Huatai Securities pointed out that the global air conditioning industry is undergoing a revaluation from “cyclical consumption” to “long-term cooling infrastructure.” On the demand side, global warming, urban heat islands, rising revenue, and rising penetration rates in emerging markets are jointly driving the gradual evolution of household and commercial air conditioning from optional consumption to rigid demand; on the supply side, iteration of technologies such as environmentally friendly refrigerants, inverter energy saving, heat pumps, intelligent control, and data center liquid cooling is driving the HVAC industry into a new cycle of equipment upgrades. Huatai Securities believes that opportunities for Chinese HVAC companies are not only expanding traditional export shares, but also extending from superior categories such as window machines and split machines to high-value links such as heat pumps, central air conditioning, data center cooling sources, and liquid cooling systems by relying on manufacturing costs, supply chain efficiency, overseas production capacity, and product upgrading capabilities.

Huatai Securities pointed out that the global air conditioning industry is undergoing a revaluation from “cyclical consumption” to “long-term cooling infrastructure.” On the demand side, global warming, urban heat islands, rising revenue, and rising penetration rates in emerging markets are jointly driving the gradual evolution of household and commercial air conditioning from optional consumption to rigid demand; on the supply side, iteration of technologies such as environmentally friendly refrigerants, inverter energy saving, heat pumps, intelligent control, and data center liquid cooling is driving the HVAC industry into a new cycle of equipment upgrades. Huatai Securities believes that opportunities for Chinese HVAC companies are not only expanding traditional export shares, but also extending from superior categories such as window machines and split machines to high-value links such as heat pumps, central air conditioning, data center cooling sources, and liquid cooling systems by relying on manufacturing costs, supply chain efficiency, overseas production capacity, and product upgrading capabilities.