Global Heat Interface Units Market - High Demand from Europe to Boost Growth| Technavio

The latest market research report by Technavio on the global heat interface units market predicts a CAGR of over 7% during the period 2018-2022.

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Technavio has published a new market research report on the global heat interface units market from  ...

Technavio has published a new market research report on the global heat interface units market from 2018-2022. (Graphic: Business Wire)

The report segments the global heat interface units market by product (indirect HIU and direct HIU), and by geography (the Americas, EMEA, and APAC). It provides a detailed illustration of the major factors influencing the market, including drivers, opportunities, trends, and industry-specific challenges.

Here are some key findings of the global heat interface units market, according to Technavio heavy industry researchers:

  • Reduced investment and maintenance costs: a major market driver
  • Growing demand for smart homes and development of smart cities: emerging market trend
  • EMEA dominated the global heat interface units market with over 52% share in 2017

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Reduced investment and maintenance costs: a major market driver

Reduced investment and maintenance cost is one of the major factors driving the global heat interface units market. Installing gas boilers in individual dwellings in a multi-dwelling apartment complex includes various costs. Moreover, during installation, the gas lines are required to be calibrated for the right BTU levels. To prevent any compromise with the integrity of the pipe and the possibility of explosions, it is important to ensure that all the procedures are carried out properly, which requires trained professionals that add to the costs.

Installing a central boiler plant eliminates the need for connecting individual dwellings to gas lines, resulting in significant cost savings. HIUs only require a centralized boiler and hot water risers. Therefore, there is no need for a piping network running through the buildings; this results in reduced costs and brings down the future costs for repair and maintenance.

According to a senior analyst at Technavio for tools and components research, “The installation of HIUs is relatively easier than individual boilers and gas pipelines which mitigates the need for trained and qualified installers which in turn, leads to significant cost savings. Also, the absence of flue pipes also eliminates the need for ventilation routes. Therefore, the substantial reduction in costs associated with the adoption of HIUs is expected to drive the market during the forecast period.”

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Growing demand for smart homes and development of smart cities: emerging market trend

The smart home concept has been gaining popularity with consumers seeking to improve their lifestyles by enhancing convenience through electronic devices. Development of smart homes is an evolutionary concept in the residential and real-estate sectors, with the primary aim to make life more convenient, comfortable, sustainable, and secure.

Home appliances are also making use of artificial intelligence to predict the consumer preferences based on the historical data accurately. The increase in the number of working couples with dual incomes in cities across the world is the key driver for smart home adoption. The smart home market is prevalent in the Americas and Europe, with developing economies in APAC, such as India, China, and Singapore, also adopting the concept. The global smart home market is expected to exceed USD 152 billion by 2021, which augurs well for the growth of the HIU market.

Global market opportunities

In terms of regional dominance, EMEA led the global heat interface units market, followed by the Americas and APAC in 2017. The extreme climatic conditions in Europe make it a huge market for heating and cooling systems. This is also a key reason for the huge potential for HIUs in the region.

The Americas is expected to witness the greatest increase in its market share during the forecast period, as compared to the other two regions, while APAC is expected to witness a significant dip of over 1% in its market share by 2022.


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