HVAC Aftermarket Market Analysis, Size, and Forecast 2025-2029: North America (US and Canada), Europe (France, Germany, and UK), Middle East and Africa (UAE), APAC (Australia, China, India, Japan, and South Korea), and Rest of World (ROW)

HVAC Aftermarket Market Size 2025-2029

The hvac aftermarket market size is forecast to increase by USD 45.47 billion, at a CAGR of 9% between 2024 and 2029.

Major Market Trends & Insights

• APAC dominated the market and accounted for a 32% growth during the forecast period.
• By the Product - Air conditioning equipment segment was valued at USD 28.87 billion in 2023
• By the End-user - Non-residential segment accounted for the largest market revenue share in 2023

Market Size & Forecast

• Market Opportunities: USD 95.95 billion
• Market Future Opportunities: USD 45470.10 billion 
• CAGR : 9%
• APAC: Largest market in 2023

Market Summary

• The market is a significant and continually evolving sector, driven by the ongoing demand for energy efficiency and indoor air quality improvements in various industries. According to recent reports, the global HVAC aftermarket is projected to reach a value of USD275 billion by 2025, growing at a steady pace. This expansion is primarily attributed to the increasing adoption of smart HVAC systems and the rising focus on energy efficiency in commercial and industrial applications. Moreover, the residential sector is also witnessing a surge in demand for HVAC aftermarket services due to the growing awareness of indoor air quality and the availability of financing options for energy-efficient upgrades.
• In contrast, the automotive HVAC aftermarket is expected to experience a more moderate growth rate due to the saturation of the market and the increasing focus on electric and hybrid vehicles. The HVAC aftermarket encompasses a wide range of products and services, including filters, sensors, controls, and repair and maintenance services. As businesses and consumers continue to prioritize energy efficiency and indoor air quality, the market is poised for continued growth and innovation.

What will be the Size of the HVAC Aftermarket Market during the forecast period?

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• The HVAC aftermarket experiences consistent demand, with current sales representing approximately 20% of the total HVAC industry revenue. This figure underscores the significance of aftermarket services in the sector. Looking ahead, future growth is projected to reach 15%, underscoring the market's continuous evolution. Considerable investments in energy efficiency upgrades and HVAC automation contribute to the market's expansion. Replacement filters, compressor repair kits, and sensor calibration represent substantial revenue streams. In contrast, the demand for ventilation equipment and ductwork repair accounts for a smaller, yet essential portion of the market.
• The HVAC aftermarket's sizeable revenue from parts distribution networks and boiler maintenance underlines its importance in maintaining the functionality and longevity of heating and cooling systems. The integration of smart thermostats and remote monitoring systems further underscores the market's adaptability and innovation.

How is this HVAC Aftermarket Industry segmented?

The hvac aftermarket industry research report provides comprehensive data (region-wise segment analysis), with forecasts and estimates in "USD billion" for the period 2025-2029, as well as historical data from 2019-2023 for the following segments.

• Product
  • Air conditioning equipment
  • Heating equipment
  • Ventilation equipment
• End-user
  • Non-residential
  • Residential
• Distribution Channel
  • Online Retail
  • Specialty Stores
  • Direct Sales
  • Distributors
• Application
  • Replacement Parts (Compressors, Filters)
  • Maintenance Services
  • Refrigerants
  • Control Systems
• Geography
  • North America
    • US
    • Canada
  • Europe
    • France
    • Germany
    • UK
  • Middle East and Africa
    • UAE
  • APAC
    • Australia
    • China
    • India
    • Japan
    • South Korea
  • Rest of World (ROW)

By Product Insights

The air conditioning equipment segment is estimated to witness significant growth during the forecast period.

The market is experiencing significant growth, with the air conditioning equipment segment poised for expansion due to various factors. Rising temperature and humidity levels worldwide necessitate the use of air conditioning equipment to maintain indoor air quality. Furthermore, increasing per capita income and consumer preference for air conditioning products are fueling the segment's growth. The data center industry's promising growth is another driving factor, as it requires substantial cooling solutions that can be provided through air conditioning equipment. Additionally, the trend toward energy-efficient air conditioning systems is positively impacting the market's expansion. Building management systems, heating system components, ventilation equipment, and dehumidification systems are other essential components of the HVAC aftermarket, experiencing growth due to the need for energy efficiency, system diagnostics, and indoor air quality improvements.

The market's future growth is expected to be influenced by factors such as the increasing adoption of smart thermostats, energy efficiency upgrades, and HVAC maintenance contracts. Furthermore, the integration of automation, refrigerant management, compressor repair kits, and variable speed drives in HVAC systems is expected to boost market growth. Coil cleaning, chilled water systems, and demand control ventilation are other areas of potential expansion. Overall, the HVAC aftermarket is a dynamic and evolving industry, with ongoing developments in technology and consumer preferences shaping its future growth trajectory.

The Air conditioning equipment segment was valued at USD 28.87 billion in 2019 and showed a gradual increase during the forecast period.

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Regional Analysis

APAC is estimated to contribute 32% to the growth of the global market during the forecast period.Technavio’s analysts have elaborately explained the regional trends and drivers that shape the market during the forecast period.

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The HVAC aftermarket in Asia Pacific is experiencing substantial expansion, driven by substantial real estate investments in the region. Factors such as rising air pollution levels and the requirement to adhere to indoor air quality regulations are fueling the adoption of advanced HVAC systems in both residential and commercial buildings. Moreover, the need to comply with international standards and the growing consciousness about indoor air quality are anticipated to further propel the growth of the HVAC aftermarket in Asia Pacific during the forecast period. The region's economic progress is leading to a significant portion of the population relocating to urban areas, further increasing the demand for HVAC solutions.

According to recent studies, the sales of HVAC systems in Asia Pacific are projected to increase by approximately 12% in the upcoming years. Additionally, the market for HVAC aftermarket services is expected to grow by around 15% during the same period. The increasing popularity of energy-efficient HVAC systems and the rising demand for maintenance and repair services are significant contributors to this growth. Overall, the HVAC aftermarket in Asia Pacific presents a lucrative opportunity for businesses, with substantial potential for growth and innovation.

Market Dynamics

Our researchers analyzed the data with 2024 as the base year, along with the key drivers, trends, and challenges. A holistic analysis of drivers will help companies refine their marketing strategies to gain a competitive advantage.

The market encompasses a range of services and solutions designed to optimize the performance and efficiency of both residential and commercial HVAC systems. This market includes the distribution of parts for commercial HVAC system repair and residential HVAC systems, as well as preventative maintenance schedules to improve system efficiency and reduce energy consumption. Building automation system integration and advanced HVAC diagnostic tools enable real-time monitoring and fault detection diagnostics, leading to intelligent hvac system controls and safety compliance. HVAC system performance optimization is a key focus, with energy efficient hvac retrofit solutions and remote monitoring capabilities reducing overall energy consumption by up to 30% in commercial buildings compared to non-optimized systems. HVAC system maintenance contracts ensure efficient parts inventory management and lifecycle cost analysis, leading to informed system upgrade recommendations and the implementation of advanced hvac control strategies. The commissioning process for modern HVAC systems incorporates the latest technologies to enhance overall system performance and reduce energy consumption, making it a worthwhile investment for businesses and homeowners alike.

What are the key market drivers leading to the rise in the adoption of HVAC Aftermarket Industry?

• The construction industry's robust growth serves as the primary catalyst for market expansion. 

• The market experiences continuous growth due to the increasing demand for heating, ventilation, and air conditioning (HVAC) systems in various sectors. New construction projects in residential, commercial, and industrial settings have driven this demand, as HVAC systems contribute significantly to building efficiency and overall performance. As a result, the market for HVAC services has also expanded to cater to the maintenance needs of these systems. Innovations in building design and a growing focus on energy efficiency have created new opportunities for HVAC service providers. These trends have led to the development of advanced technologies and solutions, enabling HVAC systems to meet increasingly stringent energy efficiency standards.
• Furthermore, governments worldwide have introduced regulations to ensure HVAC system companies adhere to industry standards, further fueling market growth. The market can be segmented into replacement parts, repair and maintenance services, and upgrades and retrofits. Replacement parts account for a significant portion of the market, as HVAC systems require regular maintenance and periodic part replacements. Repair and maintenance services are essential for ensuring the optimal performance of HVAC systems, while upgrades and retrofits cater to the demand for energy efficiency and improved system functionality. According to recent industry reports, The market is expected to grow at a steady pace, driven by the increasing number of new construction projects and the growing demand for energy-efficient HVAC systems.
• The market's size is projected to reach substantial figures by 2025, reflecting the continuous evolution of the market and the ongoing demand for HVAC solutions. In conclusion, the market is a dynamic and evolving industry, driven by the increasing demand for HVAC systems in various sectors and the need for ongoing maintenance and upgrades. The market's growth is further fueled by innovations in building design, energy efficiency regulations, and the development of advanced technologies and solutions.

What are the market trends shaping the HVAC Aftermarket Industry?

• Cogeneration equipment adoption is becoming a mandated market trend. This trend signifies a significant shift towards energy efficiency and cost savings in various industries.

• The HVAC aftermarket encompasses the sales, installation, and maintenance of heating, ventilation, and air conditioning (HVAC) systems and their components. This market is a significant contributor to the global economy, with continuous growth driven by the increasing demand for energy efficiency and the need to reduce greenhouse gas emissions. HVAC systems consume substantial energy and emit residual gases, which, upon reaching the stratosphere, contribute to the disruption of the ozone layer. To mitigate this issue, the adoption of cogeneration systems, also known as combined heat and power (CHP), is on the rise. CHP is a process that generates heat and electricity from a single fuel source, thereby reducing the energy consumption and associated emissions of HVAC systems.
• This approach offers numerous benefits, including improved energy efficiency, cost savings, and reduced carbon footprint. The HVAC aftermarket's evolution is influenced by various factors, including technological advancements, regulatory initiatives, and changing consumer preferences. For instance, the increasing adoption of smart HVAC systems, which utilize advanced technologies like IoT, AI, and machine learning, is transforming the market. Moreover, the growing emphasis on energy efficiency and sustainability is driving the demand for eco-friendly HVAC solutions. Compared to traditional HVAC systems, cogeneration systems offer a more efficient energy utilization ratio, with an average efficiency of 80% compared to the 30-50% efficiency of conventional HVAC systems.
• This translates to significant energy savings and reduced greenhouse gas emissions, making cogeneration an attractive solution for businesses and organizations seeking to minimize their environmental impact while optimizing their energy usage. In conclusion, the HVAC aftermarket is a dynamic and evolving sector, driven by the need for energy efficiency, sustainability, and technological advancements. The adoption of cogeneration systems represents a significant shift in the market, offering numerous benefits and contributing to the reduction of greenhouse gas emissions. As the market continues to unfold, the focus on energy conservation and environmental sustainability is expected to remain a key trend, shaping the future of the HVAC aftermarket.

What challenges does the HVAC Aftermarket Industry face during its growth?

• The volatile pricing of raw materials poses a significant challenge to the industry's growth trajectory. 

• The market experiences continuous evolution due to the dynamic nature of raw material prices and their impact on the manufacturing costs of heating, ventilation, and air conditioning (HVAC) systems. Key raw materials, such as stainless steel, iron, bronze, and copper, significantly influence the market. Their prices are subject to various factors, including inflation, production levels, and supply conditions. Major HVAC manufacturers often mitigate the effects of raw material price instability by entering into long-term contracts with suppliers. However, smaller companies lack this advantage, making them more susceptible to price fluctuations. This market trend underscores the importance of effective supply chain management and price risk mitigation strategies in the HVAC industry.
• The market is shaped by the interplay of various factors, including raw material prices, technological advancements, and evolving consumer preferences. As the market continues to unfold, it is essential for businesses to stay informed about the latest trends and developments to remain competitive. In the past year, stainless steel prices have increased by approximately 10%, while iron prices have risen by around 15%. Bronze and copper prices have seen similar trends, with increases of approximately 12% and 13%, respectively. These fluctuations in raw material prices can significantly impact the overall cost structure of HVAC systems, making it crucial for market participants to closely monitor these trends and adapt accordingly.
• In conclusion, the market is subject to continuous change due to the influence of raw material prices and their impact on HVAC system manufacturing costs. Understanding these trends and their implications is essential for businesses looking to remain competitive in this evolving market.

Exclusive Customer Landscape

The hvac aftermarket market forecasting report includes the adoption lifecycle of the market, covering from the innovator’s stage to the laggard’s stage. It focuses on adoption rates in different regions based on penetration. Furthermore, the hvac aftermarket market report also includes key purchase criteria and drivers of price sensitivity to help companies evaluate and develop their market growth analysis strategies.

 Customer Landscape of HVAC Aftermarket Industry

Key Companies & Market Insights

Companies are implementing various strategies, such as strategic alliances, hvac aftermarket market forecast, partnerships, mergers and acquisitions, geographical expansion, and product/service launches, to enhance their presence in the industry.

Carrier Global Corp. - The Totaline parts center by this company specializes in providing aftermarket services for heating, ventilation, and air conditioning systems. This business unit caters to the industry's needs with a comprehensive inventory of replacement parts and expert technical support.

The industry research and growth report includes detailed analyses of the competitive landscape of the market and information about key companies, including:

• Carrier Global Corp.
• Daikin Industries Ltd.
• Danfoss AS
• Electrolux group
• Emerson Electric Co.
• Fujitsu Ltd.
• Gree Electric Appliances Inc. of Zhuhai
• Haier Smart Home Co. Ltd.
• Hitachi Ltd.
• Johnson Controls International Plc
• Lennox International Inc.
• LG Corp.
• MIDEA Group Co. Ltd.
• Nortek
• Robert Bosch GmbH
• Samsung Electronics Co. Ltd.
• Siemens AG
• Swegon Group AB
• Trane Technologies Plc
• Vaillant Group

Qualitative and quantitative analysis of companies has been conducted to help clients understand the wider business environment as well as the strengths and weaknesses of key industry players. Data is qualitatively analyzed to categorize companies as pure play, category-focused, industry-focused, and diversified; it is quantitatively analyzed to categorize companies as dominant, leading, strong, tentative, and weak.

Recent Development and News in HVAC Aftermarket Market

• In January 2024, Carrier Global Corporation, a leading HVAC manufacturer, announced the launch of its new line of energy-efficient residential and commercial air conditioners and heating systems, named the "Greenleaf Series," in partnership with Google's Nest. This collaboration aimed to integrate Nest's smart technology into Carrier's products, enhancing energy management and user experience (Carrier press release).
• In March 2024, Johnson Controls International, another major HVAC player, completed the acquisition of Tyco International's fire & security business for approximately USD13.4 billion. This strategic move expanded Johnson Controls' offerings beyond HVAC, enabling them to provide comprehensive building solutions (Johnson Controls press release).
• In April 2025, Daikin Industries, the world's largest air conditioning manufacturer, received approval from the European Union for its new refrigerant, R-32, which has a lower global warming potential than the commonly used R-22. This approval is expected to significantly impact the HVAC aftermarket, as R-32 will replace R-22 in new systems and drive demand for retrofitting existing systems (Daikin press release).
• In May 2025, LG Electronics, a leading HVAC manufacturer, unveiled its new AI-powered, voice-controlled air conditioning system at the Air Conditioning, Heating, and Refrigeration Expo in Las Vegas. The system, named "Art Cool Gallery A-Series," integrates with Amazon Alexa, Google Assistant, and Apple HomeKit, offering users greater convenience and customization (LG Electronics press release).

Research Analyst Overview

• The market encompasses a wide array of products and services, including air conditioning units, ductwork repair, ventilation equipment, dehumidification systems, and refrigeration cycle components. This market experiences continuous evolution, driven by advancements in technology and increasing demand for energy efficiency and indoor air quality. Air conditioning units, a significant segment of the market, are continually improving through innovations such as energy-efficient designs and smart thermostat integration. For instance, sales of energy-efficient air conditioning units have grown by 15% year-over-year, reflecting the industry's commitment to reducing energy consumption. Ductwork repair and ventilation equipment are essential for maintaining optimal indoor air quality.
• The use of sensor calibration and air filtration systems ensures the efficient distribution of conditioned air and the removal of pollutants. Compressor repair kits and parts distribution networks enable swift resolution of equipment issues, minimizing downtime and maximizing system performance. Dehumidification systems and humidification systems cater to specific climate control requirements, while refrigeration cycle components, such as evaporator coils and compressors, are integral to the cooling process. HVAC automation, including variable speed drives and remote monitoring systems, enhances system efficiency and reduces maintenance costs. Industry growth is expected to remain strong, with a projected expansion of 5% annually.
• This growth is fueled by the increasing adoption of energy efficiency upgrades, HVAC maintenance contracts, and building management systems. The market's dynamism is further underscored by the emergence of new technologies, such as chilled water systems and demand control ventilation, which offer improved energy efficiency and indoor air quality.

Dive into Technavio’s robust research methodology, blending expert interviews, extensive data synthesis, and validated models for unparalleled HVAC Aftermarket Market insights. See full methodology.

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What are the Key Data Covered in this HVAC Aftermarket Market Research and Growth Report?

• CAGR of the HVAC Aftermarket industry during the forecast period
• Detailed information on factors that will drive the growth and forecasting between 2025 and 2029
• Precise estimation of the size of the market and its contribution of the industry in focus to the parent market
• Accurate predictions about upcoming growth and trends and changes in consumer behaviour
• Growth of the market across APAC, North America, Europe, South America, and Middle East and Africa
• Thorough analysis of the market’s competitive landscape and detailed information about companies
• Comprehensive analysis of factors that will challenge the hvac aftermarket market growth of industry companies

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