Market size and development trend of heat pump water heater industry in 2023
Market size and development trend of heat pump water heater industry in 2023
1. Overview of heat pump water heater
1.1 Definition and principle of heat pump water heater
A heat pump water heater is an energy-saving device that uses heat energy from low-level heat sources such as air, water or soil to provide hot water. Driven by high-level energy such as electric energy or thermal energy, the thermal energy of the low-level heat source is transferred to the high-level heat source, thereby providing heating services such as hot water for residential, commercial, industrial and agricultural.
The heat pump water heater system includes a heat pump unit, a heat distribution system, a low-level heat source collection system, and a high-level energy transmission and distribution system. Among them, the heat pump unit is mainly composed of compressors, condensers, evaporators, throttling mechanisms, auxiliary equipment and other components.
Heat pump water heaters provide heat through the reverse Carnot cycle. The basic principle of heat pump heating is the reverse Carnot cycle. A small amount of electric energy is used to drive the heat pump unit, and the working medium in the heat pump system is circulated in a disguised phase, and the low-grade heat energy in the air is absorbed and compressed to raise the temperature and then used. A high-efficiency heat collection and combination Energy-saving technology that transfers heat. The heat pump device can convert the heat energy that cannot be directly used in the heat source into heat energy that can be directly used.
1.2 Classification and Features of Heat Pump Water Heaters
According to the types of low-level heat sources, heat pump water heaters can be divided into air source heat pump water heaters, water source heat pump water heaters and ground source heat pump water heaters. The above three heat pump systems use different heat sources and have different advantages and disadvantages.
On the whole, although the operating efficiency of air source heat pump is not as good as that of water source and ground source, it has obvious advantages in installation and operation, and its application is more common. The air source heat pump effectively utilizes air, a renewable energy source, and has remarkable energy-saving effects, and can achieve zero pollution during operation.
Air source heat pump classification. According to the cooling medium, air source heat pumps can be divided into air/air types such as split cabinet air conditioners and window air conditioners, and air/water types such as air source heat pump water heaters and air source cooling and heating units. According to the capacity of the unit, the air source can be divided into household small units, medium-sized units, large-scale units, etc. According to the unit combination form, the air source can be divided into integral unit and modular unit.
1.3 Heat pump water heaters are widely used
According to the consulting company, according to the data of the consulting company group, heat pumps have the characteristics of energy saving, environmental protection, and high efficiency, and have been widely used in many fields. In the field of construction, it can provide heating, cooling, dehumidification and domestic water for buildings; in the field of agriculture, it can be used for drying process, realize the regulation of agricultural environment, and improve the rural economic structure; in terms of industrial production, high temperature can be used in chemical industry, pulp Processing, ceramic industry, printing industry, textile industry and most other industrial production processes. In addition, heat pump seawater desalination technology has also made breakthroughs.
From a global perspective, heat pumps are currently more used in air conditioning in residential and commercial buildings; due to different climates and environments, the form of heat pump air conditioning systems also has certain regional characteristics.
2. Market size of heat pump water heater
2.1 The global heat pump water heater market keeps growing
According to the data of the consulting company group, from 2022 to 2028, the global heat pump water heater market will grow from 24.466 billion yuan to 56.545 billion yuan, with a compound annual growth rate (CAGR) of approximately 14.98%. Among them, the Chinese market size is about 24.82 billion yuan, accounting for 43.9%, and the CAGR is 5.13%; the European market size is about 12.36 billion yuan, accounting for 21.9%, and the CAGR is 15.32%; the North American market size is about 8.74 billion yuan, accounting for The ratio is 15.5%, and the CAGR is 16.47%; the market size of the Asia-Pacific region (excluding China) is about 5.48 billion yuan, accounting for 9.7%, and the CAGR is 18.62%; the market size of other regions is about 5.14 billion yuan, accounting for 9.1%, and the CAGR is 17.25%.
The main drivers of the growth of the global heat pump water heater market are as follows:
The improvement of environmental protection awareness and the implementation of carbon neutrality goals have promoted the use of clean energy and the demand for energy conservation and emission reduction.
The rise in electricity prices and the shortage of traditional energy sources have increased users' demand and acceptance of energy-efficient equipment.
The continuous innovation and optimization of heat pump technology has improved product performance and reliability, and reduced product cost and maintenance costs.
Government policy support and subsidies have encouraged users to use heat pump equipment and promoted the development of related industrial chains.
2.2 Steady development of China's heat pump water heater market
According to the data of the consulting company group, from 2022 to 2023, the market size of China's heat pump industry will maintain a steady growth, increasing from 24.82 billion yuan to about 30 billion yuan, with a CAGR of 9.8%. It is estimated that in the whole year of 2023, the market size of China's heat pump industry will grow by 20% year-on-year, stimulated by factors such as high domestic and foreign demand, the promotion of dual carbon targets, and the improvement of green and low-carbon awareness. As the mainstream product in my country's heat pump market, air source heat pump accounts for more than 95%, and is the core driving force of my country's heat pump industry.
Air source is the mainstream product in the Chinese market, accounting for 95.8%, mainly used in building heating and hot water supply. Other categories such as water source and ground source have a certain market space in the fields of industrial heating and agricultural greenhouses.
In 2022, China's heating air source sales will reach 2.545 million units, a year-on-year growth rate as high as 135.76%. The main reason is that the geopolitical conflict between Russia and Ukraine has led to the tight energy supply in Europe, which has promoted the continuous growth of China's heat pump export orders.
3. Category Structure of Heat Pump Water Heaters
3.1 Air source heat pump water heaters dominate
According to the data of the consulting company group, in 2022, the proportion of air source heat pumps in China's overall heat pump industry will reach 97.1%, and it is the most common form of heat pumps on the Chinese market. Among them, air source heat pump water heaters accounted for 53.2%, and air source cold and warm water units accounted for 43.9%.
The advantages of air source heat pump water heaters are convenient installation, low operating cost, good energy saving effect, environmental protection and no pollution. It is mainly used in building heating and hot water supply, especially in northern regions, which is conducive to realizing clean heating and replacing traditional energy sources.
The advantages of air source hot and cold water units include multi-purpose, flexible adjustment and high comfort. It is mainly used in the air conditioning and hot water supply of commercial buildings, especially in the southern region, which is conducive to realizing energy saving and reducing consumption and improving user satisfaction.
3.2 There is a certain market space for water source and ground source heat pump water heaters
In 2022, the proportions of water source and ground source in China's overall heat pump industry will be 2.7% and 1.6%, respectively, which are relatively small, but there is certain market space in specific fields.
The advantages of water source heat pump water heaters include high operating efficiency, stability, reliability, and strong adaptability. It is mainly used in industrial heat and agricultural greenhouses, especially in areas with abundant water resources, which is conducive to the use of low-level heat sources such as waste water and groundwater to provide high-quality heat energy.
The advantages of ground source heat pump water heaters include high operating efficiency, immunity to climate effects, and long service life. It is mainly used in the fields of building heating and cooling, especially in areas with suitable soil conditions, which is conducive to using the solar energy stored in the soil to provide constant temperature heat energy.
4. Regional distribution of heat pump water heaters
4.1 North China and East China are important engines
North China and East China are important markets for China's heat pump industry, accounting for 43.5% and 38.7% respectively, totaling more than 80%. This is mainly due to the following factors:
Climatic conditions. North China has cold winters and has a strong demand for heating, while East China has hot and muggy summers and has a strong demand for refrigeration. This has resulted in greater demand for air source heating and cooling units and air source heat pump water heaters in the two regions.
The level of economic development. North China and East China are one of the most economically developed regions in China. Residents have a higher income level, stronger spending power, and higher awareness and acceptance of energy-saving and environmental protection products.
Policy Support. North China has benefited from policies such as coal-to-electricity and coal-to-gas, which have promoted the development of clean heating. Air source heat pumps, as an important alternative energy source, have received government support and subsidies. East China has benefited from the promotion of electrification and clean energy policies, which have promoted the development of energy conservation and emission reduction. As a kind of efficient and energy-saving air-conditioning equipment, air-source heating and cooling units have been encouraged and promoted by the government.
4.2 The southwest and northwest regions have great growth potential
The southwest and northwest regions are potential markets for China's heat pump industry, accounting for 8.5% and 5.6% respectively, totaling less than 20%. This is mainly limited by the following factors:
Climatic conditions. The southwest region has warm winters and weak demand for heating, while the northwest region has dry summers and weak demand for cooling. This makes the demand for air source cold and heating water units and air source heat pump water heaters smaller in the two regions.
The level of economic development. The Southwest and Northwest regions are one of the relatively backward regions in China's economy. The residents' income level is low, their consumption power is weak, and their awareness and acceptance of energy-saving and environmental protection products are low.
Policy Support. The southwest and northwest regions are restricted by factors such as power supply and gas source conditions, and the government provides relatively little support and subsidies for heat pump products.
However, with the promotion of electrification and clean energy, the southwest and northwest regions are expected to increase the penetration of the heat pump market. On the one hand, the power supply will gradually improve, reducing the operating costs and risks of heat pumps; on the other hand, clean energy will gradually replace traditional energy sources, improving the energy-saving effect and environmental protection significance of heat pumps.
5. Competitive Landscape of Heat Pump Water Heaters
5.1 Industry competition pattern is relatively concentrated
The competitive landscape of China's heat pump industry is relatively concentrated, with the top ten brands accounting for nearly 80% of the market share. Among them, Midea, Haier, Gree and other leading comprehensive home appliance companies have strong brand influence and channel advantages; Wanhe, Sunrise Dongfang, Shenling Environment and other independent brands have gained certain market recognition by virtue of technological innovation and product differentiation .
Specifically, Midea is still the leader in China's heat pump industry, with a market share of 25.6% in 2022, a year-on-year increase of 2.2 percentage points. With its strong R&D strength, complete product line, extensive channel network, and rich engineering cases, Midea has occupied a relatively high market position in the fields of air-source heating and cooling units and air-source heat pump water heaters.
Haier is a pursuer in China's heat pump industry, with a market share of 17.4% in 2022, a year-on-year increase of 1.8 percentage points. Relying on its brand awareness, user reputation, intelligent technology, service system and other advantages, Haier has achieved good market performance in the fields of air source heat pump water heaters and other fields.
Gree is a challenger in China's heat pump industry, with a market share of 13.2% in 2022, a year-on-year increase of 1.4 percentage points. With the help of its experience in the air-conditioning field, quality management, marketing strategy, and channel expansion, Gree has achieved rapid market growth in the fields of air-source cooling and heating units.
Vanhe is an innovator in China's heat pump industry, with a market share of 10.6% in 2022, a year-on-year increase of 1.4 percentage points. With its accumulation in the field of gas water heaters, technological innovation, product diversification, channel expansion and other advantages, Wanhe has demonstrated strong competitiveness in the fields of air source heat pump water heaters and other fields.
Sunrise Oriental is a professional in China's heat pump industry. Its market share will reach 8.8% in 2022, a year-on-year increase of 1.2 percentage points. Sunrise Oriental relies on its focus, technological leadership, product optimization, service guarantee and other advantages in the field of air source cooling and heating units to occupy a high share in the commercial air conditioning market.
Shenling Environment is a breakthrough player in China's heat pump industry, with a market share of 6.8% in 2022, a year-on-year increase of 1.4 percentage points. Taking advantage of its experience in the field of cold chain logistics, technological breakthroughs, product innovations, and channel cooperation, Shenling Environment has achieved major market breakthroughs in the fields of air source cooling and heating water units.
Other brands occupy smaller market shares, including Oaks, Hisense, Chigo, Meizhi, etc.
5.2 Changes in the competitive landscape of the industry
Although the competitive landscape of China's heat pump industry is relatively concentrated, there are also certain changes. Mainly manifested in the following aspects:
Brand concentration increases. With the growth of industry scale and upgrading of user demand, brand competition is becoming increasingly fierce. Advantageous brands are consolidating and expanding their market position through continuous increase in investment and innovation, while weaker brands are facing the pressure of elimination and withdrawal. In 2022, the top ten brands will account for 80%, a year-on-year increase of 6.4 percentage points.
Brand structure adjustment. With the development of the industry and changes in user needs, the competitiveness between different brands has also undergone certain adjustments. Midea, Haier, Gree and other leading comprehensive home appliance companies have all achieved an increase in market share, while Oakes and Hisense have experienced a decline in market share. Independent brands such as Vanhe, Sunrise Oriental and Shenling Environment have maintained stable market shares.
Brand differentiation is strengthened. As industry competition intensifies and user needs diversify, differentiated competition among brands is also increasingly intensified. According to their own advantages and positioning, different brands have adopted different product strategies, channel strategies, marketing strategies, etc. to enhance their core competitiveness and market influence.
6. Development trend of heat pump water heater
6.1 Product upgrade to mid-to-high-end transformation
With the improvement of users' awareness and acceptance of heat pump products, as well as the increasing demand for comfort and personalization, heat pump products will transform to mid-to-high end, focusing on improving user experience and meeting individual needs. Specifically in the following aspects:
Product design is more humanized and beautiful. Heat pump products will pay more attention to the user's usage habits and aesthetic preferences, and adopt a more simple, fashionable and exquisite appearance design to enhance the beauty and quality of the product.
Product functions are more diversified and intelligent. Heat pump products will pay more attention to user needs and scenarios, add more functional options and mode settings, and improve product adaptability and flexibility. At the same time, heat pump products will pay more attention to user convenience and safety, add more intelligent control and protection functions, and improve product usability and reliability.
Product performance is more efficient and energy-saving. Heat pump products will pay more attention to the user's use cost and environmental protection awareness, and adopt more advanced technology and materials to improve the operating efficiency and energy saving effect of the product. At the same time, heat pump products will pay more attention to user comfort and health, and adopt more optimized system design and parameter adjustment to improve the heating quality and air quality of the product.
6.2 Channel transformation accelerates online and offline integration
With the development of Internet technology and changes in consumption habits, heat pump channels will accelerate online and offline integration, and use e-commerce platforms and social media to expand sinking markets and young consumer groups. Specifically in the following aspects:
Online channels are growing rapidly. With the development and popularity of e-commerce platforms, more and more users choose to purchase heat pump products through online channels. Online channels have characteristics such as price advantages, variety of choices, and convenient services, attracting a large number of sensitive, rational, and trendy consumers.
Transformation and upgrading of offline channels. With the competitive pressure of online channels and changes in user needs, offline channels are also undergoing transformation and upgrading. Offline channels will pay more attention to providing professional, experiential, service-oriented and other values, attracting a large number of conservative, emotional, quality-oriented consumers.
In-depth online and offline integration. With the complementary advantages and synergy of online and offline channels, heat pump channels will achieve more in-depth online and offline integration. With the complementary advantages and synergy of online and offline channels, heat pump channels will achieve more in-depth online and offline integration. Online and offline integration will pay more attention to providing all-round, integrated, personalized and other services to satisfy a large number of diversified, comprehensive and innovative consumers.
6.3 Technological innovation promotes energy conservation, consumption reduction and intelligent development
With the advancement of science and technology and the implementation of carbon neutrality goals, heat pump technology will continue to innovate and optimize, promote energy conservation and consumption reduction and intelligent development, and strengthen integration and application with new energy, the Internet of Things, big data and other fields. Specifically in the following aspects:
Continuous breakthroughs in energy-saving and consumption-reducing technologies. Heat pump technology will continue to improve operating efficiency and energy-saving effects, and reduce operating costs and carbon emissions. The main technical directions include: using more efficient core components such as compressors, heat exchangers, and fans; using more environmentally friendly refrigerants, lubricants and other working media; adopting more optimized system design, parameter adjustment, control strategies and other operating methods.
Intelligent technology continues to develop. Heat pump technology will continue to improve control accuracy and user convenience, and enhance user experience and satisfaction. The main technical directions include: using smarter sensors, controllers, actuators and other control components; using more advanced information technologies such as artificial intelligence, the Internet of Things, and big data; using more diverse voice control, remote control, automatic control, etc. control method.
Fusion application technology continues to expand. Heat pump technology will continue to be integrated and applied with new energy, the Internet of Things, big data and other fields to achieve more functions and values. The main technical directions include: complementing and integrating with new energy sources such as solar energy and wind energy to maximize the use of clean energy; connecting and interacting with information technologies such as the Internet of Things and big data to realize data collection and analysis, and optimize operation and management ; Combine and innovate with construction, agriculture, industry and other fields to achieve heating and cooling in multiple scenarios.
6.4 Policy support to promote the realization of the goal of carbon neutrality
As China puts forward the goals of "carbon peaking in 2030" and "carbon neutrality in 2060", the government will increase support and subsidies for the heat pump industry, promote the process of replacing traditional energy with clean energy, and promote the development of the heat pump industry. Specifically in the following aspects:
Improve the level of power supply security. The government will strengthen the construction of power infrastructure, improve the stability and security of power supply, reduce the cost and risk of power supply, and provide a good power environment for the heat pump industry.
Increase efforts to promote clean energy. The government will accelerate the construction of clean energy, increase the proportion and utilization rate of clean energy, reduce the cost and threshold of clean energy, and provide a good energy environment for the heat pump industry.
Increase support and subsidies for heat pump products. The government will increase the quality supervision and standard formulation of heat pump products, improve the performance and quality of heat pump products, reduce the cost and threshold of heat pump products, and provide a good market environment for the heat pump industry.
Expand the application fields and scope of heat pumps. The government will strengthen the publicity and promotion of heat pump applications, improve users' awareness and acceptance of heat pump products, reduce users' costs and risks of using heat pump products, and provide a good user environment for the heat pump industry.
Conclusion
To sum up, in 2023, the global heat pump water heater market size is expected to reach 56.545 billion yuan, a year-on-year increase of 14.98%, of which the Chinese market size is about 24.82 billion yuan, accounting for 43.9%, a year-on-year increase of 5.13%. Air source heat pump water heaters are the mainstream products in the Chinese market, accounting for 95.8%. They are mainly used in building heating and hot water supply. The regional distribution of China's heat pump water heater market is uneven. North China and East China are important engines, accounting for more than 80%, mainly benefiting from factors such as climate conditions, economic development level, and policy support. The southwest and northwest regions have greater growth potential. With the promotion of electrification and clean energy, market penetration is expected to increase. The competitive landscape of China's heat pump water heater industry is relatively concentrated. The top ten brands account for nearly 80% of the market share. Among them, Midea, Haier, Gree and other leading comprehensive home appliance companies have strong brand influence and channel advantages. Wanhe and Sunrise Dongfang Independent brands such as , Shenling Environment and others have gained certain market recognition through technological innovation and product differentiation. The development trend of China's heat pump water heater industry is mainly manifested in the following aspects: first, product upgrades are transformed to mid-to-high end, focusing on improving user experience and meeting individual needs; second, channel changes accelerate online and offline integration, using e-commerce platforms and social media Expand the sinking market and young consumer groups; the third is technological innovation to promote energy saving and intelligent development, and strengthen the integration and application of new energy, Internet of Things, big data and other fields; the fourth is policy support to promote the realization of carbon neutrality goals and accelerate The process of replacing traditional energy with clean energy.