Low GWP Refrigerants Sector: Growth Drivers and Challenges
Growth Drivers
- Higher Utilization in the A/C System of Vehicles– Luxury cars are highly in demand Y-O-Y in the modern world and the air conditioning system is becoming mandatory in cars to regulate the temperature, humidity, and airflow.
A refrigerant used in vehicles' air conditioning systems makes a significant contribution to the greenhouse effect and to reduce this effect low-GWP refrigerants such as HFO-1234yf are used in the air conditioning systems which could greatly lessen the total equivalent warming impact.
According to data, over 70% of hydrofluorocarbon (HFCs) released globally come from the motor vehicle air conditioning, AC, and refrigeration industries.
- Developing Cold Chain Logistics System- The cold chain depends on refrigerants, and the adoption of low-carbon refrigeration technology is expected to be the main factor in creating a greener cold chain sector by reducing carbon dioxide (CO2) emissions.
Challenges
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Harmful Effects of Low GWP Refrigerants– Low GWP refrigerants are estimated to cause harmful effects on the environment therefore, people are choosing refrigerants with less toxicity, high performance, battery efficiency, low volumetric capacity, and ecofriendly product. This, as a result, is anticipated to hinder the growth of the market.
- Lack of Awareness about the Benefits of Low GWP Refrigerants
- Complex Transformation Procedure from High to Low GWP Refrigerants
Low GWP Refrigerants Market: Key Insights
|
Base Year |
2024 |
|
Forecast Year |
2025-2037 |
|
CAGR |
11.8% |
|
Base Year Market Size (2024) |
USD 27.55 billion |
|
Forecast Year Market Size (2037) |
USD 117.45 billion |
|
Regional Scope |
|
