Middle East & Africa Room AC Market Size and Forecast (2021 - 2031), Regional Share, Trend, and Growth Opportunity Analysis Report Coverage: By Product Type (Split AC, Window AC, and Portable AC), Technology (Inverter Technology and Non-Inverter Technolog
Description
The Middle East and Africa (MEA) room air conditioning (AC) market is projected to grow significantly, with an expected market size of approximately US$ 4,931.14 million by 2031, up from US$ 3,249.37 million in 2024. This growth translates to a compound annual growth rate (CAGR) of 6.2% from 2025 to 2031, indicating a robust demand for cooling solutions in the region.
Executive Summary and Market Analysis
In May 2025, Johnson Controls-Hitachi Air Conditioning announced a significant milestone, having trained over 2,500 professionals across its showrooms and training facilities in the MEA distribution network. This initiative aligns with the UAE's strategic goal of achieving Net Zero by 2050 and underscores the company's commitment to promoting sustainable development in the region. As the demand for energy-efficient cooling solutions escalates, this extensive training program reflects a broader industry trend towards adopting more sustainable and technologically advanced room air conditioning systems.
The MEA region is experiencing one of the fastest-growing demands for air conditioning globally, driven by rapid urbanization, rising temperatures, and economic development. The International Energy Agency (IEA) has projected a dramatic increase in global cooling needs by 2050, making the push for efficient cooling technologies critical. The IEA has also highlighted that many air conditioning units currently in use are two to three times less efficient than the best-performing models available today. This concern is particularly relevant in the MEA, where energy resources and infrastructure are under increasing strain.
As governments in the MEA intensify their efforts to meet climate targets and enhance energy efficiency in the built environment, these initiatives are crucial for accelerating market transformation. The growing emphasis on high-efficiency room air conditioner units, supported by policy frameworks and industry training, positions the MEA room air conditioner market for robust and sustainable growth in the coming years.
Market Segmentation Analysis
The MEA room AC market can be segmented based on product type, technology, and end users.
The room air conditioner market is on the brink of significant transformation, fueled by substantial investments in manufacturing capacity and technological advancements. Key industry players are undertaking strategic initiatives to meet the surging demand for energy-efficient and environmentally sustainable cooling solutions. This trend highlights a broader shift towards localized production, eco-friendly innovation, and the scaling up of advanced HVAC (Heating, Ventilation, and Air Conditioning) components.
For instance, Blue Star Ltd. has announced a major investment of INR 400 crore (approximately US$ 48 million) for the fiscal year 2025-2026 to expand its manufacturing capacity across room air conditioners, commercial refrigeration, and commercial air conditioning segments. This investment aims to enhance production capabilities to meet rising domestic and global demand while strengthening the company's competitive position in a market increasingly focused on operational scale, innovation, and sustainability.
The emphasis on regional production hubs, energy-efficient components, and green technologies illustrates a proactive shift towards a future-ready HVAC industry, prepared to tackle the challenges posed by climate change and meet modern consumer expectations.
Country Insights
The MEA room AC market includes key countries such as Saudi Arabia, the UAE, South Africa, and the Rest of Middle East & Africa. In 2024, the Rest of Middle East & Africa held the largest market share. Notably, countries like Egypt, Nigeria, and Morocco are significant contributors to the room air conditioner market in this region.
In January 2025, Daikin Industries, a global leader in HVAC-R solutions, reaffirmed its commitment to expanding its presence in Nigeria. This strategic move highlights Daikin's growth ambitions across the MEA and was emphasized by Kanwaljeet Jawa, Chairman and Managing Director of Daikin India, during a visit to the factory and assembly plant of Sacral Industries Limited, Daikin's local partner in Nigeria. This initiative aims to strengthen regional partnerships and enhance local production capabilities to better meet the rising demand for efficient climate control systems. Daikin's investment positions the company to play a crucial role in addressing the evolving cooling needs of the region, particularly as urbanization and extreme weather conditions drive significant market expansion.
Company Profiles
Key players in the MEA room AC market include Blue Star Ltd, Carrier Global Corp, Daikin Industries Ltd, Johnson Controls - Hitachi Air Conditioning Company, LG Electronics Inc, Mitsubishi Electric Corp, Panasonic Holdings Corp, Samsung Electronics Co Ltd, Voltas Ltd, and Whirlpool Corp, among others. These companies are adopting various strategies such as expansion, product innovation, and mergers and acquisitions to deliver innovative products and increase their market share.
Executive Summary and Market Analysis
In May 2025, Johnson Controls-Hitachi Air Conditioning announced a significant milestone, having trained over 2,500 professionals across its showrooms and training facilities in the MEA distribution network. This initiative aligns with the UAE's strategic goal of achieving Net Zero by 2050 and underscores the company's commitment to promoting sustainable development in the region. As the demand for energy-efficient cooling solutions escalates, this extensive training program reflects a broader industry trend towards adopting more sustainable and technologically advanced room air conditioning systems.
The MEA region is experiencing one of the fastest-growing demands for air conditioning globally, driven by rapid urbanization, rising temperatures, and economic development. The International Energy Agency (IEA) has projected a dramatic increase in global cooling needs by 2050, making the push for efficient cooling technologies critical. The IEA has also highlighted that many air conditioning units currently in use are two to three times less efficient than the best-performing models available today. This concern is particularly relevant in the MEA, where energy resources and infrastructure are under increasing strain.
As governments in the MEA intensify their efforts to meet climate targets and enhance energy efficiency in the built environment, these initiatives are crucial for accelerating market transformation. The growing emphasis on high-efficiency room air conditioner units, supported by policy frameworks and industry training, positions the MEA room air conditioner market for robust and sustainable growth in the coming years.
Market Segmentation Analysis
The MEA room AC market can be segmented based on product type, technology, and end users.
- Product Type: The market is divided into split AC, window AC, and portable AC. In 2024, the split AC segment held the largest market share, reflecting consumer preference for this type of air conditioning solution.
- Technology: The market is further bifurcated into inverter technology and non-inverter technology. The inverter technology segment dominated the market in 2024, as it is known for its energy efficiency and cost-effectiveness.
- End Users: The market is categorized into residential and commercial segments. The residential segment accounted for a larger share in 2024, driven by increasing urbanization and the growing need for cooling solutions in homes.
The room air conditioner market is on the brink of significant transformation, fueled by substantial investments in manufacturing capacity and technological advancements. Key industry players are undertaking strategic initiatives to meet the surging demand for energy-efficient and environmentally sustainable cooling solutions. This trend highlights a broader shift towards localized production, eco-friendly innovation, and the scaling up of advanced HVAC (Heating, Ventilation, and Air Conditioning) components.
For instance, Blue Star Ltd. has announced a major investment of INR 400 crore (approximately US$ 48 million) for the fiscal year 2025-2026 to expand its manufacturing capacity across room air conditioners, commercial refrigeration, and commercial air conditioning segments. This investment aims to enhance production capabilities to meet rising domestic and global demand while strengthening the company's competitive position in a market increasingly focused on operational scale, innovation, and sustainability.
The emphasis on regional production hubs, energy-efficient components, and green technologies illustrates a proactive shift towards a future-ready HVAC industry, prepared to tackle the challenges posed by climate change and meet modern consumer expectations.
Country Insights
The MEA room AC market includes key countries such as Saudi Arabia, the UAE, South Africa, and the Rest of Middle East & Africa. In 2024, the Rest of Middle East & Africa held the largest market share. Notably, countries like Egypt, Nigeria, and Morocco are significant contributors to the room air conditioner market in this region.
In January 2025, Daikin Industries, a global leader in HVAC-R solutions, reaffirmed its commitment to expanding its presence in Nigeria. This strategic move highlights Daikin's growth ambitions across the MEA and was emphasized by Kanwaljeet Jawa, Chairman and Managing Director of Daikin India, during a visit to the factory and assembly plant of Sacral Industries Limited, Daikin's local partner in Nigeria. This initiative aims to strengthen regional partnerships and enhance local production capabilities to better meet the rising demand for efficient climate control systems. Daikin's investment positions the company to play a crucial role in addressing the evolving cooling needs of the region, particularly as urbanization and extreme weather conditions drive significant market expansion.
Company Profiles
Key players in the MEA room AC market include Blue Star Ltd, Carrier Global Corp, Daikin Industries Ltd, Johnson Controls - Hitachi Air Conditioning Company, LG Electronics Inc, Mitsubishi Electric Corp, Panasonic Holdings Corp, Samsung Electronics Co Ltd, Voltas Ltd, and Whirlpool Corp, among others. These companies are adopting various strategies such as expansion, product innovation, and mergers and acquisitions to deliver innovative products and increase their market share.
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