Water Chiller Market Size, Share & Industry Analysis, By Type (Scroll, Screw, Centrifugal), By Capacity (0-100 Kw, 101-350 Kw, 351-700 Kw, >700 Kw) By Industry (Plastic & Rubber, Food & Beverage, Chemical & Petrochemical, Pharmaceuticals and Other) and Regional Forecast, 2019-2032

The global water chillers market size was valued at USD 5.07 billion in 2018 and is projected to reach USD 9.43 billion by 2032, exhibiting a CAGR of 4.4% during the forecast period. Asia Pacific dominated the water chillers market with a market share of 46.74% in 2018.

Water chiller refers to the mechanical device that is utilized to cool the water by removing heat. It has a water-cooled condenser that is connected with the cooling tower. The water chiller is installed internally, where there is an availability of sufficient water. Water chiller possess more efficiency than air conditioners. The primary reason behind this is, the thermal conductivity of water is 23 times more than air.

Growing demand for district cooling over the traditional cooling method is also fueling the water chiller market growth. In addition to this, the demand for water chillers is expected to increase in the developing countries in the near future.

The major application of water chiller is into the plastic & rubber and food and beverage industries and also in cooling equipment, assembly processes, etc.

Moreover, manufacturers are opting for mergers and acquisitions to maintain their position in the water-cooled chillers market. Also, they are introducing changes in the existing model to improve the performance in terms of high output and minimum sound emission. For instance, in April 2017, Daikin Industries, Ltd. launched its high-efficiency water-cooled screw chiller to handle the minimum emission of sound. Moreover, in 2018, Daikin Industries, Ltd. also launched a mini scroll chiller that removes cold and warm water to meet the heat recovery demands. Subsequently, in Europe, there are strict energy-saving regulations and high environmental awareness regarding emission sound.

MARKET DRIVERS

“Adoption of Energy Efficient Cooling Solution in Water Chillers to Boost Growth”

In the early 1900s, the emergence of water chiller was due to the utilization of the first centrifugal chiller. The components such as, evaporator, condenser, compressor, and refrigerants such as, R-22, etc. are utilized in water chillers to keep the industrial operations in proper flow without hampering the cooling process. Key parameters such as, high thermal conductivity of water, lower maintenance cost, vibration-less operation and requirement of small space, are expected to fuel the adoption of energy-efficient cooling solutions. In the chemical & petrochemical industry, petrochemicals that flow through pipes require cooling to decrease the heating pressure. Moreover, in the plastic & rubber industry, water chiller assist in cooling the hot plastic that has been extruded or is blown away. It is one of the most important Water Chiller market trends that would accelerate growth.

For instance, in December 2018, Daikin Industries, Ltd. introduced the energy-saving free cooling for its R-32 chiller series with improved seasonal efficiency of up to 97%. Also, in April 2018, Blue star Ltd. introduced a wide range of water-cooled scroll chillers with R22, R407C, and R410A refrigerant options. The water chiller of 65 TR is incorporated with an optional tandem circuit, which increases the operating efficiency whenever the chiller operates under part-load conditions.

SEGMENTATION

By Type Analysis

“Centrifugal Segment to Grow at a Higher CAGR Stoked by the Possession of Various Benefits”

Based on type, the market is classified into scroll, screw, and centrifugal water chiller.  Among these, centrifugal water chiller segment is anticipated to grow exponentially over the forecast period, owing to its low maintenance and manufacturing cost. Centrifugal chillers were introduced in the early 1900s by Mr. Willis Carrier. It was influenced by the tailor hydraulic air compressor. The technology grew rapidly.  Centrifugal chillers remove the heat from entering in the chilled water. For instance, Trane introduced Agility™, a water-cooled centrifugal chiller product line. Agility uses compact, high-performance, integrated, low charge (CHIL) evaporators that decrease the total chiller refrigerant charge by up to 25 percent.

The screw water chiller segment held the second-highest growth rate in 2018, owing to its positive displacement ability. In this types of chillers, a refrigerant is compressed by reducing the volume of the refrigerant chamber. The utilization of chiller in the plastic & rubber and chemical & petrochemical industries fuels the growth of this segment. Carrier Corporation’s AquaEdge 23 XRV chiller is the integrated variable speed water-cooled screw chiller that offers reliability to achieve high efficiency at operating conditions without compromising the environment.

The scroll water chiller segment is expected to exhibit a low CAGR as compared to the other segments. Therefore, the centrifugal water chillers segment is projected to showcase the highest CAGR in the near future.

By Capacity Analysis

“351 – 700 kW Segment to Acquire the Highest Share Backed by Rising Number of Shipments”

According to the present analytical results provided by the industry experts, water chiller having a capacity range of 351 – 700 kW is anticipated to witness the highest growth in terms of water chiller market share, owing to the number of shipments in the near future. Capacity range of 0 - 100 kW is projected to witness the second-highest market share, owing to the maximum number of shipments. Capacity range of >700 kW and 101 – 350 kW will have moderate and low market growth, respectively.

By Industry Analysis

“Plastic & Rubber Segment to Remain in Forefront Owing to Increasing Adoption of Chillers”

Based on industry type, the plastic & rubber industry is projected to have the highest market share. It is attributable to the wide utilization of water chillers for cooling the machineries that are involved in the manufacturing process of plastic products. The constant demand for plastic products across economies ensures the highest share.

The food & beverage industry is expected to have the second-highest market share, owing to the usage of low temperature for instantly freezing food before storage. The chemical & petrochemical industry is projected to showcase a moderate growth rate, owing to the high demand for chillers for cooling hot oil and chemicals.

The pharmaceutical industry is projected to experience a steady market growth over the forecast period, owing to the utilization of medical water chiller to manufacture drugs or to test drugs before launching them into the market. For instance, in February 2019, Trane, a business of Ingersoll Rand, launched the high-speed magnetic centrifugal chillers equipped with the advanced oil-free bearing compressor to bring down the operations cost. It has diverse benefits in various verticals of the market such as, data centers, pharmaceuticals, etc.

REGIONAL ANALYSIS

Revenue generated from the sales of water chillers across the Asia Pacific, Europe, North America, the Middle East and Africa, and Latin America is significantly increasing the Water Chiller market value.

Asia Pacific is anticipated to witness the highest CAGR in the near future, owing to the expansion of the industrial sector. Factors such as, increased awareness about energy-efficient products and increased consumption of frozen food are also complimenting the market growth.

In addition to this, key manufacturers are focusing on enhancing their businesses in the Asia Pacific as the region houses multiple ongoing industrial projects. For instance, in July 2019, Blue Star Ltd. won the order of air conditioning and tunnel ventilation system valued at nearly USD 2.83 billion from the Mumbai metro rail corporation. The project requires approximately 8,200 tons of refrigerator of water-cooled screw chillers, magnetic bearing chillers, chilled water, and condenser water pumps for tunnel ventilation, piping, and more.

Europe is anticipated to witness fast growth in the market, owing to the improved efficiency of water chiller and technological development of the product line. Also, the presence of prominent manufacturers, such as Carrier Corporation, Daikin Industries, Ltd., and Panasonic Corporation, are aiding the progress in the region.

North America is expected to showcase significant growth in the forecast period, owing to the adoption of water chiller in the food & beverage and petroleum industry. For instance, in September 2019, Trane, a subsidiary of Ingersoll Rand acquired the Artic Chiller Group to manufacture the high-efficient water-cooled magnetic bearing chillers for ventilation applications.

The Middle East and Africa and Latin America are expected to grow steadily over the forecast period. Countries such as, Brazil and Argentina are adopting water chiller products mainly in the petroleum industry.

INDUSTRY KEY PLAYERS

      “Well Established Players Focus on Expanding their Product Line to Broaden Consumer Base”

Major players such as Carrier Corporation, Trane, Johnson Controls, and Daikin Industries, Ltd. have gained a significant Water Chillers market revenue, which covers around 50% of the total market. Their dominance is owing to the strong customer base in the Asia Pacific and Europe. The companies are focusing on cost reduction, enhanced energy-saving performance, and expansion of their product line. Also, the key manufacturers are focusing more on water chiller for industrial utilization. For instance, in March 2018, Daikin launched the new generation, inverter-driven, water-cooled screw chillers with R-1233ze (E) refrigerator. This refrigerator allows minimizing the impact of global warming of screw compressor chillers equipped with high efficiency.  Moreover, in April 2017, Trane, a subsidiary of Ingersoll Rand, introduced the ‘Xstream eXcellent’ model to expand its water-cooled chiller portfolio and lower the environmental impact. It uses the R – 1234ze refrigerant, which has a global warming potential value of less than one when used in Xstream eXcellent model.

Moreover, key manufacturers have shifted their production units, particularly in India to ensure competitive prices.

List of Key Companies Profiled:

• Daikin Industries, Ltd.


• Thermax Global


• Trane


• Carrier Corporation


• Toshiba Machines Co Ltd.


• Robert Bosch LLC


• Hitachi, Ltd.


• Panasonic Corporation


• Johnson Controls


• Blue Star Limited

REPORT COVERAGE

The water chiller market report presents a comprehensive assessment of the market by offering valuable insights, facts, industry-related information, and historical data. Several methodologies and approaches are adopted to make meaningful assumptions and views. Furthermore, the report offers a detailed analysis and information as per segments, helping our readers to get a comprehensive overview of the Water Chillers market. 

Report Scope & Segmentation

INDUSTRY DEVELOPMENT:

• January 2018: Johnson Controls introduced YORK YZ magnetic bearing centrifugal chiller, the first fully optimized chiller for ultimate performance with low global warming potential refrigerant R-1233zd (E).