Driven by environmental policy uptake and increasing gasification in Asia, the domestic boiler market grew in 2016 to 12.7 million units, with China recording the most dynamic market uptake. The growth in China and South Korea markets resulted in the UK dropping from being the largest world market for domestic boilers to the third largest, according to the latest BSRIA market intelligence study.
The Chinese market, driven by the roll out of the coal to gas policy, is now the largest global market with over 1.77 million boilers sold in 2016 and further dynamic growth expected until 2021. The Chinese market is so far dominated by wall-mounted gas non-condensing boilers that accounted for 87 percent of the market in 2016.
South Korea has also recorded good growth in 2016 and became the second largest market with over 1.75 million boilers sold, with further positive prospects until 2021. With a 76 percent share, wall-mounted boilers also accounted for the majority of the market, although the share of non-condensing units is lower than in China, with condensing technology advancing continually.
The UK has recorded sales of 1.7 million units in 2016, placing it third in the list of largest markets in 2016. With over 26 million boilers installed, there is a large replacement market where almost 100 percent of units sold are of gas condensing type.
In 2016, the other countries to record markets of over one million domestic units were Turkey and Russia, while the North American market remains a low consumer of domestic boilers with around 400,000 units sold per annum.
In the commercial boiler market, China is again the largest market with just over 92,500 units sold in 2016, with the North American market being the second most important market and Turkey the third largest market. While China is expected to post a fair growth of over two percent in the next few years, the highest growth rate is expected in Russia at 6.6 percent.
European commercial boiler markets are under pressure, with floor standing boilers experiencing particular difficulties.