GITNUXREPORT 2025

Supply Chain In The Hvac Industry Statistics

HVAC industry growth, sustainability, IoT, and supply chain challenges shape future.

Jannik Linder

Co-Founder of Gitnux, specialized in content and tech since 2016.

First published: April 29, 2025

Our Commitment to Accuracy

Rigorous fact-checking • Reputable sources • Regular updatesLearn more

Statistic 1

The global demand for HVAC equipment is expected to grow at a compound annual growth rate (CAGR) of 5.9% from 2021 to 2028

Statistic 2

HVAC equipment installation trends show a 45% increase in smart thermostats over the past five years

Statistic 3

The adoption of IoT-enabled HVAC systems is expected to grow at a CAGR of 17.4% between 2020 and 2027

Statistic 4

The adoption rate of green HVAC solutions has increased by 33% in the last three years

Statistic 5

Approximately 65% of new commercial buildings in developed countries incorporate some form of advanced HVAC technology

Statistic 6

The average lifespan of HVAC units can range from 10-15 years, influencing replacement cycles and supply chain demands

Statistic 7

During supply chain disruptions, lead times for HVAC components can increase by up to 30%, affecting project timelines

Statistic 8

80% of HVAC manufacturers have reported supply constraints during the COVID-19 pandemic

Statistic 9

The refrigeration segment within HVAC is expected to grow at a CAGR of 6.1% from 2022 to 2029

Statistic 10

55% of HVAC companies are investing in digital transformation initiatives, including supply chain management improvements

Statistic 11

Demand for energy-efficient HVAC systems in emerging markets is projected to grow at a CAGR of 7.2% through 2030

Statistic 12

The adoption of variable refrigerant flow (VRF) systems has increased by 28% in the last three years, impacting supply chain logistics

Statistic 13

The use of modular HVAC units is rising, providing faster installation and easier logistics, accounting for 35% of new projects in 2023

Statistic 14

Around 60% of HVAC contractors reported difficulty sourcing certain electronic components in 2022, impacting the supply chain

Statistic 15

70% of HVAC equipment failures are due to improper maintenance, highlighting the importance of supply chain reliability for replacement parts

Statistic 16

The average cost of HVAC components has increased by 15% over the past two years due to supply chain inflation, impacting project costs

Statistic 17

HVAC industry profit margins are typically around 8-12%, sensitive to supply chain disruptions that can reduce margins by up to 5%

Statistic 18

The adoption of renewable energy-enabled HVAC systems, such as solar cooling, grew by 12% globally in 2022, influencing supply chain demand for new components

Statistic 19

HVAC installation projects in commercial buildings are expected to grow at a CAGR of 4.8% through 2027, increasing component demand

Statistic 20

The supply chain for HVAC filter materials saw a 22% increase in raw material costs in 2022, affecting production and pricing

Statistic 21

40% of HVAC manufacturers have adopted just-in-time (JIT) inventory strategies to combat supply chain delays, increasing inventory turnover rates

Statistic 22

The share of smart HVAC systems in new residential construction has increased from 15% in 2018 to over 45% in 2023, impacting supply chain logistics

Statistic 23

The global demand for HVAC dehumidifiers grew by 9% in 2022, driven by increased awareness of indoor air quality, affecting supply chain planning

Statistic 24

35% of HVAC companies reported difficulties in sourcing electronic control units in 2023, affecting production timelines

Statistic 25

The adoption rate of energy recovery ventilators (ERVs) increased by 18% from 2020 to 2023 in commercial buildings, influencing component sourcing

Statistic 26

60% of HVAC suppliers reported increased lead times for electronic sensors in 2023, affecting manufacturing schedules

Statistic 27

The use of modular heat pumps increased by 25% in 2022, enabling faster deployment and supply chain flexibility

Statistic 28

Energy-efficient HVAC systems can reduce operational costs by up to 25%, influencing customer demand and supply chain planning

Statistic 29

Approximately 40% of HVAC manufacturers plan to shift toward locally sourced materials to mitigate global supply chain risks by 2025

Statistic 30

The integration of AI in HVAC systems for predictive analytics is expected to grow at a CAGR of 20% through 2027, influencing component supply chains

Statistic 31

The refurbishment and retrofitting market for HVAC systems is growing at a CAGR of 6.2%, requiring a reliable supply chain for replacement technologies

Statistic 32

HVAC microclimate control systems are gaining popularity in data centers, expected to grow at a CAGR of 7.3% through 2025, affecting component supply chains

Statistic 33

In 2022, 22% of HVAC companies increased their inventory holdings of critical components to buffer against supply chain disruptions

Statistic 34

The installation and maintenance services segment is expected to account for over 60% of HVAC industry revenue by 2025, emphasizing the importance of a resilient supply chain for spare parts

Statistic 35

The global market for HVAC insulation materials is forecasted to grow at a CAGR of 4.9% from 2022 to 2028, impacting supply chains for raw materials

Statistic 36

58% of HVAC contractors in 2023 indicated that supply chain delays have led to project postponements, affecting overall market growth

Statistic 37

The global market share of ductless mini-split systems within HVAC grew from 12% in 2017 to over 25% in 2023, altering supply chain logistics

Statistic 38

The average cost of HVAC refrigerant materials increased by 18% in 2022 due to supply chain constraints, influencing overall project budgets

Statistic 39

The adoption of cloud-based HVAC management systems is expected to grow at a CAGR of 16% from 2022 to 2028, impacting supply chain data requirements and integration

Statistic 40

HVAC system integration in smart cities is projected to drive a compound annual growth rate of 8.4% from 2023 to 2030, influencing urban supply chains

Statistic 41

The share of renewable energy sources powering HVAC systems increased by 10% globally in 2022, impacting component and energy sourcing supply chains

Statistic 42

The global demand for HVAC filters is expected to grow at a CAGR of 5.5% from 2022 to 2030, driven by health and safety standards

Statistic 43

Gender diversity initiatives in the HVAC supply chain have increased by 40% since 2020, aiming to improve innovation and resilience

Statistic 44

The growth of demand for personalized HVAC solutions in residential markets is projected to grow at a CAGR of 9% through 2028, affecting supply chain customization needs

Statistic 45

The adoption of energy management systems (EMS) in HVAC in commercial buildings is anticipated to increase at a CAGR of 12.3% from 2022 to 2030, influencing supply chain logistics for EMS components

Statistic 46

50% of HVAC companies have reported challenges in sourcing high-quality controls and sensors in 2023, leading to delays and increased costs

Statistic 47

By 2025, over 70% of HVAC systems installed in new buildings are expected to incorporate IoT features, demanding a resilient and innovative supply chain

Statistic 48

Many HVAC companies are expanding their global supply networks, with 65% increasing their supplier base outside of traditional markets post-2020

Statistic 49

The rise of modular HVAC manufacturing has led to a 30% reduction in inventory costs for some companies, facilitating quicker responses to market demand

Statistic 50

In 2022, 40% of HVAC manufacturers reported a surge in demand for smart sensor technology, affecting sourcing and procurement strategies

Statistic 51

The global HVAC market size was valued at approximately $240 billion in 2021 and is projected to reach $434 billion by 2030

Statistic 52

Europa’s HVAC market alone is projected to reach $97 billion by 2025

Statistic 53

The HVAC service market is projected to reach $130 billion globally by 2028, with a CAGR of 4.5%

Statistic 54

The global HVAC controls market was valued at $8.2 billion in 2021 and is anticipated to reach $14 billion by 2028

Statistic 55

The total number of HVAC service technicians in the US was estimated at approximately 300,000 in 2021, with a projected growth of 8% through 2031

Statistic 56

The global market for HVAC pumps is projected to grow from $5.4 billion in 2022 to $8.3 billion by 2029, with supply chain implications

Statistic 57

The global smart HVAC systems market is projected to reach $30 billion by 2027, driven by increased demand for remote management

Statistic 58

The global market for air handling units (AHUs) is forecasted to reach $8 billion by 2026, with supply chain implications for manufacturing and distribution

Statistic 59

The global market for ducted air conditioning systems is projected to reach $15 billion by 2027, influencing raw material and component supply chains

Statistic 60

Retail, commercial, and residential sectors dominate HVAC sales, accounting for over 70% of the market

Statistic 61

HVAC industry accounts for about 10-15% of total global energy consumption annually

Statistic 62

HVAC manufacturing companies globally are investing over $2 billion annually in R&D for sustainable and energy-efficient systems

Statistic 63

The use of recycled and sustainable materials in HVAC manufacturing increased by 20% from 2019 to 2022

Statistic 64

Green HVAC solutions reduce energy consumption by approximately 25-30% compared to traditional systems

Statistic 65

The HVAC industry is responsible for approximately 5% of global CO2 emissions, driving push for sustainable solutions

Statistic 66

Sustainable HVAC refrigerants like R32 and R290 accounted for 68% of refrigerant sales in 2022, impacting supply chain material sourcing

Statistic 67

The use of alternative refrigerants reduces the environmental impact of HVAC systems, encouraging supply chain shifts to eco-friendly materials

Statistic 68

The rising adoption of eco-label standards in HVAC products is expected to increase supply chain complexity and costs, with 40% of manufacturers noting additional certification requirements in 2022

Statistic 69

Energy-efficient HVAC systems associated with LEED certification are increasingly mandated in new construction projects, affecting supply chain specifications

Statistic 70

The use of environmentally friendly refrigerants in HVAC increased adoption by 25% between 2020 and 2023, shifting raw material supply chains

Statistic 71

The installation of energy-efficient HVAC systems in government buildings is mandated in over 50 countries, influencing demand and supply chain logistics

Statistic 72

The implementation of eco-labels and sustainability standards in HVAC products increased product compliance costs by 15% in 2022, impacting supply chain management

Statistic 73

The implementation of predictive maintenance technology in HVAC reduces downtime by approximately 20%, improving supply chain efficiency

Statistic 74

In 2022, the HVAC industry invested approximately $150 million in smart HVAC technology R&D, aiming to improve energy efficiency and supply chain integration

Statistic 75

The use of modular and prefabricated HVAC units has led to a 20% reduction in installation time, impacting supply chain planning

Statistic 76

In 2023, 43% of HVAC manufacturers reported implementing blockchain technology to improve supply chain transparency and security

Slide 1 of 76

Sources

Our Reports have been cited by:

Trust Badges - Publications that have cited our reports

Key Highlights

The global HVAC market size was valued at approximately $240 billion in 2021 and is projected to reach $434 billion by 2030
HVAC industry accounts for about 10-15% of total global energy consumption annually
The global demand for HVAC equipment is expected to grow at a compound annual growth rate (CAGR) of 5.9% from 2021 to 2028
Europa’s HVAC market alone is projected to reach $97 billion by 2025
Retail, commercial, and residential sectors dominate HVAC sales, accounting for over 70% of the market
HVAC equipment installation trends show a 45% increase in smart thermostats over the past five years
The adoption of IoT-enabled HVAC systems is expected to grow at a CAGR of 17.4% between 2020 and 2027
HVAC manufacturing companies globally are investing over $2 billion annually in R&D for sustainable and energy-efficient systems
The adoption rate of green HVAC solutions has increased by 33% in the last three years
Approximately 65% of new commercial buildings in developed countries incorporate some form of advanced HVAC technology
The HVAC service market is projected to reach $130 billion globally by 2028, with a CAGR of 4.5%
The average lifespan of HVAC units can range from 10-15 years, influencing replacement cycles and supply chain demands
During supply chain disruptions, lead times for HVAC components can increase by up to 30%, affecting project timelines

As the HVAC industry gears toward a $434 billion global market by 2030, its intricate supply chain is evolving rapidly—driven by surging demand for smart, sustainable, and energy-efficient solutions—highlighting both opportunities and challenges in ensuring reliable, eco-friendly, and innovative heating and cooling systems worldwide.

Industry Trends and Market Dynamics

The global demand for HVAC equipment is expected to grow at a compound annual growth rate (CAGR) of 5.9% from 2021 to 2028
HVAC equipment installation trends show a 45% increase in smart thermostats over the past five years
The adoption of IoT-enabled HVAC systems is expected to grow at a CAGR of 17.4% between 2020 and 2027
The adoption rate of green HVAC solutions has increased by 33% in the last three years
Approximately 65% of new commercial buildings in developed countries incorporate some form of advanced HVAC technology
The average lifespan of HVAC units can range from 10-15 years, influencing replacement cycles and supply chain demands
During supply chain disruptions, lead times for HVAC components can increase by up to 30%, affecting project timelines
80% of HVAC manufacturers have reported supply constraints during the COVID-19 pandemic
The refrigeration segment within HVAC is expected to grow at a CAGR of 6.1% from 2022 to 2029
55% of HVAC companies are investing in digital transformation initiatives, including supply chain management improvements
Demand for energy-efficient HVAC systems in emerging markets is projected to grow at a CAGR of 7.2% through 2030
The adoption of variable refrigerant flow (VRF) systems has increased by 28% in the last three years, impacting supply chain logistics
The use of modular HVAC units is rising, providing faster installation and easier logistics, accounting for 35% of new projects in 2023
Around 60% of HVAC contractors reported difficulty sourcing certain electronic components in 2022, impacting the supply chain
70% of HVAC equipment failures are due to improper maintenance, highlighting the importance of supply chain reliability for replacement parts
The average cost of HVAC components has increased by 15% over the past two years due to supply chain inflation, impacting project costs
HVAC industry profit margins are typically around 8-12%, sensitive to supply chain disruptions that can reduce margins by up to 5%
The adoption of renewable energy-enabled HVAC systems, such as solar cooling, grew by 12% globally in 2022, influencing supply chain demand for new components
HVAC installation projects in commercial buildings are expected to grow at a CAGR of 4.8% through 2027, increasing component demand
The supply chain for HVAC filter materials saw a 22% increase in raw material costs in 2022, affecting production and pricing
40% of HVAC manufacturers have adopted just-in-time (JIT) inventory strategies to combat supply chain delays, increasing inventory turnover rates
The share of smart HVAC systems in new residential construction has increased from 15% in 2018 to over 45% in 2023, impacting supply chain logistics
The global demand for HVAC dehumidifiers grew by 9% in 2022, driven by increased awareness of indoor air quality, affecting supply chain planning
35% of HVAC companies reported difficulties in sourcing electronic control units in 2023, affecting production timelines
The adoption rate of energy recovery ventilators (ERVs) increased by 18% from 2020 to 2023 in commercial buildings, influencing component sourcing
60% of HVAC suppliers reported increased lead times for electronic sensors in 2023, affecting manufacturing schedules
The use of modular heat pumps increased by 25% in 2022, enabling faster deployment and supply chain flexibility
Energy-efficient HVAC systems can reduce operational costs by up to 25%, influencing customer demand and supply chain planning
Approximately 40% of HVAC manufacturers plan to shift toward locally sourced materials to mitigate global supply chain risks by 2025
The integration of AI in HVAC systems for predictive analytics is expected to grow at a CAGR of 20% through 2027, influencing component supply chains
The refurbishment and retrofitting market for HVAC systems is growing at a CAGR of 6.2%, requiring a reliable supply chain for replacement technologies
HVAC microclimate control systems are gaining popularity in data centers, expected to grow at a CAGR of 7.3% through 2025, affecting component supply chains
In 2022, 22% of HVAC companies increased their inventory holdings of critical components to buffer against supply chain disruptions
The installation and maintenance services segment is expected to account for over 60% of HVAC industry revenue by 2025, emphasizing the importance of a resilient supply chain for spare parts
The global market for HVAC insulation materials is forecasted to grow at a CAGR of 4.9% from 2022 to 2028, impacting supply chains for raw materials
58% of HVAC contractors in 2023 indicated that supply chain delays have led to project postponements, affecting overall market growth
The global market share of ductless mini-split systems within HVAC grew from 12% in 2017 to over 25% in 2023, altering supply chain logistics
The average cost of HVAC refrigerant materials increased by 18% in 2022 due to supply chain constraints, influencing overall project budgets
The adoption of cloud-based HVAC management systems is expected to grow at a CAGR of 16% from 2022 to 2028, impacting supply chain data requirements and integration
HVAC system integration in smart cities is projected to drive a compound annual growth rate of 8.4% from 2023 to 2030, influencing urban supply chains
The share of renewable energy sources powering HVAC systems increased by 10% globally in 2022, impacting component and energy sourcing supply chains
The global demand for HVAC filters is expected to grow at a CAGR of 5.5% from 2022 to 2030, driven by health and safety standards
Gender diversity initiatives in the HVAC supply chain have increased by 40% since 2020, aiming to improve innovation and resilience
The growth of demand for personalized HVAC solutions in residential markets is projected to grow at a CAGR of 9% through 2028, affecting supply chain customization needs
The adoption of energy management systems (EMS) in HVAC in commercial buildings is anticipated to increase at a CAGR of 12.3% from 2022 to 2030, influencing supply chain logistics for EMS components
50% of HVAC companies have reported challenges in sourcing high-quality controls and sensors in 2023, leading to delays and increased costs
By 2025, over 70% of HVAC systems installed in new buildings are expected to incorporate IoT features, demanding a resilient and innovative supply chain
Many HVAC companies are expanding their global supply networks, with 65% increasing their supplier base outside of traditional markets post-2020
The rise of modular HVAC manufacturing has led to a 30% reduction in inventory costs for some companies, facilitating quicker responses to market demand
In 2022, 40% of HVAC manufacturers reported a surge in demand for smart sensor technology, affecting sourcing and procurement strategies

Industry Trends and Market Dynamics Interpretation

As the HVAC industry heats up with a 5.9% global demand CAGR and a surge in smart, green, and IoT-enabled solutions, supply chains are feeling the pressure—often cooling their heels due to increased lead times, raw material costs, and sourcing challenges—highlighting that even in climate control, the real temperature relay is a resilient, tech-driven supply chain.

Market Size and Valuation

The global HVAC market size was valued at approximately $240 billion in 2021 and is projected to reach $434 billion by 2030
Europa’s HVAC market alone is projected to reach $97 billion by 2025
The HVAC service market is projected to reach $130 billion globally by 2028, with a CAGR of 4.5%
The global HVAC controls market was valued at $8.2 billion in 2021 and is anticipated to reach $14 billion by 2028
The total number of HVAC service technicians in the US was estimated at approximately 300,000 in 2021, with a projected growth of 8% through 2031
The global market for HVAC pumps is projected to grow from $5.4 billion in 2022 to $8.3 billion by 2029, with supply chain implications
The global smart HVAC systems market is projected to reach $30 billion by 2027, driven by increased demand for remote management
The global market for air handling units (AHUs) is forecasted to reach $8 billion by 2026, with supply chain implications for manufacturing and distribution
The global market for ducted air conditioning systems is projected to reach $15 billion by 2027, influencing raw material and component supply chains

Market Size and Valuation Interpretation

As the HVAC industry heats up and expands its annual revenue to nearly half a trillion dollars by 2030, the growing demand for smart, efficient, and remote-managed systems signals not only technological innovation but also an urgent need to streamline supply chains to keep pace with this cool future.

Regional and Sector-Specific Insights

Retail, commercial, and residential sectors dominate HVAC sales, accounting for over 70% of the market

Regional and Sector-Specific Insights Interpretation

Given that retail, commercial, and residential sectors command over 70% of HVAC sales, it’s clear that the supply chain’s heartbeat largely depends on these sectors’ heating, cooling, and ventilation needs—making them the thermostats of industry stability.

Sustainability, Regulations, and Eco-friendly Initiatives

HVAC industry accounts for about 10-15% of total global energy consumption annually
HVAC manufacturing companies globally are investing over $2 billion annually in R&D for sustainable and energy-efficient systems
The use of recycled and sustainable materials in HVAC manufacturing increased by 20% from 2019 to 2022
Green HVAC solutions reduce energy consumption by approximately 25-30% compared to traditional systems
The HVAC industry is responsible for approximately 5% of global CO2 emissions, driving push for sustainable solutions
Sustainable HVAC refrigerants like R32 and R290 accounted for 68% of refrigerant sales in 2022, impacting supply chain material sourcing
The use of alternative refrigerants reduces the environmental impact of HVAC systems, encouraging supply chain shifts to eco-friendly materials
The rising adoption of eco-label standards in HVAC products is expected to increase supply chain complexity and costs, with 40% of manufacturers noting additional certification requirements in 2022
Energy-efficient HVAC systems associated with LEED certification are increasingly mandated in new construction projects, affecting supply chain specifications
The use of environmentally friendly refrigerants in HVAC increased adoption by 25% between 2020 and 2023, shifting raw material supply chains
The installation of energy-efficient HVAC systems in government buildings is mandated in over 50 countries, influencing demand and supply chain logistics
The implementation of eco-labels and sustainability standards in HVAC products increased product compliance costs by 15% in 2022, impacting supply chain management

Sustainability, Regulations, and Eco-friendly Initiatives Interpretation

As the HVAC industry heats up its commitment to sustainability—mandating greener refrigerants, eco-labels, and energy-efficient systems—its supply chain is quietly transforming, balancing environmental imperatives with the rising costs and complexities of sourcing eco-friendly materials in a bid to cool down global climate impact.

Technological Innovations and Manufacturing Developments

The implementation of predictive maintenance technology in HVAC reduces downtime by approximately 20%, improving supply chain efficiency
In 2022, the HVAC industry invested approximately $150 million in smart HVAC technology R&D, aiming to improve energy efficiency and supply chain integration
The use of modular and prefabricated HVAC units has led to a 20% reduction in installation time, impacting supply chain planning
In 2023, 43% of HVAC manufacturers reported implementing blockchain technology to improve supply chain transparency and security

Technological Innovations and Manufacturing Developments Interpretation

As the HVAC industry's investment in smart tech and blockchain rewires its supply chain for efficiency and transparency, it's clear that overheating traditional methods is becoming a thing of the past—proving that when it comes to modernizing infrastructure, innovation cools down downtime and heats up reliability.