heat recovery systems, airflow management, and building automation systems. The HVAC services segment is the second largest segment of the type and was valued at USD 66.70 billion in 2023.

HVAC equipment lifespan is another critical factor, with fan energy consumption and refrigerant leak detection being key areas of concern. Thermal comfort analysis and heating system controls ensure optimal temperature and humidity levels, while chiller plant operation and cooling tower maintenance are crucial for large-scale commercial applications. Advanced technologies like heat pump technology, refrigerant efficiency, and thermal imaging analysis contribute to the continuous unfolding of market activities. HVAC system commissioning, zoning strategies, energy performance contracts, and ventilation optimization are also essential elements of the evolving HVAC landscape.

How is this HVAC Industry segmented?

The hvac industry research report provides comprehensive data (region-wise segment analysis), with forecasts and estimates in 'USD billion' for the period 2025-2029, as well as historical data from 2019-2023 for the following segments.

Type

HVAC equipment HVAC services

End-user

Non-residential Residential

Heating Equipment

Heat pumps Furnaces Unitary heaters Boilers

Ventilation Equipment

Air handling units Air filters Dehumidifiers Ventilation fans Humidifiers Air purifiers

Cooling Equipment

Unitary air conditioners VRF systems Chillers Room air conditioners Coolers Cooling towers

Geography

North America

US

Europe

France Germany Italy Spain UK

APAC

China India Japan South Korea

Rest of World (ROW)

By Type Insights

The HVAC equipment segment is estimated to witness significant growth during the forecast period. The segment was valued at USD 145.10 billion in 2023. It continued to the largest segment at a CAGR of 5.31%.

The market is experiencing significant growth due to the increasing population, industrialization, and rising construction expenditure. This trend is driving the demand for heating, ventilation, and air conditioning (HVAC) systems in both residential and commercial sectors. Air conditio

The recent performance of the HVACR industry has been significantly influenced by fluctuations in the residential and commercial construction markets, regulatory changes, and global trade dynamics. Initially, low interest rates spurred residential construction activity, boosting demand for heating, ventilation, air conditioning, and refrigeration (HVACR) equipment. Rate hikes by the Federal Reserve in mid-2022 cooled this demand, especially affecting the financing of construction spending. As interest rates are expected to fall in 2025, a resurgence in residential construction could drive demand, particularly in the growing Southwest market. Commercial demand has been more volatile, initially declining during the pandemic but recovering with the rise of industries like data centers that require advanced climate control solutions. The HVACR industry faces stringent energy efficiency regulations, with manufacturers pressured to innovate due to varying standards across regions. This drive for energy efficiency could lead to higher short-term costs but opens opportunities for market differentiation. On a global scale, the HVACR industry has increasingly leaned on international supply chains, with significant portions of U.S. demand satisfied by imports. Despite tariffs on Chinese, Canadian, and Mexican goods raising production costs, international trade agreements like the USMCA facilitate U.S. exports to neighboring markets. Ongoing trade tensions, coupled with tariffs, pose challenges and could increase operational costs, inflationary pressures, and economic uncertainty, affecting consumer spending and business borrowing. Industry revenue is forecast to rise at a CAGR of 1.1% to $58.6 billion through the end of 2025, with expected growth of 1.5% during the current year. Interest rate cuts and lower inflation are expected to boost residential construction by making mortgages more affordable, increasing demand for HVAC systems in new homes. Nonresidential construction will also expand significantly in the next five years, with a corresponding rise in demand for HVACR equipment for new commercial buildings. This growth in residential and commercial construction will benefit HVACR manufacturers, suppliers, and service providers, creating job opportunities and stimulating economic activity. As consumer spending rises, particularly in dining out, restaurants will need more advanced refrigeration systems, further driving demand in the HVACR sector. The HVACR industry's export opportunities, especially to Canada and Mexico, are expected to grow, although challenges like tariffs may affect production costs. Imports, primarily from Mexico and China, are increasing due to lower labor costs, but are also likely to face uncertainty or additional costs due to tariffs. Reflecting these potential developments, industry revenue is expected to grow at a CAGR of 1.9% to $64.4 billion through the end of 2030.

The North American HVAC equipment market is projected to reach a value of $43.56 million by 2033, growing at a CAGR of 7.10% from 2025 to 2033. The market growth is attributed to the increasing demand for energy-efficient HVAC systems, rising construction activities, and growing awareness of indoor air quality. Additionally, government regulations and incentives promoting sustainability and energy conservation are expected to fuel market expansion. The market is segmented by equipment type, end-user, and region. In terms of equipment type, air conditioning equipment holds the largest market share due to the rising demand for cooling systems in residential and commercial buildings. By end-user, the residential segment is the primary consumer of HVAC equipment, followed by the commercial and industrial sectors. Geographically, the United States dominates the North American HVAC equipment market, followed by Canada and Mexico. Key market players include Rheem Manufacturing Company Inc, Johnson Controls International PLC, Daikin Industries Ltd, Ingersoll Rand Inc (Trane Inc), Lennox International Inc, Nortek Global HVAC LL, Emerson Electric Co, Carrier Corporation, Electrolux AB, and Uponor Corp. The North America HVAC (Heating, Ventilation, and Air Conditioning) Equipment Market is a thriving industry, valued at approximately $45.64 billion in 2022, with a projected growth rate of 5.86% over the forecast period of 2023-2028. Recent developments include: February 2023 - LG Electronics USA showcased its robust 2023 lineup of commercial,residential HVAC and light commercial, and solutions at the 2023 AHR Expo in Atlanta. Throughout the show, the company demonstrated its Variable Refrigerant Flow (VRF) technology, energy-efficient heat pump options, indoor air quality solutions, along with flexible building automation and connectivity products., January 2023 - Carrier introduced the AquaSnap 30RC air-cooled scroll chiller with Greenspeed intelligence and R-32 refrigerant, which complies with January 1, 2024, low global warming potential (GWP) requirements that deliver quieter operation within a tiered design for a broader operating range and design flexibility.. Key drivers for this market are: Rise in Residential and Non-residential Users. Potential restraints include: High Energy Consumption of HVAC Equipment. Notable trends are: Heat Pumps to Witness Significant Growth.

HVAC Market Share by Efficiency and Capacity: Beginning 2017 dataset is based on heating, ventilation, and air conditioning (HVAC) sales data reported to D+R International by Heating, Air-conditioning & Refrigeration Distributors International (HARDI) members participating in the Unitary HVAC Market Report. Participation in the report is voluntary for distributors. The dataset covers New York State and the Northeast (includes Maine, New Hampshire, Vermont, Massachusetts, Connecticut, and Rhode Island). Blank cells represent data that are not currently available.

As of 2019, the Chinese electronics manufacturer Gree Electric had a market share of ** percent in the smart air conditioner segment in China. Other large brands include Haier Smart Home and Midea. Most companies offer a mobile application as a central control hub for all smart home devices.

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India HVAC Systems Market Size 2025-2029

The India HVAC systems market size is forecast to increase by USD 3.5 billion at a CAGR of 10.5% between 2024 and 2029.

The market is witnessing significant growth due to the increasing demand for temperature control solutions in various applications such as industrial facilities, warehouses, healthcare services, educational institutions, offices, airports, retail spaces, and shopping centers. The telecommunication sector is also driving the market's growth due to the need for reliable and efficient cooling systems for their data centers. Inverter HVAC systems are gaining popularity due to their energy efficiency and cost savings. 
Modern HVAC systems are being installed in constructions and retrofitted in existing ones to reduce energy consumption and greenhouse gas emissions. Smart HVAC systems with automatic temperature control are becoming increasingly preferred due to their ability to optimize energy usage and enhance indoor air quality. The need for high R&D investment to develop advanced and energy-efficient HVAC systems is also fueling market growth.

What will be the Size of the Market During the Forecast Period?

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The market is witnessing significant growth due to various factors. Energy savings and efficiency are key priorities for building owners and managers in both residential and commercial sectors. Energy regulations are increasingly stringent in India, with a focus on energy-efficient buildings and sustainable practices. The Indian government's Energy Conservation Building Code (ECBC) sets minimum energy efficiency standards for new commercial buildings, driving demand for energy-efficient HVAC systems. 
Smart HVAC technologies are gaining popularity in the Indian market. These systems use AI-based automated solutions for temperature control, optimizing energy usage, and improving indoor air quality. The telecommunication sector is a significant adopter of these technologies due to the need for reliable climate control in data centers. Internet of Things (IoT) sensors are transforming sustainable buildings by enhancing the efficiency of both residential properties and indoor and outdoor areas through advanced Internet of Things technologies.
Warehouses and industrial facilities require heating systems to maintain optimal working conditions. The market is witnessing growth in sectors such as shopping centers, industrial facilities, and warehouses. Shopping centers require advanced cooling systems to maintain comfortable temperatures and high indoor air quality. Industrial facilities and warehouses need heating systems to maintain optimal working conditions and ensure productivity. 
In conclusion, the market is growing due to increasing energy regulations, a focus on energy efficiency, and the adoption of smart HVAC technologies. The market caters to various property types, including residential, commercial, and industrial properties, and is witnessing growth in sectors such as shopping centers, industrial facilities, and warehouses. Building owners and managers are prioritizing energy savings and efficiency, driving demand for energy-efficient HVAC systems.

How is this market segmented and which is the largest segment?

The market research report provides comprehensive data (region-wise segment analysis), with forecasts and estimates in 'USD billion' for the period 2025-2029, as well as historical data from 2019-2023 for the following segments.

Application

  Non-residential
  Residential


Type

  Centralized
  Decentralized


Installation Sites

  New installation
  Retrofit


Equipment

  Heat Pump
  Furnace
  Unitary Heaters
  Boilers
  Air Purifier
  Dehumidifier
  Air Handling Units
  Ventilation Fans
  Air Conditioning
  Chillers
  Cooling Towers
  Others


Distribution Channel

  Direct Sales
  Distributors
  Online Retail


Geography

  APAC

    India

By Application Insights

The non-residential segment is estimated to witness significant growth during the forecast period. The non-residential sector, comprising commercial and industrial HVAC systems, is the leading segment in the market, projected to expand at a consistent pace during the forecast period. The expansion of this market segment is mainly attributed to the burgeoning construction sector, increasing infrastructure investments, and rising demand for commercial office spaces. The demand for office spaces in India is on an upward trajectory and is anticipated to persist throughout the forecast period. Factors fueling this trend include India's rapid urbanization and the implementation of favorable policies to boost the commercial real estate sector. In commercial HVAC, there is a growing emphasis on energy-saving products, adherence to HVAC regulations, and energy efficiency, as represented by the SEER2 rating.

Additionally, there is a growing concern for

The HVAC equipment manufacturing market is experiencing robust growth, driven by increasing urbanization, rising disposable incomes globally, and stringent government regulations promoting energy efficiency. The market, estimated at $150 billion in 2025, is projected to exhibit a Compound Annual Growth Rate (CAGR) of 5% from 2025 to 2033, reaching approximately $230 billion by 2033. This growth is fueled by several key trends, including the rising adoption of smart HVAC systems, the increasing demand for eco-friendly refrigerants (like R32), and the growing awareness of indoor air quality. The residential segment is expected to maintain a significant market share, driven by rising homeownership rates and increasing preference for comfort and convenience. However, the non-residential sector, encompassing commercial and industrial applications, is also poised for significant expansion owing to the construction boom in developing economies and the retrofitting of existing buildings to meet sustainability standards. Key restraints on market growth include high initial investment costs associated with new HVAC systems and fluctuating raw material prices. The market is segmented by application (residential and non-residential) and type (furnaces, heat pumps, central air conditioning, room air conditioning, and others). Leading players like Daikin, Johnson Controls, and Panasonic are leveraging technological advancements and strategic partnerships to strengthen their market positions. Geographically, North America and Asia Pacific currently hold substantial market shares, but developing regions in Asia, Africa, and South America offer significant untapped potential. Competition is intense, with companies focusing on innovation in energy efficiency, smart technology integration, and sustainable manufacturing practices to gain a competitive edge. The market shows a clear shift towards energy-efficient and technologically advanced products, promising substantial growth opportunities for companies that effectively adapt to this evolving landscape.

This statistic represents the global market share for the heating, ventilation, and air conditioning industry in 2017. In that year, split systems accounted for approximately **** of the market share in the HVAC industry.

The HVAC (Heating, Ventilation, and Air Conditioning) equipment market is experiencing robust growth, with a market size of $145.05 billion in 2025 and a projected Compound Annual Growth Rate (CAGR) of 6.33% from 2025 to 2033. This expansion is fueled by several key drivers. Increasing urbanization and construction activity globally, particularly in developing economies like India and China, are significantly boosting demand for HVAC systems in both residential and commercial buildings. Furthermore, rising disposable incomes and a growing awareness of indoor air quality are leading to increased adoption of advanced HVAC technologies offering energy efficiency and improved comfort. Stringent government regulations aimed at reducing carbon emissions are also pushing the market toward more sustainable and energy-efficient solutions, creating opportunities for manufacturers of green HVAC technologies. The market segmentation reveals strong growth potential across various product categories, with air conditioning equipment likely holding the largest share, followed by heating and ventilation equipment. Geographically, North America and Asia Pacific (APAC) are expected to dominate the market due to high infrastructure development and a growing preference for climate-controlled environments. However, significant opportunities also exist in other regions as developing economies continue to modernize their infrastructure and improve living standards. Competition within the HVAC equipment market is intense, with numerous established players and emerging competitors vying for market share. Key players such as Daikin, Trane, Carrier, and LG are leveraging their established brand reputation and extensive distribution networks to maintain their dominance. However, smaller, specialized companies are focusing on niche markets and innovative technologies to gain a competitive edge. Successful strategies include focusing on technological innovation, particularly in areas such as smart home integration and energy efficiency, developing strong distribution channels, and building robust customer relationships. Despite the positive outlook, challenges remain, including fluctuating raw material prices, supply chain disruptions, and the increasing complexity of regulatory compliance. Nevertheless, the long-term growth prospects for the HVAC equipment market remain extremely favorable, driven by global urbanization, economic development, and the growing need for comfortable and energy-efficient building environments.

Global HVAC System market size is expected to reach $254.07 billion by 2029 at 7.1%, construction boom driving growth of hvac system market

The HVAC systems market reached approximately USD 229.50 Billion in 2024. The market is projected to grow at a CAGR of 5.60% between 2025 and 2034, reaching a value of around USD 395.75 Billion by 2034. The global HVAC systems market size is expanding due to rising demand for energy-efficient and cost-effective solutions in commercial and industrial sectors. Increasing urbanisation, extreme climate conditions, and a growing focus on sustainable buildings drive adoption. Innovations in space cooling and heating technologies enhance performance, while regulatory policies emphasise SCOP standards for efficiency. The market is expected to grow at a significant CAGR, supported by technological advancements and smart automation. The shift towards eco-friendly refrigerants and IoT-enabled systems further boosts industry expansion, ensuring improved comfort and optimised energy consumption.

The global heating, ventilation, and air conditioning (HVAC) market is projected to reach about ***** billion U.S. dollars by 2030, based on a compound annual growth rate (CAGR) of *** percent between 2020 and 2030. A more recent projection estimates that the market volume of the HVAC market will reach ***** million units by 2024. Growth in the HVAC market is likely due to continued growth in construction sector revenues, from both publicly and privately funded projects. Air conditioning Mini split air conditioners generate over half of the HVAC market sales revenue, likely due to its early and widespread adoption within the residential sector. Split air conditioner systems have an outdoor and indoor unit. Installation for split air conditioners tend to be much easier as it does not require ductwork and instead, just uses electric wires and tubing to connect the indoor and outdoor units. The demand for air conditioning is increasing worldwide as global temperatures increase. HVAC systems promote improved quality within indoor environments through thermal comfort and acceptable air quality.

The HVAC (Heating, Ventilation, and Air Conditioning) equipment market, valued at $143,410 million in 2025, is projected to experience robust growth, driven by increasing urbanization, rising disposable incomes globally, and stringent government regulations promoting energy efficiency. The market's 6.1% CAGR from 2019 to 2033 indicates a significant expansion in demand across residential and non-residential sectors. Key application segments include residential (estimated at 40% of the market in 2025, reflecting growing homeownership and improved living standards), non-residential (estimated at 60% driven by commercial and industrial construction), with significant contributions from various equipment types like furnaces, heat pumps, and air conditioning systems (central and room). Technological advancements, including smart HVAC systems with IoT integration and energy-efficient designs, are major trends fueling market growth. However, the market faces some restraints, such as high initial investment costs for advanced systems and fluctuating raw material prices. Leading players like Carrier, Daikin Industries, Ingersoll Rand, Johnson Controls, and LG Electronics are shaping the market through innovation and strategic partnerships. Growth is expected across all regions, with North America and Asia Pacific anticipated as leading markets due to robust construction activity and rising demand for climate control solutions. The forecast period (2025-2033) promises further expansion, influenced by increasing awareness of indoor air quality and the growing adoption of sustainable building practices. The market segmentation offers various opportunities for specialized product development and targeted marketing strategies. While the residential segment benefits from increasing homeownership rates, the non-residential sector thrives on commercial and industrial construction projects. The competitive landscape necessitates continuous innovation and strategic acquisitions to maintain market share. The ongoing expansion into emerging economies will create significant growth potential for HVAC equipment manufacturers. Analyzing regional differences in energy consumption patterns and regulatory frameworks is crucial for optimized market penetration.

Europe HVAC Market is Segmented by Equipment (Air-Conditioning/Ventilation Equipment, and Heating Equipment), End-User Industry (Residential, Commercial, Industrial and Manufacturing, and More), Installation Type (New Construction, and Retrofit/Replacement), Distribution Channel (OEM-Installer Networks, Wholesale/Distributor, and More), and Country (Germany, United Kingdom, France, Italy, Spain, Russia, Netherlands, and More).

The global sales of HVAC software are estimated to be worth USD 737.7 million in 2025 and are anticipated to reach a value of USD 1,527.5 million by 2035, reflecting a CAGR of 7.6%.

Attribute	Value
Market Size in 2025	USD 737.7 million
Market Size in 2035	USD 1,527.5 million
CAGR (2025 to 2035)	7.6%

Semi-annual Market Update for HVAC Software Market

Particular	Value CAGR
H1 (2024 to 2034)	6.5%
H2 (2024 to 2034)	6.9%
H1 (2025 to 2035)	7.6%
H2 (2025 to 2035)	7.8%

Analysis of Top Countries Using HVAC Software

Countries	Value CAGR (2025 to 2035)
USA	6.3%
Germany	6.5%
France	6.9%
China	7.3%
India	8.6%

The Report Covers Automotive HVAC Manufacturers and the Market is segmented by Technology Type (Manual/Semi-Automatic and Automatic), Vehicle Type (Passenger Cars and Commercial Vehicles), and Geography (North America, Europe, Asia- Pacific, South America, and Middle-East and Africa). The report covers the market size in value (USD Billion) for all the above segments.

The China HVAC market, valued at $51.17 billion in 2025, is projected to experience robust growth, driven by several key factors. The rising disposable incomes and urbanization in China are fueling increased demand for improved indoor comfort and energy-efficient HVAC systems across residential, commercial, and industrial sectors. Government initiatives promoting energy efficiency and sustainable building practices further bolster market expansion. Stringent air quality regulations are also pushing adoption of advanced air filtration and purification technologies within HVAC systems. The market segmentation reveals a strong presence across all component types (HVAC equipment including heating and air conditioning/ventilation) and services, with commercial and industrial sectors exhibiting higher growth potential due to large-scale infrastructure projects and expanding manufacturing capacity. Leading players like Johnson Controls, Carrier, and Daikin are strategically investing in research and development to offer innovative solutions that meet the evolving market needs. Competitive pricing strategies and technological advancements, such as smart HVAC systems and IoT integration, are shaping market dynamics. While supply chain disruptions and raw material price fluctuations pose potential challenges, the overall outlook for the China HVAC market remains positive. The significant growth in the sector is expected to continue throughout the forecast period (2025-2033), fuelled by ongoing economic expansion and government support. The projected Compound Annual Growth Rate (CAGR) of 7.83% from 2025 to 2033 indicates sustained market expansion. This growth trajectory will likely be influenced by technological innovations in energy-efficient systems, smart home integration, and increased focus on sustainability. Furthermore, the increasing adoption of precision temperature control and advanced building automation systems across various sectors will propel market growth. However, challenges remain, such as managing the lifecycle cost of HVAC systems and addressing any potential environmental concerns associated with refrigerant use. Despite these challenges, the substantial investment in infrastructure development and the continued emphasis on improved living standards in China suggest a promising outlook for the HVAC market in the long term. The market's competitive landscape will see intensified competition among established and emerging players, leading to further innovation and potentially pricing pressures. This comprehensive report provides a detailed analysis of the China HVAC market, covering the period from 2019 to 2033. With a base year of 2025 and an estimated year of 2025, this study offers valuable insights into market size, growth drivers, challenges, and future trends. The report utilizes data from the historical period (2019-2024) and forecasts market developments until 2033, offering crucial information for businesses operating within or intending to enter this dynamic sector. The report extensively analyzes key players, including Johnson Controls International PLC, Carrier Corporation, Robert Bosch GmbH, Daikin Industries Ltd, Midea Group Co Ltd, System Air AB, LG Electronics Inc, Mitsubishi Electric Corporation, Danfoss A/S, Lennox International Inc, Hitachi Ltd, and Panasonic Corporation. The market is segmented by type of component (HVAC equipment – heating, air conditioning/ventilation; HVAC services), and end-user industry (residential, commercial, industrial). Recent developments include: March 2024: Panasonic Corporation announced that its Heating & Ventilation A/C Company (HVAC) plans to launch three new commercial air-to-water (A2W) heat pumps that utilize environmentally friendly natural refrigerants. These models are designed for use in multi-dwelling units, stores, offices, and other light commercial properties. With their compact designs, they are positioned at the top of the industry and will expand the company's lineup of models for standalone homes to fulfill a broad range of consumer needs., November 2023: Mitsubishi Electric Corporation announced that it has developed an aluminum vertical flat tube (VFT) design that improves heat exchanger performance by up to an unprecedented 40% in heat-pump air conditioners used for heating and cooling. Compared to conventional aluminum horizontal flat tube (HFT) heat exchangers, Mitsubishi Electric's new VFT heat exchanger also reduces refrigerant charge thanks to about up to 20% smaller internal volume compared to HFT designs.. Key drivers for this market are: Supportive Government Regulations Including Incentives for Saving Energy through Tax Credit Programs, Increasing Demand for Energy Efficient Devices; Increased Construction and Retrofit Activity to Aid Demand. Potential restraints include: Supportive Government Regulations Including Incentives for Saving Energy through Tax Credit Programs, Increasing Demand for Energy Efficient Devices; Increased Construction and Retrofit Activity to Aid Demand. Notable trends are: HVAC Equipment Segment Holds Significant Market Share.