Air Conditioning Market in Bangladesh 2022-2030

The increasing demand for technologies to reduce carbon dioxide emissions and preserve the environment, has meant that companies are now developing air conditioning systems that are more efficient and environment friendly. The new air conditioning systems would reduce the compressor’s power consumption by 25 per cent, compared to conventional air conditioning systems, and thus contribute to fuel savings. One of the key factors is growing customer expectation for better cooling. In Off-Highway vehicles, tractors are gaining traction in the air conditioning market. The demand for air conditioning in off-highway application has gone up due to the need for comfort in harsh operating conditions. This will act as a catalyst in increasing operator efficiency. However there is one major constraint that affects the application of automotive air conditioning in off-highway vehicles i.e. the space available for the installation of the system. Various OEMs are engaged in developing lighter, efficient and smaller automotive air conditioning systems that would fit easily in off-highway vehicles.

The air conditioning market is projected to grow at a CAGR of 6.69% from 2015 to 2020 to reach USD 24.28 Billion by 2020.

The air conditioning systems are an integral part of the passenger car and also an important comfort feature which influences the customer’s purchasing behaviour. Technological advancement has made it possible for us to use a fully automatic air conditioning system at a lesser cost. Today, almost all the vehicles that are manufactured are equipped with an air conditioning system. Thus there is a tough competition between automakers to provide enhanced comfort. This competition has increased pressure on the OEMs to deliver technologically advanced automotive air conditioning systems. Asia-Pacific is estimated to dominate the market, which is the largest vehicle manufacturing region. The market for locomotive air conditioning in the Asia-Pacific region will grow at the fastest rate, owing to the strong rail networks in India and China. Agricultural tractors are projected to lead the global off-highway air conditioning market followed by construction equipment in 2015.

The automotive air conditioning market comprises of a limited number of players, who have a strong position at the global level. Market players have adopted several strategies such as new product development and launches, regional expansions, acquisitions, mergers, partnerships, and collaborations to grow in the market. Some of the key players dominating the air conditioning market include Denso Corporation (Japan), Hanon Systems (South Korea), Keihin Corporation (Japan), MAHLE GmBH (Germany), and Calsonic Kansei Corporation (Japan) among others.

Get online access to the report on the World’s First Market Intelligence Cloud

  • Easy to Download Historical Data & Forecast Numbers
  • Company Analysis Dashboard for high growth potential opportunities
  • Research Analyst Access for customization & queries
  • Competitor Analysis with Interactive dashboard
  • Latest News, Updates & Trend analysis

Scope of the Report


The automotive air conditioning market has been broadly categorized into the following segments and sub-segments:

  • By Technology
    • Manual/Semi-automatic Air conditioning
    • Automatic air conditioning
  • By component
    • Compressor
    • Evaporator
    • Drier/Receiver
    • Condenser
  • By Vehicle Type
    • Passenger cars
    • LCVs
    • HCVs
  • Locomotive Air conditioning System Market
    • By Type
      • Diesel Locomotive
      • Electric Locomotive
  • Off-Highway Air conditioning Market
    • Construction Equipment
    • Agricultural Tractors
  • By Region
    • Asia-Oceania
    • North America
    • Europe
    • RoW


The global market in terms of value is projected to grow at a CAGR of 6.69% from 2015 to 2020, during the forecast period. The market for automotive air conditioning systems in Asia-Pacific is estimated to grow at a CAGR of 6.86% from a value of USD 9.24 Billion in 2015 to USD 12.88 Billion by 2020. Owing to the increasing demand for vehicles in Asia-Pacific, this region has the highest value. The European automotive air conditioning systems market with a value of USD 3.52 billion in 2015 and is projected to grow to USD 4.74 billion by 2020.

The market for manual/semi-automatic air conditioning has attained maturity and is on the decline. The market for automatic air conditioning is at the growth stage. Air conditioning systems are one of the important aspects of the cabin experience. It not only provides cooling but also provides warm air required while driving in cold weather. The air conditioning market has seen a gradual progress in technology; soon the manual/semi-automatic operated air conditioning system will be replaced by fully automatic systems. The automatic air conditioning systems is expected to grow at a CAGR of 6.12% during the forecast period due technological advancement and advanced features.

The major components that have been considered in this report are compressor, evaporator, drier/receiver and condenser. The market for the automotive air conditioning components is growing at almost similar CAGR in which evaporators are growing at a highest CAGR of 6.84% during the forecast period. On the other hand, driers/receivers and condensers are growing at a CAGR of 6.80% and 6.76% respectively, from 2015to 2020.

A rise in automobile production and higher requirements of consumers for comfort will drive the automotive air conditioning market. Key drivers for the automotive air conditioning systems are increasing demand for vehicles, coupled with rising per capita income, and advancing technology. Some of the key players dominating the automotive air conditioning market include Denso Corporation (Japan), Hanon Systems (South Korea), Keihin Corporation (Japan), MAHLE GmBH (Germany), and Calsonic Kansei Corporation (Japan)

Air Conditioning Market

You've just added this product to the cart: