The global water heater market was valued at more than $29 billion in 2023, with projections indicating an escalation to approximately $40.09 billion by 2030, according to Grand View Research. Experts and industry leaders recently tell Supply House Times that much of this growth will continue to be driven by an increasing demand for energy-efficient and environmentally sustainable heat pump and water heater systems that can be controlled via smartphone apps. Despite the projected growth, industry leaders expect some challenges to come with new regulations from the U.S. Department of Energy, which will soon require manufacturers to only manufacture and import high-efficiency condensing water heaters.
Robert Aldrich, residential segment development leader at A.O. Smith, says the commercial and residential heat pump water heater sectors are growing amid ongoing electrification and decarbonization efforts throughout the U.S.