Replacement demand and energy sector investments forecast to fuel the long-term growth of the market, finds Frost & Sullivan
SANTA CLARA, Calif., April 7, 2020 /CNW/ -- Frost & Sullivan's recent analysis of the North American and European heat exchanger markets predicts that they will record a CAGR of 3.4% and 3.2%, respectively, from 2020 to 2025, with revenues reaching $4.7 billion for North America and $5.02 billion for Europe.
"Investments in the energy sector in North America are likely to offset the effects of the trade war and drive long-term market growth," said Riti Newa, Research Associate at Frost & Sullivan. "The European heat exchanger market, however, is expected to witness slow and stable growth, primarily due to the macroeconomic impacts of Brexit."
Frost & Sullivan's latest research, North American Heat Exchangers Market, Forecast to 2025, and European Heat Exchangers Market, Forecast to 2025, analyzes the top product segments and end-user industries across the key markets for heat exchangers in North America and Europe and provides comprehensive revenue forecasts for the industry through 2025.
For further information on this analysis, please visit: http://frost.ly/422
In Europe, the growing shift toward renewable energy and reliable power generation is driving the need for heat exchanger systems. Strong demand from end-user industries with a positive investment climate, such as chemicals and petrochemicals, HVAC, and power generation, and prioritization of low carbon footprints and improved energy efficiency are expected to propel the demand for energy-efficient heat exchangers in the next five years.
As for North America, the growth of data centers and rising demand for energy efficiency have increased the number of heat exchanger applications for HVAC and refrigeration purposes. Although cooling towers and shell and tube exchangers account for a more substantial share of the market revenue, the focus on improving energy efficiency will propel stronger growth in the gasketed plate-and-frame segments going forward.
"Market participants need to focus on developing heat exchangers integrated with advanced technologies that reduce overall energy consumption while maintaining optimum operational efficiencies," noted Newa. "Forging partnerships with Internet-of-Things (IoT) companies will be necessary for introducing digital and analytics-driven solutions for asset visibility and pre-emptive maintenance, as these solutions can help improve customer satisfaction."
North American Heat Exchangers Market, Forecast to 2025, and European Heat Exchangers Market, Forecast to 2025, are a part of Frost & Sullivan's Industrial Automation and Process Control Growth Partnership Service program, which helps organizations identify a continuous flow of growth opportunities to succeed in an unpredictable future.
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SOURCE Frost & Sullivan