Unitary Air Conditioners Market

Unitary Air Conditioners Market Overview

The global Unitary Air Conditioners Market size was valued at USD 34.29 billion in 2024 and is predicted to reach USD 43.07 billion by 2030 with a CAGR of 4.7% from 2025-2030.

The factors such as the rising population, increasing global temperature, and rising disposable income fuels the growth of the market. However, the high energy consumption associated with unitary air conditioners pose a significant challenge for the market. On the contrary, the integration of smart technologies such as IoT capabilities and smart thermostats in unitary air conditioners is expected to create significant growth opportunities in the future. 

Moreover, the top players such as Haier Group Corporation, LG Electronics, Hitachi Ltd. are taking various initiates including product launches to expand their market presence and broaden their product offerings. These efforts focus on fostering innovation and advancing the adoption of energy-efficient solutions, leading to better functionality and environmental sustainability while driving steady growth and diverse applications. 

Rising Urban Population Drives the Growth of the Market 

The rise of global urban population drives the growth of the air conditioners market as increased households and commercial places drives the demand for effective cooling solutions. The latest report published by the World Bank Group estimates that the global urban population reached 4.6 billion in 2023 as compared to 4.23 billion in 2018 that reflects an increase of 8.75% within 5 years. The surge in urbanization highlights the need for such air conditioning to address the growing population's needs, thus accelerating unitary air conditioners market expansion. 

Increasing Global Temperature Boosts the Market Expansion 

Rising worldwide temperatures drive more people to buy air conditioning systems throughout homes, businesses, and factories that fuels the market growth. According to National Oceanic and Atmospheric Administration (NOAA) 2023 report, Earth's temperature is rising at an average 0.11°F or 0.06°C every ten years since 1850 with 2023 registering the highest temperature record. This phenomenon enhances the need for innovative coolants that drives the unitary air conditioners market demand. 

Rising Disposable Income Drives the Expansion of the Market 

The global rise in the income of people drives the market expansion as more people invest in home and office cooling solutions to enhance their living and working environments. The U.S. Energy Information Administration indicates global citizens earned USD 10,136 per person in 2022 and is projected to reach USD 10,677 by 2025 that represents a 5.3% rise. This upward trend in disposable income encourages consumers to invest in unitary air conditioners for improved comfort and energy efficiency, further fueling unitary air conditioners market growth. 

High Energy Consumption Hinders the Market Expansion 

The high energy consumption associated with unitary air conditioners significantly restrains market growth, as it deters consumers from adopting these systems. This results in reduced demand for such conditioners as customers seek more energy-efficient options. 

Integration of Smart Technologies Creates a Future Opportunities for the Market 

The incorporation of smart technologies such as IoT capabilities and smart thermostats into unitary air conditioners is anticipated to create future opportunity for the market. Such improvement allows more efficient energy management, remote monitoring, and enhanced user control, making air conditioning systems smarter and more responsive to user needs. Higher market growth will result as more people buy advanced unitary air conditioners that meet their energy-saving and connected home requirements.

Market Segmentations and Scope of the Study

The unitary air conditioners market report is segmented on the basis of type, refrigerant type, technology, installation type, end-user, and region. On the basis of product type, the market is segmented into window air conditioners, portable air conditioners, packaged terminal air conditioners, floor-standing air conditioners, and cassette air conditioners. On the basis of refrigerant type, the market is divided into R 22, R 32, R-410A, R-454B, and R-134. On the basis of technology, the market is classified into inverter and non-inventor. On the basis of installation type, the market is divided into wall-mounted, ceiling-mounted, floor-mounted, and window-mounted. On the basis of end-user, the market is segmented into residential, commercial, and industrial. The regional breakdown includes regions such as North America, Europe, Asia-Pacific, and the Rest of the World (RoW).

Geographical Analysis

Asia-Pacific dominates the unitary air conditioners market share and is expected to continue its dominance during the forecast period. This is due to the extensive demand for cooling solutions to combat high temperatures in countries such as India, Japan and China. According to the World Weather Attribution study, climate change drives more than 80% of heat increases across Asia in last year. This rise in temperatures increases the need for efficient cooling solutions that in turn drives the market growth. 

Moreover, the presence of key market players including Daikin Industries Ltd., LG Electronics, and Fujitsu General Limited drives the growth in the unitary air conditioners industry in the region through continuous innovative, high-end product offerings and commitment to energy efficiency. 

For example, in March 2023, Mitsubishi Heavy Industries Thermal Systems Ltd launched 22 residential air conditioners to the Japanese market for different needs including premium S Series, high-performance R Series and standard T Series. These offerings cater to diverse consumer preferences in residential cooling. Such innovations contribute to market growth by addressing evolving consumer demands for energy efficiency, advanced functionality, and customizable cooling solutions, strengthening the competitive landscape. 

On the other hand, North America is expected to show a steady rise in the unitary air conditioners industry due to growth in urban population in countries such as the U.S., Canada, and Mexico. With increasing urbanization, the use of air conditioners also increases to live a comfortable life in strap-packed heat-prone areas. 

According to the latest report published by the World Bank Group, Canada’s urban population accounted for 32.8 million in 2023, compared to 30.1 million in 2018, reflecting an 8.9% growth within a span of 5 years. This growth in urban population emphasizes the need for effective cooling solutions in populated area, thereby fueling the growth of the market. 

Additionally, the increase in disposable income across the region boost the market expansion as consumers want reliable and efficient cooling solutions for their houses and workplaces. This increases demand for advanced air conditioning systems that are energy-efficient. 

The report published by the U.S. Energy Information Administration indicates that per capita disposable income in the U.S. reached USD 46,720 in the year 2022 and is expected to grow to USD 49,193 by 2025 that reflects a rise of 5%. This trend highlights the consumers need to invest in air cooling solutions that contributes to the expansion of the market. 

Competitive Landscape

Various key market players operating in the unitary air conditioners industry are Haier Group Corporation, LG Electronics, Hitachi Ltd., Mitsubishi Heavy Industries, Ltd., Orient Electric Limited, V-Guard Industries Ltd, Blue Star Ltd, Whirlpool Corporation, Samsung Electronics, Usha International Ltd., Daikin Industries, Ltd., Midea America Corp., Panasonic Holdings Corporation, Carrier Global Corporation, Chigo Air Conditioning Co., Ltd., and others. These market players continue to adopt market development strategies including product launches to maintain their dominance in the market.

For instance, February 2024, Voltas launched a new HVAC product line with cutting-edge solutions geared toward maximizing energy efficiency across commercial space installations. With the comfort and efficiency of its user base, Voltas aims to provide advanced air conditioning and cooling solutions for the convenience of the changing needs of modern business. 

Key Benefits

• The report provides quantitative analysis and estimations of the unitary air conditioners industry from 2025 to 2030, which assists in identifying the prevailing industry opportunities.

• The study comprises a deep-dive analysis of the current and future unitary air conditioners market including the current and future trends to depict prevalent investment pockets in the market.

• Information related to key drivers, restraints, and opportunities and their impact on the unitary air conditioners market is provided in the report. 

• Competitive analysis of the key players, along with their market share is provided in the report.

• SWOT analysis and Porters Five Forces model is elaborated on the study.

• Value chain analysis in the market study provides a clear picture of roles of stakeholders

Unitary Air Conditioners Market Key Segments

By Product Type

• Window Air Conditioners

• Portable Air Conditioners

• Packaged Terminal Air Conditioners 

• Floor-Standing Air Conditioners

• Cassette Air Conditioners

By Refrigerant Type 

• R 22

• R 32

• R-410A

• R-454B

• R-134

By Technology 

• Inverter

• Non-Inventor 

By Installation Type

• Wall-Mounted

• Ceiling-Mounted

• Floor-Mounted

• Window-Mounted

By End-User

• Residential

• Commercial

• Industrial

By Region

• North America

  • The U.S.

  • Canada

  • Mexico

• Europe

  • The UK

  • Germany

  • France    

  • Italy

  • Spain

  • Denmark

  • Netherlands

  • Finland

  • Sweden

  • Norway

  • Russia

  • Rest of Europe

• Asia-Pacific

  • China

  • Japan

  • India

  • South Korea

  • Australia

  • Indonesia

  • Singapore

  • Taiwan

  • Thailand

  • Rest of Asia-Pacific

• RoW

  • Latin America

  • Middle East

  • Africa

Key Players

• Haier Group Corporation

• LG Electronics

• Hitachi Ltd.

• Mitsubishi Heavy Industries, Ltd. 

• Orient Electric Limited

• V-Guard Industries Ltd

• Blue Star Ltd

• Whirlpool Corporation

• Samsung Electronics

• Usha International Ltd.

• Daikin Industries, Ltd.

• Midea America Corp.

• Panasonic Holdings Corporation

• Carrier Global Corporation

• Chigo Air Conditioning Co., Ltd.

REPORT SCOPE AND SEGMENTATION:

Parameters	Details
Market Size in 2024	USD 34.29 Billion
Revenue Forecast in 2030	USD 43.07 Billion
Growth Rate	CAGR of 4.7% from 2025 to 2030
Analysis Period	2024–2030
Base Year Considered	2024
Forecast Period	2025–2030
Market Size Estimation	Billion (USD)
Growth Factors	The rising global urban population significantly drives the growth of the market. The increasing global temperature fuels the market growth.  The rising disposable income propels the market expansion.
Countries Covered	28
Companies Profiled	15
Market Share	Available for 10 companies
Customization Scope	Free customization (equivalent up to 80 working hours of analysts) after purchase. Addition or alteration to country, regional, and segment scope.
Pricing and Purchase Options	Avail customized purchase options to meet your exact research needs.