According to a recent study released by The Fredonia Group, the demand for HVAC equipment across the United States this year will increase to 6.8% with sales amount of $20.4 billion. This record shows nearly twofold of the heating and cooling demand rate on 2009 to 2014 period. This study presents the data of demand from 2004, 2009, and 2014, as well as forecasts the data on 2019 and 2024 by equipment, fuel type and market, with considerations to different factors that come into play.
The study reports that a huge part of the development is viewed to be the gain in building construction expenditures, particularly in repair and improvement. Also, the rising demand for high-efficiency HVAC systems and other comfort equipment with cutting-edge functionalities is observed to rule the market.
The report also stated that this 2019, HVAC equipment shipments will also grow to 6% with the amount of $16.5 billion. Importing of HVAC equipment affects the growing share of demands for all comfort products, going beyond 25% of the entire share.
Regulations will constantly drive demands in replacement. Besides that, regulations with regards to refrigerant usage and efficiency will continually have a positive impact on HVAC demands. The phase-out of R-22 by 2020, for instance, will encourage most HVAC owners in residential and commercial establishments to replace their old units with modern systems. Upgrading the existing units to use alternative refrigerants will become expensive as stocks deplete, stated by the report.
According to the report of The Fredonia Group, furnaces and heat pumps will become more in demand this 2019. Air conditioners, on the other hand, will still hold 44% of the total HVAC sale this year. With rising sales of heat pumps, demands will be supported in the non-residential market, where efficient units are highly considered (now that more high-value geothermal units are installed). Meanwhile, the rise of furnaces will continue in the residential market due to low upfront cost. The report also added that the non-residential market would continually comprise a large part of the total HVAC demand. This is because larger heating and cooling systems are used in buildings and establishments and their costs are higher than the equipment used in residential spaces. Stay tuned for more industry news! Besides providing high-quality HVAC services, our team at Kirk Air Conditioning & Heating also gives information and updates about the latest trends in the industry. Call us to know more!