Chiller Market Research Report

Market Overview:

The global chiller market size reached US$ 10.7 Billion in 2023. Looking forward, IMARC Group expects the market to reach US$ 14.8 Billion by 2032, exhibiting a growth rate (CAGR) of 3.68% during 2024-2032. The growing demand in the food and beverage (F&B) industry, technological innovations in chiller technology, and increasing stringent regulations to reduce environmental pollution and promote a greener environment are some of the major factors propelling the market.

A chiller is a refrigeration system that is designed to remove heat from a liquid and transfer it away from a process or an environment. It relies on the principle of heat exchange in which warm liquid is circulated through the evaporator of a chiller and absorbs heat while initiating the liquid to vaporize. As it is used in air conditioning systems, data centers, manufacturing processes, and other industries to maintain lower temperatures in processes or spaces, the demand for chillers is increasing across the globe.

At present, the rising demand for chillers in the aerospace and defense industry for cooling various equipment and avionics systems is bolstering the market growth. Besides this, governing agencies of various countries are encouraging the adoption of energy-efficient chillers to reduce operational costs and carbon footprints around the world, which are offering a positive market outlook. In line with this, the rising employment of heating, ventilation, and air conditioning (HVAC) systems in the residential and commercial sectors is strengthening the growth of the market. Moreover, the increasing adoption of chillers in the healthcare industry to maintain the temperature of sensitive drugs is offering lucrative growth opportunities to industry investors. Furthermore, the increasing focus on energy efficiency and sustainability in commercial buildings to promote a greener environment is impelling the growth of the market.

Chiller Market Trends/Drivers:

Rising demand in the food and beverage industry

There is a rise in the demand for chillers in the food and beverage (F&B) industry to maintain the safety of food products. In addition, F&B companies are increasingly preferring precise and efficient cooling solutions to maintain product quality and hygiene standards. Chillers play an essential role in this sector for various applications, such as cooling during food processing, storage, and transportation. They ensure that perishable items remain fresh and free from bacterial growth and assist in extending their shelf life and reducing waste. Additionally, chillers are utilized in breweries and wineries to control fermentation temperatures that maintain the desired taste and quality of beverages. Moreover, in the dairy industry, chillers are essential for pasteurization and maintaining low temperatures during storage.

Technological innovations in chiller technology

Various manufacturers are continuously introducing more energy-efficient and environmentally friendly chillers. In addition, they are incorporating smart technologies and the Internet of Things (IoT) capabilities into chillers to enable remote monitoring, predictive maintenance, and real-time performance optimization to provide improved reliability and reduced downtime. Apart from this, they are developing chillers with enhanced heat transfer mechanisms, advanced compressors, and enhanced control systems. These technological improvements not only result in cost savings for businesses but also align with environmental regulations. In line with this, there is a rise in the adoption of high-efficiency chillers to reduce the carbon footprint in the environment.

Rising stringent environmental regulations

Governing agencies of various countries are encouraging the adoption of sustainable options by implementing stringent regulations to prevent environmental pollution, which is offering a positive market outlook. They are also promoting the usage of products that assist in reducing energy consumption. Traditional refrigerants, such as hydrochlorofluorocarbons (HCFCs) and hydrofluorocarbons (HFCs), are phased out due to their high global warming potential. Thus, industries are focusing on eco-friendly refrigerants with lower environmental impact. As a result, chillers that utilize natural refrigerants, such as hydrocarbons (HCs) or ammonia, are rapidly gaining popularity due to their superior thermodynamic properties and negligible impact on the ozone layer and climate.

Chiller Industry Segmentation:

IMARC Group provides an analysis of the key trends in each segment of the global chiller market report, along with forecasts at the global, regional and country levels from 2024-2032. Our report has categorized the market based on type, product type, power range, and end use industry.

Breakup by Type:

• Screw
• Scroll
• Centrifugal
• Others
   

Screw represents the largest market segment

The report has provided a detailed breakup and analysis of the market based on the type. This includes screw, scroll, centrifugal, and others. According to the report, screw represented the largest segment.

Screw chillers are a type of positive displacement refrigeration system known for their reliability, efficiency, and versatility. They utilize a pair of intermeshed helical rotors, or screws, to compress the refrigerant and circulate it through the system. In addition, these chillers are particularly suitable for medium to large-scale cooling applications, such as commercial buildings, data centers, and industrial processes to district cooling systems. Screw chillers can handle varying load conditions efficiently, which makes them ideal for applications with fluctuating cooling demands. Additionally, they offer high energy efficiency as compared to older chiller technologies.

Breakup by Product Type:

• Air Cooled
• Water Cooled
   

Water cooled accounts for the majority of the market share

The report has provided a detailed breakup and analysis of the market based on the product type. This includes air cooled and water cooled. According to the report, water cooled represented the largest segment.

Water cooled chillers are widely used chillers that operate by absorbing heat from the process or building and transferring it to a cooling tower through a circulating water system. These chillers are known for their efficiency and effectiveness in providing precise and consistent cooling for medium to large-scale industrial and commercial applications. Apart from this, water-cooled chillers offer higher cooling capacity, enhanced energy efficiency, and lower noise levels compared to air-cooled chillers. They are commonly used in industries with substantial cooling demands, such as manufacturing, chemical processing, data centers, and large commercial buildings.

Breakup by Power Range:

• Less than 50 kW
• 50-200 kW
• More than 200 kW
   

More than 200 kW holds the biggest market share

The report has provided a detailed breakup and analysis of the market based on the power range. This includes less than 50 kW, 50-200 kW, and more than 200 kW. According to the report, more than 200 kW represented the largest segment.

More than 200 kW chillers are high-capacity cooling systems that are designed to cater to large-scale industrial and commercial applications with substantial cooling requirements. These chillers are engineered to handle significant loads and offer efficient cooling solutions for several facilities, such as large manufacturing plants, data centers, district cooling networks, and sizeable commercial buildings. In addition, they commonly employ advanced technologies to ensure energy efficiency, reliable performance, and precise temperature control. They generally incorporate features, such as variable speed drives, advanced control systems, and multiple compressors to optimize energy consumption and adapt to fluctuating cooling demands.

Breakup by End Use Industry:

• Food and Beverage
• Plastic and Rubber
• Chemicals and Petrochemicals
• Pharmaceuticals
• Others
   

Chemicals and petrochemicals dominate the market share

The report has provided a detailed breakup and analysis of the market based on the end use industry. This includes food and beverage, plastic and rubber, chemicals and petrochemicals, pharmaceuticals, and others. According to the report, chemicals and petrochemicals represented the largest segment.

In the chemicals and petrochemicals sector, chillers are widely used to maintain optimal temperatures during various manufacturing processes. These industries involve the production of a wide range of chemicals, polymers, and petrochemical products that require precise temperature control to ensure product quality and consistency. Apart from this, chillers are used in this industry for cooling reaction vessels, heat exchangers, distillation columns, and other equipment involved in chemical processing. They help in controlling exothermic reactions, preventing potential hazards, and ensuring efficient heat transfer during the production of chemicals and petrochemicals.

Breakup by Region:

• North America
  • United States
  • Canada
• Europe
  • Germany
  • France
  • United Kingdom
  • Italy
  • Spain
  • Others
• Asia Pacific
  • China
  • Japan
  • India
  • South Korea
  • Australia
  • Indonesia
  • Others
• Latin America
  • Brazil
  • Mexico
  • Others
• Middle East and Africa
   

Asia Pacific exhibits a clear dominance, accounting for the largest chiller market share

The report has also provided a comprehensive analysis of all the major regional markets, which include North America (the United States and Canada); Europe (Germany, France, the United Kingdom, Italy, Spain, and others); Asia Pacific (China, Japan, India, South Korea, Australia, Indonesia, and others); Latin America (Brazil, Mexico, and others); and the Middle East and Africa. According to the report, Asia Pacific represented the largest market.

Asia Pacific held the biggest market share due to the increasing demand for efficient cooling systems. In line with this, the rising number of construction and infrastructure development activities in the region is bolstering the growth of the market. Apart from this, the increasing focus on sustainable practices in various industries is contributing to the growth of the market. In addition, the rising adoption of chillers due to favorable government initiatives for a greener environment is propelling the growth of the market in the Asia Pacific region.

Competitive Landscape:

Key players are investing in research and development (R&D) activities to innovate and improve their products and focusing on developing more energy-efficient and environmentally friendly chillers that enhance overall system performance. Apart from this, major manufacturers are designing chillers with reduced greenhouse gas emissions and promoting the usage of natural refrigerants to minimize the environmental impact. In line with this, they are offering more customized solutions that fulfill the specific needs of different industries and applications. They are also working closely with customers to understand their requirements and provide customized and efficient cooling solutions. Furthermore, companies are incorporating smart technologies and the Internet of Things (IoT) capabilities into chillers to enable remote monitoring that enhances reliability and reduces downtime.

The report has provided a comprehensive analysis of the competitive landscape in the market. Detailed profiles of all major companies have also been provided. Some of the key players in the market include:

• Carrier Global Corporation
• Daikin Industries Ltd.
• Friulair S.r.l.
• General Air Products
• HYDAC International GmbH
• Johnson Controls International PLC
• KKT Chillers Inc.
• LG Electronics Inc.
• Mitsubishi Electric Corporation
• PolyScience Inc.
• Trane Technologies plc

Recent Developments:

• In December 2020, Mitsubishi Electric Corporation launched a new Climaveneta-branded NX2 range of air-source scroll chillers, that assist in offering improved energy efficiency and sustainability.

• In March 2022, Carrier Global Corporation launched the AquaForce® Vision 30KAV with PUREtec™ refrigerant, a new line of high-performance, compact process cooling chillers with ultra-low global warming potential (GWP) refrigerant R-1234ze.
• In June 2021, Johnson Controls introduced the Quantech QWC4 water-cooled screw chiller, which uses variable speed drive technology that save energy during operating hours spent at off-design conditions.

Chiller Market Report Scope:

Key Questions Answered in This Report:

• How has the global chiller market performed so far, and how will it perform in the coming years?
• What are the drivers, restraints, and opportunities in the global chiller market?
• What is the impact of each driver, restraint, and opportunity on the global chiller market?
• What are the key regional markets?
• Which countries represent the most attractive chiller market?
• What is the breakup of the market based on the type?
• Which is the most attractive type in the chiller market?
• What is the breakup of the market based on the product type?
• Which is the most attractive product type in the chiller market?
• What is the breakup of the market based on the power range?
• Which is the most attractive power range in the chiller market?
• What is the breakup of the market based on the end use industry?
• Which is the most attractive end use industry in the chiller market?
• What is the competitive structure of the global chiller market?
• Who are the key players/companies in the global chiller market?

Key Benefits for Stakeholders:

• IMARC’s report offers a comprehensive quantitative analysis of various market segments, historical and current market trends, market forecasts, and dynamics of the chiller market from 2018-2032.
• The research study provides the latest information on the market drivers, challenges, and opportunities in the global chiller market.
• The study maps the leading, as well as the fastest-growing, regional markets. It further enables stakeholders to identify the key country-level markets within each region.
• Porter's five forces analysis assist stakeholders in assessing the impact of new entrants, competitive rivalry, supplier power, buyer power, and the threat of substitution. It helps stakeholders to analyze the level of competition within the chiller industry and its attractiveness.
• Competitive landscape allows stakeholders to understand their competitive environment and provides an insight into the current positions of key players in the market.