Global Commercial Air Conditioning Systems (VRF) Market Overview
The Global Commercial Air Conditioning Systems (VRF) Market size is expected to grow from USD 21.59 billion in 2023 to USD 42.80 billion by 2032, at a CAGR of 7.9% during the forecast period (2024-2032).
Commercial Air Conditioning Systems (VRF) is a Variable Refrigerant Flow, it is a technology used for giving cooling and heating effect to the air in a particular area. It is a temperature control device. VRF system consists of 2 units of heat exchange mounted outside and inside the building. In VRF Commercial Air Conditioning Systems customers have more control over cooling and heating effects because it has single outside unit services and multiple inside units not like the 1:1 ratio of system seen in HVAC systems or traditional split systems. This is a modern system with multiple indoor systems connected with refrigerant piping which give different control system for different zones; separate indoor units for different heating and cooling requirements enhance the customization property of the product it offers individualized zone control which is the best part of this system. VRF air conditioning system is flexible and efficient heating and cooling system to get a more controlled temperature. It can simultaneously heat and cool different parts of a building, VRF systems are long-lasting it can work 10 or 15 years efficiently after installation due to this there is high growth in the commercial air conditioning systems (VRF) market during the projected period.
Market Dynamics And Factors For Commercial Air Conditioning Systems (VRF)
Drivers:
Rising Demand For Individualized and Law Maintenance Systems
The companies are having large demand for air conditioning systems to provide a comfy, cheerful, and productive environment inside the building. There is a different system available in the market which provides cooling and heating effects to a large area. VRF air conditioners are provides cooling and heating effects simultaneously to the particular area according to the requirement. VRF is designed as it provides multiple indoor units to get a customized or individualized experience. The indoor units are controlled by individuals floor-wise or block-wise to get cool or hot air according to the need of a particular area. Co-operative workplaces are the place where different companies are operating their operations from the same building and this system can help to provide a better air conditioning experience to the individual area. VRF system comes with a single outdoor unit so it requires law maintenances charges both these factors are rising the demand for commercial air conditioning systems (VRF) market during the forecasted period.
Restraints:
High Costs Required For Installation of VRF
The VRF system is a system used for controlling the air supply in the building. This system is mostly used for commercial purposes. So the area which has to cover by the system is large. Supply proper air temperature to the larger area, system requires highly efficient and powerful equipment which costs more and increases the installation cost of the system. VRF system consists of a motor, compressor, filters, valves, inverters, drain line, suction accumulators, and control system. These are custom designed equipment so the cost of designing and installation is so high. These factors are hampering the market growth of Commercial Air Conditioning Systems like Variable Refrigerant Flow.
Opportunity:
Increasing Spending on Customizable Air Conditioning System
The changing climatic conditions are giving a boost to the air conditioning system market. The people living in different areas are facing environmental problems like rapid changes in the environmental conditions due to increasing pollution, population and global warming, etc. to maintain a stable, work-friendly, and productive environment most companies are using air conditioning VRF systems. VRF provides both cooling and heating effect at the same time this can provide a controlled air supply to the whole building. It has many indoor units which are operated separately and provide the required temperature according to the need of individuals this system is designed to provide customized and more particular air supply. Other air conditioning systems provide cooling or heating effect at the same time like HVAC, split AC, and HAC so VRF is customizable air conditioning system due to this there is high demand for VRF which increase the demand for VRF air conditioning system.
Segmentation Analysis Of Commercial Air Conditioning Systems (VRF) Market
By type, the Heat Recovery System dominates the Commercial Air Conditioning Systems (VRF) market during the forecast period. It is the most common and effective system type that gives full control on temperature according to the condition or customer requirement. Heat Recovery Systems operate with 3 interconnecting pipes and are designed to give heating and cooling effect according to the room requirement simultaneously. VRF air conditioning system is flexible and has multiple indoor units to provide customized both cooling and heating effects at the same time. 2 interconnecting pipes are commonly used in air conditioning systems like HVAC which have only one centralized indoor unit which can provide heating or cooling effect at a single time. VRF is an upgrade to the existing systems to improve controllability and use energy efficiently hence Heat Recovery System is mostly used in VRF system that helps to enhance the commercial air conditioning systems (VRF) market during the forecast period.
By application, the Small-Middle Scale Firms are anticipated to grab the maximum market share of Commercial Air Conditioning Systems (VRF) over the projected period. Commercial Air Conditioning Systems (VRF) is used in large amounts for controlling and providing the required air temperature in the commercial building. Small-middle-scale companies are in the business in large numbers; these companies are using VRF Air Conditioning Systems to provide comfort and a productive atmosphere to the employees. VRF systems come with a single outdoor unit and multiple indoor units which are connected by 3 interconnecting pipes that provide heating and cooling effects simultaneously due to this VRF are best for small to mid-scale buildings where their somewhat limited inside units because a single outside unit must service all inside units in effective and sufficient manner. Multiple indoor units provide full control of temperature according to the individual requirement to get more customized air supply in small-middle-scale firms. Hence due to this, the small-middle scale firms segment is contributing largely to Commercial Air Conditioning Systems (VRF) market during the upcoming period.
Regional Analysis Of Commercial Air Conditioning Systems (VRF) Market
North America is expected to lead Commercial Air Conditioning Systems (VRF) Market during the forecast period. The regional market is dependent on the rising demand for VRF systems due to increasing industrialization, increasing commercial area, changing atmosphere, and extreme climatic conditions all these factors are boosting the market for commercial air conditioning systems VRF. North American region is facing 2 extreme weather conditions to live comfortably inside the building the VRF systems are required to provide fresh, warm, or cold air and to control the moisture to make breathable atmospheric conditions inside the building. VRF air conditioning systems provide cooling and heating both the effect at the same time because of multiple indoor units that is one added advantage of this system it can provide cooling and heating air-condition simultaneously according to the requirement of that area. The spending capacity of people in this region is very high and they like to spend on customized and specialty products which are flexible and work efficiently like VRF air conditioning systems. These factors are driving the growth of the VRF air conditioning systems market during the forecast period.
Europe is anticipated to show maximum growth in the Commercial Air Conditioning Systems (VRF) Market during the forecast period. In a developed region there are many companies, industries, and small, medium, and large scale enterprises that are the key consumer of VRF air conditioning systems. Also changing environmental conditions are responsible for the growth of the VRF air conditioning systems market in this region. It is the most needed and mandatory facility required in the commercial area. So this is giving high growth to the VRF commercial air conditioning systems market in this region.
Asia Pacific region is expected to grow with a significant growth rate in Commercial Air Conditioning Systems (VRF) Market in the upcoming years, in emerging countries like India and China, the use of Commercial Air Conditioning Systems (VRF) is increased due to increasing industrialization in this region. Small scale, middle scale companies are building their new constructions in this region and they are the main key consumer of this product due to this there is high demand for VRF air conditioning systems. Many manufacturers of this product are carrying their different operations in the Asia Pacific region so there is the availability of quality products at low prices. Due to this, there is a huge market development in the Asia Pacific region for Commercial Air Conditioning Systems (VRF).
Covid-19 Impact Analysis On Commercial Air Conditioning Systems (VRF) Market
COVID 19 Pandemic is a very hard time for everyone, the world had faces loses in every aspect economically, and politically. COVID 19 affects the manufacturing, production, and supply chain of most of the industry. The facilities shut down due to COVID and the production of VRF systems is also stopped. As a result, there is currently a shortage of readily available products. But with Compared to the production, the demand for the product is high so soon there is a chance of the growth of VRF air condition systems. People are demanding specialty products, such as advanced filtration and other indoor air quality devices; it becomes more difficult for manufacturers to meet customer needs in this pre-pandemic time. Commercial air conditioning systems (VRF) is mainly used by the commercial sector like small, large scale industries, firm, enterprises, or companies and due to the COVID-19 lockdown, all these companies are closed to control the growth of the virus. It is spread through the contact of an infected person so there is strict regulation applied by the government to reduce the effect of the coronavirus. That hampers the overall growth of the market because of government restrictions no one is allowed to go outside or it is a viral infection the small gathering is also harmful to the society it spreads so quickly but now the offices are opened restrictions are not there, people are doing work from office now this will help in the growth of the market during the forecast period.
Top Key Players Covered In Commercial Air Conditioning Systems (VRF) Market
- Daikin(Japan)
- Samsung Electronics (South Korea)
- Fujitsu (Japan)
- Panasonic (Japan)
- Johnson Controls (Ireland)
- LG Electronics (Delhi)
- Mitsubishi Electric (Japan)
- Lennox International Inc (US)
- Toshiba (Japan)
- Midea Group (China)
- Emerson (US)
- Carrier HVAC (US) and Other Major Players.
Key Industry Developments In Commercial Air Conditioning Systems (VRF) Market
In August 2023, Johnson Controls-Hitachi Air Conditioning (JCH) announced the launch of air365 Max, a new top-flow variable refrigerant flow (VRF) air conditioning system in Malaysia. The air365 Max is an end-to-end solution developed by JCH to deliver seamless comfort, energy efficiency, and easily workable features for professionals, architects, and building owners in the heating, ventilation, and air conditioning (HVAC) sectors.
In April 2023, Samsung, Indiaās most trusted consumer electronics brand, announced the launch of its new DVM S2 Variable Refrigerant Flow (VRF) outdoor air conditioning unit that works with indoor AC units to provide wind-free cooling that powerfully and gently cools the ambient temperature of the room. Winfreeā¢ technology eliminates harsh cold drafts and disperses air through 23,000 micro holes at a speed of 0.15 m/s helps in creating a still air environment.
Global Commercial Air Conditioning Systems (VRF) Market |
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Base Year: |
2023 |
Forecast Period: |
2024-2032 |
Historical Data: |
2017 to 2023 |
Market Size in 2023: |
USD 21.59 Mn. |
Forecast Period 2024-32 CAGR: |
7.9% |
Market Size in 2032: |
USD 42.80 Mn. |
Segments Covered: |
By Type |
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By Application |
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By Region |
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Key Market Drivers: |
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Key Market Restraints: |
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Key Opportunities: |
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Companies Covered in the report: |
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Chapter 1: Introduction
ā1.1 Research Objectives
ā1.2 Research Methodology
ā1.3 Research Process
ā1.4 Scope and Coverage
āā1.4.1 Market Definition
āā1.4.2 Key Questions Answered
ā1.5 Market Segmentation
Chapter 2:Executive Summary
Chapter 3:Growth Opportunities By Segment
ā3.1 By Type
ā3.2 By Application
Chapter 4: Market Landscape
ā4.1 Porter's Five Forces Analysis
āā4.1.1 Bargaining Power of Supplier
āā4.1.2 Threat of New Entrants
āā4.1.3 Threat of Substitutes
āā4.1.4 Competitive Rivalry
āā4.1.5 Bargaining Power Among Buyers
ā4.2 Industry Value Chain Analysis
ā4.3 Market Dynamics
āā4.3.1 Drivers
āā4.3.2 Restraints
āā4.3.3 Opportunities
āā4.5.4 Challenges
ā4.4 Pestle Analysis
ā4.5 Technological Roadmap
ā4.6 Regulatory Landscape
ā4.7 SWOT Analysis
ā4.8 Price Trend Analysis
ā4.9 Patent Analysis
ā4.10 Analysis of the Impact of Covid-19
āā4.10.1 Impact on the Overall Market
āā4.10.2 Impact on the Supply Chain
āā4.10.3 Impact on the Key Manufacturers
āā4.10.4 Impact on the Pricing
Chapter 5: Commercial Air Conditioning Systems (VRF) Market by Type
ā5.1 Commercial Air Conditioning Systems (VRF) Market Overview Snapshot and Growth Engine
ā5.2 Commercial Air Conditioning Systems (VRF) Market Overview
ā5.3 Heat Recovery System
āā5.3.1 Introduction and Market Overview
āā5.3.2 Historic and Forecasted Market Size (2016-2028F)
āā5.3.3 Key Market Trends, Growth Factors and Opportunities
āā5.3.4 Heat Recovery System: Grographic Segmentation
ā5.4 Heat Pump System
āā5.4.1 Introduction and Market Overview
āā5.4.2 Historic and Forecasted Market Size (2016-2028F)
āā5.4.3 Key Market Trends, Growth Factors and Opportunities
āā5.4.4 Heat Pump System: Grographic Segmentation
Chapter 6: Commercial Air Conditioning Systems (VRF) Market by Application
ā6.1 Commercial Air Conditioning Systems (VRF) Market Overview Snapshot and Growth Engine
ā6.2 Commercial Air Conditioning Systems (VRF) Market Overview
ā6.3 Small-Middle Scale Firm
āā6.3.1 Introduction and Market Overview
āā6.3.2 Historic and Forecasted Market Size (2016-2028F)
āā6.3.3 Key Market Trends, Growth Factors and Opportunities
āā6.3.4 Small-Middle Scale Firm: Grographic Segmentation
ā6.4 Large Firm
āā6.4.1 Introduction and Market Overview
āā6.4.2 Historic and Forecasted Market Size (2016-2028F)
āā6.4.3 Key Market Trends, Growth Factors and Opportunities
āā6.4.4 Large Firm: Grographic Segmentation
Chapter 7: Company Profiles and Competitive Analysis
ā7.1 Competitive Landscape
āā7.1.1 Competitive Positioning
āā7.1.2 Commercial Air Conditioning Systems (VRF) Sales and Market Share By Players
āā7.1.3 Industry BCG Matrix
āā7.1.4 Ansoff Matrix
āā7.1.5 Commercial Air Conditioning Systems (VRF) Industry Concentration Ratio (CR5 and HHI)
āā7.1.6 Top 5 Commercial Air Conditioning Systems (VRF) Players Market Share
āā7.1.7 Mergers and Acquisitions
āā7.1.8 Business Strategies By Top Players
ā7.2 DAIKIN
āā7.2.1 Company Overview
āā7.2.2 Key Executives
āā7.2.3 Company Snapshot
āā7.2.4 Operating Business Segments
āā7.2.5 Product Portfolio
āā7.2.6 Business Performance
āā7.2.7 Key Strategic Moves and Recent Developments
āā7.2.8 SWOT Analysis
ā7.3 SAMSUNG ELECTRONICS
ā7.4 FUJITSU
ā7.5 PANASONIC
ā7.6 JOHNSON CONTROLS
ā7.7 LG ELECTRONICS
ā7.8 MITSUBISHI ELECTRIC
ā7.9 LENNOX INTERNATIONAL INC
ā7.10 TOSHIBA
ā7.11 MIDEA GROUP
ā7.12 EMERSON
ā7.13 CARRIER HVAC
ā7.14 OTHER MAJOR PLAYERS
Chapter 8: Global Commercial Air Conditioning Systems (VRF) Market Analysis, Insights and Forecast, 2016-2028
ā8.1 Market Overview
ā8.2 Historic and Forecasted Market Size By Type
āā8.2.1 Heat Recovery System
āā8.2.2 Heat Pump System
ā8.3 Historic and Forecasted Market Size By Application
āā8.3.1 Small-Middle Scale Firm
āā8.3.2 Large Firm
Chapter 9: North America Commercial Air Conditioning Systems (VRF) Market Analysis, Insights and Forecast, 2016-2028
ā9.1 Key Market Trends, Growth Factors and Opportunities
ā9.2 Impact of Covid-19
ā9.3 Key Players
ā9.4 Key Market Trends, Growth Factors and Opportunities
ā9.4 Historic and Forecasted Market Size By Type
āā9.4.1 Heat Recovery System
āā9.4.2 Heat Pump System
ā9.5 Historic and Forecasted Market Size By Application
āā9.5.1 Small-Middle Scale Firm
āā9.5.2 Large Firm
ā9.6 Historic and Forecast Market Size by Country
āā9.6.1 U.S.
āā9.6.2 Canada
āā9.6.3 Mexico
Chapter 10: Europe Commercial Air Conditioning Systems (VRF) Market Analysis, Insights and Forecast, 2016-2028
ā10.1 Key Market Trends, Growth Factors and Opportunities
ā10.2 Impact of Covid-19
ā10.3 Key Players
ā10.4 Key Market Trends, Growth Factors and Opportunities
ā10.4 Historic and Forecasted Market Size By Type
āā10.4.1 Heat Recovery System
āā10.4.2 Heat Pump System
ā10.5 Historic and Forecasted Market Size By Application
āā10.5.1 Small-Middle Scale Firm
āā10.5.2 Large Firm
ā10.6 Historic and Forecast Market Size by Country
āā10.6.1 Germany
āā10.6.2 U.K.
āā10.6.3 France
āā10.6.4 Italy
āā10.6.5 Russia
āā10.6.6 Spain
āā10.6.7 Rest of Europe
Chapter 11: Asia-Pacific Commercial Air Conditioning Systems (VRF) Market Analysis, Insights and Forecast, 2016-2028
ā11.1 Key Market Trends, Growth Factors and Opportunities
ā11.2 Impact of Covid-19
ā11.3 Key Players
ā11.4 Key Market Trends, Growth Factors and Opportunities
ā11.4 Historic and Forecasted Market Size By Type
āā11.4.1 Heat Recovery System
āā11.4.2 Heat Pump System
ā11.5 Historic and Forecasted Market Size By Application
āā11.5.1 Small-Middle Scale Firm
āā11.5.2 Large Firm
ā11.6 Historic and Forecast Market Size by Country
āā11.6.1 China
āā11.6.2 India
āā11.6.3 Japan
āā11.6.4 Singapore
āā11.6.5 Australia
āā11.6.6 New Zealand
āā11.6.7 Rest of APAC
Chapter 12: Middle East & Africa Commercial Air Conditioning Systems (VRF) Market Analysis, Insights and Forecast, 2016-2028
ā12.1 Key Market Trends, Growth Factors and Opportunities
ā12.2 Impact of Covid-19
ā12.3 Key Players
ā12.4 Key Market Trends, Growth Factors and Opportunities
ā12.4 Historic and Forecasted Market Size By Type
āā12.4.1 Heat Recovery System
āā12.4.2 Heat Pump System
ā12.5 Historic and Forecasted Market Size By Application
āā12.5.1 Small-Middle Scale Firm
āā12.5.2 Large Firm
ā12.6 Historic and Forecast Market Size by Country
āā12.6.1 Turkey
āā12.6.2 Saudi Arabia
āā12.6.3 Iran
āā12.6.4 UAE
āā12.6.5 Africa
āā12.6.6 Rest of MEA
Chapter 13: South America Commercial Air Conditioning Systems (VRF) Market Analysis, Insights and Forecast, 2016-2028
ā13.1 Key Market Trends, Growth Factors and Opportunities
ā13.2 Impact of Covid-19
ā13.3 Key Players
ā13.4 Key Market Trends, Growth Factors and Opportunities
ā13.4 Historic and Forecasted Market Size By Type
āā13.4.1 Heat Recovery System
āā13.4.2 Heat Pump System
ā13.5 Historic and Forecasted Market Size By Application
āā13.5.1 Small-Middle Scale Firm
āā13.5.2 Large Firm
ā13.6 Historic and Forecast Market Size by Country
āā13.6.1 Brazil
āā13.6.2 Argentina
āā13.6.3 Rest of SA
Chapter 14 Investment Analysis
Chapter 15 Analyst Viewpoint and Conclusion
Global Commercial Air Conditioning Systems (VRF) Market |
|||
Base Year: |
2023 |
Forecast Period: |
2024-2032 |
Historical Data: |
2017 to 2023 |
Market Size in 2023: |
USD 21.59 Mn. |
Forecast Period 2024-32 CAGR: |
7.9% |
Market Size in 2032: |
USD 42.80 Mn. |
Segments Covered: |
By Type |
|
|
By Application |
|
||
By Region |
|
||
Key Market Drivers: |
|
||
Key Market Restraints: |
|
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Key Opportunities: |
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Companies Covered in the report: |
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Frequently Asked Questions :
The forecast period in the Commercial Air Conditioning Systems (VRF) Market research report is 2024-2032.
Daikin (Japan), Samsung Electronics (South Korea), Fujitsu (Japan), Panasonic (Japan), Johnson Controls (Ireland), LG Electronics (Delhi), Mitsubishi Electric (Japan), Lennox International Inc (US), Toshiba (Japan), Midea Group (China), Emerson (US), Carrier HVAC (US), and Other Major Players.
Commercial Air Conditioning Systems (VRF) Market is segmented into Type, Application, and region. By Product Type, the market is categorized into Heat Recovery System, Heat Pump System. By Application, the market is categorized into Small-Middle Scale Firm, Large Firm. By region, it is analysed across North America (U.S.; Canada; Mexico), Europe (Germany; U.K.; France; Italy; Russia; Spain, etc.), Asia-Pacific (China; India; Japan; Southeast Asia, etc.), South America (Brazil; Argentina, etc.), Middle East & Africa (Saudi Arabia; South Africa, etc.).
Commercial Air Conditioning Systems (VRF) is a Variable Refrigerant Flow, it is a technology used for giving cooling and heating effect to the air in a particular area. It is a temperature control device.
The Global Commercial Air Conditioning Systems (VRF) Market size is expected to grow from USD 21.59 billion in 2023 to USD 42.80 billion by 2032, at a CAGR of 7.9% during the forecast period (2024-2032).