Midea Strengthens Global Presence in the Heat Pump Industry with Optimistic Market Outlook

December 12, 2024 05:00 PM PST | By Cision

Midea Strengthens Global Presence in the Heat Pump Industry with Optimistic Market Outlook — Image source: Kalkine Media

Recent News

Why Has This Insurance Stock Been Quietly Climbing?

Why Is This Audio Tech Stock Struggling Lately?

Is This Canadian Drilling Company Flying Under The Radar?

How Did Equifax Perform In The First Quarter?

FOSHAN, China, Dec. 13, 2024 /PRNewswire/ -- In a recent exclusive interview with JARN, a leading Japanese HVAC industry publication, Peter Guan, Vice President of Midea Group and President of Midea Building Technologies (MBT), shared insights into the evolving global heat pump market. Guan expressed optimism about the growth prospects of the European air-to-water (ATW) heat pump market and noted promising opportunities in North America and Australia.

Heat Pumps: A Breakthrough Technology for Sustainability

Recognized as one of the 10 Breakthrough Technologies of 2024 by MIT Technology Review, heat pump technology is a pivotal innovation in reducing global reliance on fossil fuels and advancing carbon neutrality. Guan anticipates a strong market recovery over the next two years, driven by technological advancements, supportive policies, and increasing consumer awareness.

As a core HVAC segment of Midea Group, MBT has been at the forefront of advancing heat pump adoption globally, particularly in Europe. For several years, the company has actively expanded its ATW heat pump market presence across the region.

Midea ATW Heat Pump

Europe: A Thriving Hub for Heat Pump Development

The European Union has introduced robust policies to promote heat pump adoption. Initiatives such as The Net Zero Industry Act offer streamlined approvals, financial support, and workforce training. Major markets, including Germany, France, and Poland, have enhanced subsidy frameworks, which Guan believes will stimulate market recovery and growth.

Additionally, the European Heat Pump Association's Heat Pump Accelerator Programme aims to deploy nearly 10 million heat pumps by 2029, with ATW heat pumps comprising over 5 million units. The commercial heat pump market is projected to grow at a Compound Annual Growth Rate (CAGR) of 12%, reaching 1.15 billion euros by 2028.

Strategies for Market Leadership

To capitalize on Europe's growth potential, MBT has implemented a series of strategic measures to enhance localized operations.

With the establishment of a European R&D centre, MBT is focusing on developing products tailored to local needs, ensuring adaptability to shifting market demands.

Collaborations with distributers have bolstered both online and offline marketing campaigns, increasing consumer awareness of the advantages of heat pumps in residential and commercial applications. Over the past two years, more than 700 heat pump shop-in-shop displays have been upgraded.

Participation in industry events has further strengthened MBT's market influence. At Chillventa 2024, MBT partnered with France's Trace Software to introduce the Super Advisor, a software tool for the iEasyEnergy energy management system, which integrates photovoltaic systems, home storage batteries, and heat pumps, achieving an impressive energy self-sufficiency rate of 80-90%. The software significantly improves the precision and cost-effectiveness of household energy management solutions.

MBT also prioritizes workforce development, operating 32 training centres across European countries such as Italy, Germany, Hungary, and Poland to train qualified heat pump installers.

Meanwhile, through acquisitions, including Clivet in 2016, MBT has enhanced its industry chain, with recent investments exceeding 60 million euros in new production and R&D facilities to drive future growth.

Midea R290 Commercial Heat Pump

Expanding Footprint in North America and Australia

Beyond Europe, MBT is also expanding its scope in North America and Australia. According to the International Energy Agency, the North American heat pump market is expected to grow by over 50% by 2030, with the U.S. seeing a 25% rise in shipments by 2023. In Australia, heat pump use is projected to increase by 40% by 2030, driven by governmental initiatives such as the National Climate Change Adaptation Framework.

MBT has tailored its offerings to these markets, introducing high-performing heat pumps and water heaters to meet regional demands. By emphasizing technology, service differentiation, and after-sales support, MBT aims to solidify its competitive edge globally.

Commitment to Innovation and Sustainability

MBT allocates 5% of its annual sales revenue to R&D, ensuring consistent product leadership. The company operates six R&D centres and 93 training centres worldwide, enabling swift market response and maintaining service excellence.

"The global heat pump industry is growing rapidly, supported by technological advances and favourable policies," Guan said. "As consumers increasingly prioritize sustainability, the industry offers significant opportunities. Our strategic focus in Europe and beyond positions us to drive transformative growth in this critical sector."

For more information, please visit: https://mbt.midea.com/global

Disclaimer

The content, including but not limited to any articles, news, quotes, information, data, text, reports, ratings, opinions, images, photos, graphics, graphs, charts, animations, and video (Content) is a service of Kalkine Media LLC., having Delaware File No. 4697309 (“Kalkine Media, we or us”) and is available for personal and non-commercial use only. The principal purpose of the Content is to educate and inform. The Content does not contain or imply any recommendation or opinion intended to influence your financial decisions and must not be relied upon by you as such. Some of the Content on this website may be sponsored/non-sponsored, as applicable, but is NOT a solicitation or recommendation to buy, sell or hold the stocks of the company(s) or engage in any investment activity under discussion. Kalkine Media is neither licensed nor qualified to provide investment advice through this platform. Users should make their own enquiries about any investments and Kalkine Media strongly suggests the users to seek advice from a financial adviser, stockbroker or other professional (including taxation and legal advice), as necessary. Kalkine Media hereby disclaims any and all the liabilities to any user for any direct, indirect, implied, punitive, special, incidental or other consequential damages arising from any use of the Content on this website, which is provided without warranties. The views expressed in the Content by the guests, if any, are their own and do not necessarily represent the views or opinions of Kalkine Media.
The content published on Kalkine Media also includes feeds sourced from third-party providers. Kalkine does not assert any ownership rights over the content provided by these third-party sources. The inclusion of such feeds on the Website is for informational purposes only. Kalkine does not guarantee the accuracy, completeness, or reliability of the content obtained from third-party feeds. Furthermore, Kalkine Media shall not be held liable for any errors, omissions, or inaccuracies in the content obtained from third-party feeds, nor for any damages or losses arising from the use of such content. Some of the images/music that may be used on this website are copyrighted to their respective owner(s). Kalkine Media does not claim ownership of any of the pictures/music displayed/used on this website unless stated otherwise. The images/music that may be used on this website are taken from various sources on the internet, including paid subscriptions or are believed to be in public domain. We have used reasonable efforts to accredit the source (public domain/CC0 status) to where it was found and indicated it, as necessary.

This disclaimer is subject to change without notice. Users are advised to review this disclaimer periodically for any updates or modifications.