Technical advancements such as cost-effective equipment and decrease in prices of components have fueled the growth of the air conditioner (AC) market. High energy consumption and fall in electricity prices are the major challenges. The market was valued at INR 293.37 Bn in FY 2021. It is expected to reach INR 991.57 Bn in FY 2027, expanding at a CAGR of 24.30% during the FY 2022 – FY 2027 period.

Segment insights

The market is categorized into four segments – split-type (wall mounted), window-type, cassette (ceiling-mounted), and tower (floor-mounted) air conditioners. The split-type AC segment was valued at INR 124.24 Bn in FY 2021. It is anticipated to reach INR 473.47 Bn in FY 2027, expanding at a CAGR of ~26.79% during the FY 2022 – FY 2027 period.

Owing to increased income and rapid urbanization, the demand for split ACs has picked up. In FY 2021, the window-type AC segment was valued at INR 112.51 Bn. It is expected to reach INR 142.79 Bn in FY 2027, expanding at a CAGR of ~4.43% during the forecast period. Following the second wave, the preference for window AC increased among the middle class because of its affordability.

In FY 2021, the cassette (ceiling-mounted) AC segment was valued at INR 18.34 Bn. It is estimated to reach INR 154.19 Bn in FY 2027, expanding at a CAGR of ~42.69% during the forecast period. Although these ACs are energy- and space-efficient, they are not ideal for multi-storey households. The tower AC segment held a revenue of INR 38.29 Bn in FY 2021.

It is expected to reach INR 221.12 Bn FY 2027, expanding at a CAGR of 35.38% during the forecast period. The demand for tower ACs from the household sector is limited. They sell in the commercial sector because of their portability and also large area is required for its installation.

Impact of COVID-19

Due to the global outbreak of COVID-19 in 2020 followed by nationwide lockdown, the air conditioner market was highly affected Travel restrictions, workforce shortages, disruptions in world trade, and bottleneck in logistics impacted the supply chains of companies.

Top players such as Voltas, Daikin, Blue Star, Panasonic, and Haier registered a drop of almost 75% in sales volumes between April and May, 2021 collectively.

Almost 70% of sales take place between March and June. This year, sales plummeted because nearly all stores were closed due to lockdowns imposed across states in view of the second wave.

The market gained momentum in October during the festive season because of market players’ collaborations with major online and offline retail partners such as Amazon and Reliance Digital. They helped to attract customers through attractive offers.

Competitive insights

Owing to evolving customer preferences, major players such as Voltas Limited, Havells India Limited, and Blue Star Limited made huge strides in technological advancements. Innovations such as ubiquitous sensor networks and copper condensers with anti-corrosive hydrophilic blue fins will improve the efficiency of ACs.

Spray Drying Equipment Market: By Product Type (Rotary Atomizer, Nozzle Atomizer, Fluidized and Centrifugal); By Stage (Single-Stage, Two-Stage and Multi-Stage); By Flow Type (Co-Current, Counter-Current, and Mixed Flow); By Application (Food & Dairy, Pharmaceuticals & Nutraceuticals, Chemical and Others); and Region – Analysis of Market Size, Share & Trends for 2014 – 2019 and Forecasts to 2030

The post Air Conditioner Market in India 2021 first appeared on CRI Report.

In recent years, Chinese residents are confronted with serious air pollution so they pay more attention to the impact of pollutants like PM 2.5 on health. More and more consumers choose to purchase household air purifiers to create a healthy home environment.

However, household air purifiers can only perform filtration and purification towards part of the indoor air with its internal-cycle principle, but fail to bring fresh air with more oxygen. Fresh air system can send and exhaust fresh air through special equipment in an airtight chamber to form an air flow field for ventilation.

It was introduced in China market many years ago, but was originally used in public places or industrial filed instead of homes. In the transfer from commercial to household, numerous problems exist due to the low recognition of residents. For example, installation of this system in renovated residence will compress the interior space, which is not acceptable for families.

According to CRI, fresh air system manufacturers include foreign-owned enterprises such as Honeywell, Mitsubishi Heavy Industries and DAIKIN, as well as local manufacturers of central air conditioners and air purifiers such as Midea, Gree and Haier. Foreign-owned enterprises stepped into fresh air system market early positioning in commercial field before releasing household products from 2014.

At present, the sales and installation of fresh air system mainly cooperate with enterprises concerning central air conditioner and architectural engineering. Part of enterprises also sell it through agents and other own channels.

According to CRI, fresh air system is mainly applied in fields such as public buildings, residence and industrial buildings. It develops on the basis of public building application market like hospitals, office buildings and banks, which accounts for major market shares in China. It has a large development potential with the rising demand of the residence field for fresh air system as a result of the intensifying air pollution and awareness of health. However, the proportion of the industrial field is only about 5% in this market.

CRI’s research shows that the market scale of fresh air system was about CNY 5 billion in China in 2015, which increased by 30% compared to 2014. Meanwhile, the market scale of household air purifiers was over CNY 10 billion in 2015. According to the statistics from the developed countries like Japan, the former will exceed that of the latter, which is a sign for the large development potential of fresh air system in China. According to CRI, the fresh air system industry will develop rapidly in the residence market and public building field with a larger scale in the next few years.

Through this report, the readers can acquire the following information:

-Definition and Classification of Fresh Air System

-Research Methods, Parameters and Assumptions of the Report

-Analysis on Competition in Fresh Air System Industry in China

-Analysis on Leading Enterprises in Fresh Air System Industry in China

-Development Opportunities and Driving Forces Faced by Fresh Air System Industry in China

-Risks and Challenges in Development of Fresh Air System Industry in China

-Analysis on Prices of Raw Materials and Products of Fresh Air System in China

Table of Contents

1 Overview of Fresh Air System Industry

1.1 Overview of Fresh Air System

1.2 Comparison of Fresh Air System and Air Purifier

1.3 Research Methods of the Report

1.3.1 Data Sources

1.3.2 Parameters and Assumptions

1.4 About CRI

2 Development Environment of Fresh Air System Industry in China, 2011-2015

2.1 Policy Environment

2.1.1 Product Standards of Fresh Air System

2.1.2 Related Policies of Fresh Air System

2.1.3 Standards of Healthy Indoor Air

2.2 Economic Environment in China

2.3 Natural and Social Environment

2.3.1 Environment Pollution

2.3.2 Urbanization Rate

2.3.3 Habit and Concept of Consumption

2.4 Technology Environment

3 Analysis on Supply and Demand in Fresh Air System Industry in China, 2011-2015

3.1 Analysis on Supply of Fresh Air System in China

3.1.1 Business Mode of Fresh Air System Industry

3.1.2 Number of Manufacturers in Fresh Air System Industry

3.1.3 Supply Status of Fresh Air System

3.2 Analysis on Demand for Fresh Air System in Chinese Market

3.2.1 Major Customer Group of Fresh Air System

3.2.2 Market Size of Fresh Air System

3.2.3 Size of Segment Markets of Fresh Air System in China

4 Competition Status of Fresh Air System Industry in China, 2011-2015

4.1 Barriers to Entry in Fresh Air System Industry in China

4.1.1 Policy Barriers

4.1.2. Capital Barriers

4.1.3 Technical Barriers

4.1.4 Barriers of Channels

4.2 Competition Structure of Fresh Air System Industry in China

4.2.1 Bargaining Ability of Suppliers

4.2.2 Bargaining Ability of Clients

4.2.3 Inside Competition

4.2.4 Potential Entrants

4.2.5 Substitutes

5 Top 5 Enterprises of Fresh Air System Industry in China, 2013-2015

5.1 Panasonic Corporation (China)

5.1.1 Enterprise Profile of Panasonic Corporation (China)

5.1.2 Analysis on Fresh Air System Business of Panasonic Corporation (China) in Chinese Market

5.2 Honeywell International Inc (China)

5.2.1 Enterprise Profile of Honeywell International Inc (China)

5.2.2 Analysis on Fresh Air System Business of Honeywell International Inc (China)

5.3 Broad A/Q Technology Corporation

5.3.1 Enterprise Profile of Broad A/Q Technology Corporation

5.3.2 Analysis on Fresh Air System Business of Broad A/Q Technology Corporation

5.4 Airdow Air Purifier Technology Co., Ltd.

5.5.1 Enterprise Profile

5.5.2 Operation Status

5.5 Zehnder HVAC Equipment Co., Ltd. (China)

5.5.1 Enterprise Profile

5.5.2 Operation Status

6 Analysis on Operation Costs and Prices of Fresh Air System in China, 2013-2015

6.1 Analysis on Costs in Fresh Air System Industry, 2013-2015

6.1.1 Major Costs in Fresh Air System Industry

6.1.2 Price Trend of Major Costs in Fresh Air System Industry

6.2 Analysis on Sales Price of Fresh Air System, 2013-2015

7 Prediction on Fresh Air System Industry in China, 2016-2020

7.1 Factors Influencing Development of Fresh Air System in China

7.1.1 Major Driving Forces and Market Opportunities in Fresh Air System Industry in China

7.1.2 Risks and Challenges Faced by Fresh Air System in China

7.2 Forecast on Supply in Fresh Air System Industry in China, 2016-2020

7.3 Forecast on Demand for Fresh Air System in China, 2016-2020

7.4 Forecast on Market Competition of Fresh Air System in China

Selected Charts

Chart Completed Area of Commercial Residence in China, 2011-2015

Chart Completed Area of Office Buildings in China, 2011-2015

Chart Completed Area of Workshop in China, 2011-2015

Chart Market Scale of Fresh Air System in China, 2011-2015

Chart Major Enterprises and Their Market Share of Fresh Air System in China, 2013-2015

Chart Sales Revenue of Fresh Air System of Panasonic Corporation (China), 2013-2015

Chart Market Share of Fresh Air System of Panasonic Corporation (China) in China, 2013-2015

Chart Sales Revenue of Fresh Air System of Honeywell (China), 2013-2015

Chart Market Share of Fresh Air System of Honeywell (China) in China, 2013-2015

Chart Forecast on Market Size of Fresh Air System in China, 2016-2020

The post Fresh Air System Industry Overview in China, 2011-2020 first appeared on CRI Report.