Published: December 2022 | Report Code: 11824 | Available Format: PDF
The U.S. HVAC services market size stood at $25,221.3 million in 2022, and it is expected to grow at a CAGR of 4.5% during 2022–2030, to reach $35,971.7 million by 2030.
Rising focus on green energy and environmental sustainability is resulting in increased adoption of such systems (which help lower energy consumption) and related services (which ensure the efficient and smooth functioning of these systems).
End users are acknowledging the need for getting their systems serviced by skilled technicians, as any error during the installation or repair process may result in permanent damage to the systems, leading to high costs. Hence, home and business owners in the country prefer North American Technician Excellence (NATE)-certified technicians for these services.
NATE is a non-profit certification organization for HVAC technicians. It tests and validates the professional competency of technicians. The services offered by the skilled technicians are beneficial, both in terms of energy and cost savings and, also ensure the safety of the people using these systems.
For the HVAC systems to run efficiently, they need to be cleaned on a regular basis, along with filter replacement recommended every year. In some service contracts, the service is provided biannually or quarterly, depending on the system’s lifespan, end-use vertical, and run time. Furthermore, many contractors offer discounts when a user is exercising the annual plan.
Moreover, it has been observed that commercial and industrial customers primarily prefer AMC service agreements, whereas residential users mostly look for on-demand services.
People in the U.S. demand maintenance of HVAC systems primarily for preventive measures, replacement of faulty equipment, and energy efficiency. Over 70% of the residential customers in the U.S. have deployed HVAC systems. Hence, the demand for repair and regular maintenance is high in the country, especially before and during the summer season.
The growing construction industry is a major factor driving the demand for HVAC services. Due to rising population, rapid urbanization, and increasing construction of buildings, the construction market is growing in the country. For instance, according to the U.S. Census Bureau, the population of the U.S. is expected to increase around 7% during the period 2019–2029.
Further, with increasing number of government initiatives toward increasing home ownership, the country is exhibiting increased residential construction activities. With growing demand for HVAC equipment, the requirement for related services, such as installation, upgradation/replacement, and maintenance & repair, for proper and efficient functioning of the equipment is increasing significantly.
The cooling category generated the highest revenue, amounting to more than $10 billion, in 2022.
In 1996, the American Society of Heating, Refrigerating and Air-Conditioning Engineers (ASHRAE) developed a standard for ventilation systems, Standard 62, and subsequently amended it. In the latest amendment of 2016, the Standard 62.2-2016, the acceptable levels of IAQ that need to be maintained in residential and commercial buildings.
Moreover, the split units category under cooling equipment accounted for the significant revenue share in 2021. Split units usually come with an extensive service maintenance guide. Although a large portion of the maintenance cost of a split unit is attributed to labor charges, and filters and fan blades, which need to be replaced at regular intervals.
Moreover, every routine service requires checking for leaks and blocked pipes. Wiring and connections are robust components with a lifespan similar to a split unit. However, failure of these components may incur heavy replacement costs. Such factors are fueling the demand for split units’ servicing in the U.S.
Furthermore, the ventilation category will experience a higher growth rate during the forecast period. This is attributed to the requirement for annual maintenance service for optimal operation of ventilation fan, generally large in size and deployed in malls, airports, hotels, and indoor stadiums.
However, the growth of the industry is on account of the growing awareness of people in the U.S. about green buildings and adverse effects of air pollution. Besides, growing air pollution in industrial areas of the western and southern U.S. is positively affecting the demand for services for air cleaners in the country.
Report Attribute | Details |
Historical Years |
2017-2022 |
Forecast Years |
2023-2030 |
Market Size in 2022 |
USD 25,221.3 Million |
Revenue Forecast in 2030 |
USD 35,971.7 Million |
Growth Rate |
4.5% CAGR |
Report Scope |
Market Trends, Drivers, and Restraints; Revenue Estimation and Forecast; Segmentation Analysis; Impact of COVID-19; Companies’ Strategic Developments; Market Share Analysis of Key Players; Company Profiling |
Segments Covered |
By Type; By Equipment Type; By Implementation Type; By End User; By Region |
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The upgradation/replacement category held the significant revenue share, around 40%, in 2022.
It has been observed that HVAC systems that do not undergo regular maintenance result in energy wastage— almost 20% more than those serviced on a regular basis. In addition, a system that is not maintained or serviced can be characterized as a less-efficient system in terms of air filtration. Moreover, dirty filters and coils of such systems have mold or bacteria, which further cause health hazards for people residing or working in the vicinity. Also, a properly installed HVAC unit can have 15–25 years of life if maintained regularly. However, without proper upkeep, the system could fail in just 10 years or less.
On the other hand, the consulting category is projected to witness the fastest growth of around 7% in the market during the forecast period. Consultation also includes visual inspection by a technician, who identifies the potential issues of the system before recommending thorough maintenance.
Increasing focus toward energy efficiency is another key factor driving the market. Maintenance of HVAC system at regular intervals reduces the energy consumption. Further, with increasing government focus toward improving the energy efficiency and reducing the carbon emission.
For instance, the Department of Energy (DoE) has introduced a new efficiency standard for furnaces setting a minimum airflow efficiency level for residential furnace fans. With this new guideline, the DoE aims to reduce carbon emission by up to around 34 million metric tons and encourages energy efficiency for saving the environment.
The southern region has largest contribution of more than $9 billion in 2022. This is primarily attributed to the fact that cities in the southern part have varying climatic conditions as compared to the cities in other regions. This impacts the market for HVAC systems, positively, thereby increasing the demand for associated services.
Moreover, many areas in the southern region are offering growth opportunities to HVAC services market players to attain a stronghold, particularly on account of the growing urbanization. As commercial spaces in the southern region require the installation of HVAC systems, the demand for related maintenance services is considerably increasing. Also, the number of days with high minimum temperatures is on the rise, and the trend is projected to continue in the coming years. Hence, the demand for HVAC services in southern U.S. is expected to remain the highest in near future.
Furthermore, during the forecast period, the western U.S. is projected to demonstrate the fastest growth. This can be attributed to the large number of commercial and residential construction projects being carried out in the region, with a focus on green buildings and office space development. The population in the region is also increasing because of growing economy, surging job opportunities, and rising infrastructural developments, thus having ample scope for the adoption of such systems and related services.
This report offers deep insights into the market, with size estimation for 2017 to 2030, the major drivers, restraints, trends and opportunities, and competitor analysis.
Based on Type
Based on Equipment Type
Based on Implementation Type
Based on End User
Geographical Analysis
The total size of the U.S. HVAC services market was $25,221.3 million in 2022.
The Southern region held a substantial share in the U.S. HVAC services market in 2022.
Upgradation/replacement service was the most demanded in the U.S. HVAC services market in 2022.
Increasing focus toward energy efficiency is trending in the U.S. HVAC services industry.
Cooling equipment service made the largest revenue in the U.S. HVAC services industry in 2022.
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