Press Release

The global commercial refrigeration market revenue surpassed US$ 34.74 billion in 2024 and is predicted to attain around US$ 55.15 billion by 2033, growing at a CAGR of 5.27% during the forecast period from 2025 to 2033.

The global demand for commercial refrigeration is experiencing a significant surge, driven by the rapid growth of urban e-grocery services, the critical needs of vaccine distribution, and the increasing reliance on edge-computing racks that require tighter thermal control. As these sectors expand, the commercial refrigeration market is shifting towards energy-efficient solutions that emphasize medium-temperature capacities and cater to various applications.

This pivot is largely influenced by sustainability regulations that encourage businesses to adopt eco-friendly practices. As urbanization accelerates, the need for efficient and reliable refrigeration systems becomes more pronounced. Buyers are increasingly seeking systems that are not only cost-effective but also designed with sustainability in mind. This has led to a greater emphasis on natural refrigerants, which are less harmful to the environment compared to traditional refrigerants and have a lower carbon footprint.

Commercial Refrigeration Market Key Takeaways

• The commercial refrigeration market is anticipated to exceed a valuation of US$ 55.15 billion by 2033, growing at a compound annual growth rate (CAGR) of 5.27% during the forecast period from 2025 to 2033.
• In terms of market segmentation by type, merchandise refrigeration holds a significant position, commanding a 24% revenue share of the commercial refrigeration market. This segment thrives because chilled display cases enhance product presentation and effectively increase basket value for retailers.
• When examining the market by system type, self-contained refrigeration systems dominate, capturing nearly 86% of unit shipments in the commercial refrigeration market. The appeal of these systems lies in their simplicity; they significantly reduce installation complexity and the amount of regulatory paperwork required.
• Regarding cooling capacity, cabinets rated between 50–100 cubic feet account for over 50% of the installation share in the commercial refrigeration market. This popularity is attributed to their ability to meet the specific merchandising and back-of-house requirements of modern compact retail environments.
• In terms of application, food-service operations generate slightly more than 30.7% of market revenue in the commercial refrigeration sector. This segment is experiencing growth due to factors, including menu diversification, the acceleration of delivery services, and the enforcement of stricter food safety regulations.

Regional Analysis

In 2024, Europe is projected to account for approximately 24% of the global commercial refrigeration market, a significant share driven by the continent's proactive decarbonization efforts and notably high supermarket density. The average coverage of supermarkets in Europe stands at around 320 square meters per 1,000 residents, which is three times higher than the global average. This high density reflects the region's robust retail sector, where the demand for efficient refrigeration systems is critical to maintaining food safety and quality. As consumers increasingly seek fresh and perishable goods, the need for advanced refrigeration solutions has become paramount, further bolstering the market's growth.

Germany, France, the United Kingdom, Italy, and Spain are the leading players in this market, collectively accounting for about 70% of new cabinet installations. Germany is particularly noteworthy, having recorded an impressive 8,600 transcritical CO₂ rack deployments since January 2023. This shift towards natural refrigerants, especially CO₂, aligns with the broader European initiative to reduce greenhouse gas emissions and enhance energy efficiency in commercial refrigeration. The country’s commitment to sustainability is evident in its adoption of innovative technologies that not only comply with environmental regulations but also deliver operational savings.

Market Overview

Commercial refrigeration encompasses the various cooling and freezing equipment utilized by businesses to preserve food, beverages, and other temperature-sensitive products at safe and optimal temperatures. This essential technology plays a crucial role in maintaining the quality and safety of perishable goods, ensuring that they remain fresh and suitable for consumption. The commercial refrigeration market is witnessing significant growth driven by a multitude of factors that reflect the evolving landscape of consumer preferences and industry practices.

One of the primary catalysts for the expansion of commercial refrigeration is the steady growth of the food and beverage industry. As this sector continues to flourish, the demand for reliable refrigeration solutions has increased correspondingly. Consumers are also placing a higher value on convenience, leading to a surge in the popularity of ready-to-eat meals and other convenience foods. This shift in consumer behavior drives businesses to invest in advanced refrigeration systems that can effectively preserve these products while ensuring they are easily accessible to customers.

Additionally, the reopening of the retail sector following the pandemic has further accelerated the demand for commercial refrigeration. As restaurants, supermarkets, and convenience stores resume operations, there has been a noticeable uptick in consumer spending, particularly on frozen foods and ready-to-eat meals. This resurgence in retail activity has prompted businesses to enhance their refrigeration capabilities to meet the growing needs of consumers and to ensure that they can offer a diverse range of products.

Market Growth Factors

Driver

Global Grocery E-Commerce Expansion: The rapid growth of grocery e-commerce is reshaping the landscape of the retail food sector, driving demand for innovative solutions in cold storage. As consumers increasingly turn to online shopping for their grocery needs, there is a pressing requirement for decentralized and energy-efficient cold storage solutions. This shift significantly impacts the commercial refrigeration market.

Stringent Refrigerant Regulations: In parallel with the growth of grocery e-commerce, stringent refrigerant regulations are prompting a significant shift towards the adoption of natural refrigerants, particularly carbon dioxide (CO₂) and hydrocarbon systems. These regulations, aimed at reducing the environmental impact of refrigeration, are reshaping the commercial refrigeration landscape.

Restraint

High Upfront Costs of Natural Refrigerant Systems: Natural refrigerants, such as ammonia, carbon dioxide, and hydrocarbons, are increasingly favored for their environmental benefits and lower global warming potential. However, the high upfront costs associated with these systems can be a significant barrier for smaller retailers.

Qualified Technician Shortage: Another critical challenge facing the commercial refrigeration market is the shortage of qualified technicians skilled in installing and maintaining advanced refrigeration equipment. As technology evolves, the complexity of refrigeration systems increases, necessitating specialized knowledge and training.

Top Trends

Rapid Rollout of IoT Monitoring: The integration of Internet of Things (IoT) monitoring in commercial refrigeration systems is revolutionizing how businesses manage their equipment. This technology enables predictive maintenance, allowing operators to anticipate failures before they occur. By analyzing real-time data, companies can schedule maintenance during non-peak hours, minimizing downtime and reducing repair costs.

Adoption of Microchannel Heat Exchangers: The shift towards microchannel heat exchangers in refrigeration systems is another pivotal trend. These innovative components are designed to enhance efficiency while minimizing environmental impact. By significantly reducing the refrigerant charge and weight of the systems, microchannel heat exchangers contribute to lower operational costs and improved performance.

Recent Developments

• In May 2025, AHT Cooling Systems introduced a significant innovation in commercial refrigeration with the launch of SPI Circumpolar. This patented modular pump station is designed to provide unprecedented flexibility, scalability, and integration for semi-plug-in (SPI) waterloop systems.
• In April 2025, Haier Appliances India, recognized as the No. 1 global major appliances brand for 16 consecutive years, announced the launch of India’s first 5-star rated commercial cooling refrigeration solution – the Visi Cooler. This latest innovation combines design, technology, and efficiency seamlessly.
• In March 2025, Phoenix Energy Technologies partnered with Hussmann Corporation to launch Refrigeration IQ, powered by Hussmann StoreConnect™. This revolutionary initiative aims to transform AI-driven refrigerant leak detection for grocery stores.

Top Players in the Commercial Refrigeration Market 

• AHT Cooling Systems GmbH
• Beverage-Air Corporation (Ali S.p.A)
• Daikin Industries, Ltd.
• Electrolux AB
• Haier Inc.
• Hoshizaki Corporation
• Hussmann Corporation
• Lennox International Inc.
• Panasonic Corporation
• Whirlpool Corporation
• Fujimak Corporation
• Illinois Tool Works Inc. (ITW)
• Ingersoll-Rand PLC
• Other Prominent players

Market Segmentation Overview:

By Product Type

• Reach-In Refrigeration
• Merchandising Refrigerators
• Prep Refrigeration
• Bar Refrigeration
• Refrigerated Display Cases
• Commercial Ice Machines
• Commercial Ice Cream Freezers
• Commercial Blast Chillers
• Others

By System Type

• Self-contained
• Remotely Operated

By Capacity

• Less than 50 cu. Ft
• 50 to 100 cu. Ft
• More than 100 cu. Ft

By Application

• Food Service
• Food & Beverage Retail
• Food & Beverage Distribution/Transportation
• Food & Beverage Production
• Others

By Geography

• North America
• Europe
• Asia Pacific
• South America
• Middle East & Africa (MEA)