HVAC Services Market Regional Analysis

Why is North America Leading HVAC Services Market in 2024?

The North America HVAC services market emerges as the most dominant HVAC services market in the world. The region's importance can be attributed to infrastructure development and high rate of adoption of HVAC system in the region. Companies such as United Technologies Corporation (Carrier), Neighborly Company (Aire Serv), and many more headquartered in the region also enjoy a dominant presence in the market. In North America, The U.S. and Canada lead the market. U.S. especially continues to be a hub for adoption of HVAC services. High residential and commercial construction activity further fuels demand for installation, retrofitting, and repair services, making North America a hub for HVAC service providers.

U.S. HVAC Services Market

In North America, the United States leads the HVAC services market especially due to energy-efficient systems’ high demand in the country and the presence of somewhat mature HVAC market where many people already own HVAC systems. The Mitsubishi Electric Trane HVAC's 2024 survey revealed there is a rising heat pump adoption in the U.S. 90% of homeowners recommend the technology and 88% recognize its superior energy efficiency. This highlights a growing shift toward sustainable HVAC solutions and therefore creates demand for HVAC services like installation, maintenance, and retrofitting.

Canada HVAC Services Market

Canada in North America is not far behind The US and is expanding immensely in the HVAC services market because of the harsh climatic conditions of the country that becomes very cold during the winters. This generates demand among people for heating solutions in winter and cooling solutions in summer. Alongside this, increasing urbanization in the country and growing interest towards energy saving and smart HVAC systems is creating room for maintenance and upgraded HVAC services. Master Group's nationwide launch of Hitachi residential HVAC products in April 2025 strengthens Canada's access to advanced technologies like FrostWash™ and HeatForce. This expansion of HVAC products offerings in the country also brings with it the requirement of HVAC services associated with its installments and maintenance.

Why is Demand for HVAC Services Fueling Growth in Asia Pacific?

Asia Pacific is predicted to grow at the highest rate in the HVAC services market over the projection period of 2025-2032. The growth in the region is led by the rapid urbanization that the region has witnessed in recent years. The increase in disposable income of the people and expanding commercial real estate across many countries in the region has also contributed to accelerating demand for HVAC services, especially due to the hot and humid climate that majority of the region experiences that requires adoption of HVAC systems and by relation HVAC services as well.

China HVAC Services Market

China’s market growth is spurred by its massive urbanization, industrial expansion, and high construction activity across commercial and residential settings. Demand is rising also due to the government's push and support for green buildings and smart cities. Technological advancements also play a key role as is evident by the ISH China & CIHE 2024 exhibition that showcased the latest HVAC technologies in China. This, in turn effects China’s HVAC services market. It creates a niche for adoption of advanced HVAC technologies which can ultimately also result in demand for installation, maintenance, and upgrade services.

Japan HVAC Services Market

The Japanese HVAC services market is expanding due to various reasons. This expansion can be contributed to its adoption of energy efficient HVAC systems and solutions. Japan is technologically very influential. There is high demand in the country for retrofitting in aging buildings and its focus on energy conservation and automation solutions also contributes to the HVAC services’ expansion. Companies like Daikin are servicing across the globe and setting global service and technology benchmarks. In March 2024, Mitsubishi Heavy Industries Thermal Systems launched 31 new residential air conditioner models for the Japanese market creating scope for HVAC services with this launch.

How is Europe Maintaining its Dominance in HVAC Services Industry?

Europe held a significant market share in 2024 and is likely to continue so during the forecast period of 2025-2032. The region has strict energy efficiency regulations to meet carbon neutrality goals and is currently many projects for retrofitting of aging buildings are ongoing in the region. All of these have led to the requirement for regular maintenance and upgrades of HVAC systems. The presence of popular HVAC brands and a mature service infrastructure makes Europe a key contributor to the global HVAC service economy.

Germany HVAC Services Market

Germany is one of the largest European markets for HVAC services because of its focus on adopting green building practices and retrofit building projects. Consumers and companies alike, in order to meet the climate goals, are demanding maintenance and upgrade services. This is especially prominent in residential and commercial infrastructure. Service providers in the country provide services that align with the building codes and regulatory requirements of the country.

France HVAC Services Market

France is one of the largest HVAC services markets. The French government has introduced schemes such as the MaPrimeRénov” scheme, a state provided grant that can be used by homeowners in France to partially cover the cost of installing energy efficient improvements to their homes. This is ultimately driving demand for consulting, repair, and system replacement services. Urban areas like Paris and Lyon see high demand for HVAC optimization in residential complexes and commercial facilities.

U.K. HVAC Services Market

In the U.K., HVAC services market is evolving. Growth is being observed in service areas like maintenance and upgrade services due to aging building infrastructures and the country’s net zero carbon targets. Cities like London are seeing demand in their strong commercial base. Nationwide investment in heat pumps and air quality control systems is being observed. All of these create a favorable backdrop for the HVAC service market’s growth.