Industrial Refrigeration Equipment Market Size, Trends, Share, Growth, and Opportunity Forecast, 2023 - 2030 Global Industry Analysis By Component (Compressors, Condensers, Evaporators, Control and Others), By Refrigerant Type (Ammonia, Carbon Dioxide, Hydroflurocarbon, Others), By Capacity (Less than 100kW, 100-500 kW, 500-1000 kW, more than 1000 kW), By Application (Food & Beverage, Pharmaceuticals, Chemicals, Petrochemicals, Utility, and Others) and By Geography (North America, Europe, Asia Pacific, South America, and Middle East & Africa)

The global industrial refrigeration equipment market was valued at USD 22,160.4 Million in 2022 and is anticipated to reach a value of USD 46,595.5 Million by 2030 expanding at a CAGR of 9.8% between 2023 and 2030.

Industrial refrigeration equipment is the equipment that are used to remove heat from large-scale processes or materials, lowering the temperature to a desired value. It is used in various applications by providing efficient cooling and temperature control for storage, processes, and transportation of goods. This equipment is essential for large-scale commercial and industrial applications such as food processing, pharmaceuticals, and chemical manufacturing. Industrial refrigeration equipment is typically designed and customized for specific applications depending on the required cooling capacity, facility layout, and the product being cooled. These systems are much larger and more complex systems with components such as compressors, condensers, evaporators, and control systems designed to handle heavy-duty cooling loads. Industrial refrigeration goes beyond air conditioning in large scale and in the little details. For the industries where bioprocesses are involved, products and processes have to be developed and stored in ideal condition to avoid the decay of products. Industrial refrigeration offers several benefits such as quality maintenance, enhanced safety, environmental protection, and preservation of products.

Industrial Refrigeration Equipment Market Major Driving Forces

Expansion of Food & Beverage Industry: The growing demand for packaged and processed food products has been a significant driver of industrial refrigeration equipment market. The rising disposable income, and growing working professional base have resulted in an increase in demand for frozen and processed food products.

Growth of the Cold Chain Industry: The strong increase in the number of cold chain storage facilities is driving the market growth. Growing consumption of meat, seafood and fruits and vegetables is propelling cold chain industry to adopt enhanced infrastructure for the storage and transport of products.

Rise in Pharmaceutical and Healthcare Sectors: The pharmaceuticals and healthcare industries has witnessed a significant demand owing to the increased demand for chemicals from all types of manufacturing industries including petrochemicals, textiles, electronics, and other industries.  

Rise in Demand for Temperature-sensitive Medications: Increasing prevalence of chronic diseases and growing demand for biologics driving the demand. Various applications such as hospitals, clinics, and diagnostic centers require secure storage of blood, blood derivatives and temperature-sensitive medications. 

Industrial Refrigeration Equipment Market Key Opportunities

Evolving Environmental Regulations: Stringent environmental regulations regarding environmental impact to reduce greenhouse gas emissions presents opportunities for market players. Industrial refrigeration equipment manufacturers are focused on designing environmental-friendly products with improved energy efficiency.

Technological Advancements:

Various technological developments in the industrial refrigeration market are anticipated to provide lucrative opportunities for the market growth. The integration of innovative technologies such as artificial intelligence, and machine learning into refrigeration systems to optimize energy usage, enhance performance, and reduced downtime.

Emphasis on Sustainable Practices:

The growing emphasis on reducing carbon emissions through sustainable practices to reduce environmental impact offers excellent opportunities in the market. Industrial refrigeration industry is adopting greener technologies such as natural refrigerants that are environment friendly fueling market growth.

Industrial Refrigeration Equipment Market Key Trends

·         Growing demand for applications of internet of things (IoT), big data, and machine learning in the refrigeration systems for the automation and to optimize energy

·         Artificial intelligence and machine learning are being developed to reduce energy costs and implementation of more maintenance programs

·         One of the major trend in refrigeration market is magnetic refrigeration technology which is a fully ecological system

·         Growing adoption of refrigeration in pharmaceuticals industry for storage and transport of temperature-sensitive drugs

·         The growing adoption of sustainable practices to reduce environmental impact include natural refrigerants, recycling refrigerants

·         With the growing world population, it is necessary to offer greater energy efficiency to reduce the environmental impact

·         Digital transformation is an emerging market trend, many manufacturers are shifting their focus towards automation in refrigeration

Region-wise Market Insights

North America accounted for the largest market share at 33.4% in 2022 whereas, Asia Pacific is expected to register the fastest growth, expanding at a CAGR of 10.3% between 2023 and 2030.

In North America, the demand is driven by a well-established industrial infrastructure, growing demand for food and beverages industry, increasing demand for processed and frozen food products, and stringent regulations on food safety and environmental sustainability. Furthermore, the key factors that are driving growth in the region is technological advancements, growing emphasis on reducing carbon emissions and adoption of energy efficient refrigeration system with the major countries such as the United States, Canada, and Mexico. The Europe market is characterized by existence of top food and beverages companies and expansion in the hospitality sector with countries such as Germany and France. The Asia-Pacific industrial refrigeration market is the fastest expanding owing to increasing demand for food and beverages, pharmaceuticals, and chemicals in the region. In Asia pacific the demand is driven by development in the cold storage sector, the surge in demand for frozen and processed food products significantly in countries China and India. The Middle East and Africa has been witnessing a growing demand for industrial refrigeration equipment due to growing population, growing demand for processed and frozen food items, and rising demand for energy-efficient products.

Market Competition Landscape

The global industrial refrigeration equipment market is characterized by several major manufacturers. These major companies are focused on designing environment-friendly products with improved performance and energy efficiency. Furthermore, players are increasingly deploying energy-efficient systems to reduce operating costs and environmental impact. Key players in the industrial refrigeration equipment market engage in various development strategies aimed at gaining a competitive edge. These strategies include product innovation, design differentiation, business expansion, acquisitions and the incorporation of sustainable and eco-friendly practices to meet evolving consumer preferences. Established brands leverage their reputation for quality and reliability to maintain market share, while newer entrants focus on disruptive innovations and unique selling propositions.

Key players in the global industrial refrigeration equipment market implement various organic and inorganic strategies to strengthen and improve their market positioning. Prominent players in the market include:

·         Johnson Controls

·         GEA Group Aktiengesellschaft

·         Carrier Corporation

·         Trane Technologies plc

·         Emerson Electric Co.

·         Danfoss

·         MAYEKAWA MFG. CO., LTD.

·         Daikin Industries, Ltd.

·         Ingersoll Rand

·         Bitzer SE        

·         Mitsubishi Heavy Industries, Ltd.

·         Carrier Global Corporation

·         United Technologies Corporation

·         EVAPCO, Inc.