Hospital HVAC Systems Market Analysis Report By Product, By End Use And Segment Forecasts From 2019 To 2025

Industry Insights

The global hospital HVAC systems market size was valued at USD 7.05 billion in 2018 and projected to grow at a 7.2% CAGR from 2019 to 2025. Environmental factors like humidity, temperature, pressure, and airflow play an important role to maintain a healthy environment, especially in hospitals. Thus, maintaining the requisite temperature range to ensure the health & safety of patients in the hospitals is expected to drive the market growth. In addition, the growth of the healthcare industry is expected to further drive the product demand in the next few years. An increase in the number of chronic diseases and the aging population has enforced investment in the healthcare industry. According to the Indian Government, in 2017, the hospital industry in India was valued at USD 61.8 billion and is expected to reach USD 132 billion by the end of the year 2023.

HVAC systems installed in the hospitals are designed as per the need of the occupants to maintain a healthy environment. The American Society of Heating, Refrigerating and Air Conditioning Engineers (ASHRAE) defined standards for Air Change Rate (ACH) levels, humidity, pressure, and temperature for patient’s rooms in every hospital. Moreover, HVAC systems offer some additional features like infection control and therapeutic conditioning in the hospitals along with other healthcare facilities. The aforementioned factors are projected to drive market growth during the forecast period.

The introduction of energy-efficient products is projected to fuel the HVAC system demand in forthcoming years. The systems that operate on natural sources like solar power help to reduce the cost of electricity. These energy-efficient systems also help to reduce air pollution over conventional HVAC systems. Thus, increasing the adoption of energy-efficient systems and the emergence of technologically advanced products will boost the market over the forecast period, from 2019 to 2025.

The replacement of conventional systems with emission control and energy-efficient systems is gaining traction in the healthcare sector. Thus, the refurbishment of old infrastructure with new products is anticipated to augment the HVAC systems demand in the next few years.

Product Insights

Based on products, the hospital HVAC systems market is fragmented into ventilation, cooling, and heating products. In 2018, the cooling products segment dominated the global market and projected to register the highest growth rate from 2019 to 2025. These systems help to regulate the temperature, control dampness that is responsible for the spread of microorganisms, and aids to maintain a better quality of air which is essential for patient’s recovery and comfort. Hence, several benefits associated with HVAC systems are projected to drive segment growth in the healthcare sector.

The heating products segment is projected to grow at a CAGR of over 6.5% during the forecast period. This is attributed to increasing demand for high-temperature units in some hospital facilities like burn units. These burn units keep high room temperature to maintain the high temperature of the patient’s core body for healing of wounds.

End-Use Insights

Based on end-use, the market is bifurcated into operating rooms, protective environment rooms, Intensive Care Unit (ICU), airborne infection isolation rooms, compounding pharmacies, and other wards. In 2018, the ICU segment accounted for the largest market share and is expected to have robust growth over the forecast period. In ICU units, the serious health condition of patients needs a controlled and regulated temperature environment. The average temperature of ICUs is lower compared to other rooms to support the healing process.

The airborne infection isolation rooms are projected to have significant growth from 2019 to 2025. The increasing number of airborne diseases that infect through viruses and bacteria is primarily contributing to the rise in the number of isolation rooms in hospitals. These rooms required negative room pressure and special ventilation facilities to reduce the risk of spreading diseases.

Other segments accounted for over 40.0% market share, in 2018 and are projected to register a CAGR of more than 6.0% during the forecast period. This segment includes non-intensive care units, general wards, and pathology labs, as well as numerous other rooms. The requirements of HVAC systems are higher in these rooms as compare to other aforementioned units. The other segment is expected to dominate the hospital HVAC systems market over the forecast period in this report.

Regional Insights

Asia Pacific is estimated to grow at a CAGR of more than 7.0% during the forecast period. Rising spending on infrastructure development in the healthcare sector is a key factor that is expected to drive the demand for HVAC systems in the region. In addition, the presence of large Japanese manufactures like Mitsubishi Electric Corporation, Panasonic Corporation, Fujitsu General Ltd., and Hitachi, Ltd. Several manufacturers are focusing to develop green HVAC along with building automation system technology to save energy and to reduce carbon footprints. Hence, these factors are expected to propel the demand for HVAC systems across all sectors including healthcare.

The Middle East & Africa is projected to witness significant growth from 2019 to 2025 and are expected to generate revenue of USD 500 million by the end of 2025. Continuous climate changes and high temperature is expected to boost the demand for HVAC systems in this region. Increasing healthcare projects, chronic diseases, an aging population, and rising stimulation for medical tourism from Abu Dhabi and Dubai governments are the factors to drive the regional market growth.

Impact of COVID-19

HVAC systems are used to provide a healthy environment and clean air in indoor places such as buildings and vehicles. Poor ventilation in confined indoor spaces can increase the chances of transmitting respiratory infections. There have been numerous COVID-19 transmission incidences associated with closed spaces, including some from presymptomatic cases. Therefore, HVAC systems may have a complementary role in reducing transmission in indoor spaces by increasing the rate of air change, increasing the use of outdoor air, and decreasing recirculation of air, which is expected to drive the demand for HVAC in hospitals.

Hospital HVAC Systems Market Share Insights

The manufacturers are extensively investing in research and development to introduce HVAC systems with the latest technologies like IoT-based HVAC systems. For example, in 2017, Carrier Corporation launched a digital solution for HVAC systems that enables remote control and monitoring. This solution helps the user to monitor performance through mobile applications. This solution helps the user to manage the performance of HVAC systems and alert in case of imminent issues in these systems.

The key players are also concentrating on developing eco-friendly HVAC systems that use other sources of energy. For example, Lennox International Inc. developed an HVAC system under the name SunSource that is powered by solar modules. RheemManufacturing Company; Trane Inc.; and Electrolux AB are key players operating in this market.

Report Scope

Segments Covered in the Report

This report forecasts revenue growth at global, regional, and country levels, and provides an analysis of the latest industry trends in each of the sub-segments from 2015 to 2025. For this study, Million Insights has segmented the global hospital HVAC systems market report based on product, end-use, and region:

• Product Outlook (Revenue, USD Billion, 2015 - 2025)
    • Heating
    • Ventilation
    • Cooling

• End-Use Outlook (Revenue, USD Billion, 2015 - 2025)
    • Intensive Care Unit (ICU)
    • Operating Rooms
    • Airborne Infection Isolation Rooms
    • Protective Environment Rooms
    • Compounding Pharmacies
    • Others

• Regional Outlook (Revenue, USD Billion, 2015 - 2025)
    • North America
        • U.S.
        • Canada
        • Mexico
    • Europe
        • U.K.
        • Germany
        • France
        • Italy
        • Spain
    • The Asia Pacific
        • China
        • Japan
        • India
        • South Korea
        • Australia
    • South America
        • Brazil
        • Argentina
        • Chile
    • Middle East & Africa