Evaporative Closed Circuit Coolers Market
The market for Evaporative Closed Circuit Coolers was estimated at $2.9 billion in 2024; it is anticipated to increase to $5.2 billion by 2030, with projections indicating growth to around $8.3 billion by 2035.
Report Summary
Market Data
Methodology
Table of Contents
Global Evaporative Closed Circuit Coolers Market Outlook
Revenue, 2024
$2.9B
Forecast, 2034
$7.5B
CAGR, 2025 - 2034
9.9%
The Evaporative Closed Circuit Coolers industry revenue is expected to be around $3.2 billion in 2025 and expected to showcase growth with 9.9% CAGR between 2025 and 2034. The Evaporative Closed Circuit Coolers market experiences strong growth because different industries need energy-efficient cooling solutions. These coolers maintain essential market value because they provide critical temperature control for industrial equipment operations. The market demand for Evaporative Closed Circuit Coolers has increased because industries require efficient cooling systems for data centers and power plants and manufacturing units while working to minimize water consumption and energy usage. The growing industrial automation trend together with increasing heat loads has made these cooling systems vital components for modern industrial operations.
Evaporative Closed Circuit Coolers represent advanced cooling systems which use evaporation to cool circulating water for industrial temperature control. Evaporative Closed Circuit Coolers provide multiple advantages over conventional cooling systems through their enhanced efficiency and decreased water requirements and reduced energy needs. These coolers serve major applications in power plants and data centers and manufacturing units and HVAC systems and other industrial sectors.
Market Key Insights
- The Evaporative Closed Circuit Coolers market is projected to grow from $2.9 billion in 2024 to $7.5 billion in 2034. This represents a CAGR of 9.9%, reflecting rising demand across Industrial Cooling Systems, Data Center Cooling and HVAC Systems.
- Baltimore Aircoil Company, Evapco Inc., SPX Cooling Technologies Inc. are among the leading players in this market, shaping its competitive landscape.
- U.S. and China are the top markets within the Evaporative Closed Circuit Coolers market and are expected to observe the growth CAGR of 7.2% to 10.4% between 2024 and 2030.
- Emerging markets including Indonesia, South Africa and Brazil are expected to observe highest growth with CAGR ranging between 9.5% to 12.4%.
- Transition like Shift towards Energy Efficiency is expected to add $189 million to the Evaporative Closed Circuit Coolers market growth by 2030.
- The Evaporative Closed Circuit Coolers market is set to add $4.6 billion between 2024 and 2034, with manufacturer targeting HVAC & Industrial Processing End-Users projected to gain a larger market share.
- With Rising industrialization, and Technological advancements, Evaporative Closed Circuit Coolers market to expand 157% between 2024 and 2034.
Opportunities in the Evaporative Closed Circuit Coolers
The Evaporative Closed Circuit Coolers market shows substantial growth potential in emerging markets including India, China and Brazil. Global manufacturers can access high-growth markets by forming strategic partnerships with local manufacturers and distributors and service providers in these regions which will also boost Evaporative Closed Circuit Coolers demand.
Growth Opportunities in North America and Asia-Pacific
The United States together with North America represent a major market for Evaporative Closed Circuit Coolers. The regions focus on sustainable practices and energy efficiency has been the main factor behind the adoption of these coolers. The market demand has increased because of the strict regulations regarding industrial emissions and water usage. The market shows high competition between major players who invest in product development and advanced cooling solutions to achieve market dominance. The data center expansion and rising industrial operations represent the primary growth opportunities in this market region.
The Asia-Pacific region led by China and India experiences increasing demand for Evaporative Closed Circuit Coolers. The market expansion results from industrial growth together with manufacturing sector development. The hot and humid climate of the region requires efficient cooling systems which drives market demand. The market faces increased competition because local manufacturers provide affordable solutions. The Evaporative Closed Circuit Coolers market will find promising opportunities in this region because of the expanding construction sector which includes commercial buildings and industrial parks.
Market Dynamics and Supply Chain
01
Driver: Rising Industrialization, and Stringent Energy Regulations
The fast industrial development of emerging economies also creates rising market demand for energy-efficient cooling systems. Evaporative closed circuit coolers have also become more popular in these markets because they offer both high energy efficiency and affordable maintenance costs. The power generation sector together with manufacturing and food & beverage industries select these coolers because they provide effective cooling solutions with reduced energy usage. Governments worldwide are also implementing strict energy regulations to reduce the environmental impact of industrial operations. These regulations are also encouraging industries to adopt energy-efficient cooling solutions like evaporative closed circuit coolers. The trend is also expected to continue, further propelling the market growth.
The introduction of advanced technologies in the evaporative cooling sector also represents a major. The market growth will also increase in the coming years because of IoT integration and real-time monitoring capabilities which enhance the performance and efficiency of evaporative closed circuit coolers.
02
Restraint: High Initial Investment
The high initial investment required for the installation of evaporative closed circuit coolers is a significant market. The high cost of these cooling systems makes them less attractive to potential customers especially small and medium-sized enterprises. This high upfront cost can impede market growth as it affects the market demand and dynamics, especially in developing economies where budget constraints are more prevalent.
03
Opportunity: Technological Innovations and Untapped Industrial Segments
The Evaporative Closed Circuit Coolers market is ripe for technological innovations. The market for advanced evaporative closed circuit coolers will experience rapid growth because industries are actively searching for energy-efficient cooling solutions. The market will experience substantial growth because digital controls and variable speed drives and high-efficiency heat exchangers will improve the performance and energy efficiency of these coolers.
Evaporative Closed Circuit Coolers show great market potential for untapped industrial applications. The precise temperature needs of food processing, pharmaceuticals and data centers make these coolers an excellent choice. The growing sectors will need more high-quality reliable cooling solutions such as evaporative closed circuit coolers in the future.
04
Challenge: Energy Consumption and Environmental Concerns
Another is the energy consumption and environmental concerns associated with evaporative closed circuit coolers. These systems, while effective in cooling, consume a substantial amount of energy, which can lead to increased operational costs. Additionally, the use of water in these systems can contribute to environmental concerns, such as water scarcity and pollution. These factors can discourage potential customers, thereby affecting the market demand and dynamics.
Supply Chain Landscape
1
Raw Material Suppliers
Alcoa CorporationNorsk Hydro ASA
2
Component Manufacturers
Johnson ControlsBaltimore Aircoil Company
3
Assembly & Testing
SPX Cooling TechnologiesEvapco Inc
4
Distribution & End-Users
HVACPower PlantsIndustrial Cooling
1
Raw Material Suppliers
Alcoa CorporationNorsk Hydro ASA
2
Component Manufacturers
Johnson ControlsBaltimore Aircoil Company
3
Assembly & Testing
SPX Cooling TechnologiesEvapco Inc
4
Distribution & End-Users
HVACPower PlantsIndustrial Cooling
Use Cases of Evaporative Closed Circuit Coolers in Industrial Cooling Systems & Data Center Cooling
Industrial Cooling Systems : Evaporative Closed Circuit Coolers are widely used in industrial cooling systems due to their efficiency and cost-effectiveness. These coolers are designed to handle the high heat loads generated in various industrial processes, providing a reliable and sustainable cooling solution. The top players in this application are companies like Johnson Controls and SPX Cooling, known for their high-quality, durable coolers that can withstand the rigors of industrial environments.
Data Center Cooling : In the rapidly growing field of data center cooling, Evaporative Closed Circuit Coolers are becoming increasingly popular. These coolers offer a highly efficient, eco-friendly solution to the challenge of keeping servers and other equipment at optimal temperatures. Companies like Schneider Electric and Vertiv are leading the way in this application, offering advanced evaporative coolers that can handle the unique demands of data center environments.
HVAC Systems : Evaporative Closed Circuit Coolers are also commonly used in HVAC systems, providing efficient cooling for large commercial and residential buildings. These coolers offer a more energy-efficient alternative to traditional air conditioning units, reducing energy costs and environmental impact. Top players in this application include Carrier Corporation and Trane, both renowned for their innovative, high-performance coolers that deliver superior cooling performance.
Recent Developments
Evaporative Closed Circuit Coolers, a vital component in the industrial cooling sector, have seen significant market developments. As industries continue to prioritize energy efficiency and environmental sustainability, the demand for these coolers has surged. The coolers unique design, which combines the benefits of both wet and dry cooling, makes them an ideal solution for various industrial applications. One key trend shaping the market of Evaporative Closed Circuit Coolers is the growing adoption of these coolers in data centers.
December 2024 : Johnson Controls launched a new range of energy-efficient Evaporative Closed Circuit Coolers, enhancing its portfolio and strengthening its market position
November 2024 : SPX Cooling Technologies, Inc. introduced an innovative, IoT-enabled Evaporative Closed Circuit Cooler, marking a significant step in the digital transformation of cooling technologies
October 2024 : Baltimore Aircoil Company expanded its manufacturing plant in response to the growing demand for Evaporative Closed Circuit Coolers, reflecting the markets positive growth trajectory.
Impact of Industry Transitions on the Evaporative Closed Circuit Coolers Market
As a core segment of the HVAC Systems & Components industry,
the Evaporative Closed Circuit Coolers market develops in line with broader industry shifts.
Over recent years, transitions such as Shift towards Energy Efficiency and Technological Advancements have redefined priorities
across the HVAC Systems & Components sector,
influencing how the Evaporative Closed Circuit Coolers market evolves in terms of demand, applications and competitive dynamics.
These transitions highlight the structural changes shaping long-term growth opportunities.
01
Shift towards Energy Efficiency
The evaporative closed circuit coolers industry has been undergoing a major shift toward energy efficiency. The main reason behind this change is the rising environmental consciousness and the desire to decrease operational expenses. Energy-efficient evaporative closed circuit coolers enable industries to decrease their environmental impact while simultaneously lowering their energy expenses. The power generation industry has achieved major energy consumption reductions through efficient cooler adoption which enhances overall operational efficiency.
02
Technological Advancements
Another notable transition in the evaporative closed circuit coolers industry is the rapid technological advancements. The introduction of smart coolers equipped with advanced sensors and control systems has revolutionized the industry. These high-tech coolers can monitor and adjust the cooling process in real-time, ensuring optimal performance and longevity. For example, in the food and beverage industry, the use of technologically advanced evaporative coolers has significantly improved the preservation and quality of products, thereby enhancing the overall production efficiency.