The U.A.E. heating equipment market reached a valuation of $89.5 million in 2019 and is predicted to register a CAGR of 2.9% between 2020 and 2030. Furthermore, the market will generate $121.4 million revenue by 2030, as per the estimates of P&S Intelligence, a market research firm based in India. The prominent factors fueling the boom of the market are the burgeoning requirement for heating devices in the hospitality industry and the soaring construction activities in the country.
The rapid advancement of the hospitality domain, on account of the surging tourism activities, is a major factor propelling the growth of the U.A.E. heating equipment market. According to reports, the travel and tourism sector is predicted to grow to $116.1 billion valuation by 2027. Furthermore, the country has launched several projects for attracting 20 million travelers to Dubai every year by 2020 and as many as 10 million tourists to Sharjah annually by 2021.
This is boosting the construction of hotels in the country, which is, consequently fueling the surge in the sales of heating devices. This is because these equipment are used heavily in hotels and resorts. Based on type, the U.A.E. heating equipment market is divided into heat pumps, furnaces, boilers, and unitary heaters. Out of these, the heat pump category is predicted to register the fastest growth in the market in the future years.
This is ascribed to the fact that heat pumps have greater cost-effectiveness than furnaces and boilers. The market is also classified, on the basis of end user, into commercial, residential, and industrial. Amongst these, the commercial category registered the highest growth in the market in the past years. This was because of the presence of several hotels & restaurants, healthcare facilities, commercial offices and buildings, and other commercial establishments in the country.
During the last few years, the market recorded the highest growth in Dubai, on account of the fact that the city was the most densely populated metropolis and the financial hub of the country. Moreover, the industry would register huge growth in the city in the forthcoming years as well, due to the increasing tourism activities and several major international events being announced there such as the Dubai Expo 2020.
One of the biggest trends presently being witnessed in the U.A.E. heating equipment market is the usage of energy-efficient devices. Unlike the conventionally used systems, these variants consume very less energy. This massively reduces greenhouse gas emissions. In addition to this, these energy-efficient devices reduce the electricity expenditure of users. The country is enacting various policies for reducing the utilization of valuable resources such as natural gas and crude oil.
Hence, it is safe to say that the market will grow substantially in the years to come, on account of the expansion of the hospitality industry and the increasing number of construction projects being announced in the country.
