The covid-19 virus spreads through the air when an infected person’s droplets are transmitted to another person close enough to inhale or are in a poorly ventilated room. It was advised as a health precaution that one should avoid being in a closed room with just a basic air-conditioner working.
The other preventive measure was to not stay in centralized air-conditioned spaces altogether. Thus, the Heating, Ventilation, and Air-Conditioning (HVAC) market was bound to be affected by the setting in of the pandemic in 2020 worldwide.
It would also equally impact the air conditioner buyers and importers. On the other hand, a proper ventilation system is of utmost need in all the world countries. It does, after all, help supply clean air and so all ventilation fan buyers can benefit from such a situation.
Factors Affecting The Growing Market Of HVAC System
The market for HVAC went down, especially in the initial stages, due to several factors. These include:
- Advisory caution everywhere asking people to stay in open-air places or rooms that are adequately ventilated and not in air-conditioned spaces.
- Closing down commercial activities leading to low scale manufacture of the HVAC equipment.
- Operational challenges like restrictions in transportation and export and import, which did not allow movement of raw materials and finished products.
- Social distancing leading to very few consumers coming out to purchase the system.
But with a few adjustment changes in the settings, like the recirculation settings and motor change, the HVAC systems can be relatively less impactful in helping spread the viral disease.
The HVAC upgrade process can be costly with high-quality filters that can eliminate the tiniest particles, as small as 0.1 microns in size. But they are necessary, especially in metropolitan cities worldwide where everything is in close proximity to each other.
Statistics And Factors Leading To Improvement In Global Trade
The HVAC market grew at a Compound Annual Growth Rate (CAGR) of 3.5%, from $507.62 billion in 2020 to $525.45 billion in 2021. This happened when the operational activities brought in the modifications and rearrangements.
Some modifications widely suggested were :
- Opening windows in places where basic HVAC systems were installed as the primary HVAC system could not filter the outside air to increase the required exchange of fresh air and ventilation.
- Technicians were required to build a system that doesn’t allow recirculation.
- Installing variable-speed fan motors in place of fixed-speed fan motors to produce airflow that is low in speed. It is because high-speed air carries the germs along with it when it flows by the infected person.
- Installing such an airflow system that is sensitive to pressure.
- Installing air purification systems that give higher performance than older ones as the pandemic demands the installation of systems that can sanitize the air itself to stop the spread of the virus via air.
The HVAC Global Trade Ranking
Despite the disruption of supply chains due to lockdown and trade restrictions, Asia Pacific accounted for 58% of the global trade of HVAC systems. North America emerged as the second biggest country with 20% participation in the international trade chain.
The United States is predicted to progress at a CAGR of 3.1% between 2020 and 2030, with the market’s valuation moving from $25,625.8 million to $35,714.5 million between these years. As a result, air conditioner buyers found themselves in the thick of things.
China is predicted to trail at a CAGR of 6.2% between 2020 and 2027 followed by Japan and Canada. Both these countries are forecasted to grow at 1% and 2.5%, respectively, between 2020 and 2027.
Ventilation Fan Statistics
The HVAC system consists of heating systems, ventilation systems, and cooling systems. Among these, the ventilation system is predicted to show maximum growth in the coming years. The ventilation fan buyers expect to benefit from the situation.
When ventilation fan sales rise, any company that deals in related equipment will automatically benefit, like The Bug Company. It is an importer based in the United States that deals in fresh air ventilation vent setting (cubic meter) humidity, which helps in controlling temperature in the ventilation system.
This is evident from the estimated Compound Annual Growth Rate of the ventilation fan market, which will be around 3.4% between 2020 and 2027. The global market was $1.9 billion in 2020, which is expected to hit 2.3 billion in 2027.
What Does The Future Hold For HVAC?
The pandemic impacted trade severely. But, an eventual improvement was forecasted and has been observed post-recovery. The developing economies are expected to grow faster than the developed ones.
The HVAC traders – importers and exporters, who deal in any such equipment that involves the usage of the HVAC systems are expecting and experiencing a gradual rise in the trade. So, when trade in HVAC improves, it automatically triggers a chain reaction like in the above case of The Bug Company, which also deals in ventilation fans and related equipment.