Heat pumps, while not a new invention, have been enjoying a significant surge in popularity in recent years. The global increase in sales has been evident, with growth in double figures for both 2021 and 2022, according to reports. The cutting-edge technology even secured a spot on the list of Top Ten Breakthrough Technologies in 2024, as compiled by an esteemed tech journal.
Sales in the United States, however, dipped by nearly 17% in 2023, despite it being one of the biggest markets for this technology. These statistics are based on data released by a key organization in the air-conditioning, heating, and refrigeration industry. Their data might not cover every aspect of the industry, but they do include the manufacturers who account for approximately 90% of US yearly unit sales.
This decrease in sales is less a commentary on the viability of heat pumps but is more indicative of a downturn in the HVAC sector as a whole. Sales of gas furnaces and air conditioners saw an even greater decline during this period. Interestingly, the sales slump in gas furnaces was more pronounced than that of heat pumps in 2023, resulting in heat pumps having a more significant share of sales for that year than in 2022.
A key energy industry analyst, Yannick Monschauer, asserts that this broad slowdown is indicative of widespread consumer pessimism due to rising interest rates and inflation as communicated in an email statement.
Monschauer also notes that the deceleration in heat pump sales has been a worldwide trend in 2023. In Europe, for instance, the pace at which households and businesses were shifting to electrification, in response to the energy crisis and escalating natural gas prices, dropped.
