Industrial Air Preheaters

Global Industrial Air Preheaters Market to Reach US$10.4 Billion by 2030

The global market for Industrial Air Preheaters estimated at US$8.3 Billion in the year 2024, is expected to reach US$10.4 Billion by 2030, growing at a CAGR of 3.8% over the analysis period 2024-2030. Regenerative Air Preheaters, one of the segments analyzed in the report, is expected to record a 4.6% CAGR and reach US$7.3 Billion by the end of the analysis period. Growth in the Recuperative Air Preheaters segment is estimated at 2.2% CAGR over the analysis period.

The U.S. Market is Estimated at US$2.3 Billion While China is Forecast to Grow at 7.2% CAGR

The Industrial Air Preheaters market in the U.S. is estimated at US$2.3 Billion in the year 2024. China, the world`s second largest economy, is forecast to reach a projected market size of US$2.1 Billion by the year 2030 trailing a CAGR of 7.2% over the analysis period 2024-2030. Among the other noteworthy geographic markets are Japan and Canada, each forecast to grow at a CAGR of 1.5% and 3.0% respectively over the analysis period. Within Europe, Germany is forecast to grow at approximately 2.2% CAGR.

Global Industrial Air Preheaters Market – Key Trends & Drivers Summarized

Why Are Industrial Air Preheaters Central to Energy Efficiency in Process Industries?

Industrial air preheaters (APHs) are critical heat recovery devices used to increase the thermal efficiency of boilers, furnaces, and other industrial heating systems by preheating the incoming combustion air using waste heat from flue gases. By recovering residual thermal energy, APHs reduce fuel consumption, lower emissions, and enhance overall process efficiency—making them essential in energy-intensive sectors such as power generation, petrochemicals, cement, steel, and pulp & paper. These systems contribute directly to reducing carbon footprints and operating costs, aligning with global sustainability and decarbonization goals.

There are primarily two types of air preheaters used in industrial settings: regenerative and recuperative. Regenerative air preheaters, such as rotary and stationary matrix types, are widely used in large utility boilers for their high thermal efficiency and compact design. Recuperative air preheaters, including plate and tubular types, are commonly used in smaller-scale industrial furnaces and kilns. The deployment of APHs not only improves combustion conditions but also extends equipment lifespan by stabilizing temperature differentials and reducing thermal shock, making them indispensable in high-temperature, continuous process operations.

What Technological Advancements Are Driving the Performance of Modern Air Preheaters?

Significant advancements in materials, thermal design, and process automation are enhancing the performance and reliability of industrial air preheaters. Innovations in heat exchange surfaces—such as high-fin density plates, corrugated metal sheets, and ceramic matrix configurations—are increasing the surface area for heat transfer without expanding the system footprint. These enhancements improve thermal effectiveness, minimize fouling, and allow for operation at higher temperature gradients. Additionally, corrosion-resistant materials like stainless steel, aluminum alloys, and advanced coatings are being increasingly adopted to withstand acidic condensates and aggressive flue gases, especially in waste-to-energy and biomass combustion systems.

Modern APH systems are also integrating smart control technologies, including temperature and pressure sensors, automated bypass dampers, and real-time performance monitoring. These allow operators to optimize heat recovery based on load conditions, prevent overheating or dew point corrosion, and detect early signs of fouling or material degradation. Variable speed drives (VSDs) and actuator-controlled dampers are enabling dynamic airflow regulation to maximize energy savings during partial loads or fluctuating operations. Furthermore, modular and compact designs are gaining popularity in retrofit projects, allowing aging infrastructure to be upgraded without major structural changes.

Which Industrial Sectors Are Accelerating the Adoption of Advanced Air Preheaters?

Power generation remains the largest application segment for industrial air preheaters, particularly in coal- and biomass-fired thermal plants where large volumes of combustion air must be efficiently preheated. Air preheaters are critical components in boiler heat recovery systems, improving steam generation efficiency and ensuring environmental compliance through reduced NOx and CO2 emissions. With global pressure to phase out coal and reduce fossil fuel dependence, many power plants are upgrading their APH units to operate with lower-emission fuels or hybrid systems, driving demand for more adaptable and corrosion-resistant designs.

The cement and steel industries also represent significant users of APH technology, where kilns, reheating furnaces, and sintering operations rely on preheated air to maintain thermal stability and product quality. In petrochemical and refining sectors, air preheaters are integrated into process heaters and reformers to enhance fuel economy and minimize emissions. Similarly, pulp & paper mills use APHs in recovery boilers and drying processes to improve thermal integration. The rising adoption of energy recovery systems in food processing, glass manufacturing, and chemical industries further expands the market, particularly in regions enforcing stricter energy efficiency and emission standards.

The Growth in the Industrial Air Preheaters Market Is Driven by Several Factors…

The growth in the industrial air preheaters market is driven by several factors linked to energy efficiency mandates, fuel cost volatility, and industrial decarbonization strategies. One of the primary drivers is the increasing global focus on sustainable manufacturing practices and the reduction of carbon emissions, which positions APHs as cost-effective solutions for waste heat recovery and process optimization. The rising cost of industrial fuels and the need to improve thermal system performance without large capital investments are compelling manufacturers to install or upgrade air preheaters across both new and existing facilities.

Technological progress in materials science and heat transfer engineering is enabling APHs to operate under harsher conditions, longer cycles, and with better reliability—reducing maintenance downtime and lifecycle costs. The integration of digital monitoring and control systems is also facilitating predictive maintenance and energy benchmarking, making APHs more attractive to data-driven plant operators. Additionally, growing investment in renewable energy systems such as biomass, waste-to-energy, and hybrid boilers is expanding the addressable market for air preheaters compatible with variable fuel types and lower emissions. As industries seek to maximize operational efficiency while aligning with environmental regulations, industrial air preheaters will continue to be a cornerstone technology for sustainable thermal energy systems.

SCOPE OF STUDY:

The report analyzes the Industrial Air Preheaters market in terms of units by the following Segments, and Geographic Regions/Countries:

Segments:
Type (Regenerative Air Preheaters, Recuperative Air Preheaters); End-Use (Chemicals, Pharmaceuticals, Thermal Power Plant, Steel, Cement, Other End-Uses)

Geographic Regions/Countries:
World; United States; Canada; Japan; China; Europe (France; Germany; Italy; United Kingdom; Spain; Russia; and Rest of Europe); Asia-Pacific (Australia; India; South Korea; and Rest of Asia-Pacific); Latin America (Argentina; Brazil; Mexico; and Rest of Latin America); Middle East (Iran; Israel; Saudi Arabia; United Arab Emirates; and Rest of Middle East); and Africa.

Select Competitors (Total 39 Featured) -

• ABB Ltd.
• Abhay Boilers India
• Aerofin
• Alstom Power
• Arvos Group
• Babcock & Wilcox Enterprises
• Balcke-Dürr GmbH
• BD Group Industries, LLC
• Born Inc.
• Ekstroms Värmetekniska AB
• GE Power
• Geurts International B.V.
• Harbin Boiler Co., Ltd.
• Howden Group Ltd.
• Kelvion Holding GmbH
• L&T-MHPS Boilers Pvt. Ltd.
• Ljungström (ARVOS Group)
• Mitsubishi Heavy Industries
• Shandong Hengtao Enterprise Co.
• Thermodyne Engineering Systems

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