Northbrook, IL 60062 -- (SBWIRE) -- 01/31/2023 -- The global Refrigeration coolers market is expected to grow from USD 3.6 billion in 2022 to USD 4.8 billion by 2027, at a CAGR of 6.0%.
Growing investments in refrigerated warehouses/cold storage, rising demand for frozen and processed foods worldwide, rising demand for innovative and compact refrigeration coolers, and growing adoption of natural refrigerant-based systems in various commercial and industrial applications will drive the demand for this market in the near future.
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Opportunity: Increasing demand for FMCG products
The rising demand for fast-moving consumer goods (FMCG) has propelled the demand for smart refrigeration, cold storage chain logistics, and transportation. Increasing online shopping and e-grocery has increased the demand for refrigeration units for the storage and cooling of these products. Since some foods are highly perishable, refrigerated logistics has narrow time windows to deliver these products. Transporting food from a warehouse or retail outlet to a consumer location also has become expensive and complicated. For example, there has been a spike in demand for meal kits delivery and e-grocery items in the US. This sudden increase in perishable food products and groceries has increased the demand for cold-storage spaces. The COVID-19 has also impacted the lifestyle and eating habits of consumers. Consumers have opted for cooking in their homes than ordering food during the pandemic. These factors have increased the demand for refrigeration coolers.
Challenge: Lack of skilled personnel along with high safety concerns
As natural refrigerant-based systems have gained traction, the demand for ammonia and carbon dioxide as refrigerants has gone up significantly. This increase in demand is due to the fact that these refrigerants have zero ODP and low GWP. For example, ammonia is a standard refrigerant used in industrial refrigeration facilities worldwide, and it is environmentally friendly and complies with the low-GWP standard. However, ammonia is also regarded as a poisonous gas, and its accidental leakage in facilities can lead to severe industrial accidents. Exposure to lower concentrations of ammonia can lead to temporary blindness, eye damage, skin diseases, or other pulmonary diseases, while exposure to higher concentrations can be fatal. The inner system leakage of such gases can even contaminate food items kept inside the refrigeration system. Hence, the lack of skilled personnel, along with growing safety concerns, is acting as a major challenge for the growth of the refrigeration cooler market.
APAC is expected to contribute to the highest CAGR during the forecast period in the refrigerated cooler market. The highest CAGR of the market in APAC is attributed to the increasing demand for refrigeration cooling units from the commercial and industrial applications in this region. APAC comprises countries such as China, India, and Japan, which are leading countries globally in terms of having higher refrigerated warehouse capacity, and the global market players are experiencing strong demand from countries such as China, India, Japan, and South Korea. Growth is mainly driven by the refrigerated warehouse, food & beverages processing, and meat and poultry processing applications. The growing population in APAC creates a high demand for food, thereby creating opportunities for food processing facilities in this market. Furthermore, government subsidies in setting up cold chain networks are strengthening the cold chain infrastructure across the region.
Key Market Players
The Refrigeration coolers market is dominated by players such as Johnson Controls (Ireland), Lu-Ve (Italy), Lennox International (US), Kelvion (Germany) and Rivacold (Italy).