Air Conditioning Machine Market

The global air conditioning machine market is forecasted to experience growth in both volume and value over the next eight years. Market performance is expected to accelerate, with an anticipated CAGR of +2.7% in volume and +4.5% in value from 2022 to 2030. China remains the largest consumer and producer of air conditioning machines, with the highest market value in 2022. Window or wall air conditioning systems are the most imported and exported product, while air conditioning machines with refrigeration unit recorded the highest growth rate in value terms.

Market Forecast

Driven by increasing demand for air conditioning machines worldwide, the market is expected to continue an upward consumption trend over the next eight-year period. Market performance is forecast to accelerate, expanding with an anticipated CAGR of +2.7% for the period from 2022 to 2030, which is projected to bring the market volume to 387M units by the end of 2030.

In value terms, the market is forecast to increase with an anticipated CAGR of +4.5% for the period from 2022 to 2030, which is projected to bring the market value to $123.3B (in nominal prices) by the end of 2030.

Consumption

World Consumption of Air Conditioning Machines

In 2022, global consumption of air conditioning machines shrank slightly to 314M units, reducing by -3.4% against 2021. The total consumption volume increased at an average annual rate of +1.8% from 2012 to 2022; the trend pattern remained consistent, with only minor fluctuations throughout the analyzed period. As a result, consumption attained the peak volume of 325M units, and then fell in the following year.

The global air conditioning machine market size reduced modestly to $86.6B in 2022, therefore, remained relatively stable against the previous year. This figure reflects the total revenues of producers and importers (excluding logistics costs, retail marketing costs, and retailers' margins, which will be included in the final consumer price). Overall, consumption, however, showed a relatively flat trend pattern. As a result, consumption attained the peak level of $98.7B. From 2018 to 2022, the growth of the global market remained at a lower figure.

Consumption By Country

China (121M units) remains the largest air conditioning machine consuming country worldwide, accounting for 39% of total volume. Moreover, air conditioning machine consumption in China exceeded the figures recorded by the second-largest consumer, the Czech Republic (41M units), threefold. The third position in this ranking was held by France (20M units), with a 6.4% share.

In China, air conditioning machine consumption increased at an average annual rate of +3.0% over the period from 2012-2022. The remaining consuming countries recorded the following average annual rates of consumption growth: the Czech Republic (+56.6% per year) and France (-7.4% per year).

In value terms, China ($24B), Japan ($18.2B) and the United States ($4.5B) appeared to be the countries with the highest levels of market value in 2022, together comprising 54% of the global market. The Czech Republic, Brazil, India, Indonesia and France lagged somewhat behind, together accounting for a further 11%.

In terms of the main consuming countries, the Czech Republic, with a CAGR of +56.5%, saw the highest growth rate of market size over the period under review, while market for the other global leaders experienced more modest paces of growth.

In 2022, the highest levels of air conditioning machine per capita consumption was registered in the Czech Republic (3,809 units per million persons), followed by France (296 units per million persons), Japan (92 units per million persons) and China (85 units per million persons), while the world average per capita consumption of air conditioning machine was estimated at 40 units per million persons.

From 2012 to 2022, the average annual growth rate of the air conditioning machine per capita consumption in the Czech Republic stood at +56.3%. The remaining consuming countries recorded the following average annual rates of per capita consumption growth: France (-7.7% per year) and Japan (-1.1% per year).

Production

World Production of Air Conditioning Machines

Global air conditioning machine production dropped to 333M units in 2022, approximately mirroring the previous year. The total output volume increased at an average annual rate of +2.1% over the period from 2012 to 2022; however, the trend pattern indicated some noticeable fluctuations being recorded throughout the analyzed period. The most prominent rate of growth was recorded in 2021 when the production volume increased by 15%. As a result, production attained the peak volume of 336M units, leveling off in the following year.

In value terms, air conditioning machine production dropped modestly to $74.9B in 2022 estimated in export price. Overall, production continues to indicate a relatively flat trend pattern. The pace of growth appeared the most rapid in 2017 with an increase of 16% against the previous year. As a result, production reached the peak level of $101.7B. From 2018 to 2022, global production growth failed to regain momentum.

Production By Country

China (183M units) remains the largest air conditioning machine producing country worldwide, comprising approx. 55% of total volume. Moreover, air conditioning machine production in China exceeded the figures recorded by the second-largest producer, the Czech Republic (41M units), fourfold. Thailand (26M units) ranked third in terms of total production with a 7.7% share.

In China, air conditioning machine production expanded at an average annual rate of +3.2% over the period from 2012-2022. In the other countries, the average annual rates were as follows: the Czech Republic (+36.8% per year) and Thailand (+0.3% per year).

Imports

World Imports of Air Conditioning Machines

In 2022, supplies from abroad of air conditioning machines decreased by -8.4% to 99M units for the first time since 2019, thus ending a two-year rising trend. In general, total imports indicated a pronounced expansion from 2012 to 2022: its volume increased at an average annual rate of +3.7% over the last decade. The trend pattern, however, indicated some noticeable fluctuations being recorded throughout the analyzed period. Based on 2022 figures, imports increased by +56.1% against 2014 indices. The growth pace was the most rapid in 2016 when imports increased by 14%. Over the period under review, global imports hit record highs at 108M units in 2021, and then dropped in the following year.

In value terms, air conditioning machine imports reached $32.8B in 2022. The total import value increased at an average annual rate of +3.0% over the period from 2012 to 2022; however, the trend pattern indicated some noticeable fluctuations being recorded in certain years. The most prominent rate of growth was recorded in 2021 when imports increased by 14% against the previous year. Global imports peaked in 2022 and are expected to retain growth in the immediate term.

Imports By Country

In 2022, the United States (16M units), distantly followed by Japan (4.9M units), Saudi Arabia (4.8M units) and Mexico (4.6M units) were the largest importers of air conditioning machines, together committing 31% of total imports. Russia (3.8M units), the United Arab Emirates (3.2M units), Malaysia (3.1M units), Canada (3M units), Italy (2.8M units), the Philippines (2.5M units), Iraq (2.4M units), Singapore (2.4M units) and Vietnam (2.3M units) followed a long way behind the leaders.

Imports into the United States increased at an average annual rate of +2.6% from 2012 to 2022. At the same time, the Philippines (+19.7%), Vietnam (+15.0%), Malaysia (+13.0%), Italy (+8.0%), Iraq (+7.9%), Mexico (+7.6%), the United Arab Emirates (+6.9%), Russia (+5.8%), Saudi Arabia (+5.6%), Canada (+3.6%) and Singapore (+2.2%) displayed positive paces of growth. Moreover, the Philippines emerged as the fastest-growing importer imported in the world, with a CAGR of +19.7% from 2012-2022. By contrast, Japan (-2.3%) illustrated a downward trend over the same period. The Philippines (+1.9 p.p.) and Malaysia (+1.8 p.p.) significantly strengthened its position in terms of the global imports, while the United States and Japan saw its share reduced by -1.9% and -4.1% from 2012 to 2022, respectively. The shares of the other countries remained relatively stable throughout the analyzed period.

In value terms, the United States ($4.8B) constitutes the largest market for imported air conditioning machines worldwide, comprising 14% of global imports. The second position in the ranking was taken by Japan ($1.4B), with a 4.2% share of global imports. It was followed by Canada, with a 4.1% share.

From 2012 to 2022, the average annual growth rate of value in the United States stood at +5.2%. The remaining importing countries recorded the following average annual rates of imports growth: Japan (-3.0% per year) and Canada (+5.5% per year).

Imports By Type

Window or wall air conditioning systems, self-contained or split-systems represented the major imported product with an import of around 70M units, which resulted at 72% of total imports. Air conditioning machines with refrigeration unit (13M units) ranks second in terms of the total imports with a 14% share, followed by air conditioning machines for motor vehicles (9.3%) and air conditioning machines without refrigeration unit (4.5%).

Imports of window or wall air conditioning systems, self-contained or split-systems increased at an average annual rate of +3.3% from 2012 to 2022. At the same time, air conditioning machines without refrigeration unit (+7.5%), air conditioning machines with refrigeration unit (+6.1%) and air conditioning machines for motor vehicles (+3.9%) displayed positive paces of growth. Moreover, air conditioning machines without refrigeration unit emerged as the fastest-growing type imported in the world, with a CAGR of +7.5% from 2012-2022. From 2012 to 2022, the share of air conditioning machines with refrigeration unit increased by +2.6 percentage points. The shares of the other products remained relatively stable throughout the analyzed period.

In value terms, window or wall air conditioning systems, self-contained or split-systems ($18.4B), air conditioning machines with refrigeration unit ($9.6B) and air conditioning machines without refrigeration unit ($3.1B) appeared to be the products with the highest levels of imports in 2022, with a combined 94% share of global imports.

Air conditioning machines with refrigeration unit, with a CAGR of +3.4%, recorded the highest rates of growth with regard to the value of imports, among the main imported products over the period under review, while purchases for the other products experienced more modest paces of growth.

Import Prices By Type

The average air conditioning machine import price stood at $331 per unit in 2022, jumping by 18% against the previous year. Overall, the import price, however, recorded a relatively flat trend pattern. Over the period under review, average import prices reached the peak figure at $387 per unit in 2014; however, from 2015 to 2022, import prices remained at a lower figure.

Prices varied noticeably by the product type; the product with the highest price was air conditioning machines with refrigeration unit ($728 per unit), while the price for air conditioning machines for motor vehicles ($232 per unit) was amongst the lowest.

From 2012 to 2022, the most notable rate of growth in terms of prices was attained by window, wall, or split air conditioning system (-0.1%), while the other products experienced a decline in the import price figures.

Import Prices By Country

The average air conditioning machine import price stood at $331 per unit in 2022, with an increase of 18% against the previous year. In general, the import price, however, continues to indicate a relatively flat trend pattern. Global import price peaked at $387 per unit in 2014; however, from 2015 to 2022, import prices stood at a somewhat lower figure.

Prices varied noticeably by country of destination: amid the top importers, the country with the highest price was Canada ($444 per unit), while Malaysia ($82 per unit) was amongst the lowest.

From 2012 to 2022, the most notable rate of growth in terms of prices was attained by the United States (+2.5%), while the other global leaders experienced mixed trends in the import price figures.

Exports

World Exports of Air Conditioning Machines

In 2022, overseas shipments of air conditioning machines decreased by -1.1% to 118M units for the first time since 2019, thus ending a two-year rising trend. Over the period under review, total exports indicated temperate growth from 2012 to 2022: its volume increased at an average annual rate of +4.6% over the last decade. The trend pattern, however, indicated some noticeable fluctuations being recorded throughout the analyzed period. Based on 2022 figures, exports increased by +91.9% against 2015 indices. The most prominent rate of growth was recorded in 2018 with an increase of 53% against the previous year. The global exports peaked at 120M units in 2021, and then fell in the following year.

In value terms, air conditioning machine exports expanded notably to $34.1B in 2022. The total export value increased at an average annual rate of +3.3% over the period from 2012 to 2022; however, the trend pattern indicated some noticeable fluctuations being recorded throughout the analyzed period. The most prominent rate of growth was recorded in 2021 with an increase of 15%. Over the period under review, the global exports attained the peak figure in 2022 and are expected to retain growth in the immediate term.

Exports By Country

China was the key exporting country with an export of about 63M units, which resulted at 53% of total exports. Thailand (26M units) held the second position in the ranking, distantly followed by Malaysia (6.1M units). All these countries together held approx. 27% share of total exports. Mexico (4.3M units), Spain (3M units), the United States (1.9M units) and South Korea (1.9M units) held a little share of total exports.

Exports from China increased at an average annual rate of +3.7% from 2012 to 2022. At the same time, Spain (+25.5%), Mexico (+11.6%), Thailand (+10.6%), South Korea (+4.3%) and Malaysia (+1.3%) displayed positive paces of growth. Moreover, Spain emerged as the fastest-growing exporter exported in the world, with a CAGR of +25.5% from 2012-2022. The United States experienced a relatively flat trend pattern. While the share of Thailand (+9.4 p.p.), Spain (+2.1 p.p.) and Mexico (+1.8 p.p.) increased significantly in terms of the global exports from 2012-2022, the share of Malaysia (-1.9 p.p.) and China (-4.7 p.p.) displayed negative dynamics. The shares of the other countries remained relatively stable throughout the analyzed period.

In value terms, China ($13.3B) remains the largest air conditioning machine supplier worldwide, comprising 39% of global exports. The second position in the ranking was taken by Thailand ($6.2B), with an 18% share of global exports. It was followed by Mexico, with a 7.4% share.

From 2012 to 2022, the average annual rate of growth in terms of value in China stood at +3.0%. In the other countries, the average annual rates were as follows: Thailand (+5.8% per year) and Mexico (+12.4% per year).

Exports By Type

Window or wall air conditioning systems, self-contained or split-systems represented the key exported product with an export of around 90M units, which amounted to 76% of total exports. It was distantly followed by air conditioning machines with refrigeration unit (14M units) and air conditioning machines for motor vehicles (11M units), together committing a 21% share of total exports. Air conditioning machines without refrigeration unit (3.6M units) held a relatively small share of total exports.

From 2012 to 2022, average annual rates of growth with regard to window or wall air conditioning systems, self-contained or split-systems exports of stood at +4.4%. At the same time, air conditioning machines without refrigeration unit (+10.0%), air conditioning machines for motor vehicles (+9.5%) and air conditioning machines with refrigeration unit (+6.7%) displayed positive paces of growth. Moreover, air conditioning machines without refrigeration unit emerged as the fastest-growing type exported in the world, with a CAGR of +10.0% from 2012-2022. Air conditioning machines for motor vehicles (+3.1 p.p.) and air conditioning machines with refrigeration unit (+1.5 p.p.) significantly strengthened its position in terms of the global exports, while window or wall air conditioning systems, self-contained or split-systems saw its share reduced by -5.7% from 2012 to 2022, respectively. The shares of the other products remained relatively stable throughout the analyzed period.

In value terms, window or wall air conditioning systems, self-contained or split-systems ($20.7B) remains the largest type of air conditioning machines supplied worldwide, comprising 60% of global exports. The second position in the ranking was taken by air conditioning machines with refrigeration unit ($9B), with a 26% share of global exports. It was followed by air conditioning machines without refrigeration unit , with an 8.4% share.

For window or wall air conditioning systems, self-contained or split-systems, exports increased at an average annual rate of +4.1% over the period from 2012-2022. For the other products, the average annual rates were as follows: air conditioning machines with refrigeration unit (+3.5% per year) and air conditioning machines without refrigeration unit (+1.0% per year).

Export Prices By Type

In 2022, the average air conditioning machine export price amounted to $288 per unit, surging by 7% against the previous year. In general, the export price, however, recorded a slight downturn. The pace of growth appeared the most rapid in 2015 an increase of 15% against the previous year. The global export price peaked at $426 per unit in 2017; however, from 2018 to 2022, the export prices remained at a lower figure.

Prices varied noticeably by the product type; the product with the highest price was air conditioning machines without refrigeration unit ($804 per unit), while the average price for exports of air conditioning machines for motor vehicles ($188 per unit) was amongst the lowest.

From 2012 to 2022, the most notable rate of growth in terms of prices was attained by window, wall, or split air conditioning system (-0.3%), while the other products experienced a decline in the export price figures.

Export Prices By Country

In 2022, the average air conditioning machine export price amounted to $288 per unit, rising by 7% against the previous year. In general, the export price, however, showed a mild downturn. The pace of growth was the most pronounced in 2015 when the average export price increased by 15% against the previous year. The global export price peaked at $426 per unit in 2017; however, from 2018 to 2022, the export prices failed to regain momentum.

There were significant differences in the average prices amongst the major exporting countries. In 2022, amid the top suppliers, the country with the highest price was the United States ($785 per unit), while Spain ($153 per unit) was amongst the lowest.

From 2012 to 2022, the most notable rate of growth in terms of prices was attained by the United States (+1.0%), while the other global leaders experienced more modest paces of growth.

Source: IndexBox Market Intelligence Platform