Global Energy Recovery Ventilator Market Overview
As per MRFR analysis, the Energy Recovery Ventilator Market Size was estimated at 2.01 (USD Billion) in 2022. The Energy Recovery Ventilator Market Industry is expected to grow from 2.12 (USD Billion) in 2023 to 3.5 (USD Billion) by 2032. The Energy Recovery Ventilator Market CAGR (growth rate) is expected to be around 5.71% during the forecast period (2024 - 2032).
Key Energy Recovery Ventilator Market Trends Highlighted
The rising energy costs and concerns over indoor air quality are driving the expansion of the global Energy Recovery Ventilator (ERV) market. Increasing urbanization and population growth have heightened the demand for efficient ventilation solutions in residential, commercial, and industrial buildings. Government regulations and building codes promoting energy efficiency and indoor air quality further stimulate market growth.
The adoption of advanced technologies, such as modulating blowers, heat exchangers, and demand-controlled ventilation, is enhancing the ERV market's growth. These advancements offer improved energy efficiency, better indoor air quality control, and reduced operating costs. Additionally, the growing awareness of the health benefits associated with clean and healthy indoor air is creating opportunities for ERV manufacturers.
The increasing adoption of smart home technologies and the integration of ERVs with home automation systems are emerging trends. This integration enables remote monitoring, scheduling, and control of ventilation, further enhancing energy efficiency and indoor air quality management. Moreover, the growing emphasis on sustainability and green building practices is expected to drive the adoption of ERVs in the coming years.
Source: Primary Research, Secondary Research, MRFR Database and Analyst Review
Energy Recovery Ventilator Market Drivers
Increasing cost of energy The increasing cost of energy is a major driver of the Global Energy Recovery Ventilator Market Industry. As businesses and consumers look for ways to reduce their energy consumption, ERVs become more and more attractive. These devices can cut energy costs by as much as 30%, making them a very cost-effective investment for many businesses and homeowners. As such, the rising cost of energy is expected to continue to drive the growth of the ERV market.
Government Regulations
Another major driver of the Global Energy Recovery Ventilator Market Industry is government regulations. Many governments across the world have implemented regulations according to which all newly constructed buildings are equipped with ERVs in order to lower energy consumption and improve indoor air quality. The number of government regulations is increasing; the given factor will contribute to the development of the ERV market.
Increasing Awareness of Indoor Air Quality
Additionally, rising awareness of indoor air quality is another big driver for the Global Energy Recovery Ventilator Market Industry. As people become aware of the health hazards of indoor air pollution, they are interested in keeping their homes and businesses safe by controlling and improving indoor air quality. ERVs help to improve indoor air quality by removing pollutants and allergens from the fresh air supply, eliminating various particulates and internal toxins from the air stream.
This factor indicates that rising awareness regarding air pollution drives market growth and will continue to do so in the future.
Energy Recovery Ventilator Market Segment Insights
Energy Recovery Ventilator Market Technology Insights
The Global Energy Recovery Ventilator Market is growing due to the increasing demand for energy-efficient systems in the construction industry. Moreover, rising awareness pertaining to indoor air-quality and regulatory initiatives by the governments to promote energy conservation are other factors catalyzing market growth. The technology segment of the Global Energy Recovery Ventilator Market is divided into sensible heat exchangers, latent heat exchangers, and enthalpy heat exchangers. The global Energy Recovery Ventilator Market Report divides the market into three key technology segments- sensible heat exchangers, latent heat exchangers and enthalpy heat exchangers.
The sensible heat exchangers enjoy a dominant share as they are the most cost-effective option and the simplest to design. Furthermore, they are best suited to applications wherein only sensible heat needs to be recovered. However, the latent heat exchangers are increasingly becoming popular in applications requiring sensible as well as latent heat recovery, as this exchanger is more efficient. The enthalpy heat exchangers offer the highest efficiency but are also the most expensive and complicated heat exchangers among the types. In the existing Global Energy Recovery Ventilator Market, sensible heat exchangers enjoy more than 60% of the market share.
The latent heat exchangers segment will grow at the fastest rate, anticipated to progress at a CAGR of around 5.7% during the forecast period. The enthalpy heat exchangers segment will also grow at a steady rate. The increasing deployment of energy recovery ventilators in residential and commercial buildings to comply with mandatory energy efficiency standards will be the chief factor driving the growth of the sensible heat exchanger segment.
Source: Primary Research, Secondary Research, MRFR Database and Analyst Review
Energy Recovery Ventilator Market Ventilation Type Insights
In the case of the Global Energy Recovery Ventilator Market, the type of ventilation is the segment of the market. MVHR, DVHR, and exhaust-only ventilation are the divisions of this segment. In 2023, MVHR dominated the market with approximately 60% of the Global Energy Recovery Ventilator Market’s revenue. The segment is expected to grow further, driven by increasing demand for energy-efficient ventilation in commercial and residential buildings. DVHR is also expected to demonstrate significant growth in forthcoming years because of its popularity and the convenience of installation, both for new buildings and as part of renovated structures.
Exhaust-only ventilation systems were less popular in 2023 but are expected to grow at a moderate pace. Another factor expected to improve the situation on the Global Energy Recovery Ventilator Market is a legal obligation to ensure proper ventilation in buildings applied in mostly developing countries.
Energy Recovery Ventilator Market Application Insights
The Global Energy Recovery Ventilator Market segmentation by Application comprises Residential, Commercial, Industrial, and Healthcare. Residential: In 2023, the residential segment held a significant market share, with growing demand for energy-efficient homes and government regulations favoring green building practices. The rising awareness of indoor air quality and the increasing adoption of smart home technologies contribute to the segment's growth. The residential sector is expected to maintain its dominance throughout the forecast period, driven by increasing urbanization and disposable incomes.
Commercial: The commercial segment is projected to witness substantial growth due to the rising construction of new commercial buildings and the need to enhance indoor air quality in existing structures. The growing focus on employee well-being and productivity in commercial spaces drives the demand for energy recovery ventilators. Industrial: The industrial segment is expected to experience steady growth, primarily driven by the need to maintain optimal indoor air quality and energy efficiency in industrial facilities. Stringent regulations regarding air pollution and a rise in energy costs are further fueling the adoption of energy recovery ventilators in this segment.
Healthcare: The healthcare segment is poised for significant growth, considering the increasing demand for energy recovery ventilators in healthcare facilities. The need to prevent the spread of airborne pathogens and maintain a controlled indoor environment for patient care drives growth in this segment.
Energy Recovery Ventilator Market Building Type Insights
The Global Energy Recovery Ventilator Market is segmented by building type into new construction, renovated buildings, and existing buildings. The new construction segment is expected to account for the largest share of the market in 2023 due to the increasing demand for energy-efficient buildings.
The renovated buildings segment is expected to grow at a significant rate during the forecast period due to the rising awareness of energy conservation and the need to improve the indoor air quality of existing buildings. The existing buildings segment is expected to account for a significant share of the market in 2032 due to the large number of existing buildings in need of energy-efficient upgrades.
Energy Recovery Ventilator Market Efficiency Insights
The efficiency of energy recovery ventilators (ERVs) is a key factor in determining their effectiveness in reducing energy consumption and improving indoor air quality. ERVs are classified into different efficiency categories based on their ability to transfer heat and moisture between the incoming and outgoing airstreams. ERVs with efficiency ratings of up to 60% are considered to be basic models and are typically used in residential applications. They offer a modest level of energy savings and can help to reduce moisture levels in the home. ERVs with efficiency ratings of 60-80% are more efficient and are often used in commercial buildings.
They provide a higher level of energy savings and can also help to improve indoor air quality by removing pollutants and odors. ERVs with efficiency ratings of 80-90% are considered to be high-efficiency models and are typically used in large commercial buildings and industrial facilities. They offer the highest level of energy savings and can also help to improve indoor air quality by removing a wide range of pollutants and odors. ERVs with efficiency ratings of 90-95% are considered to be ultra-high-efficiency models and are typically used in critical applications such as hospitals and cleanrooms.
They offer the highest level of energy savings and indoor air quality improvement. The Global Energy Recovery Ventilator Market revenue is expected to grow from $2.12 billion in 2023 to $3.5 billion by 2032, with a CAGR of 5.71%. The market growth is attributed to the increasing demand for energy-efficient solutions, growing awareness of indoor air quality, and stringent government regulations on energy consumption. The efficiency segment is expected to witness significant growth over the forecast period as consumers and businesses become more aware of the benefits of high-efficiency ERVs.
Energy Recovery Ventilator Market Regional Insights
Regionally, North America held a dominant position in the global Energy Recovery Ventilator Market, accounting for approximately 37.5% of the market revenue in 2023. The growth in this region can be attributed to the increasing adoption of energy-efficient technologies in the construction sector, coupled with stringent government regulations mandating the use of energy-efficient appliances. Europe is another key market for energy recovery ventilators, with a significant market share of 32.2% in 2023. Growing environmental concerns and supportive government initiatives are driving the demand for energy-efficient solutions in the region.
The APAC region is anticipated to witness a notable CAGR of 6.1% during the forecast period, owing to rapid urbanization, industrialization, and rising disposable incomes. South America and MEA are expected to contribute a moderate share to the global Energy Recovery Ventilator Market, with a combined market revenue of around 15.3% in 2023.
Source: Primary Research, Secondary Research, MRFR Database and Analyst Review
Energy Recovery Ventilator Market Key Players And Competitive Insights
In the dynamic Energy Recovery Ventilator Market industry, key players are constantly looking for innovative ways to get an advantage over their competitors and expand their product base. The industry is made up of leading players who concentrate on different aspects. For instance, some market players aim to offer sustainable, energy-efficient, and cost-effective products for the sector, while others opt to develop top-performance products. The ERV industry is defined by partnerships, mergers and acquisitions, and high-R investments.
One company established in the Energy Recovery Ventilator Market sector and led by the vision to serve all market needs. The company’s primary advantage is its wide range of products for diverse applications. For instance, the domestic ERV system now includes humidity and CO2 controllers and advanced filtration for residential applications. The industrial and commercial ERVs are built on their own and can be customized to suit the client’s needs.
The other company’s success factor in the ERV systems is its design, which is driven by the need to be as energy-efficient as possible, extracting heat, moisture, and chill as required. The company has invested in R and analytical techniques to improve the efficiency of its products. They have systems geared for residential use and others for large buildings. The products are popular for their energy efficiency in catering to an increasingly critical consumer category who are going green.
Key Companies in the Energy Recovery Ventilator Market Include
- Mitsubishi Electric
- BroanNuTone
- Ventilair Group
- Swegon
- Zehnder Group
- Salda
- Aldes Group
- Systemair
- Vallox
- FläktGroup
- LG Electronics
- Rosenberg
- Panasonic
- Renewaire
Energy Recovery Ventilator Market Industry Developments
The global energy recovery ventilator (ERV) market is projected to reach USD 3.5 billion by 2032, exhibiting a 5.71% CAGR from 2024 to 2032. Rising energy costs and increasing awareness about energy efficiency are driving market growth. Government regulations promoting sustainable building practices further augment demand. Technological advancements, such as the development of high-efficiency ERVs with low-pressure drop and improved heat transfer capabilities, are also contributing to market expansion. Key industry players are focusing on product innovation and strategic partnerships to gain a competitive edge. Recent news includes the launch of the ultra-efficient ERV system by Mitsubishi Electric and the acquisition of Soler Palau Ventilation Group by Lindab Group, strengthening its position in the European market.
Energy Recovery Ventilator Market Segmentation Insights
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Energy Recovery Ventilator Market Technology Outlook
- Sensible Heat Exchangers
- Latent Heat Exchangers
- Enthalpy Heat Exchangers
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Energy Recovery Ventilator Market Ventilation Type Outlook
- Mechanical Ventilation with Heat Recovery (MVHR)
- Decentralized Ventilation with Heat Recovery (DVHR)
- Exhaust-Only Ventilation
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Energy Recovery Ventilator Market Application Outlook
- Residential
- Commercial
- Industrial
- Healthcare
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Energy Recovery Ventilator Market Building Type Outlook
- New Construction
- Renovated Buildings
- Existing Buildings
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Energy Recovery Ventilator Market Efficiency Outlook
- Up to 60%
- 60-80%
- 80-90%
- 90-95%
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Energy Recovery Ventilator Market Regional Outlook
- North America
- Europe
- South America
- Asia Pacific
- Middle East and Africa
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Report Attribute/Metric
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Details
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Market Size 2022
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2.01 (USD Billion)
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Market Size 2023
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2.12 (USD Billion)
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Market Size 2032
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3.5 (USD Billion)
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Compound Annual Growth Rate (CAGR)
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5.71% (2024 - 2032)
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Report Coverage
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Revenue Forecast, Competitive Landscape, Growth Factors, and Trends
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Base Year
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2023
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Market Forecast Period
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2024 - 2032
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Historical Data
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2019 - 2023
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Market Forecast Units
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USD Billion
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Key Companies Profiled
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Mitsubishi Electric, BroanNuTone, Ventilair Group, Swegon, Zehnder Group, Salda, Aldes Group, Systemair, Vallox, FläktGroup, LG Electronics, Rosenberg, Panasonic, Renewaire
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Segments Covered
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Technology, Ventilation Type, Application, Building Type, Efficiency, Regional
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Key Market Opportunities
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Energy efficiency regulations Rising energy costs Green building initiatives Technological advancements Growing awareness of indoor air quality
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Key Market Dynamics
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Rising energy costs and government regulations Increasing demand for energy-efficient ventilation systems Advancements in ERV technology and efficiency Growing awareness of indoor air quality and health benefits Expanded applications in commercial and residential buildings
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Countries Covered
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North America, Europe, APAC, South America, MEA
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Frequently Asked Questions (FAQ) :
The global Energy Recovery Ventilator market size was valued at around USD 2.12 billion in 2023, and it is expected to grow at a CAGR of 5.71% during the forecast period 2024-2032.
North America is expected to dominate the global Energy Recovery Ventilator market over the forecast period, owing to the increasing demand for energy-efficient HVAC systems and stringent government regulations regarding energy consumption.
The growing demand for energy-efficient HVAC systems, increasing awareness about indoor air quality, and supportive government regulations are the key factors driving the growth of the Energy Recovery Ventilator market.
Some of the major players in the Energy Recovery Ventilator market include: Munters Corporation, Swegon AB, FläktGroup, Johnson Controls International plc, and Trox Group.
There are two main types of Energy Recovery Ventilators: sensible and latent. Sensible ERVs transfer heat, while latent ERVs transfer both heat and moisture.
Energy Recovery Ventilators are used in a variety of applications, including: residential, commercial, and industrial buildings. They are used to improve indoor air quality, reduce energy consumption, and control humidity levels.
Energy Recovery Ventilators offer a number of benefits, including: improved indoor air quality, reduced energy consumption, and controlled humidity levels.
The Energy Recovery Ventilator market faces a number of challenges, including: high initial cost, lack of awareness about the benefits of ERVs, and competition from other HVAC systems.
The future of the Energy Recovery Ventilator market is expected to be driven by the increasing demand for energy-efficient HVAC systems, growing awareness about indoor air quality, and supportive government regulations.
The global Energy Recovery Ventilator market size is expected to reach around USD 3.5 billion by 2032.
