Microchannel Heat Exchanger Market Size, Trends and Growth Analysis by 2027

The global microchannel heat exchanger market was valued at approximately US$ 7,794.93 million in 2019 and is anticipated to reach around US$ 19,630.87 million by 2027, reflecting a compound annual growth rate (CAGR) of 12.4% during the forecast period from 2020 to 2027.

Microchannel heat exchangers (MCHE) are gaining traction in the fields of heating, ventilation, air conditioning, and refrigeration due to their exceptional heat transfer efficiency, cost-effectiveness, and compact design. These exchangers significantly reduce the weight of equipment and enhance the compactness of the systems in which they are integrated, thereby improving overall process technology. They find applications in both residential and automotive air conditioning systems. While microchannel heat exchangers excel in heat exchange performance compared to traditional finned tube coils, their primary use remains in refrigeration and air conditioning systems. MCHEs are utilized in various applications, including air coolers, condensing systems, residential air conditioners, air dryers, cooling cabinets, and rooftop systems.

The appeal of microchannel heat exchangers in the air conditioning and refrigeration sectors stems from their numerous advantages, such as high heat transfer efficiency, reduced refrigerant charge, lightweight construction, and compact design. These benefits are driving the increasing demand for MCHEs. Additionally, their aluminum composition makes them less susceptible to galvanic corrosion compared to conventional round-tube plate fin coils. MCHEs are widely employed in air conditioning and heat pump systems, facilitating effective heat transfer between refrigerants and air. As the demand for lightweight systems rises and copper prices increase, the need for MCHEs in HVAC applications is also on the rise. Enhanced efficiency and cost savings further contribute to the growing interest in these heat exchangers.

The microchannel heat exchanger market is categorized by type into three segments: condenser, evaporator, and water coil. In 2019, the condenser segment dominated the market, holding the largest share. The condenser serves as the external component of heat pumps or air conditioning units, responsible for either releasing or collecting heat depending on the season. It comprises a compressor, condenser coil, fan, and various control mechanisms. The condenser fan plays a crucial role in circulating air across the coil to facilitate heat transfer. By maintaining a constant temperature for the hot fluid passing through the microchannel heat exchanger, the condenser ensures efficient operation. The demand for condensers has surged due to their application in air conditioning systems across automotive, residential, and commercial sectors. Microchannel heat exchanger condensers are recognized for their high performance in various applications, and the increasing demand for these components in the HVAC industry is expected to further propel the growth of this segment, thereby enhancing the overall microchannel heat exchanger market.

Geographically, the microchannel heat exchanger market is divided into several regions: North America, Europe, Asia Pacific (APAC), South America, and the Middle East & Africa (MEA). In 2019, the Asia Pacific region held the largest share of the global microchannel heat exchanger market, followed by North America and Europe. The growth of the microchannel heat exchanger market in Asia Pacific is primarily driven by the expanding HVAC industry. The increasing number of manufacturing facilities equipped with modern HVAC systems is bolstering market growth. Additionally, the rising utilization of microchannel heat exchangers in the automotive sector, coupled with the growth of the automotive industry in Asia Pacific, is fueling demand. The chemical processing industries in the region are also contributing to the market's expansion. Manufacturers in Asia Pacific are focusing on enhancing research and development efforts related to microchannel heat exchangers, which is expected to further stimulate market growth in the near future.

The COVID-19 pandemic, which originated in Wuhan, China, in December 2019, has rapidly spread worldwide, affecting numerous countries including the US, India, Brazil, Russia, Spain, Argentina, and France, as of October 20, 2020. According to the World Health Organization (WHO), there have been approximately 40,251,950 confirmed cases and 1,116,131 deaths globally. The pandemic has significantly impacted economies and industries due to lockdowns, travel restrictions, and business closures. The global chemicals and materials sector is among the industries facing severe challenges due to the COVID-19 outbreak, which has negatively influenced the microchannel heat exchanger market.

Key players in the global microchannel heat exchanger market include API Heat Transfer Inc., Climetal S.L, Danfoss, DENSO Corporation, Hanon Systems, Kaltra, Zhejiang Kangsheng Co. Ltd (Kasun), MAHLE GmbH, Modine Manufacturing Company, and Sanhua Holding Group Co., Ltd.

The overall size of the global microchannel heat exchanger market has been determined through a combination of primary and secondary research methods. The research process began with extensive secondary research utilizing both internal and external sources to gather qualitative and quantitative data related to the market. Additionally, multiple primary interviews were conducted with industry participants and experts to validate the data and gain deeper analytical insights. Participants in this process included industry professionals such as VPs, business development managers, market intelligence managers, and national sales managers, as well as external consultants, valuation experts, research analysts, and key opinion leaders specializing in the microchannel heat exchanger market.