The Saudi Arabia chiller market will progress decently in the years to come. This will be attributed to the fact that there is an increasing count of infra projects and the increasing requirement for chillers from the food and beverage sector.
The main trend observed in the Saudi Arabia chiller industry is the snowballing acceptance of magnetic bearing chillers. Centrifugal chillers make use of oil for bearings, which causes the machine to run less competently; because of wear and friction instigated by oil. Though, the usage of magnetic comportments in chillers permits compressors to function without the use of oil for lubrication, which decreases the loss of energy because of friction. These are 40% more effective and dependable than traditional chillers.
The industry is divided into screw, centrifugal, absorption, scroll, and reciprocating chillers. The centrifugal chiller will have a significant demand in the future. This is mainly because of its deployment in space cooling in large industrial plants, the oil and gas industry, and commercial spaces like metro stations, and airports. Also, infra developments of $500 million and $700 million correspondingly on the construction, of Hail International Airport and Jazan International Airport, will push the requirement in the future.
Western Saudi Arabia chiller market will grow the fastest in the years to come. This is because of the presence of cities like Jeddah, Madinah, Makkah, and the Tabuk region, where main infra-development projects are exhibited. For example, some of the infra projects include the development of the $500 billion NEOM city in the Tabuk region, the $8 billion Red Sea project, and the $4.8 billion downtown residential complex in Jeddah.
An increasing count of construction projects is propelling the demand for chillers in the country. With snowballing government initiatives in the direction of the development of infra projects, the requirement for cooling systems, chiefly chillers, at supermarkets and buildings, and metro stations are increasing in Saudi Arabia. For example, projects such as Madinah High-Speed Railway, Makkah Metro Rail, the Eastern Province Municipality-Dammam Metro, and Riyadh Dammam High-Speed Rail will start in the future. As chillers are progressively used in metro stations, and railways, their requirement from these application areas will soon rise in the country.
Increasing awareness of energy-efficient chillers is a major opportunity for the players in the industry in the country. Energy efficient chillers decrease GHG emissions and other contaminants. Also, various energy efficiency initiatives are taken by the government. For example, in 2017, Saudi Arabia’s PIF established a unit worth around $507 million unit to improve energy competence in the Kingdom along with the private sector. Hence, with snowballing government initiatives toward improving energy competence in the nation, the industry for energy-efficient chillers will create prospects for the players operating in the market.
There is an increasing number of infra projects, increasing tourism, requirements by the food and beverage industry, etc., that’s why the demand for chillers is on the rise in the nation.