Cooling Tower Industry Overview

The global cooling tower market size was estimated at USD 3.85 billion in 2023 and is expected to expand at a compound annual growth rate (CAGR) of 4.5% from 2024 to 2030.

Stringent government environmental regulations, coupled with concerns associated with the plumes generated by power generation and chemical industries, are anticipated to drive demand for cooling towers during the projected timeframe. HVAC systems ensure a cool and comfortable environment in large commercial buildings that include office buildings, airports, hospitals, conference centers, hotels, etc. These systems use cooling towers to provide optimal cooling in buildings. A consistent rise in commercial construction projects around the world, along with a gradual increase in HVAC installations, is anticipated to boost market prospects for cooling towers over the coming years.

Gather more insights about the market drivers, restrains and growth of the Cooling Tower Market

Construction spending in the power sector in the United States grew from USD 110,610 in December 2022 to USD 111,598 in January 2023; for the manufacturing sector, this number rose from USD 131,894 to USD 139,770 in the same assessment period. The increasing spending on manufacturing and power facilities is expected to boost demand for cooling towers in the country. These devices play a vital role in removing excessive heat generated in such facilities, resulting in safer operations, which is expected to drive the demand for cooling towers in the coming years. Growing investments in the U.S. to boost the industrial sector, advance building firms, and improve the installation of eco-friendly products to minimize pollution are factors poised to propel market growth.

Increasing HVAC investments combined with rising demand for energy-efficient solutions are expected to drive the demand for cooling towers used in HVAC applications. According to industry reports, the HVAC industry in India is scheduled to invest USD 611.6 million in new technologies to boost efficiency. The primary advantages of adopting cooling towers in HVAC applications are low installation cost, ease of operation, energy efficiency, and low maintenance cost.

The governments of the UK and the U.S. have established energy standards that manufacturers must meet. They are expected to reduce the energy required in motor operations by a considerable amount, causing them to design high-efficiency motors rather than standard-efficiency motors. For instance, the National Emission Standards for Hazardous Air Pollutants (NESHAP) establishes standards for chromium compounds discharged into the air by cooling towers during cooling processes. These aforementioned factors are anticipated to drive market demand for open-circuit cooling towers over the forecast period.

Browse through Grand View Research's Advanced Interior Materials Industry Research Reports.

• The global HVAC systems market size was estimated at USD 233.55 billion in 2023 and is projected to grow at a compound annual growth rate (CAGR) of 7.4% from 2024 to 2030.
• The global power generation market is anticipated to grow significantly over the forecast period. Power generation is carried out by the means of conventional/non-renewable and renewable sources of energy.

Cooling Tower Market Segmentation

Grand View Research has segmented the global cooling tower market based on product, material, application, and region:

Cooling Tower Product Outlook (Revenue, USD Million, 2018 - 2030)

• Open circuit
• Closed circuit
• Hybrid

Cooling Tower Material Outlook (Revenue, USD Million, 2018 - 2030)

• FRP
• Steel
• Concrete
• Wood
• HDPE

Cooling Tower Application Outlook (Revenue, USD Million, 2018 - 2030)

• HVAC
• Power Generation
• Oil & Gas
• Industrial

Cooling Tower Regional Outlook (Revenue, USD Million, 2018 - 2030)

• North America
  • US
  • Canada
• Europe
  • UK
  • France
  • Germany
  • Italy
  • Spain
• Asia Pacific
  • China
  • India
  • Japan
  • Australia
  • South Korea
• Latin America
  • Brazil
  • Mexico
  • Argentina
• Middle East & Africa
  • South Africa
  • UAE
  • Saudi Arabia

Key Companies profiled:

• Babcock & Wilcox Enterprises, Inc.
• Baltimore Aircoil Company
• Cenk Endüstri Tesisleri Imalat Ve Taahhüt A.Åž.
• Cooling Tower Systems, Inc.
• Delta Cooling Towers Inc.
• Engie Refrigeration GmbH
• EVAPCO, Inc.
• A. Hamon
• Johnson Controls International Plc.
• Kelvion Holdings GmbH
• Liang Chi Industry Co. Ltd.
• Mesan Group
• Paharpur Cooling Towers Ltd.
• SPX Corporation
• Torraval Cooling S.L.

Key Cooling Tower Company Insights

The manufacturers in the market continue to adopt several strategies, including acquisitions, geographical expansions, new joint ventures, product developments, and mergers to enhance market penetration and cater to the changing technological requirements from various applications such as HVAC, power generation, industrial, and oil & gas. In June 2023, Johnson Controls International Plc. teamed up with Accenture to open two new OpenBlue Innovation Centers in Bangalore and Hyderabad in India.

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About Grand View Research

Grand View Research, U.S.-based market research and consulting company, provides syndicated as well as customized research reports and consulting services. Registered in California and headquartered in San Francisco, the company comprises over 425 analysts and consultants, adding more than 1200 market research reports to its vast database each year. These reports offer in-depth analysis on 46 industries across 25 major countries worldwide. With the help of an interactive market intelligence platform, Grand View Research Helps Fortune 500 companies and renowned academic institutes understand the global and regional business environment and gauge the opportunities that lie ahead.