December 13, 2012
Economic prospects are looking brighter for the HVAC industry on the eve of 2013, as companies involved in heating, ventilation, and air conditioning and related industries see potential for growth in a resurgence in the housing market and consumer interest and investment in green HVAC equipment, according to a new report from energy market research publisher SBI Energy, Rockville, Md.
The U.S. market for HVAC manufacturing is recovering from a period of economic setback that started in 2008. HVAC manufacturers had previously enjoyed a period of steady growth from 1997 to 2006, when equipment sales for heating systems and air conditioners increased 41 percent and 45 percent, respectively. The economic downturn and depressed real estate selling market then led to layoffs and temporary work stoppages at factories that manufacture HVAC equipment.
"Growth of the industry will begin to accelerate by 2015," said Darren Bosik, analyst with SBI market research publishing, "when the impact of government-funded initiatives is felt in U.S. construction and housing industries, most notably the movement to construct zero-energy buildings (ZEB)." Critical to the growth of HVAC manufacturing is the resurgence of U.S. household remodeling and the recovery of new construction and housing and related industries such as steel.
Driving the total HVAC equipment manufacturing growth to 2017 will be heat transfer equipment and air source heat pumps. The two categories are characterized by lower unit costs, and demand will increase with an expected boom in construction projects that require replacements of these products.
Sustainable technologies and products, including electric air source and geothermal heating pumps, and a trend toward constructing ZEBs — buildings that produce as much energy as they consume — will further fuel a return to growth in the HVAC market. SBI Energy projects the total shipment value of HVAC manufacturing products to reach $14.5 billion in 2012, growing to nearly $17 billion by 2017.
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