Electric Tankless Water Heater Sector: Growth Drivers and Challenges
Growth Drivers
- Increasing Awareness for Energy Efficiency- Energy efficiency is one of the easiest and most affordable way to tackle climate change and to lessen consumer energy costs. According to the data provided by the IEA, global energy intensity - a key determines of the economy's energy efficiency - was grew by 1.9% in 2021, up from 0.5% in 2020.
- Emerging Economies- The global economic growth is still strengthening, which is leading to embrace new technology and rising up the standard of living. An approximately 6% growth was recorded in the global economy in 2021.
- Increasing Adoption of IoT in Home Management- Currently lots of people are seeking IoT based home management devices for the ease of living. For example, Bluetooth-based automation, ZigBee and GSM are extensively used wireless technologies. The number of IoT devices is estimated to reach approximately 42 billion by the 2025.
- Infrastructural Developments in Low and Middle Income Countries- Private investment in low- and middle-income countries infrastructure is evolving the economic status of low and middle income countries. According to the data provided by the World Bank, in 2021, private investment agreements in low- and middle-income countries topped USD 76.2 billion, increased by 49% from 2020.
Challenges
- Temporary Shutdown of Manufacturing Centers
- Lack of Workforce
- Disruptions in Raw Material Supply
Electric Tankless Water Heater Market: Key Insights
|
Base Year |
2024 |
|
Forecast Year |
2025-2037 |
|
CAGR |
8.8% |
|
Base Year Market Size (2024) |
USD 7.74 billion |
|
Forecast Year Market Size (2037) |
USD 23.17 billion |
|
Regional Scope |
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Browse key industry insights with market data tables & charts from the report:
Frequently Asked Questions (FAQ)
In the year 2025, the industry size of electric tankless water heater is estimated at USD 8.32 billion.
Electric Tankless Water Heater Market size was valued at USD 7.74 billion in 2024 and is set to exceed USD 23.17 billion by 2037, registering over 8.8% CAGR during the forecast period i.e., between 2025-2037.
Europe industry is predicted to hold largest revenue share by 2037, backed by growing adoption of low carbon electricity generation, adoption of energy efficient products, and increased demand for substitutions of conventional water heaters.
The major players in the market are A. O. Smith Corporation, Rinnai Corporation, Noritz America Corporation, Robert Bosch GmbH, Rheem Manufacturing Company, Whirlpool Corporation, Stiebel Eltron, Inc., Navien, Inc., and others.
