The implementation of energy efficiency regulations and government incentives promoting smart and sustainable HVAC systems is further boosting industry expansion. Additionally, technological advancements such as IoT-enabled monitoring, AI-driven optimization, and integration with renewable energy systems are encouraging upgrades and new installations globally.

Government initiatives—including rebates, incentive programs, and clean heating and cooling equipment schemes across North America and Europe—are also expected to positively impact market growth. Moreover, the effects of climate change and the rising emphasis on indoor air quality are accelerating investments in air filtration and ventilation technologies worldwide.

Key Market Trends & Insights

Asia Pacific dominated the HVAC systems market, accounting for the largest revenue share of 46.8% in 2024.

The U.S. HVAC systems market is projected to grow at the fastest CAGR of 6.9% over the forecast period.

By equipment, the heating equipment segment is expected to expand at a CAGR of 7.4% (2025–2033) in terms of revenue.

By application, the commercial segment is anticipated to grow at a CAGR of 7.6% (2025–2033).

By distribution channel, the online segment is forecasted to register the fastest CAGR of 7.8% (2025–2033).

Download a free sample PDF of the HVAC Systems Market Intelligence Study by Grand View Research.

Market Size & Forecast

2024 Market Size: USD 241.52 Billion

2033 Projected Market Size: USD 445.73 Billion

CAGR (2025–2033): 7.0%

Asia Pacific: Largest regional market in 2024

Competitive Landscape

The global HVAC systems market is moderately consolidated, with major players focusing on technological innovation, product diversification, and strategic expansion to strengthen their market presence.

Carrier Corporation provides a wide range of products, including heat pumps, air conditioners, boilers, furnaces, air purifiers, humidifiers, dehumidifiers, ventilators, air scrubbers, thermostats, UV lamps, energy services, and building controls catering to the retail, commercial, transport, and foodservice sectors. Initially acquired by United Technologies Corporation in 1979, Carrier became an independent company in April 2020.

Daikin Industries, Ltd. offers comprehensive solutions, including air-conditioning systems, room heating and hot water supply systems, packaged and central air-conditioning systems, and industrial climate control systems for plants, facilities, and office buildings.

Prominent Companies Include

Carrier Corporation

Daikin Industries, Ltd.

Fujitsu

Haier Group

Panasonic Corporation

AAON

Johnson Controls

LG Electronics