Low GWP Refrigerant Market

Market Overview:

The global low GWP refrigerant market size reached US$ 7.48 Billion in 2022. Looking forward, IMARC Group expects the market to reach US$ 12.37 Billion by 2028, exhibiting a growth rate (CAGR) of 8.12% during 2023-2028. The rising product demand in the commercial sector, various product innovations, and extensive research and development (R&D) activities represent some of the key factors driving the market.

Low global warming potential (GWP) refrigerants are substances used as refrigeration agents that have a lower impact on the environment. Hydrocarbons, fluorocarbons, carbon dioxide, and ammonia are some of the commonly used low-GWP refrigerants. They are widely used in large industrial refrigeration systems such as food processing plants, breweries, and cold storage facilities. They are also used for heating and cooling homes and buildings. As compared to traditional GWP refrigerants, low GWP refrigerants have a lower contribution to climate change and ozone depletion. They are also safe, have better energy efficiency, lower toxicity, and flammability, and help to reduce emissions. As a result, low GWP refrigerants find extensive applications across commercial refrigeration, industrial refrigeration, and domestic refrigeration.

Low GWP Refrigerant Market Trends:

The rising product demand in the commercial sector for air conditioning and refrigerating applications is one of the key factors driving the market growth. In line with this, low GWP refrigerants are widely used due to the growing need for efficient refrigeration in industries like food processing to keep dairy, meat, and fishery products fresh. Additionally, the widespread adoption of hydrocarbons, as they possess robust thermodynamic properties and allow the cost-effective operation of refrigerating and air-conditioning systems, is acting as another growth-inducing factor. Apart from this, manufacturers are focusing on the development of new low GWP refrigerants that are both environmentally friendly and energy-efficient, which in turn is providing an impetus to the market growth. Moreover, the rising product application in the residential sector, owing to the transition towards eco-friendly refrigeration alternatives, increasing standards of living, and growing need to reduce electricity bills, is positively influencing the market growth. Besides this, the expansion of retail food chains and the growth in international trade (due to trade liberalization) have led to an increase in the demand for cold chain processes, which in turn is providing a considerable boost to the market growth. Furthermore, the launch of a new low GWP refrigerant for commercial and industrial refrigeration that is operationally safe, reduces carbon footprint and complies with new regulations is propelling the market growth. Other factors, including enhanced research and development (R&D) activities, increasing demand for frozen food products, widespread product adoption as they provide better energy performance, and the implementation of various government initiatives to promote the use of low GWP refrigerants due to their low-emission and environment-friendly properties, are supporting the market growth.

Key Market Segmentation:

IMARC Group provides an analysis of the key trends in each segment of the global low GWP refrigerant market, along with forecasts at the global, regional, and country levels from 2023-2028. Our report has categorized the market based on type and application.

Type Insights:

• Inorganics
• Hydrocarbons
• Fluorocarbons and Fluoro-olefins (HFCs and HFOs)
   

The report has provided a detailed breakup and analysis of the low GWP refrigerant market based on the type. This includes inorganics, hydrocarbons, fluorocarbons and fluoro-olefins (HFCs and HFOs). According to the report, hydrocarbons represented the largest segment.

Application Insights:

• Commercial Refrigeration
• Industrial Refrigeration
• Domestic Refrigeration
• Others
   

The report has provided a detailed breakup and analysis of the low GWP refrigerant market based on the application. This includes commercial refrigeration, industrial refrigeration, domestic refrigeration, and others. According to the report, commercial refrigeration represented the largest segment.

Regional Insights: 

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

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, Russia, 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 was the largest market for low GWP refrigerant. Some of the factors driving the Asia Pacific low GWP refrigerant market included the rising product demand in the residential sector, the implementation of various government initiatives, and extensive research and development (R&D) activities.

Competitive Landscape:

The report has also provided a comprehensive analysis of the competitive landscape in the global low GWP refrigerant market. Detailed profiles of all major companies have also been provided. Some of the companies covered include A-Gas International Ltd., Arkema, Daikin Industries Ltd., Danfoss A/S, GTS SPA, Harp International Ltd, Honeywell International Inc., Linde plc, Messer Group, Tazzetti S.p.A, The Chemours Company, etc. Kindly note that this only represents a partial list of companies, and the complete list has been provided in the report.

Report Coverage:

Key Questions Answered in This Report:

• How has the global low GWP refrigerant market performed so far, and how will it perform in the coming years?
• What are the drivers, restraints, and opportunities in the global low GWP refrigerant market?
• What is the impact of each driver, restraint, and opportunity on the global low GWP refrigerant market?
• What are the key regional markets?
• Which countries represent the most attractive low GWP refrigerant market?
• What is the breakup of the market based on the type?
• Which is the most attractive type in the low GWP refrigerant market?
• What is the breakup of the market based on the application?
• Which is the most attractive application in the low GWP refrigerant market?
• What is the competitive structure of the global low GWP refrigerant market?
• Who are the key players/companies in the global low GWP refrigerant 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 low GWP refrigerant market from 2017-2028.
• The research study provides the latest information on the market drivers, challenges, and opportunities in the global low GWP refrigerant 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 low GWP refrigerant 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.