HVAC Controls Market By Component, By Control Type, By Technology, By Application, By End-User, By Region and By Country: Industry Size, Share, Growth, Companies, Forecasts, 2025 – 2035

Report Summary

HVAC Controls Market Share Statistics 

• Global HVAC Controls Market was valued at USD 22.5 billion in 2024 and is expected to surpass USD 25 billion by 2025.
• According to Vertex, HVAC Controls Market is projected to reach USD 60 billion by 2035.
• Global HVAC Controls Market to grow at 9% CAGR from 2025 to 2035.

The global HVAC controls market is witnessing strong growth, led by increasing adoption of smart HVAC controls solutions. Such growing traction is also being driven by several drivers such as increasing demand for energy-efficient HVAC systems, increasing regulatory requirements, and increasing focus on sustainability. The rise in commercial and industrial building construction has also increased the demand for advanced HVAC controls solutions. The other prominent growth driver is the increasing trend of retrofitting existing HVAC systems with automated HVAC control solutions in order to improve performance, reduce energy cost, and boost operational efficiency. With building owners and companies emphasizing smart automation and connected HVAC ecosystems, the HVAC controls market is forecast to witness consistent growth during the forecast period. 

HVAC Controls Market Overview 

HVAC Controls manage the functioning of HVAC systems in order to regulate the indoor climatic conditions by managing temperature, humidity, pressure, airflow, and air quality. Control solutions involve various components including sensors, controllers, actuators, and other controlled units that work collaboratively to tune the best possible HVAC settings. 

Sensors continuously monitor the surroundings, and controllers analyze data and send commands to adjust system parameters. Actuators and other controlled devices then execute these commands and enable smooth functioning of HVAC systems. The HVAC controls industry has different stakeholders including sensors, controllers, valves, and actuators producers, system integrators, distributors, installers, software companies, and end-users.

HVAC Controls Market Drivers & Trends

• AI and Machine Learning Integration in Smart HVAC Controls

• IoT & Cloud-connected HVAC Controls for Smart Building Automation Solutions

• Strict Energy Efficiency Regulations and Government Incentives Fast-tracking Adoption

• Expansion of Data Centers requiring Precise Climate Control Solutions

• Advancements in Wireless HVAC Control Technologies

• Rising Demand for Personalized Climate Control and Zoning

• Rising retrofitting activities in existing HVAC Systems Presents Opportunities for HVAC Control Solutions

HVAC Controls Market – Key Insights

• Based on Component, Controllers segment dominated the HVAC Controls market, accounting for 35% share in 2024. 

• Based on Control Type, Temperature Control segment is expected to dominate the global HVAC Controls market during the forecast period till 2035. 

• Based on Technology, Smart HVAC Controls segment is projected to lead the global HVAC Controls market with a projected CAGR of 12% throughout the forecast period.

• Based on Application, New HVAC Systems segment is expected to dominate the global HVAC Controls market during the forecast period till 2035.

• Based on End-user, Commercial HVAC Systems segment held the largest market share in revenue terms, representing around 45% of the HVAC Controls market. 

• Based on Region, Asia Pacific region is projected to lead the global HVAC Controls market during the forecast period with 11% CAGR.

What are HVAC Controls Market Segmentations and Market Shares?

HVAC Controls Market Segments based on Component

• Sensors
• Controllers
• Actuators & Controlled Equipment

By component, controllers segment led the HVAC Controls market and held around 35% market share in 2024. This is owing to the rising demand for smart and programmable controllers, which provide energy efficiency, optimize system performance, and facilitate smooth automation in modern HVAC systems. Controllers are the brain of the system, receiving inputs from sensors and deciding to control the HVAC equipment. Examples are general controller, advanced controller, VAV controller, FCU controllers and others. Increasing complexity of controllers, such as AI-based optimization and easy integration with building automation systems, is further strengthening their market leadership.

HVAC Controls Market Segments based on Control Type

• Temperature Control
• Ventilation Control
• Humidity Control 
• Integrated Controls

On the basis of control type, temperature control segment is anticipated to lead the global HVAC Controls market through the forecast period until 2035. This dominance is fueled by increasing demand for precision climate control and, growing utilization of programmable and smart thermostats. The importance of this segment is due to the inherent necessity of precise temperature management in every HVAC application, from domestic houses to industrial buildings. The need for consistent and comfortable temperatures, combined with the growing emphasis on energy efficiency, is driving demand for advanced temperature control solutions.

HVAC Controls Market Segments based on Technology

• Smart Controls
• Digital Controls
• Analog Controls
• Pneumatic Controls

Based on technology, smart HVAC controls segment is anticipated to see the fastest growth, with a CAGR of 12% during the forecast period. The rapid growth in the smart controls segment is due to increasing IoT-enabled HVAC system penetration, AI-driven climate control, and cloud-based automation. Smart HVAC controls utilize machine learning algorithms, remote access, real-time monitoring, and energy optimization to enhance system performance. Smart controls facilitate consumers to configure settings through mobile applications, voice assistance, and BMS in remote locations, which makes them suitable for smart homes, commercial buildings, and industrial uses.

HVAC Controls Market Segments based on Application

• New HVAC Systems
• Existing HVAC Systems (Retrofit)

Based on application, new HVAC systems segment is expected to dominate the global HVAC Controls market during the forecast period until 2035. Increasing construction activities, smart building initiatives, and increasing demand for energy-efficient HVAC systems are driving this segment. In the new commercial, residential, and industrial buildings, cutting-edge smart controls, digital automations, and AI-driven climate management systems are being incorporated at the construction stage at increasing levels.

The retrofitting market is seeing phenomenal growth as building owners and facilities managers look to retrofit older HVAC systems with modern control solutions to enhance energy efficiency, reduce the cost of operation, and meet regulatory requirements. Retrofitting involves the upgrade of legacy analog and pneumatic controls to smart digital controls, IoT capable sensors, and automated control systems.

HVAC Controls Market Segments based on End-User

• Residential HVAC
• Commercial HVAC
• Industrial HVAC

The commercial HVAC segment held the largest revenue share in 2024, with around 45% share in the HVAC Controls market. It is attributed to the widespread use of advanced HVAC control solutions in office spaces, hospitals, hotels, shopping malls, and other retail facilities. Large commercial spaces necessitate advanced climate control, energy management, and air quality monitoring systems to deliver maximum performance and lower operating expenses.

In industrial end-users, manufacturing, pharmaceutical, food processing, and data centers demand accurate climate control solutions for sustaining air quality, temperature stability, and humidity levels essential to their processes. In residential market, there is steady growth in the adoption of smart thermostats, smart connected HVAC systems, and energy-efficient solutions. The growth in home automation, smart homes, and IoT-based HVAC controls has been a major factor driving market growth in residential market.

HVAC Controls Market Report Scope & Snapshot

What are Regional & Country Trends in Global HVAC Controls Market?

Global HVAC Controls Market - Regional Insights

• North America
• Europe
• Asia Pacific
• Middle East and Africa
• South America

Asia Pacific region is expected to drive the global HVAC Controls market during the forecast period with 11% CAGR. Asia Pacific region is experiencing the highest growth rate, fueled by urbanization, industrial growth, and increasing demand for energy-efficient HVAC solutions. Counties such as China, India, Japan, and South Korea are witnessing growing adoption of smart HVAC controls on account of rising construction activity and government support for sustainable infrastructure. 

Mega infrastructure development projects, including smart city projects and transportation infrastructure, are also propelling the demand for advanced HVAC control solutions. The APAC region is also experiencing rapid adoption of smart building technologies, such as building automation systems (BAS) and IoT-enabled HVAC controls. The massive growth of e-commerce throughout the region, is propelling demand for additional data centers. Data centers need highly accurate HVAC control, further driving the market.

How is the Competition Dynamics in HVAC Controls Market?

The global HVAC controls market is characterized by intense competition fueled by ongoing technological innovation, product development, and the coupling of artificial intelligence (AI) with smart control solutions. The industry players are focusing on developing sophisticated HVAC control systems to boost energy efficiency, sustainability, and comfort for the end-users. Competition within the HVAC controls market is determined by various parameters such as product differentiation, pricing, quality, and after-sales support. Major industry players are investing in enhancing their service scope beyond product sales, such as installation, maintenance, remote monitoring, and data analytics to deliver a better customer experience and increase operational efficiency. Consolidation through mergers, acquisitions, and strategic alliances is carried out to increase geographical reach and product portfolio.

Some of the key companies operating in HVAC Controls Market include (but not limited to):

• Belimo
• Bosch
• Carrier
• Daikin
• Danfoss
• Delta Controls
• Distech 
• Eaton
• Ecobee
• Emerson
• Fr. Sauter
• Honeywell
• Johnson Controls
• KMC Controls
• Lennox
• LG
• OJ Electronics
• Regin
• Salus
• Schneider Electric
• Siemens
• Trane (Mitsubishi) 
• Others