The Global Industrial Cooling Systems Market size is expected to reach $23.4 billion by 2030, rising at a market growth of 5.6% CAGR during the forecast period.
To preserve product quality, increase shelf life, and guarantee food safety, cooling systems with hygienic features, clean-in-place (CIP) capabilities, and accurate temperature control are desired. Therefore, the Food & Beverage segment will acquire approximately 85% share in the market by 2030, as it’s crucial in refrigeration, fermentation, cold storage, and product chilling. The expansion of the market is anticipated to be driven by hygienic design and adherence to food safety laws. Some of the factors impacting the market are growing demand for energy efficiency, government assistance for improving cold chain infrastructure, and costly installations and complicated installation-related issues.
Advancements in technology have given rise to industrial cooling systems that are more effective and environmentally benign. These developments include creating sophisticated cooling materials, clever cooling systems, and enhanced exchangers for heat, all of which draw companies eager to streamline their operations. Aside from the numerous environmental advantages of optimizing cooling and refrigeration systems, cutting-edge technology and knowledge of best practices can result in more than 15% energy savings with free or low capital investments. Moreover, Food loss and wastage are primarily caused by inadequate cold chain infrastructure. Due to issues including incorrect handling, inadequate infrastructure, lack of access to cold chains, a lack of energy resources to power these cold chain facilities, and other issues, the shelf life of vegetables, fish, meat, fruits, and dairy products is drastically reduced. Thus, to comply with requirements and reduce their carbon footprints, businesses are adopting greener cooling solutions at an increasing rate and the increasing demand for cold chain infrastructure is propelling the growth of the market.
However, Industrial cooling systems are relatively expensive to construct for the cold storage and supply chain. Setting up sensors and network connections is expensive. Additionally, considerable investment is required to move high-value cargo over long distances while maintaining the proper temperature. The biggest obstacle to implementing such systems is cost, particularly for small and medium-sized organizations. This barrier is particularly important for these businesses because many companies in the food industry are SMEs and sometimes operate on thin margins. As a result, it could be challenging to identify the sorts of errors, solve scale visualization issues, and develop fixes. Thus, the aforementioned problems could limit the market's expansion in the upcoming years.
By function, the market is divided into stationary cooling and transport cooling. The transport cooling segment procured a remarkable growth rate in the market in 2022. Transport cooling systems, or refrigeration units, are necessary when transporting perishable commodities. Transport cooling units are mounted on vans, shipping containers, semi-vehicles, pickup trucks, and rail carts. Insulation material, a condenser, a compressor, and an evaporator make up these systems, which are placed in automobiles.
Based on end-user, the market is characterized into food & beverage, chemical, pharmaceuticals, utility & power, oil & gas, and others. The chemical segment garnered the highest revenue share in the market in 2022. A facility used to generate or purify chemicals is known as a chemical process plant. For the plant to adequately chill the water and maintain a smooth manufacturing process, a dependable and effective cooling system is necessary. Any chemical processing facility needs a cooling tower because it ensures that the right amount and cold-water temperature are always delivered, maintaining the ideal process conditions.
The leading players in the market are competing with diverse innovative offerings to remain competitive in the market. The above illustration shows the percentage of revenue shared by some of the leading companies in the market. The leading players of the market are adopting various strategies in order to cater demand coming from the different industries. The key developmental strategies in the market are Acquisitions, and Partnerships & Collaborations.
On the basis of product type, the market is classified into air cooling, evaporative cooling, water cooling, and hybrid cooling. The evaporative cooling segment recorded the largest revenue share in the market in 2022. Due to its many advantages, such as energy savings, economic effectiveness, and low maintenance requirements, evaporative process cooling is becoming increasingly popular. These systems are eco-friendly because they don't use hazardous chemicals or refrigerants and can deliver efficient cooling while using much less energy. Industries trying to lower their operational costs as well as environmental implications find this energy efficiency particularly enticing.
| Report Attribute | Details |
|---|---|
| Market size value in 2022 | USD 15.3 Billion |
| Market size forecast in 2030 | USD 23.4 Billion |
| Base Year | 2022 |
| Historical Period | 2019 to 2021 |
| Forecast Period | 2023 to 2030 |
| Revenue Growth Rate | CAGR of 5.6% from 2023 to 2030 |
| Number of Pages | 262 |
| Number of Table | 380 |
| Report coverage | Market Trends, Revenue Estimation and Forecast, Segmentation Analysis, Regional and Country Breakdown, Market Share Analysis, Companies Strategic Developments, Company Profiling |
| Segments covered | Function, Product Type, End-user, Region |
| Country scope | US, Canada, Mexico, Germany, UK, France, Russia, Spain, Italy, China, Japan, India, South Korea, Singapore, Malaysia, Brazil, Argentina, UAE, Saudi Arabia, South Africa, Nigeria |
| Growth Drivers |
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| Restraints |
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Region wise, the market is analyzed across North America, Europe, Asia Pacific, and LAMEA. The Asia Pacific segment acquired the highest revenue share in the market in 2022. The market in the Asia Pacific region is predicted to grow quickly due to the substantial development potential of cold chain storage infrastructure in countries like Japan, India, and China. China is the largest producer of vegetables and fruits worldwide, followed by India. Crops from China and India are sold all over the world. The various governments have started several initiatives to expand cold storage management and enhance refrigeration as well as refrigerated warehouse administration in their respective countries.
Free Valuable Insights: Global Industrial Cooling Systems Market size to reach USD 23.4 Billion by 2030
The market research report covers the analysis of key stake holders of the market. Key companies profiled in the report include Airedale International Air Conditioning Ltd. (Modine Manufacturing Company), Emerson Electric Co., GEA Group AG, Johnson Controls International PLC, Schneider Electric SE, SPX Technologies, Inc., Baltimore Aircoil Company, Inc. (Amsted Industries), Brentwood Industries, Inc., Star Cooling Tower Pvt Ltd. and Rittal GmbH & Co. KG (Friedhelm Loh Stiftung & Co. KG).
By End-user
By Function
By Product Type
By Geography
This Market size is expected to reach $23.4 billion by 2030.
Growing demand for energy efficiency are driving the Market in coming years, however, Costly installations and complicated installation-related issues restraints the growth of the Market.
Airedale International Air Conditioning Ltd. (Modine Manufacturing Company), Emerson Electric Co., GEA Group AG, Johnson Controls International PLC, Schneider Electric SE, SPX Technologies, Inc., Baltimore Aircoil Company, Inc. (Amsted Industries), Brentwood Industries, Inc., Star Cooling Tower Pvt Ltd. and Rittal GmbH & Co. KG (Friedhelm Loh Stiftung & Co. KG).
The expected CAGR of this Market is 5.6% from 2023 to 2030.
The Stationary Cooling segment is leading the Market by Function in 2022; thereby, achieving a market value of $15.3 billion by 2030.
The Asia Pacific market dominated the Market by Region in 2022 and would continue to be a dominant market till 2030; thereby, achieving a market value of $9.5 billion by 2030.
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