HVAC Packaged Units Market

HVAC Packaged Units Market: About the Report

Space constraint plays a major role in the ascending demand for HVAC packaged units. PMR’s report on this market explains in detail how stakeholders in the global HVAC packaged units are leveraging automated systems, artificial intelligence, and customized products to increase their share in this competitive market space. While North America and East Asia dominate the global HVAC packaged units market as far as share is concerned, over the coming years, South Asia & Pacific will also offer lucrative opportunities to players, allowing them to boost profits.

HVAC Packaged Units – Upward Trajectory Growth

In comparison with split type HVAC systems, where more components are involved, in HVAC packaged units, it is vice versa; all the parts come in a single package, which reduces installation cost, material cost, and others. In addition, HVAC packaged units are epitome for new additions; this avoids expenses of adding new ducts and replacement of the system with a new unit.

However, split systems need refrigerant lines to connect the parts for working properly; in effect, need extra cost for refrigerant lines as compared to HVAC packaged units. These cost-saving benefits of HVAC packaged units will go a long way in aiding the expansion of the global HVAC packaged units market size over the coming years.

Rising Construction Activities for Residential and Commercial Projects

In recent years, the residential and commercial construction industry has grown at a good pace. HVAC systems are one of the important components of residential flats, houses, farm houses, guest houses, and commercial facilities as well. Furthermore, space constraints in high-storied buildings drives the growth of the HVAC packaged units market.

Manufacturers are providing customized products to attract more customers to deal with the competition. Therefore, continuous growth in the construction sector is expected to drive the growth of the HVAC packaged units market. Furthermore, space constraints are expected to boost sales of HVAC packaged units in the future.

Automation of HVAC Packaged Units Creates Striking Opportunities

Implementation of smart and environmentally-beneficial HVAC packaged units is giving satisfactory benefits to customers as well as manufacturers. Use of smart technologies in HVAC systems is an emerging trend in the market. Automated HVAC systems allow the user to control HVAC packaged unit activities such as temperature control and humidity control with a single tap from a mobile application. Furthermore, advent of artificial intelligence is creating opportunities for growth in demand for HVAC packaged units.

Manufacturers are focused on developing innovative products that are economical and are compact, along with providing high reliability. Products are available in the HVAC packaged units market in varying capacities, suitable for residential as well as commercial applications.

Regional Outlook of HVAC Packaged Units Market

In terms of regional distribution, global demand for HVAC packaged units is dominated by North America, accounting for more than 40% of the HVAC packaged units market value share in 2019. Following North America, East Asia is expected to have the second-highest share in the market, and this regional market is expected to expand at a significant CAGR during the forecast period. The South Asia & Pacific region is projected to witness the highest growth rate in the global HVAC packaged units market throughout the forecast period.

Manufacturers’ Focus: Strategic Collaborations and Partnerships

The global HVAC packaged units market is a highly competitive market space. In order to better serve their global customer base as well as strengthen their product offerings, various companies are found to be involved in strategic mergers and acquisitions. Established players are looking forward to acquire domestic players with a strong distribution network to extend the promotion of parent companies and their product portfolios, and increase their customer base across regions.

COVID-19 Impact on HVAC Packaged Units Market

The outbreak of COVID-19 across the world has had a negative impact on the growth of the HVAC packaged units market. It has resulted in decreased production activities and trade embargoes, resulting in supply chain issues across regions. As a result, both production and demand have been hit. The market will get back to its normal growth trajectory with the containment of the pandemic over the coming months.

HVAC Packaged Units Market: Highly Competitive Space

The HVAC packaged units market is significantly consolidated, with several global players holding more than half of the market share. Penetration of small regional players will make this market more competitive over the coming years. Some of the key players in the global HVAC packaged units market are Daikin Corporation, Johnson controls, Midea Group, Carrier Corporation, Panasonic Corporation, Trane Technologies, GREE ELECTRIC APPLIANCES, Mitsubishi Electric, etc.

Analysts’ Viewpoint

Substantial increase in implementation of packaged units owing to minimal space requirement and efficient operations is expected to ascend demand for HVAC packaged units over the forecast period. Moreover, flourishing construction industry in developed and developing economies is creating positive prospects for demand growth. In order to attract customers, manufacturers are strategically planning for reduction in production costs and providing cost-effective products and services to customers. Furthermore, focus on providing customized products will also plays a pivotal role in market growth.