The air conditioning market is projected to grow at a CAGR of 5.18% globally over the period 2012-2016, according to a news report in The Saudi Gazette, (datelined, Jeddah, October 19, 2013), based on Research and Markets' Global Air Conditioning Market 2012-2016 report.
One of the key factors contributing to this growth is the increase in construction activities, the report said, and added that the market has also been witnessing an increased use of green technology and renewable energy sources, but pointed out that the capital-intensive market could pose a challenge to its growth.
The news report named Carrier, Daikin, Ingersoll-Rand, Johnson Controls, and LG Electronics dominating this market space, while the other vendors mentioned in the report were Airwell Group, ETA General, GD Midea Holding, Haier, Hitachi, Lennox International, Mitsubishi, NORDYNE, Panasonic, Samsung Electronics, Toshiba, Whirlpool, and Zhu Hai Gree.
Commenting on the report, an analyst from the team was quoted as saying: "The global air conditioning market is increasingly adopting green technology and using renewable energy sources to create energy-efficient, eco-friendly air conditioning systems.
The governments of many countries such as Saudi Arabia, UAE and the US are adopting green initiatives and promoting the use of renewable energy sources to promote clean energy.
Moreover, the advent of hybrid systems and non-polluting refrigerants has led to the provision and adoption of green technology by vendors and end-users, respectively. In addition, vendors are developing innovative air conditioning systems that are compatible with eco-friendly refrigerants.
Further, companies are manufacturing air conditioning systems to meet/exceed the guidelines set by the Energy Star program and the EnergyGuide labels."
A trend that the report identified, said the news story, was an increase in the worldwide sales of homes and new buildings, leading to an increase in construction activity, which in turn has augmented the sale of air conditioning systems, which, it said was expected to drive the growth of the global air conditioning market.
The report, however, cautioned that despite the upward swing, the global economic downturn has impacted heavy investment in the market by vendors.