Global Package Boilers Market - 2022-2029

Market Overview

The global package boilers market reached US$ XX million in 2021 and is expected to reach US$ XX million by 2029, growing at a CAGR of XX% during the forecast period 2022-2029.

A factory-made boiler or package boiler is a modern form of steam boiler and comes in a variety of standard configurations. A package boiler finds modest power applications, such as self-powered industrial operations, where package boilers are used to heat and act as steam generators. Due to their size and inefficiency, they are unsuitable for large-scale power facilities such as cogeneration plants. Package boilers are brought in as a complete assembly, making them ideal for tight spaces and easy to install. Further, these products are less expensive to operate and maintain due to their autonomous burner control technology.

Package boilers save money by eliminating the need for draughting. The chimney can either be a masonry chimney or a simple steel tube stack that is only enough to clear the exhaust gases. Because the burner generates its draught from a fan, it does not require the tall brick chimneys that a coal-fired boiler would. However, package boilers require steam pipes, water pipes, a fuel source and electrical connections.

Market Dynamics

The growing demand for clean energy sources and the associated increase in the utilization of package boilers in industries tend to drive the global market for package boilers. Nonetheless, the stringent government regulations and costs associated with manufacturing restrict the market's growth.

The rise in the usage of package boilers in industries

The usage of package boilers in industries has increased as a result of the growth of large-scale projects in emerging countries. The growing need for clean energy and the increase of nonrenewable power resources are the primary driver of market growth. Major environmental authority bodies, such as the United States Environmental Protection Agency, are likely to push various industries to verify production, particularly in the power generation division. As a result, the electrical division in these areas conducts strict energy conservation and emission reduction measures. The respective factor is expected to boost multiple ultra-mega energy projects in various countries, driving the demand for and needs of the package boiler market.

In a commercial or industrial setting, packed boilers offer numerous advantages. Packed boilers offer a faster rotation rate, automatic excess air adjustment, improved efficiency, better burner-to-fuel ratio control and reduced emissions. The new small boiler models have better digital technology, which helps to manage emissions, the reduction ratio and other important daily boiler performance aspects. New boilers are being created that can burn natural gas, biomass, biogas, solid waste, wet wood, sewage sludge and other fuels as technology progresses. Packaged boilers' capacity to provide reduced carbon emissions, lower heating costs and high energy efficiency are some of the main attributes expected to drive the packaged boiler market throughout the forecast period.

The stringent government regulations and costs associated with manufacturing

The government's regulations in the market, such as the formulation of strict emission standards, act as a major impediment to the growth of the package boiler market. For instance, in India, there exist several regulations that act as a route for governing the utilization of package boilers. Some of the examples of these regulations include the Indian Boilers Act-1923: The Indian Boilers Act of 1923 was enacted to protect people's lives and property from the dangers of steam boiler explosions, creating uniformity in boiler registration and inspection during operation and maintenance in India.

"Steam Boiler" refers to any closed vessel with a capacity of more than 22.75 liters used only for generating steam under pressure and any mountings and other fittings attached to the vessel under pressure when steam is turned off. The Indian Boilers Act of 1923 established the Indian Boilers Regulation of 1950. This regulation covers the materials, procedures and inspection techniques that must be used to produce boilers, boiler mountings and boiler fittings. The Inspectorate inspects the boiler in accordance with IBR -1950 procedures and if deemed satisfactory, a Certificate for operation for a maximum of 12 months is issued. Further, according to the Indian Boilers Act-1923, every boiler owner must submit an application to the Chief Inspector of Boilers for a boiler inspection, accompanied by a treasury challan for the relevant costs.

Due to the presence of such stringent laws, it could be concluded that the development of tight emission requirements acts as a major impediment to the growth of the packaged boiler market. Further, the market is influenced by the impact of domestic tariffs and trade routes. The cost associated with manufacturing means that only a few well-known and well-established companies lead the industry and thus the industry showcases low threat from the new entrants.

COVID-19 Impact Analysis

Since the COVID-19 pandemic's lockdowns and government regulations have restricted the availability of raw materials and final product sales, hampered the manufacturing processes and caused an overall drop in end-user activities for package boilers, causing demand-supply dynamics to shift, the impact of the pandemic on the global package boiler market could be recognized as somewhat disruptive.

Nonetheless, the market for package boilers is likely to recover due to the experienced growth in many of its end-user segments, such as food and beverage, chemical, oil and gas, paper and pulp, among others.

Segment Analysis

The global package boilers market is classified based on type, design, fuel, end-user and region.

The need for package boilers to generate steam in food and beverage markets, along with the respective sector's colossal global growth

The package boilers market's end-user segment consists of food and beverage, chemical, oil and gas, paper and pulp and others. The food & beverage segment dominates the end-user segment of the package boilers market during the forecast period due to rigorous air quality compliance and increased production capacities of food and beverage units. The food and beverage sector has become extremely modern, smart and technical. Package boilers are largely used in the food and beverage industries to generate steam for various procedures. As a result, the market for package boilers has grown due to the increased applicability of package boilers in the food and beverage industry.

Geographical Analysis

Growing industrialization and urbanization backed by cheap manufacturing results in Asia-pacific dominating the regional segment of the global package boilers market

Asia-Pacific is projected to be the leading contributor to the global market for packaged boilers. Many corporations in the Americas and Europe will most likely outsource their manufacturing to Asia-Pacific. The region is expected to see tremendous urbanization and industrialization in the coming years, particularly in countries like India, China, South Korea, Australia, Singapore, Taiwan and Japan. The aforementioned reasons are expected to boost the global package boiler market's growth prospects. The packaged boiler market was dominated by North America and Europe, which accounted for most market share. Regulations imposed by major environmental regulators, such as the U.S. Environmental Protection Agency, promote a variety of end-use sectors, fuelling the need for packaged boilers in these areas.

Competitive Landscape

The global package boilers market is less dynamic in terms of the number and strength of global and local producers. Due to a very few manufacturers such as Cleaver-Brooks, Inc, Mitsubishi Hitachi Power Systems, Babcock and Wilcox Enterprises, Inc, John Wood Group PLC, Gree Electric Appliances Inc, Thermax Global, Hurst Boiler and Welding Co, Inc, Powermaster, Johnston Boiler Company and IHI Corporation, the market is classified as consolidated. To achieve competitive advantages and recognition in their particular markets, significant market stakeholders use market techniques such as mergers, acquisitions, product launches, contributions and collaborations.

Thermax Group

Overview: Thermax Group, headquartered in Pune, India, has a market capitalization of US$ 661 million. Products for water and waste management, heating, cooling and specialty chemicals, are among the company's offerings. Large boilers for turnkey power plants, industrial and municipal wastewater treatment facilities, steam and power generation, air pollution control projects and waste heat recovery systems are among the services provided by the organization. Thermax's technologies, products and services assist the industry in increasing resource productivity and improving bottom lines while also preserving the environment. The company has 29 foreign offices and 14 manufacturing sites worldwide, with 10 in India and four in other countries. The company has seven owned local subsidiaries and twenty-one wholly-owned international subsidiaries.

Product Portfolio:

SHELLMAX: Shellmax is a three-pass smoke tube with a wet back boiler perfect for burning waste gases such as biogas from the decomposition of organic matter in distilleries, corex gas from the steel manufacturing process and liquid fuels when coupled with a specific burner.

Key Development:

A wholly-owned subsidiary of Thermax, Wilcox Energy Solutions and Thermax Babcock received a US$ 38.26 million (293 crore rupee) order for a boiler package consisting of 3x oil and gas-fired boilers on an EPC basis for a refinery and petrochemical complex in western India on August 26, 2021. The 3x oil and gas-fired boilers are included in the scope of supply, which comprises design, manufacture, installation, erection, commissioning and testing.

Why Purchase the Report?

To visualize the global package boilers market segmentation based on type, design, fuel, end-user and region, as well as understand key commercial assets and players.

Identify commercial opportunities in the global package boilers market by analyzing trends and co-development.

Excel data sheet with numerous data points of package boilers market-level with four segments.

PDF report consisting of cogently put together market analysis after exhaustive qualitative interviews and in-depth market study.

Product mapping available as excel consisting of key products of all the major market players

The global package boilers market report would provide approximately 64 tables, 69 figures and almost 188 pages.

Target Audience 2023

Manufacturers/ Buyers

Industry Investors/Investment Bankers

Research Professionals

Emerging Companies