International.
The study published by analysts from the Building Services Research and Information Association (BSRIA) in the global air conditioning market, shows that it contracted by 5% in terms of value in 2015, when the market had shown a growth of 7% in 2014.
The previous year's main drivers of the region's growth in Asia Pacific were also key in the global decline in 2015.
The largest pac (air conditioning package) market is Asia Pacific, which accounts for 61% of the global market in volume, decreased by 5%. The four largest markets— China, Japan, Indonesia and South Korea — all contracted and contributed to the downward trend.
The Americas region also reflected the trend and contracted by 2% in terms of volume to 27.4 million units in 2015. The previous year's largest contributor, Brazil, contracted by 18% after 28% growth in 2014. Political instability and economic recession were the main reasons behind this decline.
Growth in the U.S. market, which is the region's largest market, minimized the negative impact on the continent. The PAC market grew by 4% and has reached 16.1 million units. The main reasons for growth were improved macroeconomic indicators such as low unemployment, GDP growth and increased construction output.
Finally, the report indicates that 2015 was a turbulent year for China. The country's GDP grew at its lowest rate in 25 years, raising fears around the world. The stock market experienced enormous volatility, a decline in imports and exports, a depreciation of its currency, which raised concerns about unexecuted debts and low commodity prices, all of which had a negative impact on the air conditioning market.
Source: BSRIA.
