Report Overview

Vietnam Air Conditioner Market – Industry Trends & Forecast Report, 2030

Vietnam Air Conditioner Market size was estimated at USD 291.41 million in 2023. During the forecast period between 2024 and 2029, the size of Vietnam Air Conditioner Market is projected to grow at a CAGR of 4.13% reaching a value of USD 371.41 million by 2030. The driving factors of the Vietnam Air Conditioner Market include robust economic growth, increasing urbanization, rising disposable incomes, and a growing awareness of climate change. As Vietnam's middle class expands, the demand for air conditioning units surges, driven by a desire for enhanced comfort and improved living standards. Government initiatives promoting energy-efficient technologies further stimulate market growth. Additionally, the tropical climate and rising temperatures propel the adoption of air conditioning solutions, creating a favorable market landscape for both residential and commercial segments in Vietnam.

Air Conditioner – Overview

An air conditioner is a mechanical device designed to regulate and maintain indoor temperature, humidity, and air quality. It operates by extracting heat from the air inside a space and expelling it outside, resulting in a cooler environment. Comprising components, such as a compressor, evaporator, condenser, and refrigerant, air conditioners come in various types, including window units, split systems, and central HVAC systems. Widely used in residential, commercial, and industrial settings, air conditioners enhance comfort, productivity, and health by creating a controlled and comfortable indoor climate. Efficient cooling and dehumidification are essential features, contributing to energy efficiency and overall well-being.

Vietnam Air Conditioner Market  

Growth Drivers

Economic Prosperity Spurs Demand for Air Conditioners in Vietnam

The Vietnam Air Conditioner Market is propelled by the surge in disposable income among consumers. As incomes rise, there is an increased capacity for discretionary spending on comfort and luxury items, including air conditioning units. It boosts individual purchasing power and also stimulates demand for residential and commercial cooling solutions. The Vietnam Air Conditioner Market witnesses a positive upswing as consumers prioritize climate control solutions, creating a conducive environment for manufacturers and retailers to thrive.

Challenges

High Energy Consumption and Environmental Impact

A significant impediment to the Vietnam Air Conditioner Market is the dual challenge of high energy consumption and environmental impact. The increasing usage of air conditioners contributes to a surge in energy demand, straining resources and escalating utility costs. Additionally, the environmental repercussions, such as carbon emissions and refrigerant-related issues, pose a threat. Balancing the need for cooling comfort with sustainable practices becomes imperative, urging the industry to innovate energy-efficient technologies and eco-friendly solutions to mitigate the adverse effects on the environment and address the growing concerns of environmentally conscious consumers.

Impact of Escalating Geopolitical Tensions on Vietnam Air Conditioner Market  

The Vietnam Air Conditioner Market faces uncertainties and disruptions due to escalating geopolitical tensions. The Russia-Ukraine war has cast a shadow on the industry, leading to supply chain disruptions, increased costs of raw materials, and volatility in currency exchange rates. The conflict has induced market instability, affecting manufacturers' ability to procure essential components and impacting the overall production and distribution processes. As geopolitical tensions persist, the Vietnam Air Conditioner Market is navigating through challenges, emphasizing the need for adaptive strategies, diversified sourcing, and resilience to geopolitical shocks to ensure sustained growth in a turbulent global landscape.

Vietnam Air Conditioner Market  

Segmental Coverage

Vietnam Air Conditioner Market – By Product Type

Based on product type, Vietnam Air Conditioner Market is divided into Room AC (Window, Split); Ducted AC (Ceiling Concealed), Rooftop Packaged, Ductless AC (Cassette, Floor Standing, Ceiling Suspended); and Centralized AC (VRF, AHU/FCU, Chiller) segments. The room AC segment is the largest and encompasses both window and split types. The segment caters to individual spaces and is widely adopted for residential and commercial use. The popularity of room AC is driven by its versatility and efficient cooling solutions. While other segments such as Ducted AC, Ductless AC, and Centralized AC contribute significantly to the market, room AC stands out as the dominant segment and widely embraced choice in Vietnam's air conditioning landscape.

Vietnam Air Conditioner Market – By Application

Based on application, Vietnam Air Conditioner Market is divided into Residential, Commercial Offices & Retail, Healthcare, Transportation, and Hospitality segments. The residential segment is the largest in the Vietnam Air Conditioner Market. The segment caters to the demand for air conditioning units in households across the country. As Vietnam experiences economic growth and an increasing standard of living, the demand for residential air conditioning has surged. Rapid urbanization, disposable income, and changing lifestyle patterns contribute to the prominence of the residential segment. The market reflects a strong emphasis on meeting the cooling needs of homes, making it a pivotal driver in shaping the overall landscape of the air conditioner market in Vietnam.

Competitive Landscape

Major players in the Vietnam Air Conditioner Market include Daikin, Panasonic, LG Electronics, Samsung Electronics, Midea Group, Trane, TCL, Casper Electronics, and Haier.

Recent Developments

• In 2022 - Daikin Industries, a Japan-based multinational air conditioning manufacturing company, announced its plan to invest approximately USD 711 million in Southeast Asia and India over the next four years. The investment includes mergers and acquisitions (M&A) as well as the production of core components and smaller air conditioners.

Scope of Report

By Product Type

• Room AC

1. Window

2. Split

• Ducted AC

1. Ceiling Concealed

• Rooftop Packaged

• Ductless AC

1. Cassette

2. Floor Standing

3. Ceiling Suspended

• Centralized AC

1. VRF

2. AHU/FCU

3. Chiller

By Application

• Residential
• Commercial Offices & Retail
• Healthcare
• Transportation
• Hospitality

1. Research Framework
   1. Research Objective
   2. Product Overview
   3. Market Segmentation
2. Executive Summary
3. Vietnam Air Conditioner Market Insights
   1. Industry Value Chain Analysis
   2. DROC Analysis
      1. Drivers
         1. Rising disposable income
         2. Urbanization and infrastructure development
      2. Restraints
         1. High energy consumption and environmental impact
      3. Opportunities
         1. Energy efficiency and green solutions
      4. Challenges
         1. Economic volatility
   3. Technological Advancements/Recent Developments
   4. Regulatory Framework
   5. Porter’s Five Forces Analysis
      1. Bargaining Power of Suppliers
      2. Bargaining Power of Buyers
      3. Threat of New Entrants
      4. Threat of Substitutes
      5. Intensity of Rivalry
4. Vietnam Air Conditioner Market Overview
   1. Market Size & Forecast, 2019–2030
      1. By Value (USD Million)
   2. Market Share & Forecast
      1. By Product Type
         1. Room AC
            1. Window
            2. Split
         2. Ducted AC
            1. Ceiling Concealed
         3. Rooftop Packaged
         4. Ductless AC
            1. Cassette
            2. Floor Standing
            3. Ceiling Suspended
         5. Centralized AC
            1. VRF
            2. AHU/FCU
            3. Chiller
            4. Others
      2. By Application
         1. Residential
         2. Commercial Offices & Retail
         3. Healthcare
         4. Transportation
         5. Hospitality
         6. Others
5. Competitive Landscape
   1. List of Key Players and Their Offerings
   2. Vietnam Insurance Company Market Share Analysis, 2023
   3. Competitive Benchmarking, By Operating Parameters
   4. Key Strategic Developments (Mergers, Acquisitions, Partnerships, etc.)
6. Impact of Escalating Geopolitical Tensions on Vietnam Air Conditioner Market
7. Company Profiles (Company Overview, Financial Matrix, Competitive Landscape, Key Personnel, Key Competitors, Contact Address, Strategic Outlook, and SWOT Analysis)
   1. Daikin
   2. Panasonic
   3. LG Electronics
   4. Samsung Electronics
   5. Midea Group
   6. Trane
   7. TCL
   8. Casper Electronics
   9. Haier
   10. Other Prominent Players
8. Key Strategic Recommendations
9. Research Methodology
   1. Qualitative Research
      1. Primary & Secondary Research
   2. Quantitative Research
   3.  Market Breakdown & Data Triangulation
      1.  Secondary Research
      2.  Primary Research
   4.  Breakdown of Primary Research Respondents, By Country
   5.  Assumptions & Limitations

*Financial information of non-listed companies can be provided as per availability.

**The segmentation and the companies are subject to modifications based on in-depth secondary research for the final deliverable.

List of Figures

Figure 1       Vietnam Air Conditioner Segmentation                  

Figure 2       Vietnam Air Conditioner Market Value Chain Analysis                          

Figure 3       Company Market Share Analysis, 2023                  

Figure 4       Vietnam Air Conditioner Market Size, By Value (USD Million), 2019–2030                         

Figure 5       Vietnam Air Conditioner Market Share, By Product Type, By Value, 2019–2030                            

Figure 6       Vietnam Air Conditioner Market Share, By Application, By Value, 2019–2030                                                 

List of Tables

Table 1        Vietnam Air Conditioner Market Size, By Value (USD Million), 2019–2030

Table 2        Vietnam Air Conditioner Market Size, By Product Type, By Value, 2019–2030

Table 3        Vietnam Air Conditioner Market Size, By Application, By Value, 2019–2030

Table 4        Daikin Company Overview

Table 5        Daikin Financial Overview

Table 6        Panasonic Company Overview

Table 7        Panasonic Financial Overview

Table 8        LG Electronics Company Overview

Table 9        LG Electronics Financial Overview

Table 10      Samsung Electronics Company Overview

Table 11      Samsung Electronics Financial Overview

Table 12      Midea Group Company Overview

Table 13      Midea Group Financial Overview

Table 14      Trane Company Overview

Table 15      Trane Financial Overview

Table 16      TCL Company Overview

Table 17      TCL Financial Overview

Table 18      Casper Electronics Company Overview

Table 19      Casper Electronics Financial Overview

Table 20      Haier Company Overview

Table 21      Haier Financial Overview