North America Energy Recovery Ventilators (ERV) Market Segmentation By Product (Plate, Heat Pipe, Rotary and Run-Around Coil); By Installation (Ceiling or Wall Mounting and Rooftop); By Airflow Output (120-360 CFM, 361-600 CFM, 600-1200 CFM, 1200-1800 CFM, 1800-2400 CFM and >2400 CFM) and By End Use (Residential and Commercial) - Industry Demand Analysis and Opportunity Assessment 2019-2028

Market Overview

Growing concerns for the degrading indoor air quality that is known to cause several health issues, coupled with increasing awareness for the use of energy recovery ventilation systems, growing trends of developing energy efficient green building, along with the growing research and development in the field of energy recovery ventilation systems are some of the major factors anticipated to promote the growth of the North America energy recovery ventilators market.

Additionally, growing utilization of smart electronic sensors in advanced ERV systems along with the growing utilization of alternative materials for exchange of air, such as polymer membrane material-based energy exchangers, are some of the factors which are promoting to the greater adoption of ERV systems amongst the end users.

The North America ERV market reached a value of USD 918.7 million in the year 2019 and is expected to garner a value of USD 2198.9 million by the end of 2028 by registering a CAGR of 10.28% over the forecast period, i.e. 2020-2028. The ERV market in North America is additionally anticipated to gain an incremental $ opportunity of USD 86.8 million in the year 2020 as compared to the previous year and further attain an absolute $ opportunity of USD 1193.4 million by growing at 2.2x during the forecast period.

Market Segmentation Synopsis

By Product

The North America ERV market has been segmented by product into plate heat exchangers, heat pipe heat exchangers, rotary heat exchangers and run-around coil. The plate heat exchanger segment registered the largest market share of 42.77% in the year 2019 and is expected to grow by the largest CAGR of 11.15% during the forecast period. The segment registered a value of USD 392.9 million in the year 2019 and is anticipated to gain an absolute $ opportunity of USD 576.6 million by growing at 2.3x during the forecast period. Additionally, the rotary heat exchanger segment is anticipated to grow with a significant CAGR of 10.62% during the forecast period. Run around coil systems, on the other hand, are mostly suitable for dehumidification and energy recovery, along with control of temperature in ventilator systems. They have high efficiency over other product types. CLICK TO DOWNLOAD SAMPLE REPORT

By Installation

The North America ERV market has also been segmented on the basis of installation into ceiling or wall mounting and rooftop. The ceiling or wall mounting segment registered the largest market share in the ERV market in North America and is expected to reach USD 1243.0 million by the end of 2028 by registering a CAGR of 10.58% during the forecast period. Additionally, the segment is also anticipated to grow by 2.2x and gain an absolute $ opportunity of USD 687.0 million during the forecast period. Installation of ERVs in the buildings are much more feasible, especially in buildings which don’t have mechanical ventilation systems, and in buildings with smaller duct spaces. Moreover, several residential and commercial sectors, which have the need for the deployment of small size ERVs often go for wall mounted ERV systems as they occupy less space for installation.

Market Drivers and Challenges

Growth Indicators

Rising Focus To Reduce Carbon Dioxide Footprints and Increase Building Energy Efficiency

Reducing CO2 emissions is an absolute necessity and an expensive challenge for the industries in order to meet the environmental standards. Initiatives by different governing bodies in the United States for reducing dependence on non-renewable source of energy and moving towards sustainable source are increasing the rate of adoption of energy recovery ventilators. Moreover, significant reduction in energy intensity in commercial and residential buildings coupled with implementation of building energy codes, state & federal efficiency standards and ENERGY STAR labelling has improved the efficiency of new appliances drastically, which is further helping to the greater adoption of ERV systems. Additionally, growth in the number of green buildings, which is also raising the demand for the deployment of efficient ERV systems, along with the implementation of several stringent government regulations for lowering carbon emissions are some of the major factors anticipated to drive the growth of the North America ERV market.

Numerous Benefits Associated With ERV Systems To Increase Product Adoption

ERV systems are primarily used to save energy and improve humidity control in the HVAC systems. HVAC (heating, ventilation and air conditioning) systems are one of the major contributors to the increasing use of energy, therefore helping in lowering the peak demand for energy in the building. Moreover, the ERV systems help in reducing the energy required to condition the outside air, the ventilation air intake can be increased. This helps in achieving appropriate ventilation needed in a building. On the other hand, ASHRAE (The American Society of Heating, Refrigerating and Air-Conditioning Engineers), along with other stakeholders in the market, have recognized a growing discrepancy between air-conditioner sensible heat ratio and building’s humidity load. At present, HVAC systems are required to be working to remove more heat than they were designed for. This leads to the increase in indoor humidity levels in the buildings. Thus, the use of ERV systems to pre-dry the incoming ventilation helps in mitigating these conditions, which in turn, is anticipated to boost the adoption rate of ERV systems in North America during the forecast period.

Barriers

Complex Installation Process and Lack of Awareness to Hamper Market Growth

ERV systems are often too complicated for installation. Lack of proper knowledge amongst technicians for the installation of ERV systems, along with the unavailability of skilled technicians for such installation tasks are some of the factors anticipated to hamper the growth of the North America ERV market. Additionally, lack of awareness for indoor air quality and its ill effects on health of individuals, followed by high maintenance costs are some of the additional factors to restrain market growth.

Top Featured Companies Dominating the Market

Some of the affluent industry leaders in the North America energy recovery ventilators market are Carrier Global Corporation, Mitsubishi Electric Corporation, Daikin Industries, Ltd., Panasonic Corporation, Johnson Controls International plc, Building Performance Equipment, Inc., Zehnder Group AG, S&P USA Ventilation Systems, LLC and Loren Cook Company.