PUBLISHER: The Business Research Company | PRODUCT CODE: 1822905
PUBLISHER: The Business Research Company | PRODUCT CODE: 1822905
Heating, ventilation, and air conditioning (HVAC) centrifugal compressors are mechanical devices that compress refrigerant gas using a rapidly rotating impeller to increase the gas's velocity, which is then converted into higher pressure through a diffuser. These compressors effectively manage high cooling loads by continuously drawing refrigerant into the center and discharging it outward at elevated pressure. Their design enables smooth, oil-free operation with high efficiency, making them well-suited for providing dependable cooling in large buildings and industrial settings.
The primary types of HVAC centrifugal compressors include single-stage compressors, multi-stage compressors, magnetically levitated compressors, and centrifugal chillers. Single-stage compressors use one impeller to compress refrigerant in a single step, offering a compact and cost-efficient option for moderate HVAC cooling requirements. They are available in various capacities-low, medium, and high-to suit different applications such as industrial and commercial use, and they serve a range of end-users, including commercial buildings, manufacturing and industrial facilities, healthcare institutions, data centers, and retail establishments.
Note that the outlook for this market is being affected by rapid changes in trade relations and tariffs globally. The report will be updated prior to delivery to reflect the latest status, including revised forecasts and quantified impact analysis. The report's Recommendations and Conclusions sections will be updated to give strategies for entities dealing with the fast-moving international environment.
The swift increase in U.S. tariffs and the ensuing trade tensions in spring 2025 are significantly affecting the machinery sector by increasing costs for steel, hydraulic systems, and precision bearings critical components often imported from tariff-affected regions. Manufacturers of construction, agricultural, and industrial machinery now face squeezed margins, as many long-term contracts prevent immediate price adjustments. The uncertainty has also delayed investment in automation and smart machinery technologies, slowing productivity gains. To adapt, firms are accelerating local supplier development, redesigning products to use alternative materials, and leveraging predictive maintenance to extend equipment lifespans amid higher replacement costs.
The heating, ventilation, and air conditioning (HVAC) centrifugal compressors market research report is one of a series of new reports from The Business Research Company that provides heating, ventilation, and air conditioning (HVAC) centrifugal compressors market statistics, including the heating, ventilation, and air conditioning (HVAC) centrifugal compressors industry global market size, regional shares, competitors with the heating, ventilation, and air conditioning (HVAC) centrifugal compressors market share, detailed heating, ventilation, and air conditioning (HVAC) centrifugal compressors market segments, market trends, opportunities, and any further data you may need to thrive in the heating, ventilation, and air conditioning (HVAC) centrifugal compressors industry. This heating, ventilation, and air conditioning (HVAC) centrifugal compressors market research report delivers a complete perspective of everything you need, with an in-depth analysis of the current and future scenarios of the industry.
The heating, ventilation, and air conditioning (HVAC) centrifugal compressors market size has grown strongly in recent years. It will grow from $1.16 billion in 2024 to $1.23 billion in 2025 at a compound annual growth rate (CAGR) of 6.2%. Growth during the historic period was driven by factors such as increasing urbanization and commercial construction, industrialization in emerging markets, rising demand for centralized cooling systems, emphasis on building energy efficiency, and the expansion of data centers.
The heating, ventilation, and air conditioning (HVAC) centrifugal compressors market size is expected to see strong growth in the next few years. It will grow to $1.54 billion in 2029 at a compound annual growth rate (CAGR) of 5.8%. In the forecast period, growth is expected to result from the proliferation of green building initiatives, stricter regulations on energy efficiency, the adoption of low-global warming potential (GWP) refrigerants, increased demand from high-performance computing facilities, and ongoing infrastructure modernization. Key trends anticipated during this period include advancements in oil-free compressor technologies, research and development focused on energy-efficient designs, implementation of digital twin technology, development of variable speed compressors, and innovations in low-emission refrigerants.
The growth in commercial construction is expected to drive the expansion of the heating, ventilation, and air conditioning (HVAC) centrifugal compressors market going forward. Commercial construction involves building structures intended for business use. This growth is fueled by urbanization, as more people moving to cities increases the need for office buildings, retail spaces, and infrastructure that supports economic activities and urban lifestyles. HVAC centrifugal compressors play a crucial role in commercial construction by providing efficient and reliable cooling for large buildings such as office complexes, shopping malls, hospitals, and hotels. For example, in July 2025, the U.S. Census Bureau reported that U.S. office construction spending reached $42,249 million in 2024, a 1.7% increase from $41,537 million in 2023. Therefore, growth in commercial construction is driving the demand for heating, ventilation, and air conditioning (HVAC) centrifugal compressors.
Leading companies in the heating, ventilation, and air conditioning (HVAC) centrifugal compressors market are developing advanced products such as two-stage compressor-based centrifugal chillers to enhance cooling performance and reduce operational costs in large commercial and industrial applications. These chillers utilize a dual-stage compression process to increase refrigerant pressure more efficiently, leading to reduced energy consumption and improved performance. They are especially suitable for large HVAC systems, providing superior part-load efficiency and precise temperature control. For instance, in October 2024, Daikin Applied, a U.S.-based HVAC solutions provider, launched the Magnitude WME-D, a next-generation water-cooled centrifugal chiller with an oil-free compressor. It uses low-global warming potential (GWP) refrigerant R-515B and delivers up to 40% better performance compared to previous models. This chiller offers exceptional energy efficiency, lowers carbon footprint, and supports sustainability goals in commercial building cooling applications. It is also designed for quiet operation and flexible integration into both new and existing chilled water systems.
In June 2023, Blackstone Inc., a U.S.-based private equity and asset management firm, acquired Copeland for $14 billion. With this acquisition, Blackstone aims to establish Copeland as a standalone global leader in sustainable climate technologies by leveraging its expertise in HVAC centrifugal compressors and refrigeration. The goal is to accelerate innovation in energy-efficient solutions, electrification, and decarbonization across residential, commercial, and industrial markets worldwide. Copeland is a U.S.-based manufacturer specializing in HVAC oil-free centrifugal compressors.
Major players in the heating, ventilation, and air conditioning (HVAC) centrifugal compressors market are Mitsubishi Electric Corporation, Hitachi Ltd., LG Electronics Inc., Panasonic Corporation, Daikin Industries Ltd., Johnson Controls International plc, Trane Technologies plc, Atlas Copco AB, Danfoss A/S, Ingersoll Rand Inc., Shanghai Highly (Group) Co. Ltd., Bitzer Kuhlmaschinenbau GmbH, Fusheng Co. Ltd., Embraco S.A., Elgi Equipments Limited, Frascold S.p.A., Rotating Machinery Services Inc., Smardt Chiller Group Inc., Celeroton AG, Mayekawa Mfg. Co. Ltd.
North America was the largest region in the heating, ventilation, and air conditioning (HVAC) centrifugal compressors market in 2024. Asia-Pacific is expected to be the fastest-growing region in the forecast period. The regions covered in heating, ventilation, and air conditioning (HVAC) centrifugal compressors report are Asia-Pacific, Western Europe, Eastern Europe, North America, South America, Middle East and Africa.
The countries covered in the heating, ventilation, and air conditioning (HVAC) centrifugal compressors market report are Australia, Brazil, China, France, Germany, India, Indonesia, Japan, Russia, South Korea, UK, USA, Canada, Italy, Spain.
The heating, ventilation, and air conditioning (HVAC) centrifugal compressors market consists of sales of standalone centrifugal compressors, oil-free centrifugal compressors, two-stage centrifugal compressors, variable-speed centrifugal compressors, and heat pumps. Values in this market are 'factory gate' values, that is, the value of goods sold by the manufacturers or creators of the goods, whether to other entities (including downstream manufacturers, wholesalers, distributors, and retailers) or directly to end customers. The value of goods in this market includes related services sold by the creators of the goods.
The market value is defined as the revenues that enterprises gain from the sale of goods and/or services within the specified market and geography through sales, grants, or donations in terms of the currency (in USD unless otherwise specified).
The revenues for a specified geography are consumption values that are revenues generated by organizations in the specified geography within the market, irrespective of where they are produced. It does not include revenues from resales along the supply chain, either further along the supply chain or as part of other products.
Heating, Ventilation, And Air Conditioning (HVAC) Centrifugal Compressors Global Market Report 2025 from The Business Research Company provides strategists, marketers and senior management with the critical information they need to assess the market.
This report focuses on heating, ventilation, and air conditioning (hvac) centrifugal compressors market which is experiencing strong growth. The report gives a guide to the trends which will be shaping the market over the next ten years and beyond.
Where is the largest and fastest growing market for heating, ventilation, and air conditioning (hvac) centrifugal compressors ? How does the market relate to the overall economy, demography and other similar markets? What forces will shape the market going forward, including technological disruption, regulatory shifts, and changing consumer preferences? The heating, ventilation, and air conditioning (hvac) centrifugal compressors market global report from the Business Research Company answers all these questions and many more.
The report covers market characteristics, size and growth, segmentation, regional and country breakdowns, competitive landscape, market shares, trends and strategies for this market. It traces the market's historic and forecast market growth by geography.
The forecasts are made after considering the major factors currently impacting the market. These include the technological advancements such as AI and automation, Russia-Ukraine war, trade tariffs (government-imposed import/export duties), elevated inflation and interest rates.