Global Water-based Heating & Cooling Systems Market Size Study & Forecast, by Heating (Heat Pump, Convector Heater, Radiator, Boiler) and Cooling (Chiller, AHU, Cooling Tower, Tank) and Cooling Type (Direct, Indirect) and Regional Forecasts 2022-2032

Description

The Global Water-based Heating & Cooling Systems Market is valued at approximately USD 40.68 billion in 2024 and is expected to expand at a robust CAGR of 7.90% during the forecast period 2025-2035. These systems, encompassing both heating and cooling solutions, are increasingly adopted in residential, commercial, and industrial facilities to provide energy-efficient climate control. Water-based heating systems, including heat pumps, radiators, convector heaters, and boilers, as well as cooling solutions such as chillers, air handling units (AHU), cooling towers, and tanks, facilitate precise temperature regulation while reducing energy consumption. The global market is primarily driven by the escalating emphasis on sustainable and energy-efficient building solutions, government incentives promoting green infrastructure, and rising urbanization coupled with the need for comfortable indoor environments.

The rising integration of smart building technologies and the demand for environmentally friendly HVAC solutions have significantly propelled market growth. Modern water-based systems are increasingly equipped with intelligent control units and IoT-enabled sensors to optimize energy utilization and operational efficiency. According to recent industry estimates, global commercial and residential floor space requiring climate control expanded by over 4% in 2023, which in turn has driven adoption of advanced water-based heating and cooling technologies. Moreover, the growing trend of retrofitting existing buildings with efficient HVAC systems presents a substantial growth opportunity. Nevertheless, high initial installation costs and the requirement for skilled maintenance personnel remain potential restraints throughout the forecast period.

The detailed segments and sub-segments included in the report are:

By Heating:

Heat Pump
Convector Heater
Radiator
Boiler

By Cooling:

Chiller
AHU
Cooling Tower
Tank

By Cooling Type:

Direct
Indirect

By Implementation Type:

New Construction
Retrofit

By Vertical:

Residential
Commercial
Industrial
Institutional
Others

By Region:

North America
U.S.
Canada
Europe
Germany
UK
France
Italy
Spain
Rest of Europe
Asia Pacific
China
India
Japan
South Korea
Australia
Rest of Asia Pacific
Latin America
Brazil
Mexico
Middle East & Africa
UAE
Saudi Arabia
South Africa
Rest of Middle East & Africa
Among the segments, heat pumps under heating applications are expected to dominate the market, owing to their superior energy efficiency, reduced carbon footprint, and ability to deliver both heating and cooling in a single unit. The growing adoption of renewable energy sources to power heat pumps, particularly in residential and commercial buildings, further reinforces their dominance. Cooling towers and chillers, particularly in large-scale industrial setups, are also witnessing accelerated uptake driven by increasing industrialization and the need for efficient thermal management.
When analyzing revenue contributions, chillers in cooling applications currently lead the market, benefiting from their widespread deployment in commercial complexes, data centers, and manufacturing facilities where precise temperature control is critical. These systems are particularly favored due to their scalability, reliability, and ability to integrate with modern building management systems. Simultaneously, indirect cooling systems are gaining momentum for energy conservation and environmental compliance, reflecting evolving regulatory landscapes and efficiency standards.
The key regions considered for the Global Water-based Heating & Cooling Systems Market study include Asia Pacific, North America, Europe, Latin America, and the Middle East & Africa. North America commanded the market in 2025 due to stringent energy efficiency regulations, well-established infrastructure, and early adoption of smart building technologies. Meanwhile, Asia Pacific is projected to be the fastest-growing region, driven by rapid urbanization, rising industrial activity, and government initiatives to promote energy-efficient building solutions in countries like China and India. Europe maintains steady growth through the modernization of existing HVAC infrastructure and adoption of renewable-based heating and cooling technologies.

Major market players included in this report are:

Carrier Global Corporation
Daikin Industries, Ltd.
Trane Technologies plc
Johnson Controls International plc
Mitsubishi Electric Corporation
Bosch Thermotechnik GmbH
LG Electronics Inc.
Rheem Manufacturing Company
A. O. Smith Corporation
Panasonic Corporation
Hitachi Ltd.
Vaillant Group
Lennox International Inc.
Danfoss A/S
Johnson Electric Holdings Limited

Global Water-based Heating & Cooling Systems Market Report Scope:

Historical Data - 2023, 2024
Base Year for Estimation - 2024
Forecast period - 2025-2035
Report Coverage - Revenue forecast, Company Ranking, Competitive Landscape, Growth factors, and Trends
Regional Scope - North America; Europe; Asia Pacific; Latin America; Middle East & Africa
Customization Scope - Free report customization (equivalent to up to 8 analysts' working hours) with purchase. Addition or alteration to country, regional & segment scope*

The objective of the study is to define market sizes of different segments and countries in recent years and to forecast the values for the coming years. The report is designed to incorporate both qualitative and quantitative aspects of the industry within the countries involved in the study. The report also provides detailed information about crucial aspects, such as driving factors and challenges, which will define the future growth of the market. Additionally, it incorporates potential opportunities in micro-markets for stakeholders to invest, along with a detailed analysis of the competitive landscape and product offerings of key players. The detailed segments and sub-segments of the market are explained below:

Key Takeaways:

Market Estimates & Forecast for 10 years from 2025 to 2035.
Annualized revenues and regional-level analysis for each market segment.
Detailed analysis of the geographical landscape with country-level analysis of major regions.
Competitive landscape with information on major players in the market.
Analysis of key business strategies and recommendations on future market approach.
Analysis of the competitive structure of the market.
Demand side and supply side analysis of the market.

Chapter 1. Global Water-based Heating & Cooling Systems Market Report Scope & Methodology

1.1. Research Objective
1.2. Research Methodology
- 1.2.1. Forecast Model
- 1.2.2. Desk Research
- 1.2.3. Top Down and Bottom-Up Approach
1.3. Research Attributes
1.4. Scope of the Study
- 1.4.1. Market Definition
- 1.4.2. Market Segmentation
1.5. Research Assumption
- 1.5.1. Inclusion & Exclusion
- 1.5.2. Limitations
- 1.5.3. Years Considered for the Study

Chapter 2. Executive Summary

2.1. CEO/CXO Standpoint
2.2. Strategic Insights
2.3. ESG Analysis
2.4. key Findings

Chapter 3. Global Water-based Heating & Cooling Systems Market Forces Analysis

3.1. Market Forces Shaping The Global Water-based Heating & Cooling Systems Market (2024-2035)
3.2. Drivers
- 3.2.1. escalating emphasis on sustainable and energy-efficient building solutions
- 3.2.2. government incentives promoting green infrastructure
3.3. Restraints
- 3.3.1. high initial installation costs
3.4. Opportunities
- 3.4.1. rising urbanization

Chapter 4. Global Water-based Heating & Cooling Systems Industry Analysis

4.1. Porter's 5 Forces Model
- 4.1.1. Bargaining Power of Buyer
- 4.1.2. Bargaining Power of Supplier
- 4.1.3. Threat of New Entrants
- 4.1.4. Threat of Substitutes
- 4.1.5. Competitive Rivalry
4.2. Porter's 5 Force Forecast Model (2024-2035)
4.3. PESTEL Analysis
- 4.3.1. Political
- 4.3.2. Economical
- 4.3.3. Social
- 4.3.4. Technological
- 4.3.5. Environmental
- 4.3.6. Legal
4.4. Top Investment Opportunities
4.5. Top Winning Strategies (2025)
4.6. Market Share Analysis (2024-2025)
4.7. Global Pricing Analysis And Trends 2025
4.8. Analyst Recommendation & Conclusion

Chapter 5. Global Water-based Heating & Cooling Systems Market Size & Forecasts by Heating 2025-2035

5.1. Market Overview
5.2. Global Water-based Heating & Cooling Systems Market Performance - Potential Analysis (2025)
5.3. Heat Pump
- 5.3.1. Top Countries Breakdown Estimates & Forecasts, 2024-2035
- 5.3.2. Market size analysis, by region, 2025-2035
5.4. Convector Heater
- 5.4.1. Top Countries Breakdown Estimates & Forecasts, 2024-2035
- 5.4.2. Market size analysis, by region, 2025-2035
5.5. Radiator
- 5.5.1. Top Countries Breakdown Estimates & Forecasts, 2024-2035
- 5.5.2. Market size analysis, by region, 2025-2035
5.6. Boiler
- 5.6.1. Top Countries Breakdown Estimates & Forecasts, 2024-2035
- 5.6.2. Market size analysis, by region, 2025-2035

Chapter 6. Global Water-based Heating & Cooling Systems Market Size & Forecasts by Cooling 2025-2035

6.1. Market Overview
6.2. Global Water-based Heating & Cooling Systems Market Performance - Potential Analysis (2025)
6.3. Chiller
- 6.3.1. Top Countries Breakdown Estimates & Forecasts, 2024-2035
- 6.3.2. Market size analysis, by region, 2025-2035
6.4. AHU
- 6.4.1. Top Countries Breakdown Estimates & Forecasts, 2024-2035
- 6.4.2. Market size analysis, by region, 2025-2035
6.5. Cooling Tower
- 6.5.1. Top Countries Breakdown Estimates & Forecasts, 2024-2035
- 6.5.2. Market size analysis, by region, 2025-2035
6.6. Tank
- 6.6.1. Top Countries Breakdown Estimates & Forecasts, 2024-2035
- 6.6.2. Market size analysis, by region, 2025-2035

Chapter 7. Global Water-based Heating & Cooling Systems Market Size & Forecasts by Cooling type 2025-2035

7.1. Market Overview
7.2. Global Water-based Heating & Cooling Systems Market Performance - Potential Analysis (2025)
7.3. Direct
- 7.3.1. Top Countries Breakdown Estimates & Forecasts, 2024-2035
- 7.3.2. Market size analysis, by region, 2025-2035
7.4. Indirect
- 7.4.1. Top Countries Breakdown Estimates & Forecasts, 2024-2035
- 7.4.2. Market size analysis, by region, 2025-2035

Chapter 8. Global Water-based Heating & Cooling Systems Market Size & Forecasts by Implementation Type 2025-2035

8.1. Market Overview
8.2. Global Water-based Heating & Cooling Systems Market Performance - Potential Analysis (2025)
8.3. New Construction
- 8.3.1. Top Countries Breakdown Estimates & Forecasts, 2024-2035
- 8.3.2. Market size analysis, by region, 2025-2035
8.4. Retrofit
- 8.4.1. Top Countries Breakdown Estimates & Forecasts, 2024-2035
- 8.4.2. Market size analysis, by region, 2025-2035

Chapter 9. Global Water-based Heating & Cooling Systems Market Size & Forecasts by Vertical 2025-2035

9.1. Market Overview
9.2. Global Water-based Heating & Cooling Systems Market Performance - Potential Analysis (2025)
9.3. Residential
- 9.3.1. Top Countries Breakdown Estimates & Forecasts, 2024-2035
- 9.3.2. Market size analysis, by region, 2025-2035
9.4. Commercial
- 9.4.1. Top Countries Breakdown Estimates & Forecasts, 2024-2035
- 9.4.2. Market size analysis, by region, 2025-2035
9.5. Industrial
- 9.5.1. Top Countries Breakdown Estimates & Forecasts, 2024-2035
- 9.5.2. Market size analysis, by region, 2025-2035
9.6. Institutional
- 9.6.1. Top Countries Breakdown Estimates & Forecasts, 2024-2035
- 9.6.2. Market size analysis, by region, 2025-2035
9.7. Others
- 9.7.1. Top Countries Breakdown Estimates & Forecasts, 2024-2035
- 9.7.2. Market size analysis, by region, 2025-2035

Chapter 10. Global Water-based Heating & Cooling Systems Market Size & Forecasts by Region 2025-2035

10.1. Growth Water-based Heating & Cooling Systems Market, Regional Market Snapshot
10.2. Top Leading & Emerging Countries
10.3. North America Water-based Heating & Cooling Systems Market
- 10.3.1. U.S. Water-based Heating & Cooling Systems Market
  - 10.3.1.1. Heating breakdown size & forecasts, 2025-2035
  - 10.3.1.2. Cooling breakdown size & forecasts, 2025-2035
  - 10.3.1.3. Cooling type breakdown size & forecasts, 2025-2035
  - 10.3.1.4. Implementation Type breakdown size & forecasts, 2025-2035
  - 10.3.1.5. Vertical breakdown size & forecasts, 2025-2035
- 10.3.2. Canada Water-based Heating & Cooling Systems Market
  - 10.3.2.1. Heating breakdown size & forecasts, 2025-2035
  - 10.3.2.2. Cooling breakdown size & forecasts, 2025-2035
  - 10.3.2.3. Cooling type breakdown size & forecasts, 2025-2035
  - 10.3.2.4. Implementation Type breakdown size & forecasts, 2025-2035
  - 10.3.2.5. Vertical breakdown size & forecasts, 2025-2035
10.4. Europe Water-based Heating & Cooling Systems Market
- 10.4.1. UK Water-based Heating & Cooling Systems Market
  - 10.4.1.1. Heating breakdown size & forecasts, 2025-2035
  - 10.4.1.2. Cooling breakdown size & forecasts, 2025-2035
  - 10.4.1.3. Cooling type breakdown size & forecasts, 2025-2035
  - 10.4.1.4. Implementation Type breakdown size & forecasts, 2025-2035
  - 10.4.1.5. Vertical breakdown size & forecasts, 2025-2035
- 10.4.2. Germany Water-based Heating & Cooling Systems Market
  - 10.4.2.1. Heating breakdown size & forecasts, 2025-2035
  - 10.4.2.2. Cooling breakdown size & forecasts, 2025-2035
  - 10.4.2.3. Cooling type breakdown size & forecasts, 2025-2035
  - 10.4.2.4. Implementation Type breakdown size & forecasts, 2025-2035
  - 10.4.2.5. Vertical breakdown size & forecasts, 2025-2035
- 10.4.3. France Water-based Heating & Cooling Systems Market
  - 10.4.3.1. Heating breakdown size & forecasts, 2025-2035
  - 10.4.3.2. Cooling breakdown size & forecasts, 2025-2035
  - 10.4.3.3. Cooling type breakdown size & forecasts, 2025-2035
  - 10.4.3.4. Implementation Type breakdown size & forecasts, 2025-2035
  - 10.4.3.5. Vertical breakdown size & forecasts, 2025-2035
- 10.4.4. Spain Water-based Heating & Cooling Systems Market
  - 10.4.4.1. Heating breakdown size & forecasts, 2025-2035
  - 10.4.4.2. Cooling breakdown size & forecasts, 2025-2035
  - 10.4.4.3. Cooling type breakdown size & forecasts, 2025-2035
  - 10.4.4.4. Implementation Type breakdown size & forecasts, 2025-2035
  - 10.4.4.5. Vertical breakdown size & forecasts, 2025-2035
- 10.4.5. Italy Water-based Heating & Cooling Systems Market
  - 10.4.5.1. Heating breakdown size & forecasts, 2025-2035
  - 10.4.5.2. Cooling breakdown size & forecasts, 2025-2035
  - 10.4.5.3. Cooling type breakdown size & forecasts, 2025-2035
  - 10.4.5.4. Implementation Type breakdown size & forecasts, 2025-2035
  - 10.4.5.5. Vertical breakdown size & forecasts, 2025-2035
- 10.4.6. Rest of Europe Water-based Heating & Cooling Systems Market
  - 10.4.6.1. Heating breakdown size & forecasts, 2025-2035
  - 10.4.6.2. Cooling breakdown size & forecasts, 2025-2035
  - 10.4.6.3. Cooling type breakdown size & forecasts, 2025-2035
  - 10.4.6.4. Implementation Type breakdown size & forecasts, 2025-2035
  - 10.4.6.5. Vertical breakdown size & forecasts, 2025-2035
10.5. Asia Pacific Water-based Heating & Cooling Systems Market
- 10.5.1. China Water-based Heating & Cooling Systems Market
  - 10.5.1.1. Heating breakdown size & forecasts, 2025-2035
  - 10.5.1.2. Cooling breakdown size & forecasts, 2025-2035
  - 10.5.1.3. Cooling type breakdown size & forecasts, 2025-2035
  - 10.5.1.4. Implementation Type breakdown size & forecasts, 2025-2035
  - 10.5.1.5. Vertical breakdown size & forecasts, 2025-2035
- 10.5.2. India Water-based Heating & Cooling Systems Market
  - 10.5.2.1. Heating breakdown size & forecasts, 2025-2035
  - 10.5.2.2. Cooling breakdown size & forecasts, 2025-2035
  - 10.5.2.3. Cooling type breakdown size & forecasts, 2025-2035
  - 10.5.2.4. Implementation Type breakdown size & forecasts, 2025-2035
  - 10.5.2.5. Vertical breakdown size & forecasts, 2025-2035
- 10.5.3. Japan Water-based Heating & Cooling Systems Market
  - 10.5.3.1. Heating breakdown size & forecasts, 2025-2035
  - 10.5.3.2. Cooling breakdown size & forecasts, 2025-2035
  - 10.5.3.3. Cooling type breakdown size & forecasts, 2025-2035
  - 10.5.3.4. Implementation Type breakdown size & forecasts, 2025-2035
  - 10.5.3.5. Vertical breakdown size & forecasts, 2025-2035
- 10.5.4. Australia Water-based Heating & Cooling Systems Market
  - 10.5.4.1. Heating breakdown size & forecasts, 2025-2035
  - 10.5.4.2. Cooling breakdown size & forecasts, 2025-2035
  - 10.5.4.3. Cooling type breakdown size & forecasts, 2025-2035
  - 10.5.4.4. Implementation Type breakdown size & forecasts, 2025-2035
  - 10.5.4.5. Vertical breakdown size & forecasts, 2025-2035
- 10.5.5. South Korea Water-based Heating & Cooling Systems Market
  - 10.5.5.1. Heating breakdown size & forecasts, 2025-2035
  - 10.5.5.2. Cooling breakdown size & forecasts, 2025-2035
  - 10.5.5.3. Cooling type breakdown size & forecasts, 2025-2035
  - 10.5.5.4. Implementation Type breakdown size & forecasts, 2025-2035
  - 10.5.5.5. Vertical breakdown size & forecasts, 2025-2035
- 10.5.6. Rest of APAC Water-based Heating & Cooling Systems Market
  - 10.5.6.1. Heating breakdown size & forecasts, 2025-2035
  - 10.5.6.2. Cooling breakdown size & forecasts, 2025-2035
  - 10.5.6.3. Cooling type breakdown size & forecasts, 2025-2035
  - 10.5.6.4. Implementation Type breakdown size & forecasts, 2025-2035
  - 10.5.6.5. Vertical breakdown size & forecasts, 2025-2035
10.6. Latin America Water-based Heating & Cooling Systems Market
- 10.6.1. Brazil Water-based Heating & Cooling Systems Market
  - 10.6.1.1. Heating breakdown size & forecasts, 2025-2035
  - 10.6.1.2. Cooling breakdown size & forecasts, 2025-2035
  - 10.6.1.3. Cooling type breakdown size & forecasts, 2025-2035
  - 10.6.1.4. Implementation Type breakdown size & forecasts, 2025-2035
  - 10.6.1.5. Vertical breakdown size & forecasts, 2025-2035
- 10.6.2. Mexico Water-based Heating & Cooling Systems Market
  - 10.6.2.1. Heating breakdown size & forecasts, 2025-2035
  - 10.6.2.2. Cooling breakdown size & forecasts, 2025-2035
  - 10.6.2.3. Cooling type breakdown size & forecasts, 2025-2035
  - 10.6.2.4. Implementation Type breakdown size & forecasts, 2025-2035
  - 10.6.2.5. Vertical breakdown size & forecasts, 2025-2035
10.7. Middle East and Africa Water-based Heating & Cooling Systems Market
- 10.7.1. UAE Water-based Heating & Cooling Systems Market
  - 10.7.1.1. Heating breakdown size & forecasts, 2025-2035
  - 10.7.1.2. Cooling breakdown size & forecasts, 2025-2035
  - 10.7.1.3. Cooling type breakdown size & forecasts, 2025-2035
  - 10.7.1.4. Implementation Type breakdown size & forecasts, 2025-2035
  - 10.7.1.5. Vertical breakdown size & forecasts, 2025-2035
- 10.7.2. Saudi Arabia (KSA) Water-based Heating & Cooling Systems Market
  - 10.7.2.1. Heating breakdown size & forecasts, 2025-2035
  - 10.7.2.2. Cooling breakdown size & forecasts, 2025-2035
  - 10.7.2.3. Cooling type breakdown size & forecasts, 2025-2035
  - 10.7.2.4. Implementation Type breakdown size & forecasts, 2025-2035
  - 10.7.2.5. Vertical breakdown size & forecasts, 2025-2035
- 10.7.3. South Africa Water-based Heating & Cooling Systems Market
  - 10.7.3.1. Heating breakdown size & forecasts, 2025-2035
  - 10.7.3.2. Cooling breakdown size & forecasts, 2025-2035
  - 10.7.3.3. Cooling type breakdown size & forecasts, 2025-2035
  - 10.7.3.4. Implementation Type breakdown size & forecasts, 2025-2035
  - 10.7.3.5. Vertical breakdown size & forecasts, 2025-2035

Chapter 11. Competitive Intelligence

11.1. Top Market Strategies
11.2. Carrier Global Corporation
- 11.2.1. Company Overview
- 11.2.2. Key Executives
- 11.2.3. Company Snapshot
- 11.2.4. Financial Performance (Subject to Data Availability)
- 11.2.5. Product/Services Port
- 11.2.6. Recent Development
- 11.2.7. Market Strategies
- 11.2.8. SWOT Analysis
11.3. Daikin Industries, Ltd.
11.4. Trane Technologies plc
11.5. Johnson Controls International plc
11.6. Mitsubishi Electric Corporation
11.7. Bosch Thermotechnik GmbH
11.8. LG Electronics Inc.
11.9. Rheem Manufacturing Company
11.10. A. O. Smith Corporation
11.11. Panasonic Corporation
11.12. Hitachi Ltd.
11.13. Vaillant Group
11.14. Lennox International Inc.
11.15. Danfoss A/S
11.16. Johnson Electric Holdings Limited