Industrial Refrigeration Market: Global Size, Share, Trends, Growth and Forecast 2022-2032
Industrial Refrigeration Market Overview and Definition
The global industrial refrigeration market size was valued at USD 19.2 Billion in 2022 and is projected to reach USD 45.5 Billion by 2032, growing at a CAGR of 5.7% from 2022 to 2032. Industrial refrigeration is the process of cooling with the help of refrigeration as well as cooling systems to remove heat from a low-temperature medium and transferring it to a high-temperature medium. The industrial refrigeration applications are mainly used in places such cold food storage, beverage production, dairy processing, and ice rinks & heavy industry.
Many of the chemical and industrial companies have turned to refrigeration to increase the quality, standard, precision, and efficiency of their processes. In addition, food & beverages, cold storage applications, and chemical processing industries are using industrial refrigeration equipment in various end-uses where temperature control of the materials is required.
Covid Impact Analysis
COVID-19 has significantly impacted on the global economy through the consequences such as directly affecting production & demand, disrupting supply chains & marketplaces, and affecting enterprises & financial markets financially. During the pandemic, manufacturing, construction, hotel, and tourism industries were majorly affected. This has led to the decline in manufacturing of refrigeration systems, which has directly hampered industrial refrigeration market in the year 2020.
However, the situation has been stabilising in several regions, enabling the companies to reopen; hence, the worldwide industrial refrigeration market is predicted to rise significantly in the post pandemic. For instance, there is increased demand for compact and innovative refrigeration systems in the post pandemic. In addition to this, there is expanding government funding for strengthening the cold chain infrastructure. The cold chain is the system used for keeping as well as distributing vaccines & other biologicals in good conditions. Moreover, owing to the shutdown of companies during pandemic, more number of people are rapidly buying perishable goods online which will impose the need of stable cold supply chain. Hence, the aforementioned factors are projected to boost growth of the global industrial refrigeration market.
Top Impacting Factors
Upsurge in demand for industrial refrigeration systems in the FMCG industry due to growth in usage of processed and packaged food & beverages in the developing countries as well as need for prevention of spoilage of semi-processed food & drinks boosts growth of the industrial refrigeration market. In addition to this, the industrial refrigeration is being used in a variety of end-uses where temperature control of materials is necessary, such as cold storage applications and chemical processing.
Moreover, there is rising trend of updating cold storage systems in developing countries, further fuelling growth of the market. However, need for high investment in maintenance of industrial refrigeration systems along with the significant energy consumption for operation may hamper growth of the market.
On the other hand, emergence of advanced technologies such as IoT-enabled refrigeration monitoring solutions is expected to create lucrative growth opportunities for growth of the market during forecast period.
Regional Analysis
During the forecast period, North America is expected to dominate global industrial refrigeration market. Growth of this region is mainly attributed to surge in demand for fresh foods, pharmaceuticals, and drinks, as well as government measures to phase out hydrofluorocarbons (HCFCs) and replace them with natural refrigerants in a refrigeration applications. In addition to this, upsurge in popularity of online grocery shopping in the United States and Canada is projected to fuel demand for refrigerated warehouses, driving the industrial refrigeration system market.
However, the Asia-Pacific is expected to grow at the highest growth rate during the forecast period. Growth of this region is mainly driven by the growing popularity and adoption of industrial refrigeration system solutions, mainly across China, Japan, Australia, and India. In addition to this, the strong development potential is being observed in cold-chain storage infrastructure in the aforementioned countries. For instance, India is the second-largest producer of vegetables and fruits around the globe. However, it is challenging to manage the refrigeration and cold storage for such large quantities of fruits and vegetables. Hence, there is significant demand for industrial refrigeration system in India. Moreover, several efforts are rapidly being adopted by industry players and the government to extend facilities as well as to increase overall agricultural output & earnings. Therefore, government attempts to enhance cold chain management systems is projected to fuel demand for industrial refrigeration systems.
Latest Trends
The key market players in the global industrial refrigeration market are actively focussing on the research & development of the innovative product launches. For example, in April 2020, Danfoss Industries Pvt. Ltd launched the digital liquid-stage switches that play a vital function in refrigeration equipment's safety. Furthermore, in January 2019, Johnson Controls announced that its YZ magnetic bearing centrifugal industrial chiller would be expanded to include 1,000 tonne (3,516 kW) and 1,350 tonne (4,747 kW) refrigeration capacity choices. Such development strategies will significantly fuel the market growth.
Moreover, governments around the globe have legislated strict regulations on halogen-based refrigerants. For instance, the European Union (EU) imposed F-gas limitations to prohibit usage of several refrigerants due to their potential to promote global warming (GWP). As a result of such laws and regulations, a new trend of eco-friendly refrigerant has emerged in the global industrial refrigeration market.
Industrial Refrigeration Market Segmentation
The global industrial refrigeration market is classified on the basis of component, refrigerant type and application. The component segment is divided into compressors, condensers, evaporators, controls and vessels, pumps, valves, and auxiliary equipment. Based on the refrigerant type it is classified as ammonia, carbon dioxide and others. The others are comprising of HFCs, HCFCs, HCs and HFOs. On the basis of application, it is bifurcated as refrigerated warehouse, fruit & vegetable processing beverage, meat, poultry, & fish processing, dairy and ice-cream processing, chemical, petrochemical, & pharmaceutical and refrigerated transportation.
Industrial Refrigeration Market Key Companies
The market players in the industrial refrigeration system market are Johnson Controls (Ireland), Emerson (US), Danfoss (Denmark), GEA (Germany), Mayekawa (Japan), Star Refrigeration (Scotland), KOBELCO (Japan), Parker Hannifin (US), Clauger (France), Rivacold (Italy), and Dorin (Italy), Ingersoll-Rand (Ireland), Daikin (Japan), BITZER (Germany), United Technologies (US), Evapco (US), Baltimore Aircoil (US), Güntner (Germany), LU-VE (Italy) and Lennox International (US).
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- Publication date: 8th February 2024
- Base year: 2022
- Forecast year: 2023-2033
- Format: PDF, PPT,Word,Excel
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