Global HVAC Market Using Low Global Warming Potential Refrigerants Is Expected to Experience a 16% Compound Annual Growth Rate through 2030
Market barriers include lack of comprehensive regulations, safety issues, and new refrigerant verification challenges
A new report from Guidehouse Insights analyzes the global HVAC market and plans to phase out high global warming potential (GWP) refrigerants, with global market forecasts extending through 2030.
The HVAC industry has been transforming toward sustainability. Recent international efforts and government regulations for phasing out existing high GWP refrigerants have spurred demand for alternative refrigerants with low GWP. According to a new report from Guidehouse Insights, the global HVAC market using low GWP refrigerants is anticipated to be $34.1 billion in 2021, experiencing a compound annual growth rate (CAGR) of 16.2% from 2021 to 2030.
“Countries are starting to implement policies and regulations to phase out high GWP refrigerants in HVAC, but not all countries have a specific policy supporting low GWP refrigerants yet,” says Young Hoon Kim, research analyst with Guidehouse Insights. “Nevertheless, regulation and policy are expected to transform the HVAC market from high GWP refrigerant applications to low GWP refrigerant applications, creating substantial new market opportunities.”
Although the demand for low GWP refrigerant applications in HVAC has increased drastically over the years, the market faces barriers such as lack of comprehensive regulations, safety issues, and new refrigerant verification challenges. Despite the long history of the HVAC industry, new refrigerants will likely require transforming the entire industry through developing compatible core components, optimizing HVAC systems, and transforming the refrigerant life cycle (supply, disposal, etc.) with the alternative refrigerants with low GWP. This industry transformation is a lengthy process, but will eventually lead to new market opportunities and reduce the carbon footprint.
The report, Low Global Warming Potential Refrigerants in HVAC, analyzes the global HVAC market including international treaties and national regulations for phasing out high GWP refrigerants, current technology trends including new refrigerant development, and industry trends. Global market forecasts, broken down by segment and region, extend through 2030. The report also examines the key technologies related to applying new refrigerants with low GWP in HVAC. An executive summary of the report is available for free download on the Guidehouse Insights website.
*The information contained in this press release concerning the report, Low Global Warming Potential Refrigerants in HVACs, is a summary and reflects the current expectations of Guidehouse Insights based on market data and trend analysis. Market predictions and expectations are inherently uncertain and actual results may differ materially from those contained in this press release or the report. Please refer to the full report for a complete understanding of the assumptions underlying the report’s conclusions and the methodologies used to create the report. Neither Guidehouse Insights nor Guidehouse undertakes any obligation to update any of the information contained in this press release or the report.