Absorption Chillers Market Expected to Reach $2.3 Billion by 2031—Allied Market Research

According to a new report published by Allied Market Research, titled, “Absorption Chillers Market," The absorption chillers market size was valued at $1.48 billion in 2021, which stood at 1.38 billion in 2018, and is estimated to reach $2.26 billion by 2031, growing at a CAGR of 4.2% from 2022 to 2031.

Commonly observed types of absorption chillers in the market are ammonia, and lithium bromide based absorption chillers. Lithium bromide chillers are utilized the most owing to its non-toxic, non-flammable, and overall safe nature; therefore, it accounted for a major market share in 2021. Whereas, the ammonia chillers are toxic and more corrosive. Furthermore, on the basis of energy source,the market is categorized into hot water heated, steam heated, and others. The hot water heated segment accounted for a higher revenue in 2021, attributed to the easy availability of hot water in the industries which is extracted from industrial machinery. Moreover, others segment include flue gas powered, and direct fired absorption chillers, and is expected to grow with a higher CAGR. Furthermore, the market is also analysed on the basis of applications of absorption chillers, in food and beverages, oil and gas, chemical, and other industries. The chemical segment accounted for the largest revenue share in 2021. This is attributed to the increasing demand for chemicals across the industries such as textiles, petrochemicals, and other industries that utilse chemicals in larhe volumes. Moreover, the application of absorption chillers in the food and beverages, is expected to grow with a higher CAGR.

Furthermore, the market is analyzed with respect to different end users of the absorption chillers, including residential, commercial, and industrial. Among these, the industrial segment registered higher revenue in 2021, owing to increasing industrialization, especially in the developing regions. The market is mainly driven by the increasing demand from the industrial & it sectors, the increasing number of institutional and commercial buildings, and the superiority of absorption chillers. However, initial setup and maintenance cost negatively impacts the growth of the market.  

In 2021, Asia-Pacific accounted for a major absorption chillers market share, in terms of revenue. Moreover, the market in LAMEA is anticipated to grow with the highest CAGR, owing to its high growth potential in the manufacturing industry. However, various businesses in the absorption chillers market had to stop their business in countries such as India, China, Vietnam, Germany, and the U.S., during the pandemic lockdown. This break directly impacted the sales of absorption chillers manufacturers. In addition, the lack of manpower and raw materials constricted the supply of raw materials for manufacturing various absorption chillers; and negatively influenced the absorption chillers market growth.  

However, after two years of the COVID-19 outbreak and the introduction of vaccinations, the severity of the pandemic has significantly reduced and key players in the market are recovering rapidly. Contrarily, emerging cases of COVID-19, especially in China can have a short-term negative impact on the market

Competitive analysis and profiles of the major players in the absorption chillers market, such as Carrier Global Corporation, Century Corporation, EAW Energieanlagenbau GmbH, Yazaki Corporation (Yazaki Energy Systems, Inc.), World Energy Co., Ltd., Kirloskar Group, Styne Group, Hitachi Ltd., Thermax Limited, LG Electronics Inc., Johnson Controls International plc, Shuangliang Eco-Energy Systems Company Ltd., BROAD U.S.A. INC., Bry-Air (Asia) Pvt. Ltd., Shinsung Engineering, EBARA THERMAL, SYSTEMS (THAILAND) CO., LTD., Heinen and Hopman, Trane, Kawasaki Thermal Engineering Co., Ltd., and AGO AG Energie + Anlagen, are analyzed and incorporated in the report. 

Key Findings of The Study 

• The report provides an extensive analysis of the current and emerging absorption chillers market trends and dynamics.   

• Depending on refrigerent type, the lithium bromide segment dominated the absorption chillers market in terms of revenue in 2021, and the same is expected to growth with a significant CAGR throughout the forecast period.

• By source of energy,he hot water heated segment accounted for a higher revenue in 2021. Moreover, by growing with a higher CAGR, the others segment is expected to dominate the absorption chillers market forecast. 

• By application,The chemical segment accounted for the largest revenue share in 2021, and the food and beverages segment is expected to witness growth with a higher CAGR during the forecast period. 

• By end-user industry, The Industrial segment was the highest revenue contributor to the market in 2021 and the commercial segment is expected to register a higher CAGR during the forecast period. 

• Asia-Pacific region was the largest contributor to the absorption chillers market revenue in 2021, and LAMEA is expected to grow by a high CAGR during the forecast period.  

• The key players within the absorption chillers market are profiled in this report, and their strategies are analyzed thoroughly, which help understand competitive outlook of the absorption chillers industry.  

• The report provides an extensive analysis of the current trends and emerging opportunities in the market.   

• In-depth absorption chillers market analysis is conducted by constructing estimations for the key segments between 2022 and 2031.