by Market Overview:
Air conditioning systems are used to regulate temperature, humidity and clean air in indoor environments such as residential, commercial and industrial spaces. Split air conditioners, window air conditioners, central air conditioners, ductless mini-split heat pumps, packaged air conditioners and airside air conditioners are some common types of air conditioning systems used globally. Economical, energy efficient and environment friendly air conditioners are gaining popularity owing to growing environmental concerns.
Market Dynamics:
Growing construction activities along with rising disposable income is a major driver for the air conditioning systems market. According to Oxford Economics, global construction output is projected to grow 85% by 2030, led by India, China and Southeast Asia. Rising disposable income allows individuals to spend more on consumer goods like air conditioners, thus supporting market growth. Hotter summers due to climate change have also increased penetration of air conditioning systems across regions. For instance, according to WHO, between 2030 and 2050, climate change is expected to cause approximately 250,000 additional deaths per year globally due to malnutrition, malaria, diarrhoea and heat stress. These factors are expected to drive high demand for energy efficient air conditioners with lower carbon footprint over the forecast period.
The global Air Conditioning Systems Market Demand is estimated to be valued at US$ 293977.64 Mn in 2023 and is expected to exhibit a CAGR of 10.% over the forecast period 2023 to 2030, as highlighted in a new report published by Coherent Market Insights.
Segment Analysis
The air conditioning systems market is dominated by the split systems segment. Split systems comprised over 70% share of the overall market in 2023. Split systems offer advantages such as easy installation, flexible placement of indoor and outdoor units, and low maintenance. This has made them a preferred choice for residential as well as commercial applications.
PEST Analysis
Political: Favorable energy efficiency standards and incentive programs by governments globally are driving the adoption of energy-efficient air conditioning systems.
Economic: Rising disposable incomes and rapid urbanization in developing nations are increasing sales of air conditioning systems.
Social: Changing lifestyles and rising living standards are propelling the demand for efficient cooling solutions in both developed and emerging economies.
Technological: Advancements in technologies such as variable-speed compressors, inverter control, and IoT connectivity are helping producers launch innovative and sustainable products.
Key Takeaways
The global air conditioning systems market is expected to witness high growth, exhibiting CAGR of 10.% over the forecast period, due to increasing construction of green buildings and focus on sustainable cooling solutions.
Regional analysis: Asia Pacific dominated with over 45% share of the global market in 2023 led by China, India, and Japan. The region is anticipated to retain its leading position during the forecast period owing to rapid industrialization, infrastructure development, and growing population.
Key players operating in the air conditioning systems market incorporate Daikin Industries Ltd, Sharp Corporation, Mitsubishi Corporation, Hitachi Ltd., Haier Electronics Group Co., Ltd., Carrier, Samsung Electronics, Panasonic, Electrolux AB, and LG Electronics. Daikin Industries Ltd led the market and captured close to 15% share globally in 2023 due to its wide product portfolio and strong distribution network.
*Note:
1. Source: Coherent Market Insights, Public sources, Desk research
2. We have leveraged AI tools to mine information and compile it
