Air Handling Units Market Expected to Reach $24.9 Billion by 2031—Allied Market Research

According to a new report published by Allied Market Research, titled, “Air Handling Units Market," The air handling units market size was valued at $12.6 billion in 2021, and is estimated to reach $24.9 billion by 2031, growing at a CAGR of 6.8% from 2022 to 2031.

An air handling unit, also known as an air handler, is a device used to condition and circulate air as a component of heating, ventilation, and air conditioning systems. This handler is typically a large metal box containing blowers, heating and cooling elements, filter chambers, silencers and dampers. Air handling units are connected to ducts to distribute conditioned (and heated or cooled) air throughout the building before returning to the AHU.

Increase in health issues associated with deteriorating indoor air quality and rise in environmental concerns are some of the factors contributing significantly to the increased demand for air handling units in buildings. Furthermore, rise in infrastructure development and green building initiatives by various developing and industrialized nations around the world are anticipated to boost the air handling units market opportunity. In addition, requirement of air handling units in airports, hotels, multiplexes, office buildings, schools, hotel restaurants and commercial complexes is expected to surge the air handling units market growth. In addition, increase in tall buildings and skyscrapers and increase in construction of commercial and residential buildings fuel the growth of the air handling units market.  In addition, infrastructural dominance for hotels, restaurants and other commercial establishments has become a matter of reputation and prestige. This factor coupled with need for better air conditioning facilities has created new opportunities for market growth.

The market is segmented on the basis of placement, business, end-user, and region. On the basis of placement, the market is divided into outdoor and indoor. On the basis of business, the market is divided into new installation and aftermarket. On the basis of end-user, the market is divided into residential, commercial and industrial. Region-wise, the market analysis is conducted across North America (the U.S., Canada, and Mexico), Europe (UK, France, Germany, Italy, and Rest of Europe), Asia-Pacific (China, Japan, India, South Korea, and Rest of Asia-Pacific), and LAMEA (Latin America, the Middle East, and Africa).

Major players have adopted product launch and acquisition as a key strategy to sustain the intense competition and improve the product portfolio. For instance, in April 2022, Systemair AB acquired Sagicofim S.p.A, which is leading international supplier with extensive experience within filtration and air distribution of handling units. It owns advanced production facility in Milan itself.  The acquisition aim to drive the sustainability transformation of air handling units. Such strategic moves are expected to provide lucrative growth in the market during the forecast period.

Asia-Pacific accounting for largest share of the global air handling units market share in terms of revenue in 2021, owing to increase in industrialization and rapid urbanization in countries such as China, India, Vietnam, and Indonesia boost the growth of construction activities, which further fuel the growth of the market

However, during the COVID-19 pandemic, various manufacturers in the air handling units market had to stop their business in countries such as China, the U.S., and India. This break directly impacted the sales of air handling units companies. In addition, lack of manpower and raw materials also constricted supply of equipment of air handling units, which negatively influenced the growth of the market. However, reopening of production facilities and introduction of vaccines for coronavirus disease are anticipated to lead to re-opening of air handling units companies.

KEY FINDINGS OF THE STUDY

• The report provides an extensive analysis of the current and emerging global air handling units market trends and dynamics. 
• Depending on placement, the outdoor segment has dominated the air handling units market, in terms of revenue in 2021 and indoor is projected to grow at a significant CAGR during the forecast period.
• By end-user, the commercial segment has registered highest revenue in 2021.
• Asia-Pacific is projected to register highest growth rate in the coming years.
• The key players within the global air handling units market are profiled in this report, and their strategies are analyzed thoroughly, which help understand competitive outlook of the air handling units industry.
• The air handling units market forecast analysis from 2022 to 2031 is included in the report.
• In-depth global air handling units market analysis is conducted by constructing estimations for the key segments between 2022 and 2031.