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VRF Systems Market

VRF Systems Market Size, Share & Segmentation By System Type (Heat Recovery Systems, Heat Pump Systems) By Component (Outdoor Units, Installation Services, Indoor Units, Control Systems And Accessories) By Capacity (Up To 10 Tons, 11 To 18 Tons, 19 To 26 Tons, Above 26 Tons) By Application (Commercial, Residential, Others), By Regions And Global Forecast 2023-2030

Report Id: SNS/SEMI/2439 | July 2022 | Region: Global | 134 Pages

Report Scope & Overview:

The VRF Systems Market Size was valued at USD 22.05 billion in 2022, and is expected to reach USD 53.57 billion by 2030, and grow at a CAGR of 12.5% over the forecast period 2023-2030.

A variable refrigerant flow (VRF) system consists of a multi-split refrigerant solution with multiple indoor evaporators linked to a single condensing unit. These systems have a larger capacity and, as a result, control the refrigerant flow, improving energy efficiency. These systems are primarily used in the commercial sector, but they also have applications in buildings, educational institutions, healthcare facilities, hotels, and restaurants. The use of these systems increases the efficiency and power savings of HVAC systems.

VRF Systems Market Revenue Graph

MARKET DYNAMICS:

KEY DRIVERS:

  • Major players are concentrating their efforts on providing technologically advanced refrigerants for air conditioning and heat pump solutions.

  • VRF systems have a high energy-saving potential as well as simple and minimal maintenance requirements.

  • Growing construction industry and relaxation of FDI rules for the construction and real estate sectors

  • EU government regulations and policies governing construction products.

RESTRAINTS:

  • Expensive installation.

OPPORTUNITIES:

  • VRF systems are becoming more prevalent in residential and commercial applications.

  • There are numerous opportunities in developing countries.

CHALLENGES: 

  • In developing countries, there is a lack of understanding about VRF systems.

  • Refrigerant leaks have negative environmental consequences.

IMPACT OF COVID-19: 

Because air filtration, ventilation, and humidity are all critical components in risk reduction, demand for environmental management increased dramatically during the COVID-19 crisis. As a result, closing down the VRF Systems Market in the midst of a crisis is not a good idea. Filtration is an important part of ensuring indoor air quality (IAQ) because a virus cannot cause illness within the structure if it is captured in the filtration system. Because the most common way for COVID-19 to spread is through intimate human contact, some e-commerce companies temporarily banned deliveries of non-essential items, primarily electronics devices, affecting sales of electronic products in general and electronic filters in particular. The decline in sales of a variety of electronic devices has had an impact on VRF Systems Market demand. VRF Systems Market Revenue and VRF Systems Market Growth have declined as a result of the closure of retail establishments, showrooms, hypermarkets, and supermarkets.

Based on system type, the VRF Systems market is segmented into Heat Recovery Systems and Heat Pump Systems. Factors such as rising disposable income, increased awareness of energy efficiency, and rising energy costs will drive the residential VRF heat pump system market. These factors have increased the demand for energy-efficient devices that can help reduce both energy consumption and costs. VRF systems address all of these issues by utilising various control systems, thermostats, and sensors.

Based on application, the VRF Systems market is segmented into Commercial, Residential and Others. During the forecast period, VRF systems for residential applications are expected to grow at the fastest rate. VRF systems provide individual controls for each housing unit, making them highly energy-efficient and low-cost to operate. As a result, more and more property owners and managers are installing VRF air-conditioning systems. VRF systems are becoming the preferred choice for apartments and collective housing due to their long product life under harsh conditions, high air-conditioning performance, and excellent service.

Based on component, the VRF Systems market is segmented into Outdoor Units, Installation Services, Indoor Units and Control Systems and Accessories. Based on capacity, the VRF Systems market is segmented into Up to 10 Tons, 11 to 18 Tons, 19 to 26 Tons and above 26 Tons.

COMPETITIVE LANDSCAPE:

The key players in the VRF Systems market are LG Electronics, Daikin Industries, Fujitsu General Corporations, Toshiba Corporation, United Technologies Corporation, Mitsubishi Electrical, Midea Group, Johnson Controls, Lennox International and Ingersoll Rand PLC.

MARKET SEGMENTS:

BY SYSTEM TYPE

  • Heat Recovery Systems

  • Heat Pump Systems

BY COMPONENT

  • Outdoor Units

  • Installation Services

  • Indoor Units

  • Control Systems and Accessories

BY CAPACITY

  • Up to 10 Tons

  • 11 to 18 Tons

  • 19 to 26 Tons

  • Above 26 Tons

BY APPLICATION

  • Commercial

  • Residential

  • Others  

VRF Systems Market Segment Pie Chart

REGIONAL ANALYSIS:

According to the regional classification, Asia-Pacific has the largest market share during the historic forecast period and is expected to grow rapidly throughout the forecast period. One of the factors driving the growth of the Asia-Pacific VRF Systems market is the increasing demand for VRF systems from residential and commercial end-users. Furthermore, rising industrialization, urbanisation, and demand for high-tech gadgets such as wireless and linked devices are driving the VRF Systems Market forward. Furthermore, the presence of numerous manufacturers such as Daikin Industries Ltd., Fujitsu Limited, Mitsubishi Electric Corporation, and others drives the market. However, due to commercial businesses' increasing acceptance of VRF technology for energy savings and flexible designs, the North American region is expected to grow at a significant CAGR over the forecast period. Similarly, the growing integration of linked technology is driving market growth.

REGIONAL COVERAGE:

  • North America

    • USA

    • Canada

    • Mexico

  • Europe

    • Germany

    • UK

    • France

    • Italy

    • Spain

    • The Netherlands

    • Rest of Europe

  • Asia-Pacific

    • Japan

    • south Korea

    • China

    • India

    • Australia

    • Rest of Asia-Pacific

  • The Middle East & Africa

    • Israel

    • UAE

    • South Africa

    • Rest of Middle East & Africa

  • Latin America

    • Brazil

    • Argentina

    • Rest of Latin America

 

VRF Systems Market Report Scope:
Report Attributes Details
Market Size in 2022 US$ 22.05 Billion
Market Size by 2030 US$ 53.57 Billion
CAGR CAGR of 12.5% From 2023 to 2030
Base Year 2022
Forecast Period 2023-2030
Historical Data 2020-2021
Report Scope & Coverage Market Size, Segments Analysis, Competitive  Landscape, Regional Analysis, DROC & SWOT Analysis, Forecast Outlook
Key Segments • By System Type (Heat Recovery Systems, Heat Pump Systems)
• By Component (Outdoor Units, Installation Services, Indoor Units, Control Systems And Accessories)
• By Capacity (Up To 10 Tons, 11 To 18 Tons, 19 To 26 Tons, Above 26 Tons)
• By Application (Commercial, Residential, Others)
Regional Analysis/Coverage North America (USA, Canada, Mexico), Europe
(Germany, UK, France, Italy, Spain, Netherlands,
Rest of Europe), Asia-Pacific (Japan, South Korea,
China, India, Australia, Rest of Asia-Pacific), The
Middle East & Africa (Israel, UAE, South Africa,
Rest of Middle East & Africa), Latin America (Brazil, Argentina, Rest of Latin America)
Company Profiles LG Electronics, Daikin Industries, Fujitsu General Corporations, Toshiba Corporation, United Technologies Corporation, Mitsubishi Electrical, Midea Group, Johnson Controls, Lennox International and Ingersoll Rand PLC.
Key Drivers • Growing construction industry and relaxation of FDI rules for the construction and real estate sectors
• EU government regulations and policies governing construction products.
RESTRAINTS • Expensive installation.


Frequently Asked Questions (FAQ) :

The market value is expected to reach USD 44.9 billion by 2028.

The key players in the VRF Systems market are LG Electronics, Daikin Industries, Fujitsu General Corporations, Toshiba Corporation, United Technologies Corporation, Mitsubishi Electrical, Midea Group, Johnson Controls, Lennox International and Ingersoll Rand PLC.

VRF systems have a high energy-saving potential as well as simple and minimal maintenance requirements and Growing construction industry and relaxation of FDI rules for the construction and real estate sectors

Yes, and they are Raw material vendors, Distributors/traders/wholesalers/suppliers, Regulatory authorities, including government agencies and NGO, Commercial research & development (R&D) institutions, Importers and exporters, Government organizations, research organizations, and consulting firms, Trade/Industrial associations, End-use industries.

Manufacturers, Consultants, Association, Research Institutes, private and university libraries, suppliers, and distributors of the product.


Table of Contents

 

1. Introduction

1.1 Market Definition

1.2 Scope

1.3 Research Assumptions

 

2. Research Methodology

 

3. Market Dynamics

3.1 Drivers

3.2 Restraints

3.3 Opportunities

3.4 Challenges

 

4. Impact Analysis

4.1 COVID-19 Impact Analysis

4.2 Impact of Ukraine- Russia war

4.3 Impact of ongoing Recession

4.3.1 Introduction

4.3.2 Impact on major economies

4.3.2.1 US

4.3.2.2 Canada

4.3.2.3 Germany

4.3.2.4 France

4.3.2.5 United Kingdom

4.3.2.6 China

4.3.2.7 Japan

4.3.2.8 South Korea

4.3.2.9 Rest of the World

 

5. Value Chain Analysis

 

6. Porter’s 5 forces model

 

7.  PEST Analysis

  

8. VRF Systems Market Segmentation, by system type

8.1Introduction

8.2 Heat Recovery Systems

8.3 Heat Pump Systems

 

9. VRF Systems Market Segmentation, by component

9.1Introduction

9.2 Outdoor Units

9.3 Installation Services

9.4 Indoor Units

9.5 Control Systems and Accessories

 

10. VRF Systems Market Segmentation, by capacity

10.1 Introduction

10.2 Up to 10 Tons

10.3 11 to 18 Tons

10.4 19 to 26 Tons

10.5 Above 26 Tons

 

11. VRF Systems Market Segmentation, by application

11.1 Introduction

11.2 Commercial

11.3 Residential

11.4 Others  

 

12. Regional Analysis

12.1 Introduction

12.2 North America

12.2.1 USA

12.2.2 Canada

12.2.3 Mexico

12.3 Europe

12.3.1 Germany

12.3.2 UK

12.3.3 France

12.3.4 Italy

12.3.5 Spain

12.3.6 The Netherlands

12.3.7 Rest of Europe

12.4 Asia-Pacific

12.4.1 Japan

12.4.2 South Korea

12.4.3 China

12.4.4 India

12.4.5 Australia

12.4.6 Rest of Asia-Pacific

12.5 The Middle East & Africa

12.5.1 Israel

12.5.2 UAE

12.5.3 South Africa

12.5.4 Rest

12.6 Latin America

12.6.1 Brazil

12.6.2 Argentina

12.6.3 Rest of Latin America

 

13.Company Profiles

13.1 Midea Group

13.1.1 Financial

13.1.2 Products/ Services Offered

13.1.3 SWOT Analysis

13.1.4 The SNS view

13.2 LG Electronics

13.3 Daikin Industries

13.4 Fujitsu General Corporations

13.5 Toshiba Corporation

13.6 United Technologies Corporation

13.7 Mitsubishi Electrical

13.8 Johnson Controls

13.9 Lennox International

13..10 Ingersoll Rand PLC

 

14.Competitive Landscape

14.1 Competitive Benchmark

14.2 Market Share analysis

14.3 Recent Developments

 

15.Conclusion

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Secondary Research

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