The commercial market will remain the larger market for HVAC equipment due to two factors:
- Commercial buildings often require the use of more than one HVAC unit to effectively cool the entire building, boosting the total number of units installed and creating a large potential replacement market.
- Commercial HVAC equipment is generally more expensive than equipment used in the residential market, bolstering overall dollar sales.
US demand for HVAC equipment in all markets is forecast to increase 3.9% per year $21.2 billion by 20-21. The majority of expected demand increases will come from ongoing replacement of existing equipment that has reached the end of its operational lifespan with better performing and higher value equipment.