July 16, 2024
Industrial Cooling Systems Market C

The Growing Industrial Cooling Systems Market driven by Increasing Energy Consumption

The industrial cooling systems market consists of a variety of products such as evaporative cooling systems, dry cooling systems, hybrid cooling systems and other associated components used for various industrial applications such as power generation, chemical and petrochemical, food and beverage, plastics, rubber and paper industries. Industrial cooling systems help manage the heat load from industrial processes and equipment by transferring heat between two fluids or mediums.

The global industrial cooling systems market is estimated to be valued at US$ 32.21 Bn in 2024 and is expected to exhibit a CAGR of 6.9% over the forecast period 2024 to 2031.

Key Takeaways

Key players operating in the industrial cooling systems are Airedale International Air Conditioning Ltd., American Power Conversion (APC), Baltimore Aircoil Company, Brentwood Industries, Inc., Emerson Electric Co., Enexio, GEA Group Aktiengesellschaft, Hamon Group S.A., Johnson Controls International plc, Paharpur Cooling Towers, Rittal GmbH & Co. KG, Schneider Electric SE, SPIG S.p.A., SPX Corporation, and Star Cooling Tower Pvt Ltd. These key players are focusing on new product launches and innovations to expand their product portfolio and market share.

The growing Industrial Cooling Systems Market Trends from end-use industries such as power generation, oil & gas, food & beverage, plastics, and chemicals is expected to drive the market growth during the forecast period. Rapid industrialization and increasing manufacturing activities across developing economies are positively impacting the demand for industrial cooling systems.

With growing globalization, major players in the industrial cooling systems market are focusing on expanding their geographic footprints into high-growth emerging markets of Asia Pacific, Middle East & Africa, and Latin America. Strategic partnerships and acquisitions remain key strategies adopted by market players to solidify their presence across global markets.

Market Key Trends

Efficient Industrial Cooling Systems Market Size and Trends ing the Internet of Things (IoT) are gaining traction in the industrial cooling systems market. IoT-enabled systems facilitate remote monitoring of operating parameters to optimize performance and reduce downtime. They also enable predictive maintenance through continuous performance monitoring. Adoption of green cooling technologies such as magnetic refrigeration and free cooling are also expected to drive the industrial cooling systems market growth. Focus on development of environment-friendly natural refrigerants-based systems will be a key trend shaping the future industry outlook.

Porter’s Analysis

Threat of new entrants: Low economies of scale required for manufacturing as well as established customers of incumbent firms pose a barrier.

Bargaining power of buyers: Buyers have moderate to high bargaining power due to the availability of substitute products and importance of after-sales service.

Bargaining power of suppliers: Suppliers have moderate bargaining power as there are few alternates for raw materials and components.
Threat of new substitutes: Threat from new substitutes is moderate as substitute products require high switching costs for buyers in terms of technology and operations.

Competitive rivalry: High due to the presence of many global and regional players offering similar industrial cooling systems.

Geographical regions with high market concentration in terms of value:

North America holds the largest share of the industrial cooling systems market mainly due to the presence of major manufacturers and stringent environmental regulations regarding industrial emissions. The region accounted for more than 35% of the global market share in 2024.

Fastest growing region:

Asia Pacific region is poised to grow at the highest CAGR during the forecast period. Growing industrialization and population along with rising economic growth in countries like China and India are fueling the demand for efficient and reliable industrial cooling systems in this region. Strict energy efficiency mandates by governments will further propel the APAC market.

*Note:
1. Source: Coherent Market Insights, Public Source, Desk Research
2. We have leveraged AI tools to mine information and compile it.

About Author - Ravina Pandya

Ravina Pandya,a content writer, has a strong foothold in the market research industry. She specializes in writing well-researched articles from different industries, including food and beverages, information and technology, healthcare, chemicals and materials, etc. With an MBA in E-commerce, she has expertise in SEO-optimized content that resonates with industry professionals.  LinkedIn Profile

About Author - Ravina Pandya

Ravina Pandya, a content writer, has a strong foothold in the market research industry. She specializes in writing well-researched articles from different industries, including food and beverages, information and technology, healthcare, chemicals and materials, etc. With an MBA in E-commerce, she has expertise in SEO-optimized content that resonates with industry professionals.  LinkedIn Profile

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