Air Conditioners Market Regional Analysis

Global Air Conditioners Market size was valued at USD 139.99 billion in 2023 and is poised to grow from USD 149.51 billion in 2024 to USD 253.07 billion by 2032, growing at a CAGR of 6.8% during the forecast period (2025-2032).

The market is fragmented in nature. The prominent players operating in the market are constantly adopting various growth strategies in order to stay afloat in the market. Product launches, innovations, mergers, and acquisitions, collaborations and partnerships, and intensive R&D are some of the growth strategies that are adopted by these key players to thrive in the competitive market. The key market players are also constantly focused on R&D in order to supply industries with the most efficient and cost-effective solutions. 'Daikin Industries, Ltd. (Japan) ', 'Carrier Global Corporation (United States) ', 'Mitsubishi Electric Corporation (Japan) ', 'LG Electronics Inc. (South Korea) ', 'Samsung Electronics Co., Ltd. (South Korea) ', 'Panasonic Holdings Corporation (Japan) ', 'Johnson Controls International plc (Ireland) ', 'Lennox International Inc. (United States) ', 'Trane Technologies plc (Ireland) ', 'Whirlpool Corporation (United States) ', 'Hitachi Ltd. (Japan) ', 'Toshiba Corporation (Japan) ', 'Electrolux AB (Sweden) ', 'Gree Electric Appliances Inc. (China) ', 'Haier Smart Home Co., Ltd. (China) ', 'Midea Group Co., Ltd. (China) ', 'Voltas Limited (India) ', 'Fujitsu General Limited (Japan) ', 'Ingersoll Rand Inc. (United States) ', 'Honeywell International Inc. (United States)'

According to NOAA, the United States (US) National Oceanic and Atmospheric Administration, the planet's average temperature in July 2019 was roughly 1°C higher than the 20th-century average. As a result, this month is the warmest on record. The five warmest years have been the last five. China, the world's largest producer of room air conditioners (RAC) and the country with the highest AC demand, had the largest market with 44.63 million units. Asia, excluding China and Japan, was the second-largest market, with a market demand of 17.82 million units. Japan was the third-largest market, with a demand of 10.52 million units. 15.59 million units were required by the market in North America, 6.91 million in Europe, and 6.83 million in Latin America.

Advancements in the Technology to Positively Influence Market Growth: There is a growing demand for air conditioners that not only cool the air but also improve indoor air quality. This includes models that incorporate air filtration and purification systems to remove allergens, pollutants, and other harmful particles from the air. Air conditioners are also being developed with features that help maintain optimal humidity levels for better respiratory health.

In 2021, North America accounted for more than 20% of the market's total revenue share. It is anticipated that replacement sales will drive development in the North American market as well as other developed markets worldwide. The government's increasing promotional efforts to promote the use of energy-efficient air conditioning systems and lower energy consumption are also anticipated to support the expansion of the regional market. The COVID-19 epidemic spread, which caused a decline in the market as a whole, while North America and Europe saw flat growth in 2020 and were not as badly affected as the rest of the world. This can be due to both regions' robust demand in the last quarter of 2020.