AFEC Market Report 2024

Madrid, February 25, 2025. AFEC, Association of Manufacturers of Airstle Equipment, today presented to the media and members of the public administration the market report and sectoral situation of air conditioning and HVAC for the year 2024.

The meeting, held at the headquarters of the Spanish Association for Standardization UNE, was attended by Paloma García, director of Standardization Programs and Interest Groups, who, after welcoming, highlighted key aspects on the relevance of the new European regulations related to ESG (environment, society and governance, that is, corporate social responsibility); the importance of normalization in the Compass of European Competitiveness, the work of the OVM (Observatory of Market Surveillance), the transformation of UNE towards digitisation or the collaboration of AFEC with UNE.

The AFEC market report, which has been consolidated in the sector after more than 17 years of experience, and at international level as a reference source for EHPA (European Heat Pump Association), IDAE (Institute for Energy Diversification and Saving) and Eurostat, thanks to its independent nature, objectivity and the reliability of the data, with increasing representativeness and constant adaptation to market developments.

Giving voice to AFEC were President Francisco Perucho; the president of the market committee for air conditioning equipment, heat pumps and production of ACS and former president of AFEC, Luis Mena; and CEO Marta San Román. Among them they reviewed the market report of AFEC, which collects aggregate data on heat, cold and hot water production equipment; air distribution and diffusion; ventilation; residential ventilation; and air treatment units.

The report analyses the main keys of 2024, including the impact of the economic environment, the effects of one of the warmest years in history, the necessary transition to clean technologies, the importance of CAI (indoor air quality), increased demand for data centres, AFEC initiatives of the Heat Bomb Promotion Plan and the communication campaign on regulation and control smart control, efficient air conditioning, the challenging market, fair transition aspects, the merger and acquisition trend, the value of the Azo, compliance with the SDGs (Sustainable Development Goals), etc.

It also highlights the enormous contribution of the new guide The heat pump in the energy rehabilitation of buildings, prepared by AFEC together with IDAE (Institute for Energy Diversification and Saving) and which confirms that the HVAC industry is prepared for the decarbonization of the air conditioning (hot and cold), including ventilation and improvement of the quality of indoor air, heat recovery, connectivity, regulation and control, etc. Although the rehabilitation rate has seen a rebound, it is still far from the percentage needed to meet decarbonization targets, so this guide is a great reference to support the acceleration of heat pump performances in existing buildings.

The document also reviews the legislative environment 2024-2025, with a clear urgency to consolidate the single market, to harmonise and simplify legislation, the European Union heat pump accelerator Platform, ventilation, air or regulatory requirements, or the evolution of new refrigerants under the new FGas (fluorinated gas regulation). It also includes a reference to the CAES sheets (Energy Savings Certificates), for which the involvement of AFEC has been fundamental for the development of those related to heat and ventilation pumps, and their evolution and achievements of 2024.

Then the statistical analysis of the air conditioning market developed by AFEC was addressed, and that has evolved, both in the number of participants, which has been increasing, thus achieving great representativeness of the sector, as well as in ranges of solutions, to adapt to the state-of-art of technology and to the needs of the market. The methodology of the studies ensures their independent nature and objectivity, reliability and custody of data, transparent governance and a safe procedure that complies with anti-competition laws.

The results of the statistical analysis show that the total market has maintained a flat trend, with a slight growth of 0.8% in value (sell-in). In particular, the UTA segment stands out - air treatment units and ventilation units with heat recovery, with a 19% increase. For its part, the set of heat pumps and air conditioning equipment barely varied from 2023, showing a minimal fall of -0.1%, offering a contrast between the decline in the residential sector and the rises in commercial and industrial. In the residential/domestic sector, 1,380,000 units and more than 850 million euros were sold.

In terms of heat pumps, the 5.5 per cent drop, similar to that of Italy, is far from the other major European markets recently reported by EHPA, such as Germany or France, with decreases of -47.8% and -24% respectively.

Ventilation figures fell by -1.9% in value in the residential sector, and -1.1% in industrial/third. It is crucial and urgent to continue to raise awareness of the importance of ventilation and filtration systems, as well as their maintenance.

The market for regulation and control was also commented, qualitatively, stressing that technological evolution of intelligent and efficient air conditioning drives the development of increasingly advanced measurement, sensifying, regulation and control systems; and that 2025 will be able to see upward demand, driven by regulations, and AI and IoT applications.

Among the key trends for 2025, the focus has been on the legislative tsunami, the airs of change of the European Union and its work programme for this year, the connected risk ecosystem in which the sector lives, the opportunity that an updated review of the electricity crossing factor would bring to the heat pump market, the need to prevent climate disinformation etc.

After an introduction to the next edition of the C&R Fair, which will take place from 18 to 20 November in IFEMA (Madrid), the session concluded with a message of commitment to sustainability and energy transition. AFEC and the manufacturers it represents remain aligned with European objectives and prepared to offer innovative solutions that drive efficiency, comfort and environmental health in buildings.