The Asia Pacific Data Center Cooling Market would witness market growth of 16.8% CAGR during the forecast period (2025-2032).
The China market dominated the Asia Pacific Data Center Cooling Market by Country in 2024, and would continue to be a dominant market till 2032; thereby, achieving a market value of $5,131.3 million by 2032. The Japan market is registering a CAGR of 16.1% during (2025 - 2032). Additionally, The India market would showcase a CAGR of 17.6% during (2025 - 2032).
Heat waste recycling is another innovative approach driving sustainability in the data center industry. Rather than discharging surplus heat into the environment, data centers utilize it to repurpose it in adjacent facilities. Amazon’s data center in Dublin, Ireland, contributes its waste heat to a district heating system, providing hot water to local homes and businesses. Stockholm Data Parks in Sweden also encourage data centers to connect to the city’s heating grid, turning waste heat into a valuable energy resource while supporting regional sustainability initiatives.
The rising cost of downtime in data centers has made investing in reliable cooling systems a top priority for businesses. Downtime, frequently attributable to equipment malfunctions or overheating, can result in considerable financial losses, harm to reputation, and disruptions to operations. A 2023 study by the Uptime Institute reported that the average cost of a data center outage is approximately $10,000 per minute, with some high-profile incidents exceeding $1 million per event. Organizations use advanced cooling technologies like liquid and immersion to mitigate these risks.
Countries across the Asia Pacific region exhibit diverse technological infrastructures and economic priorities, yet they share a common need for scalable, energy-efficient cooling solutions to support their expanding data center ecosystems. India is emerging as a major data center hub, driven by government-led initiatives and a push for data localization laws. Similarly, Australia’s booming IT and telecom sectors are accelerating the demand for high-performance cooling systems to support cloud computing, 5G infrastructure, and digital transformation initiatives. Hong Kong remains a critical connectivity and commercial hub, serving as a strategic gateway to China. Greater Seoul, Korea’s largest data center sector, boasts a total capacity of 605 MW, traditionally dominated by domestic telecom firms and enterprises. Recent investments by international developers are expected to increase supply by two-thirds by 2026. Hence, as data localization laws and broadband expansion programs shape the market across the Asia Pacific region, efficient cooling solutions play a central role in supporting the region’s growing digital infrastructure.
Free Valuable Insights: The Global Data Center Cooling Market is Predict to reach USD 71.23 Billion by 2032, at a CAGR of 16.0%
Based on Type, the market is segmented into Non-Raised Floors and Raised Floors. Based on Component, the market is segmented into Solution (Air Conditioners, Precision Air Conditioners, Chillers, and Air Handling Units & Other) and Services (Installation & Deployment, Support & Consulting, and Maintenance Services). Based on Structure, the market is segmented into Row-Based Cooling, Room-Based Cooling, and Rack-Based Cooling. Based on Containment, the market is segmented into Raised Floor with Containment and Raised Floor without Containment. Based on Application, the market is segmented into Telecommunications, IT, Retail, BFSI, Healthcare, Energy, and Other Application. Based on countries, the market is segmented into China, Japan, India, South Korea, Singapore, Malaysia, and Rest of Asia Pacific.
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