Refrigerator Compressor Market

Driven by increasing demand worldwide, the global refrigerator compressor market is expected to grow with a CAGR of +1.7% from 2022-2030. In 2022, consumption volume reached 291M units and revenue totaled $27.9B. China remains the largest producer and exporter, with significant growth in production and exports. The United States and Mexico are key importers. Import and export prices saw fluctuations over the years. Overall, the market is projected to see steady growth in the coming years.

Market Forecast

Driven by increasing demand for compressors for refrigeration equipment worldwide, the market is expected to continue an upward consumption trend over the next eight-year period. Market performance is forecast to retain its current trend pattern, expanding with an anticipated CAGR of +1.7% for the period from 2022 to 2030, which is projected to bring the market volume to 332M units by the end of 2030.

In value terms, the market is forecast to increase with an anticipated CAGR of +3.4% for the period from 2022 to 2030, which is projected to bring the market value to $36.3B (in nominal prices) by the end of 2030.

Consumption

World Consumption of Compressors For Refrigeration Equipment

In 2022, global refrigerator compressor consumption expanded remarkably to 291M units, growing by 6% on the year before. The total consumption volume increased at an average annual rate of +2.4% from 2012 to 2022; however, the trend pattern indicated some noticeable fluctuations being recorded throughout the analyzed period. The growth pace was the most rapid in 2018 with an increase of 7.4%. Over the period under review, global consumption hit record highs in 2022 and is likely to see gradual growth in the near future.

The global refrigerator compressor market revenue rose rapidly to $27.9B in 2022, with an increase of 6.7% against the previous year. This figure reflects the total revenues of producers and importers (excluding logistics costs, retail marketing costs, and retailers' margins, which will be included in the final consumer price). The market value increased at an average annual rate of +1.3% over the period from 2012 to 2022; however, the trend pattern remained consistent, with only minor fluctuations being observed in certain years. The most prominent rate of growth was recorded in 2020 when the market value increased by 7.9% against the previous year. Global consumption peaked in 2022 and is likely to see gradual growth in years to come.

Consumption By Country

The countries with the highest volumes of consumption in 2022 were China (49M units), the United States (39M units) and India (28M units), with a combined 40% share of global consumption. Turkey, Brazil, Mexico, Germany, Italy, Pakistan, Egypt, Japan, South Korea and Iran lagged somewhat behind, together comprising a further 32%.

From 2012 to 2022, the most notable rate of growth in terms of consumption, amongst the leading consuming countries, was attained by Egypt (with a CAGR of +22.8%), while consumption for the other global leaders experienced more modest paces of growth.

In value terms, the United States ($4.1B) led the market, alone. The second position in the ranking was held by Japan ($1.9B). It was followed by China.

From 2012 to 2022, the average annual growth rate of value in the United States was relatively modest. The remaining consuming countries recorded the following average annual rates of market growth: Japan (-4.2% per year) and China (-2.6% per year).

The countries with the highest levels of refrigerator compressor per capita consumption in 2022 were Turkey (193 units per 1000 persons), Italy (133 units per 1000 persons) and the United States (117 units per 1000 persons).

From 2012 to 2022, the biggest increases were recorded for Egypt (with a CAGR of +20.3%), while consumption for the other global leaders experienced more modest paces of growth.

Production

World Production of Compressors For Refrigeration Equipment

Global refrigerator compressor production totaled 291M units in 2022, standing approx. at 2021 figures. The total output volume increased at an average annual rate of +2.1% from 2012 to 2022; however, the trend pattern indicated some noticeable fluctuations being recorded throughout the analyzed period. The most prominent rate of growth was recorded in 2016 with an increase of 10%. Over the period under review, global production hit record highs at 298M units in 2020; however, from 2021 to 2022, production stood at a somewhat lower figure.

In value terms, refrigerator compressor production totaled $24.9B in 2022 estimated in export price. In general, production showed a relatively flat trend pattern. The pace of growth was the most pronounced in 2016 when the production volume increased by 18%. Over the period under review, global production reached the maximum level at $24.9B in 2018; afterwards, it flattened through to 2022.

Production By Country

China (176M units) remains the largest refrigerator compressor producing country worldwide, comprising approx. 60% of total volume. Moreover, refrigerator compressor production in China exceeded the figures recorded by the second-largest producer, the United States (18M units), tenfold. The third position in this ranking was taken by India (17M units), with a 6% share.

From 2012 to 2022, the average annual growth rate of volume in China amounted to +7.0%. The remaining producing countries recorded the following average annual rates of production growth: the United States (-5.0% per year) and India (+1.1% per year).

Imports

World Imports of Compressors For Refrigeration Equipment

In 2022, the amount of compressors for refrigeration equipment imported worldwide shrank slightly to 224M units, approximately reflecting the year before. The total import volume increased at an average annual rate of +3.7% over the period from 2012 to 2022; however, the trend pattern indicated some noticeable fluctuations being recorded throughout the analyzed period. The most prominent rate of growth was recorded in 2021 when imports increased by 24% against the previous year. As a result, imports attained the peak of 226M units, leveling off in the following year.

In value terms, refrigerator compressor imports rose modestly to $16.3B in 2022. The total import value increased at an average annual rate of +1.9% from 2012 to 2022; however, the trend pattern remained relatively stable, with somewhat noticeable fluctuations being observed throughout the analyzed period. The pace of growth was the most pronounced in 2021 with an increase of 23% against the previous year. Over the period under review, global imports hit record highs in 2022 and are likely to see steady growth in the immediate term.

Imports By Country

In 2022, the United States (27M units) and Mexico (26M units) were the key importers of compressors for refrigeration equipmentin the world, together resulting at approx. 24% of total imports. Turkey (17M units) took the next position in the ranking, followed by Thailand (13M units), Germany (12M units) and India (12M units). All these countries together held approx. 24% share of total imports. Italy (8M units), Egypt (7.3M units), Brazil (7.2M units), Pakistan (7.2M units), China (6.7M units), Poland (6.1M units) and Iran (5.9M units) took a little share of total imports.

From 2012 to 2022, the biggest increases were recorded for Egypt (with a CAGR of +20.1%), while purchases for the other global leaders experienced more modest paces of growth.

In value terms, the United States ($2.8B) constitutes the largest market for imported compressors for refrigeration equipment worldwide, comprising 17% of global imports. The second position in the ranking was held by Mexico ($1.3B), with a 7.9% share of global imports. It was followed by Germany, with a 7.5% share.

In the United States, refrigerator compressor imports increased at an average annual rate of +4.4% over the period from 2012-2022. The remaining importing countries recorded the following average annual rates of imports growth: Mexico (+2.4% per year) and Germany (+1.4% per year).

Import Prices By Country

The average refrigerator compressor import price stood at $73 per unit in 2022, with an increase of 5.2% against the previous year. Over the period under review, the import price, however, recorded a slight downturn. Over the period under review, average import prices hit record highs at $87 per unit in 2013; however, from 2014 to 2022, import prices stood at a somewhat lower figure.

Prices varied noticeably by country of destination: amid the top importers, the country with the highest price was China ($166 per unit), while Egypt ($13 per unit) was amongst the lowest.

From 2012 to 2022, the most notable rate of growth in terms of prices was attained by China (+4.5%), while the other global leaders experienced more modest paces of growth.

Exports

World Exports of Compressors For Refrigeration Equipment

In 2022, global exports of compressors for refrigeration equipment contracted to 224M units, shrinking by -6.3% against 2021 figures. The total export volume increased at an average annual rate of +3.4% from 2012 to 2022; however, the trend pattern indicated some noticeable fluctuations being recorded in certain years. The most prominent rate of growth was recorded in 2021 with an increase of 24%. As a result, the exports attained the peak of 239M units, and then dropped in the following year.

In value terms, refrigerator compressor exports rose to $16.6B in 2022. The total export value increased at an average annual rate of +1.9% over the period from 2012 to 2022; however, the trend pattern remained relatively stable, with somewhat noticeable fluctuations being recorded throughout the analyzed period. The pace of growth was the most pronounced in 2021 when exports increased by 24% against the previous year. Over the period under review, the global exports attained the peak figure in 2022 and are likely to see gradual growth in years to come.

Exports By Country

China dominates exports structure, recording 133M units, which was approx. 60% of total exports in 2022. It was distantly followed by Mexico (18M units), making up a 7.9% share of total exports. The following exporters - Thailand (7.4M units), Japan (6.8M units), Germany (6.7M units), Brazil (6.6M units), Slovakia (6.1M units), the United States (6M units) and South Korea (4.3M units) - together made up 20% of total exports.

From 2012 to 2022, average annual rates of growth with regard to refrigerator compressor exports from China stood at +9.8%. At the same time, Mexico (+15.0%), Germany (+5.9%), South Korea (+3.6%) and Japan (+2.3%) displayed positive paces of growth. Moreover, Mexico emerged as the fastest-growing exporter exported in the world, with a CAGR of +15.0% from 2012-2022. By contrast, the United States (-1.5%), Slovakia (-4.2%), Thailand (-5.9%) and Brazil (-7.8%) illustrated a downward trend over the same period. China (+27 p.p.) and Mexico (+5.2 p.p.) significantly strengthened its position in terms of the global exports, while the United States, Slovakia, Thailand and Brazil saw its share reduced by -1.7%, -3.1%, -5.1% and -6.4% from 2012 to 2022, respectively. The shares of the other countries remained relatively stable throughout the analyzed period.

In value terms, China ($5.4B) remains the largest refrigerator compressor supplier worldwide, comprising 33% of global exports. The second position in the ranking was taken by Japan ($1.8B), with an 11% share of global exports. It was followed by Germany, with an 8.4% share.

In China, refrigerator compressor exports increased at an average annual rate of +7.3% over the period from 2012-2022. In the other countries, the average annual rates were as follows: Japan (-0.2% per year) and Germany (+3.8% per year).

Export Prices By Country

In 2022, the average refrigerator compressor export price amounted to $74 per unit, increasing by 9.2% against the previous year. In general, the export price, however, recorded a mild curtailment. The global export price peaked at $87 per unit in 2013; however, from 2014 to 2022, the export prices stood at a somewhat lower figure.

There were significant differences in the average prices amongst the major exporting countries. In 2022, amid the top suppliers, the country with the highest price was South Korea ($269 per unit), while China ($41 per unit) was amongst the lowest.

From 2012 to 2022, the most notable rate of growth in terms of prices was attained by Thailand (+5.4%), while the other global leaders experienced more modest paces of growth.

Source: IndexBox Market Intelligence Platform