The ASEAN Chillers market size was valued at $842.1 million in 2023, and is projected to reach $1,344.7 million by 2033, registering a CAGR of 4.8% from 2024 to 2033.
Chillers are refrigeration systems primarily employed to cool large spaces or industrial operations. Their function involves extracting heat from a liquid, usually water or a water-glycol mixture, utilizing either a vapor-compression or absorption refrigeration process. Chillers serve essential roles across various sectors, including commercial building air conditioning, data centers, hospitals, and manufacturing, where precise temperature regulation is imperative. They exist in diverse forms such as air-cooled and water-cooled, each tailored to specific settings and cooling needs. These systems are pivotal in sustaining comfortable and controlled environments while also advancing energy efficiency and eco-friendly practices through technological innovations and the adoption of environmentally safe refrigerants.
In ASEAN, there is an increasing demand for cooling solutions. As urbanization and industrialization surge, there's a growing need for efficient air conditioning in commercial buildings, manufacturing facilities, and data centers. Chillers provide reliable cooling for diverse applications, such as offices, factories and datacenters ensuring comfortable working environments, preserving product quality, and supporting critical infrastructure. Moreover, ongoing advancements in chiller technology contribute significantly to energy efficiency objectives and environmental sustainability initiatives throughout the region. Consequently, chillers are indispensable in meeting the escalating demand for cooling solutions across ASEAN countries.
Modern commercial heating systems incorporate advanced technologies and design principles to prioritize energy efficiency. They utilize features such as high-efficiency burners, programmable control, and heat recovery systems to optimize energy usage. By minimizing wasted energy and maximizing heat output, these systems reduce businesses' carbon footprint and operational expenses. In addition, they ensure consistent and precise temperature control, meeting heating demands effectively across diverse commercial environments. The adoption of energy-efficient heating solutions not only benefits the environment by reducing greenhouse gas emissions but also enhances cost savings and sustainability for businesses in the long run.
Key Takeaways of ASEAN Chillers Market Report
- By compressor type, the market is analyzed across magnetic levitation, scroll, screw, centrifugal and others. In 2023, the screw strand segment dominated the ASEAN chillers market, in terms of revenue, and it is expected to grow with a higher CAGR during the forecast period.
- By type, the market is bifurcated into air cooled and water cooled. In 2023, the water cooled segment dominated the ASEAN chillers market, in terms of revenue, and the air cooled segment is expected to witness growth at a higher CAGR during the forecast period.
- By refrigerant, the market is classified into Water, R407C, R404A, R410A, R22, HCFC, Ammonia R717, HFO and Others. The Ammonia R717 segment accounted for a higher market share in 2023.
- By capacity, the market is segmented into up to 100 RT, 101 RT To 300 RT, above 300 RT. The above 300 RT segment accounted for a higher market share in 2023.
- By end user, it is divided into office, factory, and datacenter. In 2023, the factory strand segment dominated the ASEAN chillers market, in terms of revenue, and office segment is expected to grow with a higher CAGR during the forecast period.
- By country, Indonesia dominated the ASEAN Chillers market, in terms of revenue, and it is expected to grow with a higher CAGR during the forecast period. Rapid development in countries such as Malaysia, Thailand , and Vietnam, along with population growth and urbanization are expected to play an instrumental role in the ASEAN chillers market growth.
Segment Overview
The ASEAN chillers market is segmented into compressor type, type, refrigerant capacity (RT), end user, and region.
By Compressor Type
On the basis of compressor type, the ASEAN Chillers Market industry is divided into magnetic levitation, scroll, screw, centrifugal and others. In 2023, screw segment dominated the market in terms of revenue owing to increase in demand for cooling solutions across commercial and industrial sectors, particularly in rapidly developing nations such as Vietnam, Indonesia, and the Philippines. Factors such as urbanization, infrastructure expansion, and increase in manufacturing industries contribute to this demand. In addition, increased awareness of energy efficiency and environmental sustainability drives the adoption of screw chillers.
By Compressor Type
The Screw segment is projected to grow at a significant CAGR during the forecast period.
By Type
On the basis of type, the ASEAN Chillers Market industry is divided into air cooled and water cooled. In 2023, water cooled segment dominated the market in terms of revenue. The expansion of water-cooled chiller usage in the ASEAN region is fueled by swift industrial growth and urban development, particularly in nations such as Singapore, Thailand, and Malaysia, are increasing the demand for cooling solutions across commercial, manufacturing, and data center sectors. Moreover, there's a focus on sustainability and energy efficiency in the region, expecting businesses to adopt more resource-efficient cooling technologies such as water-cooled chillers to mitigate energy usage and environmental footprint. In addition, the increasing recognition of centralized cooling systems' advantages and the ongoing infrastructure developments offer promising opportunities for the water-cooled chiller in ASEAN.
By Type
The Water Cooled segment is expected to hold a majority share of the market throughout the study period
By Refrigerant
On the basis of refrigerant, the ASEAN Chillers Market industry is divided into water, R407C, R404A, R410A, R22, HCFC, Ammonia R717, HFO, and Others. In 2023, Ammonia R717 segment dominated the market in terms of revenue. Ammonia is a natural refrigerant with zero ozone depletion potential and negligible global warming potential. Its high energy efficiency and excellent thermodynamic properties make it ideal for industrial refrigeration and large-scale cooling applications. Opportunities in ASEAN arise from stricter environmental regulations, phasing out harmful refrigerants, and the need for sustainable cooling solutions. In addition, the increasing demand for energy-efficient systems in food processing, cold storage, and manufacturing sectors boosts the adoption of ammonia-based chillers. Investments in training and safety standards also support the safe use and handling of ammonia, further enhancing its growth prospects in the region.
By Refrigerant
The Infrastructure segment is expected to hold a majority share of the market throughout the study period
By Capacity (RT)
On the basis of capacity (RT), the ASEAN Chillers Market industry is divided into up to 100 RT, 101 RT To 300 RT, and above 300 RT. In 2023, above 300 RT segment dominated the market in terms of revenue. Above 300 RT chillers are adept at efficiently managing the significant cooling demands of expansive buildings, manufacturing plants, and district cooling networks. Furthermore, with a growing focus on environmental sustainability, there's an increasing preference for energy-efficient and environmentally friendly cooling technologies. Above 300 RT chillers often incorporate advanced features such as variable frequency drives and eco-conscious refrigerants to optimize energy utilization and minimize environmental impact.
By Capacity Rt
The Above 300 RT segment is projected to grow at a significant CAGR during the forecast period.
By End User
On the basis of end user, the ASEAN Chillers Market industry is divided into office, factory, and datacenter. In 2023, factory segment dominated the market in terms of revenue. The application of chillers in ASEAN factory settings is driven by the booming industrial landscape in nations such as Thailand, Indonesia, and Vietnam which fuels the demand for chillers to uphold optimal working conditions in manufacturing, ensuring efficient processes and product quality. There is also a growing focus on energy efficiency and sustainability, prompting factories to invest in chiller solutions to curtail energy usage and operational expenses. Moreover, the emergence of sectors such as food processing, pharmaceuticals, and automotive industries in Malaysia, Singapore, and the Philippines presents opportunities for chillers and streamline production procedures. The potential growth areas in the ASEAN region encompass expanding markets such as Cambodia and Brunei, witnessing a surge in industrial activities.
By End User
The Factory segment is projected to grow at a significant CAGR during the forecast period.
By Country
On the basis of country, the ASEAN Chillers Market industry is divided into Cambodia, Indonesia, Malaysia, Philippines, Singapore, Thailand, Vietnam, and Rest of ASEAN. In 2023, Indonesia segment dominated the market in terms of revenue. The chiller market in Indonesia is experiencing steady expansion, fueled by growing requirements for temperature regulation solutions in industries such as manufacturing, healthcare, and hospitality. Technological progressions and a shift towards sustainable, eco-conscious cooling alternatives are impacting market dynamics. Energy efficiency and refrigerant regulations pose challenges to the market. Despite the pandemic's effects, there was increased demand for chillers in the healthcare and food preservation sectors. Major players such as Johnson Controls, Carrier, Daikin, and Mitsubishi Electric offer a range of chiller solutions. The scroll & absorption chillers sector is on the rise due to the focus on energy-efficient cooling and heightened demand across various industries. The future outlook for the Indonesian chiller market appears promising, given the focus on energy efficiency and environment-friendly cooling solutions.
By Country
The Indonesia is expected to hold a majority share of the market throughout the study period
Competitive Analysis
Competitive analysis and profiles of the major players in the ASEAN Chillers market are provided in the report. Major companies profiled in the report include Carrier, DAIKIN INDUSTRIES, Ltd., Dunham Bush, Mitsubishi Heavy Industries, Ltd. (Mitsubishi Corporation), Johnson Controls, LG Electronics, Smardt Chiller Group, Inc., (TICA), GREE Electric Appliances, Inc. of Zhuhai, Panasonic Corporation and Hisense International. The key strategies adopted by the major players of the ASEAN Chillers Market is product launch, expansion, acquisitions, investment, and joint venture.
Market Dynamics
Growth of manufacturing industry
The expansion of the manufacturing sector is significantly driving the ASEAN chillers market. As manufacturing facilities in the region continue to grow and modernize, there is an increase in need for reliable and efficient cooling systems to ensure optimal operating conditions. This demand is driven by advancements in manufacturing technology involving complex machinery that generates a substantial amount of heat, making advanced chillers essential for heat dissipation and equipment longevity. The rapid industrialization in ASEAN countries such as Vietnam, Indonesia, and Thailand, has positioned them as key manufacturing hubs. These manufacturing hubs require robust cooling solutions across various sectors such as automotive, electronics, and pharmaceuticals. In addition, rise in energy costs and environmental concerns are also motivating manufacturers to seek energy-efficient refrigerants such as Ammonia R717 and HFO to reduce operational expenses and carbon footprints. Furthermore, the tropical climates of ASEAN nations require controlled environments within manufacturing units to maintain product quality and worker comfort, with high-performance chillers being crucial in achieving these conditions will help propel the growth of chillers in ASEAN region.
High initial investments
Advanced chiller systems, especially those using low-GWP refrigerants and high-efficiency technologies, demand substantial upfront capital. This financial barrier is particularly challenging for small and medium-sized enterprises (SMEs) in the region, which may find it difficult to allocate the necessary funds. Moreover, the costs associated with installation, maintenance, and integration of sophisticated systems add to the financial strain. Although these chillers offer long-term savings through improved energy efficiency and lower operating costs, the substantial initial outlay can discourage potential buyers. This financial constraint restricts market expansion, as many businesses look for cheaper, less efficient cooling solutions. Consequently, the high initial investment requirement remains a significant obstacle to the widespread adoption of advanced chiller technologies in the ASEAN market, slowing its overall growth.
Rise in demand for VRF systems
The increase in interest for variable refrigerant flow (VRF) systems represents a promising future for the ASEAN chillers market. VRF systems offer various benefits such as energy efficiency, individual zone control, and quiet operation, making them first choice in both residential and commercial settings. With urbanization and construction activities on the rise in ASEAN nations, particularly in rapidly developing urban areas, there is a growing demand for HVAC solutions that can cater to diverse needs while minimizing energy usage and operational expenses. VRF systems are well-equipped to meet these requirements, providing adaptable configurations and precise temperature management for different spaces within buildings. Moreover, the scalability and flexibility of VRF technology make it suitable for a wide array of building types and sizes, ranging from small offices to expansive commercial complexes. In addition, with the increasing demand for VRF systems, players in the ASEAN chillers market can diversify their product offerings and explore new growth opportunities, thereby increasing their presence in the region's HVAC sector.
Recent Developments in ASEAN Chillers Market Industry
- In June 2024, Carrier, a global leader in advanced heating, air-conditioning, and refrigeration solutions, launched the XCT7 in Vietnam. The XCT7 systems offer unparalleled benefits for customers, such as increased reliability, superior system performance, high efficiency, broad operational range, simple installation, and remarkable flexibility.
- In March 2024, Daikin launched the Navigator WWV water-cooled screw chiller with low-global warming potential (GWP) R-513A refrigerant. This product offers superior performance and can be paired with an optional Templifier TWV water heater for an energy- and cost-efficient heat recovery solution.
- In September 2022, Carrier in Thailand launched AquaEdge 19MV, an oil-free, water-cooled centrifugal chiller designed for good performance, efficiency, easy installation, and versatile operation. With capacities ranging from 300 to 700 tons (1,055kW to 2,461kW), the AquaEdge 19MV boasts top-tier efficiency for both design and operation under challenging conditions, including unexpected building demands or extreme weather.
Key Benefits For Stakeholders
- This report provides a quantitative analysis of the market segments, current trends, estimations, and dynamics of the ASEAN Chillers Market analysis from 2023 to 2032 to identify the prevailing ASEAN Chillers Market opportunity.
- The market research is offered along with information related to key drivers, restraints, and opportunities.
- Porter's five forces analysis highlights the potency of buyers and suppliers to enable stakeholders make profit-oriented business decisions and strengthen their supplier-buyer network.
- In-depth analysis of the ASEAN Chillers Market segmentation assists to determine the prevailing market opportunities.
- Major countries in each region are mapped according to their revenue contribution to the regional market.
- Market player positioning facilitates benchmarking and provides a clear understanding of the present position of the market players.
- The report includes the analysis of the regional analysis of ASEAN Chillers Market trends, key players, market segments, application areas, and market growth strategies.
ASEAN Chillers Market Report Highlights
| Aspects | Details |
 By Compressor Type |
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 By Refrigerant |
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 By Capacity (RT) |
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 By End User |
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 By Key Market Players |
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Analyst Review
The ASEAN region, comprising Southeast Asian nations, is witnessing a significant upsurge in the demand for chillers, driven by rapid industrialization and urbanization. Countries such as Indonesia, Thailand, and Malaysia are at the forefront of this growth, propelled by the expansion of manufacturing industries. The automotive, electronics, and pharmaceutical sectors in these countries are flourishing, creating a substantial demand for efficient cooling systems. This trend is also observed in the food and beverage industry, which is experiencing robust growth in nations like the Philippines and Vietnam. The increasing consumer demand for processed and packaged foods needs advanced refrigeration solutions, further boosting the chiller market.
Scroll chillers, in particular, are gaining traction in the ASEAN region due to their suitability for small and medium-sized enterprises (SMEs). These chillers offer a balance of efficiency, compactness, and cost-effectiveness, making them ideal for SMEs that form a large part of the industrial landscape in Southeast Asia. Additionally, the versatility of chillers in terms of configurations and capacities enhances their appeal across various sectors, from commercial buildings to industrial plants.
Technological advancements are also playing a crucial role in the ASEAN chiller market. Innovations aimed at reducing the environmental impact of chillers are increasingly being adopted. The introduction of low-GWP (global warming potential) refrigerants is a notable development in this regard. These refrigerants are designed to minimize the contribution to global warming, aligning with the growing emphasis on sustainable practices within the region. Moreover, advancements in energy-efficient technologies are expected to lower operational costs and reduce carbon footprints, making chillers more environmentally friendly and economically viable.
The ASEAN Chillers market is segmented into compressor type, type, refrigerant capacity (RT), end user, and region. By compressor type, the market is analyzed across magnetic levitation, scroll, screw, centrifugal and others. Based on type, it is bifurcated into air cooled, and water cooled. On the basis of refrigerant, it is classified into Water, R407C, R404A, R410A, R22, HCFC, Ammonia R717, HFO and others. By capacity, it is segmented into up to 100 RT, 101 RT To 300 RT, above 300 RT. By end user, it is divided into office, factory, and datacenter. Region wise, it is analyzed across ASEAN.
The key players profiled in the report include Carrier, DAIKIN INDUSTRIES, Ltd., Dunham Bush, Mitsubishi Heavy Industries, Ltd. (Mitsubishi Corporation), Johnson Controls, LG Electronics, Smardt Chiller Group, Inc., (TICA), GREE Electric Appliances, Inc. of Zhuhai, Panasonic Corporation and Hisense International. These key players have adopted strategies such as product launch, expansion, acquisitions, investment, and joint venture to enhance their market penetration.
The ASEAN Chillers market was valued at $842.1 million in 2023, and is projected to reach $1,344.7 million by 2032, registering a CAGR of 4.8% from 2024 to 2033.
The forecast period in the ASEAN Chillers Market report is 2024 to 2033.
The base year calculated in the ASEAN Chillers Market report is 2023.
The top companies analyzed for ASEAN Chillers Market report are Carrier, DAIKIN INDUSTRIES, Ltd., Dunham Bush, Mitsubishi Heavy Industries, Ltd. (Mitsubishi Corporation), Johnson Controls, LG Electronics, Smardt Chiller Group, Inc., (TICA), GREE Electric Appliances, Inc. of Zhuhai, Panasonic Corporation and Hisense International.
The water cooled segment is the most influential segment in the ASEAN Chillers Market.
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