Product Code: 28580
The Global Absorption Chillers Market was valued at USD 2.89 billion in 2024 and is projected to reach USD 3.98 billion by 2030, growing at a CAGR of 5.33% during the forecast period. Absorption chillers operate using thermal energy sources-such as steam, hot water, natural gas, or solar energy-instead of mechanical compressors, making them a more energy-efficient alternative for air conditioning and refrigeration. These systems utilize a thermodynamic cycle involving an absorbent and refrigerant, typically lithium bromide-water or ammonia-water, to produce chilled water for applications across commercial, industrial, and residential sectors. The market is expanding due to increasing emphasis on sustainability, the need to reduce electricity consumption, and rising integration of renewable and waste heat energy sources in cooling infrastructure. Absorption chillers are especially valued in settings where low-grade or surplus heat is readily available, supporting their role in energy conservation and environmental compliance.
Market Overview |
Forecast Period | 2026-2030 |
Market Size 2024 | USD 2.89 Billion |
Market Size 2030 | USD 3.98 Billion |
CAGR 2025-2030 | 5.33% |
Fastest Growing Segment | Medium Capacity |
Largest Market | North America |
Key Market Drivers
Rising Demand for Energy-Efficient and Eco-Friendly Cooling Solutions
Growing environmental concerns and the global drive toward energy conservation are major factors accelerating the demand for absorption chillers. These systems operate using heat instead of electricity, making them especially effective in reducing operational costs and carbon emissions when used in conjunction with waste heat, solar thermal energy, or steam. Additionally, the use of natural refrigerants such as water and ammonia-known for their negligible global warming potential (GWP) and zero ozone depletion potential (ODP)-positions absorption chillers as an eco-conscious choice.
Industries, commercial buildings, and institutional facilities increasingly prefer absorption chillers to meet their cooling requirements while also achieving regulatory compliance with emission standards. The environmental and financial benefits are particularly attractive in emerging economies such as China and India, where large-scale investments in green and energy-efficient infrastructure are underway. For instance, China's commitment to its "Dual Carbon" strategy included more than USD 12 billion invested in energy-efficient cooling technologies in 2023 alone. These developments signal a strong and sustained global shift toward adoption of alternative cooling technologies such as absorption chillers.
Key Market Challenges
High Initial Investment and Installation Costs
Despite their long-term energy efficiency, the high upfront cost of absorption chillers remains a significant obstacle to wider market adoption. These systems involve complex components-including absorbers, generators, and heat exchangers-that drive up manufacturing and installation expenses. Additionally, incorporating absorption chillers into existing infrastructure can necessitate extensive modifications, further elevating capital costs. This financial burden can be particularly restrictive for small and medium-scale enterprises or cost-sensitive sectors, where initial expenditures often outweigh consideration of long-term savings. As a result, budget constraints may delay or deter the adoption of absorption chillers in certain markets, despite their operational and ecological advantages.
Key Market Trends
Integration with Renewable Energy Sources
A growing trend in the absorption chiller market is their integration with renewable heat sources such as solar and geothermal energy. This trend is driven by the desire to reduce reliance on electricity while maximizing the use of low-grade or waste heat. In sun-rich regions, solar thermal energy systems are increasingly being paired with absorption chillers to deliver sustainable cooling. Similarly, geothermal heat is being utilized as a steady and renewable thermal source to drive these systems.
This development is closely aligned with global sustainability efforts and urban energy efficiency mandates. The environmental compatibility of absorption chillers-coupled with the cost benefits of tapping into free or low-cost thermal energy-makes them ideal for use in green building projects, LEED-certified developments, and eco-conscious industrial operations. Manufacturers are also innovating to support these integrations, offering advanced models optimized for hybrid renewable systems.
Key Market Players
- Thermax Ltd
- Carrier Corporation
- Trane Inc.
- Hitachi Ltd
- Kirloskar Pneumatic Company Ltd.
- Kawasaki Thermal Engineering Co., Ltd.
- Broad Air Conditioning Ltd.
- Hyundai Climate Control Co., Ltd.
- Robur Corporation
- Yazaki Corporation
Report Scope:
In this report, the Global Absorption Chillers Market has been segmented into the following categories, in addition to the industry trends which have also been detailed below:
Absorption Chillers Market, By Capacity Type:
- Low Capacity
- Medium Capacity
- High Capacity
Absorption Chillers Market, By Application:
- Industrial
- Commercial
- Residential
- Others
Absorption Chillers Market, By Heat Source:
- Single Effect
- Double Effect
- Triple Effect
Absorption Chillers Market, By Chiller Type:
- Ice-Making
- Water-Cooled
- Air-Cooled
Absorption Chillers Market, By Region:
- North America
- United States
- Canada
- Mexico
- Europe
- France
- United Kingdom
- Italy
- Germany
- Spain
- Asia-Pacific
- China
- India
- Japan
- Australia
- South Korea
- South America
- Brazil
- Argentina
- Colombia
- Middle East & Africa
- South Africa
- Saudi Arabia
- UAE
- Kuwait
- Turkey
Competitive Landscape
Company Profiles: Detailed analysis of the major companies present in the Global Absorption Chillers Market.
Available Customizations:
Global Absorption Chillers Market report with the given market data, TechSci Research offers customizations according to a company's specific needs. The following customization options are available for the report:
Company Information
- Detailed analysis and profiling of additional Market players (up to five).
Table of Contents
1. Product Overview
- 1.1. Market Definition
- 1.2. Scope of the Market
- 1.2.1. Markets Covered
- 1.2.2. Years Considered for Study
- 1.3. Key Market Segmentations
2. Research Methodology
- 2.1. Objective of the Study
- 2.2. Baseline Methodology
- 2.3. Formulation of the Scope
- 2.4. Assumptions and Limitations
- 2.5. Sources of Research
- 2.5.1. Secondary Research
- 2.5.2. Primary Research
- 2.6. Approach for the Market Study
- 2.6.1. The Bottom-Up Approach
- 2.6.2. The Top-Down Approach
- 2.7. Methodology Followed for Calculation of Market Size & Market Shares
- 2.8. Forecasting Methodology
- 2.8.1. Data Triangulation & Validation
3. Executive Summary
- 3.1. Overview of the Market
- 3.2. Overview of Key Market Segmentations
- 3.3. Overview of Key Market Players
- 3.4. Overview of Key Regions/Countries
- 3.5. Overview of Market Drivers, Challenges, and Trends
4. Voice of Customer
5. Global Absorption Chillers Market Outlook
- 5.1. Market Size & Forecast
- 5.2. Market Share & Forecast
- 5.2.1. By Capacity Type (Low Capacity, Medium Capacity, High Capacity)
- 5.2.2. By Application (Industrial, Commercial, Residential, Others)
- 5.2.3. By Heat Source (Single Effect, Double Effect, Triple Effect)
- 5.2.4. By Chiller Type (Ice-Making, Water-Cooled, Air-Cooled)
- 5.2.5. By Region
- 5.3. By Company (2024)
- 5.4. Market Map
6. North America Absorption Chillers Market Outlook
- 6.1. Market Size & Forecast
- 6.2. Market Share & Forecast
- 6.2.1. By Capacity Type
- 6.2.2. By Application
- 6.2.3. By Heat Source
- 6.2.4. By Chiller Type
- 6.2.5. By Country
- 6.3. North America: Country Analysis
- 6.3.1. United States Absorption Chillers Market Outlook
- 6.3.1.1. Market Size & Forecast
- 6.3.1.2. Market Share & Forecast
- 6.3.1.2.1. By Capacity Type
- 6.3.1.2.2. By Application
- 6.3.1.2.3. By Heat Source
- 6.3.1.2.4. By Chiller Type
- 6.3.2. Canada Absorption Chillers Market Outlook
- 6.3.2.1. Market Size & Forecast
- 6.3.2.2. Market Share & Forecast
- 6.3.2.2.1. By Capacity Type
- 6.3.2.2.2. By Application
- 6.3.2.2.3. By Heat Source
- 6.3.2.2.4. By Chiller Type
- 6.3.3. Mexico Absorption Chillers Market Outlook
- 6.3.3.1. Market Size & Forecast
- 6.3.3.2. Market Share & Forecast
- 6.3.3.2.1. By Capacity Type
- 6.3.3.2.2. By Application
- 6.3.3.2.3. By Heat Source
- 6.3.3.2.4. By Chiller Type
7. Europe Absorption Chillers Market Outlook
- 7.1. Market Size & Forecast
- 7.2. Market Share & Forecast
- 7.2.1. By Capacity Type
- 7.2.2. By Application
- 7.2.3. By Heat Source
- 7.2.4. By Chiller Type
- 7.2.5. By Country
- 7.3. Europe: Country Analysis
- 7.3.1. Germany Absorption Chillers Market Outlook
- 7.3.1.1. Market Size & Forecast
- 7.3.1.2. Market Share & Forecast
- 7.3.1.2.1. By Capacity Type
- 7.3.1.2.2. By Application
- 7.3.1.2.3. By Heat Source
- 7.3.1.2.4. By Chiller Type
- 7.3.2. United Kingdom Absorption Chillers Market Outlook
- 7.3.2.1. Market Size & Forecast
- 7.3.2.2. Market Share & Forecast
- 7.3.2.2.1. By Capacity Type
- 7.3.2.2.2. By Application
- 7.3.2.2.3. By Heat Source
- 7.3.2.2.4. By Chiller Type
- 7.3.3. Italy Absorption Chillers Market Outlook
- 7.3.3.1. Market Size & Forecast
- 7.3.3.2. Market Share & Forecast
- 7.3.3.2.1. By Capacity Type
- 7.3.3.2.2. By Application
- 7.3.3.2.3. By Heat Source
- 7.3.3.2.4. By Chiller Type
- 7.3.4. France Absorption Chillers Market Outlook
- 7.3.4.1. Market Size & Forecast
- 7.3.4.2. Market Share & Forecast
- 7.3.4.2.1. By Capacity Type
- 7.3.4.2.2. By Application
- 7.3.4.2.3. By Heat Source
- 7.3.4.2.4. By Chiller Type
- 7.3.5. Spain Absorption Chillers Market Outlook
- 7.3.5.1. Market Size & Forecast
- 7.3.5.2. Market Share & Forecast
- 7.3.5.2.1. By Capacity Type
- 7.3.5.2.2. By Application
- 7.3.5.2.3. By Heat Source
- 7.3.5.2.4. By Chiller Type
8. Asia-Pacific Absorption Chillers Market Outlook
- 8.1. Market Size & Forecast
- 8.2. Market Share & Forecast
- 8.2.1. By Capacity Type
- 8.2.2. By Application
- 8.2.3. By Heat Source
- 8.2.4. By Chiller Type
- 8.2.5. By Country
- 8.3. Asia-Pacific: Country Analysis
- 8.3.1. China Absorption Chillers Market Outlook
- 8.3.1.1. Market Size & Forecast
- 8.3.1.2. Market Share & Forecast
- 8.3.1.2.1. By Capacity Type
- 8.3.1.2.2. By Application
- 8.3.1.2.3. By Heat Source
- 8.3.1.2.4. By Chiller Type
- 8.3.2. India Absorption Chillers Market Outlook
- 8.3.2.1. Market Size & Forecast
- 8.3.2.2. Market Share & Forecast
- 8.3.2.2.1. By Capacity Type
- 8.3.2.2.2. By Application
- 8.3.2.2.3. By Heat Source
- 8.3.2.2.4. By Chiller Type
- 8.3.3. Japan Absorption Chillers Market Outlook
- 8.3.3.1. Market Size & Forecast
- 8.3.3.2. Market Share & Forecast
- 8.3.3.2.1. By Capacity Type
- 8.3.3.2.2. By Application
- 8.3.3.2.3. By Heat Source
- 8.3.3.2.4. By Chiller Type
- 8.3.4. South Korea Absorption Chillers Market Outlook
- 8.3.4.1. Market Size & Forecast
- 8.3.4.2. Market Share & Forecast
- 8.3.4.2.1. By Capacity Type
- 8.3.4.2.2. By Application
- 8.3.4.2.3. By Heat Source
- 8.3.4.2.4. By Chiller Type
- 8.3.5. Australia Absorption Chillers Market Outlook
- 8.3.5.1. Market Size & Forecast
- 8.3.5.2. Market Share & Forecast
- 8.3.5.2.1. By Capacity Type
- 8.3.5.2.2. By Application
- 8.3.5.2.3. By Heat Source
- 8.3.5.2.4. By Chiller Type
9. South America Absorption Chillers Market Outlook
- 9.1. Market Size & Forecast
- 9.2. Market Share & Forecast
- 9.2.1. By Capacity Type
- 9.2.2. By Application
- 9.2.3. By Heat Source
- 9.2.4. By Chiller Type
- 9.2.5. By Country
- 9.3. South America: Country Analysis
- 9.3.1. Brazil Absorption Chillers Market Outlook
- 9.3.1.1. Market Size & Forecast
- 9.3.1.2. Market Share & Forecast
- 9.3.1.2.1. By Capacity Type
- 9.3.1.2.2. By Application
- 9.3.1.2.3. By Heat Source
- 9.3.1.2.4. By Chiller Type
- 9.3.2. Argentina Absorption Chillers Market Outlook
- 9.3.2.1. Market Size & Forecast
- 9.3.2.2. Market Share & Forecast
- 9.3.2.2.1. By Capacity Type
- 9.3.2.2.2. By Application
- 9.3.2.2.3. By Heat Source
- 9.3.2.2.4. By Chiller Type
- 9.3.3. Colombia Absorption Chillers Market Outlook
- 9.3.3.1. Market Size & Forecast
- 9.3.3.2. Market Share & Forecast
- 9.3.3.2.1. By Capacity Type
- 9.3.3.2.2. By Application
- 9.3.3.2.3. By Heat Source
- 9.3.3.2.4. By Chiller Type
10. Middle East and Africa Absorption Chillers Market Outlook
- 10.1. Market Size & Forecast
- 10.2. Market Share & Forecast
- 10.2.1. By Capacity Type
- 10.2.2. By Application
- 10.2.3. By Heat Source
- 10.2.4. By Chiller Type
- 10.2.5. By Country
- 10.3. Middle East and Africa: Country Analysis
- 10.3.1. South Africa Absorption Chillers Market Outlook
- 10.3.1.1. Market Size & Forecast
- 10.3.1.2. Market Share & Forecast
- 10.3.1.2.1. By Capacity Type
- 10.3.1.2.2. By Application
- 10.3.1.2.3. By Heat Source
- 10.3.1.2.4. By Chiller Type
- 10.3.2. Saudi Arabia Absorption Chillers Market Outlook
- 10.3.2.1. Market Size & Forecast
- 10.3.2.2. Market Share & Forecast
- 10.3.2.2.1. By Capacity Type
- 10.3.2.2.2. By Application
- 10.3.2.2.3. By Heat Source
- 10.3.2.2.4. By Chiller Type
- 10.3.3. UAE Absorption Chillers Market Outlook
- 10.3.3.1. Market Size & Forecast
- 10.3.3.2. Market Share & Forecast
- 10.3.3.2.1. By Capacity Type
- 10.3.3.2.2. By Application
- 10.3.3.2.3. By Heat Source
- 10.3.3.2.4. By Chiller Type
- 10.3.4. Kuwait Absorption Chillers Market Outlook
- 10.3.4.1. Market Size & Forecast
- 10.3.4.2. Market Share & Forecast
- 10.3.4.2.1. By Capacity Type
- 10.3.4.2.2. By Application
- 10.3.4.2.3. By Heat Source
- 10.3.4.2.4. By Chiller Type
- 10.3.5. Turkey Absorption Chillers Market Outlook
- 10.3.5.1. Market Size & Forecast
- 10.3.5.2. Market Share & Forecast
- 10.3.5.2.1. By Capacity Type
- 10.3.5.2.2. By Application
- 10.3.5.2.3. By Heat Source
- 10.3.5.2.4. By Chiller Type
11. Market Dynamics
- 11.1. Drivers
- 11.2. Challenges
12. Market Trends & Developments
- 12.1. Merger & Acquisition (If Any)
- 12.2. Product Launches (If Any)
- 12.3. Recent Developments
13. Company Profiles
- 13.1. Thermax Ltd
- 13.1.1. Business Overview
- 13.1.2. Key Revenue and Financials
- 13.1.3. Recent Developments
- 13.1.4. Key Personnel/Key Contact Person
- 13.1.5. Key Product/Services Offered
- 13.2. Carrier Corporation
- 13.3. Trane Inc.
- 13.4. Hitachi Ltd
- 13.5. Kirloskar Pneumatic Company Ltd.
- 13.6. Kawasaki Thermal Engineering Co., Ltd.
- 13.7. Broad Air Conditioning Ltd.
- 13.8. Hyundai Climate Control Co., Ltd.
- 13.9. Robur Corporation
- 13.10. Yazaki Corporation
14. Strategic Recommendations
15. About Us & Disclaimer