Underfloor Heating Market Size & Share Analysis - Trends, Drivers, Competitive Landscape, and Forecasts (2025 - 2030)

Underfloor Heating Market Size

Underfloor Heating Market Trends & Growth Drivers

Technological Advancements Are Key Market Trends

• The biggest trend in the underfloor heating market is the technological advancements in these systems.
• Keeping with the global trend of smart cities and net-zero emission buildings, underfloor heating systems are being integrated with renewable sources of energy, such as onsite solar panels and a battery energy storage system.
• This helps reduce the load on the grid, as the solar energy stored in the battery can be used for heating at night.
• Similarly, to make the system more energy-efficient, it is being equipped with AI algorithms and a host of sensors, to allow it to adjust the interior temperature as per the intensity of cold outside.
• Further, presence and motion sensors can determine how many people are in a given room and modify the system’s operations automatically, even enabling different temperatures in different zones.
• In addition, connected underfloor heating systems often come with a mobile app that allows users to monitor the operations and control it remotely.
• The integration of a building management system can even enable the sharing of real-time data on the system’s operation to the manufacturer, helping with predictive maintenance.

Growing Construction Activities in Colder Areas Drives Market

• The underfloor heating market is driven by the burgeoning construction activities in the colder regions of the earth.
• As per estimates, around 60% of the global population lives beyond the Tropic of Cancer and Tropic of Capricorn, or the temperate zone.
• Here, summer temperatures are mostly lower than in the tropics, while winters are often long and freezing.
• Around half of India and almost all of China are in the subtropical and temperate zones, and the construction industry here is among the largest in the world.
• Similarly, North America and Europe, the two wealthiest continents on earth, lie above the Tropic of Cancer.
• These regions already have a well-established protocol for central heating systems in industrial, commercial, and residential buildings as winter temperatures plunge well below 0 degree Celsius here.
• With the increasing disposable income in developing countries, people’s definition of comfort and luxury is evolving to include high-tech heating and cooling systems.
• These countries are also witnessing rampant migration, which is driving construction activities in major and up-and-coming cities.
• The confluence of these factors will continue to propel the integration of underfloor heating systems in all kinds of buildings, especially with the government support for living condition improvement and worldwide smart city initiatives.
• For instance, in the 2024–2025 budget, India has sanctioned USD 132 billion for infrastructure development, while China has earmarked USD 173 billion (RMB 1.2 trillion) for construction by 2024-end.

Expensive Installation and Efficiency Constraints Hinder Market Growth

• The market growth is restrained by the challenging and cost-intensive installation process of underfloor heating systems.
• Compared to radiators, these systems require a more-extensive piping network to cover as much of the floor as possible.
• Additionally, since the pipes are installed under the floor, their retrofitting in existing buildings with floors consisting of tiles or cement is difficult.
• The process might also involve the complete removal of the tiles or wooden planks to embed the pipes, which is not only long but also costly.
• Further, not all flooring materials allow for an even distribution of heat, with many acting as insulators, thereby diminishing the system’s efficiency and increasing energy consumption.
• Additionally, underfloor heating systems can take up to 2 hours to warm the floor, depending on the area, compared to around half an hour for conventional radiators.

Underfloor Heating Market Analysis

System Type Analysis

In 2024, the hydronic category holds the larger market share, of 70%. A hydronic underfloor heating system includes network pipes, thermal actuators, zone valves, wiring centers, and manifolds, which together deliver more heat than an electric system at a lower operating cost.

With the rise in the standard of living of people, North American and European countries are the key contributors to the underfloor heating market boom. Heating controls enable central heating systems to operate automatically, with the user's only input being to update or temporarily override the program.

The electric category will witness the higher CAGR, of 8%, over the forecast period. This is because of the shift form fossil fuels toward cleaner energy sources, and since hydronic systems mostly use natural gas, electric ones are being preferred. Additionally, electric systems require fewer components than their hydronic counterparts and use non-corrosive elements. Further, with the expanding electricity access in far-flung areas, people no longer have to depend on gas and other fossil fuels for heating. Moreover, compared to hydronic systems, electric variants respond more quickly, thus enhancing comfort and limiting energy consumption.

The segment is bifurcated as below:

• Electric (Faster-Growing Category)
• Hydronic (Larger Category)

Offering Analysis

The hardware category has the larger share, of 75%, in 2024. Hardware, which is the major component of any heating system, includes heating cables, heating mats, heating pipes, thermostats, zone valves, and wiring centers. Companies are involved in acquisitions in order to enhance their position in the market. For instance, The Stelpro Group acquired Flextherm, an electric floor heating solution provider. This collaboration will facilitate developing products for smart homes and energy consumption management, including a range of heating cables and controls.

Moreover, the changing lifestyle of people and rising disposable income, especially in developed countries, such as Canada and the U.S., drive the usage of underfloor heating in new as well as renovated apartments. For instance, in North America, the Pittsburgh Mixed-Use Development project involves the development of residential, commercial, and office spaces on 11.33 hectares of land. This project was expected to be completed in Q4 2023, and it has attracted investments of USD 1,000 million.

Services will witness the faster growth over this decade, with a CAGR of 9%. This is because of the complexity of installing an underfloor heating system, which required professional help, often beginning with consulting for buildings with large floor areas. Similarly, due to the variety of components used in this system, upgrading and repairing it is not easy. Therefore, users must contact a real estate contractor or product manufacturer for this purpose.

The following offerings are covered in the report:

• Hardware (Larger Category)
  • Heating systems
    • Cables
    • Mats
    • Thermostats and sensors
    • Pipes
    • Thermal actuators
    • Zone valves
    • Wiring centers
    • Manifold valves
    • Others
  • Control systems
• Service (Faster-Growing Category)
  • Installation
  • Upgradation/replacement
  • Maintenance and repair
  • Consulting

Installation Type Analysis

The new installations category dominates the market in 2024 with 65% share, and it is projected to grow at the higher rate, of 8.5%, attributed to the increasing awareness of reducing carbon emissions. For instance, the EU has developed the Energy Efficiency (EE) regulatory framework, containing policies and outlining actions to help the region meet its objective of reducing greenhouse gases by at least 55% by 2030.

Moreover, commercial and residential infrastructure projects, including those part of smart city projects, are using underfloor heating setups in order to meet these objectives.

Moreover, as per forecast, retrofit installations will also witness significant growth, since the preference of people is shifting toward cost-effective solutions that do not compromise on comfort. The efficiency and convenience of underfloor heating solutions in this regard are encouraging people to adopt them when renovating their homes. As per statistics, people of the U.S. spent USD 457 billion in 2020 on making their homes more comfortable, including by upgrading their heating systems, but with a focus on energy savings.

We have analyzed the below-mentioned installation types:

• New (Largest and Fastest-Growing Category)
• Retrofit

End Use Analysis

The residential category, which holds the largest share, of 55%, in 2024, will advance at the highest rate over the decade, of 10%. This will be due to the growing application of underfloor heating systems in residential properties since they are considered ideal for such projects. Hence, with the booming housing construction in developed countries, such as the U.S. and Canada, the installation of these systems is rising too.

For instance, the Thornhill residential project in Canada involves the development of 308 residential and retail units ranging from 534 to 878 square feet. It has attracted an investment of USD 144 million.

The report offers insights on the following end uses:

• Residential (Largest and Fastest-Growing Category)
• Commercial
• Industrial

Regional Analysis

• During the forecast period, Europe is expected to grow at the highest underfloor heating market CAGR, over 7.5%. The continent also holds the largest share in 2024, of 45%.
• This is due to the active participation of government bodies in the protection of the environment, via the usage of energy-efficient systems.
• There are various initiatives of the European government for reducing carbon emissions.
• For instance, the U.K. aims to be carbon-free by the end of 2050.
• Moreover, the New Building Energy Act of Germany focuses on the requirements for the energy performance of buildings, the issue and usage of energy performance certificates, and utilization of renewable energy in buildings.
• Hence, underfloor heating is increasingly being used in new residential and commercial projects.
• For this, Austrian solar company my-PV has developed a system to transfer the surplus electricity generated by solar panels to the electric underfloor heating system of commercial buildings. This solution will help in reducing buildings’ annual electricity expenditure by 67%.
• Another key driver for the regional market is the large number of players operating in the U.K., Denmark, Switzerland, and many other countries.
• These players are involved in acquisitions in order to grow their presence in the market.
• For instance, Uponor, a building solutions company based in Europe, has acquired Polish company Capricorn S.A., to offer energy-saving heating and cooling solutions, including underfloor heating.
• In Europe, the U.K. market is expected to progress with the fastest CAGR during the forecast period.

The following regions and countries were studied for the report:

• North America
  • U.S. (Larger and Faster-Growing Country Market)
  • Canada
• Europe (Largest and Fastest-Growing Regional Market)
  • Germany (Largest Country Market)
  • France
  • U.K.
  • Poland (Fastest-Growing Country Market)
  • Italy
  • Russia
  • Rest of Europe
• Asia-Pacific
  • China (Largest Country Market)
  • Japan
  • India (Fastest-Growing Country Market
  • Australia
  • South Korea
  • Rest of APAC
• Latin America (LATAM)
  • Brazil (Largest and Fastest-Growing Country Market)
  • Mexico
  • Rest of LATAM
• Middle East and Africa
  • South Africa
  • Saudi Arabia (Largest and Fastest-Growing Country Market)
  • Rest of MEA

Underfloor Heating Market Share

The underfloor heating market is fragmented due to the presence of a large number of players. A variety of components are required for a complete system, and customers might not always buy everything from one company. For instance, they could buy the thermostat from one, and pipes and mats from others. Moreover, the product manufacturers might not always provide installation, repair, and consulting services, thus further fragmenting the market. Moreover, major industrial and commercial users often contract established companies, while residents usually seek out local ones.

Underfloor Heating Market News

• In August 2024, Resideo Technologies Inc. entered into a partnership with Arrow Electronics to build 20 three/four-bedroom duplex apartments at the Habitat Metro Denver’s Mountain View community. The homes will feature Honeywell’s security, heating, water, and cooling systems controllable from the Resideo Alert smart home app.
• In August 2024, nVent Electric plc signed an agreement to sell its thermal management business to Brookfield Asset Management for USD 1.7 billion in cash. The sale of the business, via which nVent offers its underfloor heating systems, will allow it to enhance its position as a supplier to different industries.
• In May 2024, REHAU Schweizlaunched the BIM House on its website; it is a simulation platform that allows real estate developers to better plan the incorporation of the company’s products, including heating, wastewater, and potable water systems, into office and residential buildings.
• In April 2024, George Fischer AG renamed its GF Uponor division to GF Building Flow Solutions.