Market Overview
With the surging preference toward pure & disease-free indoor air quality, coupled with the improving buying power & changing living standards of people, the UAE is observing the rising adoption of air conditioners. Besides, the geographic location of the UAE presents hot climate conditions that also add up to the mounting need for air conditioners across the country. It is majorly to enhance comfort & cooling at different facilities and boost the air conditioner industry across the UAE.
Market Insights
The UAE Air Conditioners Market is projected to grow at a CAGR of around 4% during the forecast period, i.e., 2022-27. The growth of the market is likely to be driven primarily by the rapidly improving economic conditions and changing living standards of people & their growing purchasing power, i.e., boosting the sales of air conditioners to enhance the comfort at facilities.
| Report Coverage | Details |
|---|---|
| Study Period | Historical Data: 2017-20 |
| Base Year: 2021 | |
| Forecast Period: 2022-27 | |
| CAGR | 4% |
| Key Companies Profiled | LG Electronics, Fujitsu General, Carrier, Gree, Samsung, Daikin, Mitsubishi, SKM, Midea, Super General |
| Unit Denominations | USD Million/Billion |
Additionally, escalating government focus on economic diversification away from oil is stimulating various infrastructural developments. Due to this, the UAE is experiencing numerous construction projects like hotels, resorts, corporate spaces, residential buildings, & shopping malls are surging rapidly. It, in turn, is instigating air conditioner manufacturers to accelerate their production capacities and meet the mounting end-user demand.
Besides, rapidly establishing multinational companies, growing migrant influx, and the expanding tourism sector in the country are other crucial aspects propelling the need for air conditioners and driving the market. Moreover, the mounting need to strengthen the hospitality & healthcare sectors is soaring the construction & infrastructural developments of these facilities, which, in turn, would boost the demand for air conditioners and fuel the overall market growth in the coming years.
Key Trend in the UAE Air Conditioners Market
With rapid technological advancements, the demand for smart & energy-efficient air conditioners is swiftly escalating across the UAE to address the alarming carbon emission levels that affect the environment. In addition, the UAE government is actively seeking & adopting solutions in line with sustainability and encouraging the utilization of energy-efficient systems like air conditioners. Besides, the mounting inclination toward building automation & services like facility management are other crucial areas stimulating the demand for smart & energy-efficient air conditioners for better controls, monitoring, temperature maintenance, cleaner air, smart thermostat, & other applications.
Impact of Covid-19 on the UAE Air Conditioners Market
In 2020, the advent of Covid-19 severely impacted the UAE Air Conditioners Market due to the imposition of cross-border trade restrictions & lockdowns by the UAE government to curb the spread of this dreadful disease. It introduced several growth challenges to the market like hampered transportation & logistics, delayed deliveries of pre-produced air conditioners, supply chain disruptions, shortage of raw materials, fluctuation in product prices, etc.
Besides, the lockdowns resulted in the lack of labor, reduced production, increased demand & supply gaps, & shut down of manufacturing facilities, which, in turn, led to massive financial losses for the leading players in the air conditioners market in the UAE amidst the crisis.
However, the government uplifted the restrictions & allowed the recommencement of business operations after seeing a gradual improvement in the pandemic situation with a reducing number of Covid-19 cases. Consequently, the leading players resumed the production of air conditioners and increased their manufacturing capacities to meet the burgeoning demand.
Currently, the leading market players are working on introducing new products & expand their visibility & product portfolio across the UAE, which would provide lucrative growth opportunities to the market in the years to come.
Market Segmentation
Based on End-Users:
Here, the Commercial sector is anticipated to demonstrate the fastest growth of the UAE Air Conditioners Market during 2022-27. It attributes principally to various initiatives by the UAE government to strengthen the country's infrastructure with the increasing construction projects like educational institutions, corporate offices, & shopping malls, among others. As a result, it is boosting the demand for air conditioners to facilitate the infrastructure with suitable temperature, cooling, & ventilation.
Besides, projects like Dubai Tourism Strategy & Higher Education 2030 are further expected to fuel the growth of the commercial sector and, in turn, drive the air conditioners market through 2027. Moreover, extensive expenditure of the UAE government on transportation & connectivity across the country through metro & railway stations, airports, etc., are also likely to stimulate the demand for air conditioners and positively influence the overall market growth in the years to come.
Regional Landscape
Geographically, the UAE Air Conditioner Market expands across the following:
Of all cities in the UAE, Dubai dominated the air conditioners market with the largest share in recent years, and the same trend is likely during the forecast period. It owes principally to the rapid construction activities associated with transportation, commercial buildings, tourism, & educational institutions, among others, due to the city being a host for World Expo 2020 (postponed to 1st Oct 2021 due to the Covid-19 pandemic). It, in turn, is propelling the demand for air conditioners for proper ventilation & cooling. Additionally, massive investments in industrial sectors other than the oil to diversify the economy are also expected to augment the demand for air conditioners & drive the market through 2027.
On the other hand, Abu Dhabi & Al Ain are also likely to generate lucrative growth opportunities for the leading market players, principally due to the increasing establishment of multinational companies & retail spaces in the city, i.e., boosting the construction sector & escalating the demand for air conditioners during the forecast period.
Besides, an increasing number of government projects & initiatives like the Abu Dhabi 2030 plan for economic diversification and to enhance tourism shall further positively influence the Air Conditioners Market across Abu Dhabi & Al Ain through 2027.
Market Dynamics:
Key Driver & Opportunity: Mounting Construction Activities in the UAE
The growing focus of the UAE's government on enhancing the existing infrastructure is leading to several construction projects like residential complexes, shopping malls, airports, railway & metro stations, & educational institutions, among others, throughout the country. It, in turn, is playing a prominent role in boosting the demand & sales of air conditioners & driving the UAE Air Conditioners Market through 2027.
Besides, the UAE's aim to diversify its economy away from oil is leading to massive investments in other industrial sectors. It is generating lucrative growth opportunities for the leading market players to introduce new features in air conditioners and, in turn, expand their product portfolio & visibility across the country.
Possible Restraint: Complex & Costly Air Conditioners
Since the demand for air conditioners is increasing swiftly across the UAE, there are several challenges in procuring raw materials due to price fluctuations. As a result, finished products are becoming expensive, which, in turn, might limit the customer base and hamper the growth of the UAE Air Conditioner Market during 2022-27.
Besides, complexity in the installation and unawareness about proper maintenance & timely inspection associated with air conditioners are other vital aspects that might restrain the market expansion in the years to come.
Key Questions Answered in the Market Research Report:
Frequently Asked Questions
A. The UAE Air Conditioners Market is projected to grow at a CAGR of around 4% during 2022-27.
A. The Commercial sector is anticipated to emerge as an area of remunerative opportunities for the leading players in the UAE Air Conditioners Market during 2022-27.
A. The rapidly enhancing UAE's infrastructure is displaying rigorous construction activities, which would boost the demand for air conditioners and generate growth opportunities for the leading players in the UAE Air Conditioners Market in the coming years.
A. The UAE Air Conditioner Market is witnessing the active participation of the leading players in introducing new variants of air conditioners and expanding their product portfolio & visibility across the country. The same trend is likely in the coming years, which would provide lucrative growth opportunities to the market.
1. Introduction
1.1. Product Definition
1.2. Research Process
1.3. Assumptions
1.4. Market Segmentation
2. Executive Summary
3. Expert Verbatim- What our Experts Say?
4. Macroeconomic Outlook
5. UAE Air Conditioner Market Analysis (2017-2027)
5.1. Market Size & Analysis
5.1.1. Market Revenues
5.2. Market Share & Analysis
5.2.1. By Type
5.2.1.1. Window AC
5.2.1.2. Split AC
5.2.1.3. Floor Standing AC
5.2.1.4. Cassette AC
5.2.1.5. Packaged AC
5.2.1.6. Ducted Split AC
5.2.1.7. Centralized AC
5.2.2. By Region
5.2.2.1. Abu Dhabi & Al Ain
5.2.2.2. Dubai
5.2.2.3. Sharjah & Northern Emirates
5.2.3. By End User
5.2.3.1. Residential
5.2.3.2. Commercial Buildings
5.2.3.3. Retail
5.2.3.4. Health Care
5.2.3.5. Hospitality
5.2.3.6. Government & Transportation
5.2.3.7. Oil & Gas
5.2.3.8. Others
5.3. By Sales Channel
5.3.1.1. Direct Sales
5.3.1.2. Online
5.3.1.3. Authorized Distributors
5.4. By Company
5.4.1.1. Revenue Shares
5.4.1.2. Strategic Factorial Indexing
5.4.1.3. Competitor Placement in MarkNtel Quadrant
6. UAE Window Air Conditioner Market Attractiveness Indexing
6.1.1. By Type
6.1.2. By Region
6.1.3. By End User
6.1.4. By Capacity
6.1.5. By Sales Channel
7. UAE Window Air Conditioner Market Analysis (2017- 2027)
7.1. Market Size & Analysis
7.1.1. Market Revenues
7.2. Market Share & Analysis
7.2.1. By Capacity
7.2.1.1. 1 ton
7.2.1.2. 1.5 ton
7.2.1.3. 2 tons and above
7.2.2. By Region
7.2.3. By End User
7.2.4. By Company
7.2.5. By Sales Channel
7.3. Pricing Analysis
7.3.1. Price Trend
7.3.2. Competitor Wise Product Pricing
7.4. UAE Window Air Conditioner Market Attractiveness Indexing (2019-25)
7.4.1. By Region
7.4.2. By End User
7.4.3. By Capacity
7.4.4. By Sales Channel
8. UAE Split Air Conditioner Market Analysis (2017- 2027)
8.1. Market Size & Analysis
8.1.1. Market Revenues
8.2. Market Share & Analysis
8.2.1. By Capacity
8.2.2. By Region
8.2.3. By Company
8.2.4. By Sales Channel
8.3. Pricing Analysis
8.3.1. Price Trend
8.3.2. Competitor Wise Product Pricing
8.4. UAE Split Air Conditioner Market Attractiveness Indexing (2019-25)
8.4.1. By Region
8.4.2. By End User
8.4.3. By Capacity
8.4.4. By Sales Channel
9. UAE Floor Mounted Air Conditioner Market Analysis (2017- 2027)
9.1. Market Size & Analysis
9.1.1. Market Revenues
9.2. Market Share & Analysis
9.2.1. By Capacity
9.2.2. By Region
9.2.3. By End User
9.2.4. By Company
9.2.5. By Sales Channel
9.3. Pricing Analysis
9.3.1. Price Trend
9.4. UAE Floor Mounted Air Conditioner Market Attractiveness Indexing (2019-25)
9.4.1. By Region
9.4.2. By End User
9.4.3. By Capacity
9.4.4. By Sales Channel
10. UAE Cassette Air Conditioner Market Analysis (2017- 2027)
10.1. Market Size & Analysis
10.1.1. Market Revenues
10.2. Market Share & Analysis
10.2.1. By Capacity
10.2.2. By Region
10.2.3. By End User
10.2.4. By Company
10.2.5. By Sales Channel
10.3. Pricing Analysis
10.3.1. Price Trend
10.4. UAE Cassette Air Conditioner Market Attractiveness Indexing (2019- 2027)
10.4.1. By Region
10.4.2. By End User
10.4.3. By Capacity
10.4.4. By Sales Channel
11. UAE Packaged Air Conditioner Market Analysis (2017- 2027)
11.1. Market Size & Analysis
11.1.1. Market Revenues
11.2. Market Share & Analysis
11.2.1. By Region
11.2.2. By End User
11.2.3. By Company
11.2.4. By Sales Channel
11.3. Pricing Analysis
11.3.1. Price Trend
11.4. UAE Packaged Air Conditioner Market Attractiveness Indexing (2019-25)
11.4.1. By Region
11.4.2. By End User
11.4.3. By Sales Channel
12. UAE Ducted Split Air Conditioner Market Analysis (2017- 2027)
12.1. Market Size & Analysis
12.1.1. Market Revenues
12.2. Market Share & Analysis
12.2.1. By Region
12.2.2. By End User
12.2.3. By Company
12.2.4. By Sales Channel
12.3. Pricing Analysis
12.3.1. Price Trend
12.4. UAE Ducted Split Air Conditioner Market Attractiveness Indexing (2019-25)
12.4.1. By Region
12.4.2. By End User
12.4.3. By Sales Channel
13. UAE Centralized Air Conditioner Market Analysis (2017- 2027)
13.1. Market Size & Analysis
13.1.1. Market Revenues
13.2. Market Share & Analysis
13.2.1. By Type
13.2.1.1. Chiller
13.2.1.2. Condensing Unit/VRF
13.2.1.3. AHU/FCU
13.2.2. By Region
13.2.3. By End User
13.2.4. By Company
13.2.5. By Sales Channel
13.3.UAE Centralized Air Conditioner Market Attractiveness Indexing (2019-25)
13.3.1. By Region
13.3.2. By End User
13.3.3. By Capacity
13.3.4. By Sales Channel
14. PESTLE Analysis
15. UAE Air Conditioner Market Regulations, Norms, & Product Standards
16. UAE Air Conditioner Market Trends & Developments
17. UAE Air Conditioner Market Dynamics
17.1. Impact Analysis
17.2. Drivers
17.3. Challenges
18. UAE Air Conditioners Imports, Exports Statistics
19. UAE Air Conditioners Market Winning Strategies, 2019
19.1. Investment Scenario
19.2. Hotspots
20. UAE Air Conditioners Value Chain & Stakeholder Margin Analysis
21. Competitive Benchmarking
21.1. Competition Matrix
21.1.1. Product Portfolio
21.1.2. Target Markets
21.1.3. Target End Users
21.1.4. Research & Development
21.1.5. Strategic Alliances
21.1.6. Strategic Initiatives
21.2. Company Profiles (Business Description, Product Offering, Strategic Alliances or Partnerships, etc.)
21.2.1. LG Electronics
21.2.2. Fujitsu General
21.2.3. Carrier
21.2.4. Gree
21.2.5. Samsung
21.2.6. Daikin
21.2.7. Mitsubishi
21.2.8. SKM
21.2.9. Midea
21.2.10. Super General
22. Disclaimer
