Europe Intelligent Power Module (IPM) for AWHP Market - By Application (Expansion Device, Refrigerant Lines, Air Filter, Electrical Connections, Outdoor Unit, Indoor Unit, Water Distribution System), Forecast, 2023 - 2032

Europe Intelligent Power Module for AWHP Market Size

Europe Intelligent Power Module for AWHP market was valued at over USD 55 million in 2022 and is anticipated to grow at a CAGR of over 10% between 2023 and 2032. The growing demand for energy-efficient solutions is a significant factor stimulating the market growth.
 

As European countries place a greater emphasis on environmental sustainability and severe energy efficiency rules, AWHP systems have emerged as an important component of heating & cooling solutions. IPMs improve the energy efficiency of these systems by optimizing power conversion and control. This not only saves electricity but also complies with the European Union directives aimed at reducing greenhouse gas emissions. As a result, the use of IPMs in AWHPs is expected to increase, making them an important part of Europe's green energy transition and supporting the development of environmentally friendly & energy-efficient heating & cooling technologies.
 

For instance, in May 2022, Siemens Mobility and Mitsubishi Electric Europe B.V. signed a Memorandum of Understanding (MoU) to cooperate in the field of SiC power module technology for enabling efficient & sustainable transportation and electrical energy savings in the transportation sector.
 

The slow adoption of novel technologies and the complex design of intelligent power modules (IPMs) pose significant challenges for the Air-to-Water Heat Pump (AWHP) market in Europe. The market's conservative nature and a reluctance to embrace new technologies can hinder the uptake of advanced IPMs. The intricate design of these modules demands specialized knowledge and resources, making them less accessible to smaller manufacturers. This complexity can also lead to longer development cycles and increased production costs.
 

COVID-19 Impact

The COVID-19 pandemic had negative impacts on the European Intelligent Power Module (IPM) for AWHP industry. Supply chain disruptions, factory closures, and reduced consumer demand have hindered production & distribution operations. Delays in the availability of critical components such as semiconductors have led to production bottlenecks and increased costs. Travel restrictions and lockdowns have also affected R&D and testing activities. Moreover, reduced economic activity and uncertainties have impacted investments in clean energy solutions such as AWHPs. These challenges have slowed down the development and adoption of intelligent power modules for AWHP systems, hindering Europe's progress toward more sustainable & energy-efficient automotive solutions.
 

Europe Intelligent Power Module for AWHP Market Trends

The integration of Internet of Things (IoT) and smart technologies in AWHP systems is a growing trend. IPMs are instrumental in controlling and monitoring these smart HVAC systems, enabling them to adjust their operations in real-time to optimize energy consumption and meet the changing user needs. This trend aligns with the broader move toward energy-efficient & environmentally conscious solutions in the European market. The push toward electrification in the context of reducing greenhouse gas emissions has increased the demand for heat pumps including AWHPs. IPMs play a critical role in ensuring that these heat pumps are energy-efficient.
 

In Europe, stringent energy efficiency regulations & standards have been driving the adoption of Intelligent Power Modules (IPMs) in AWHP systems. These regulations aim to reduce energy consumption and carbon emissions. IPMs enhance the efficiency of AWHPs by controlling the power conversion process, making it easier for these systems to meet the demanding efficiency criteria set by European authorities.
 

Europe IPM for AWHP Market Analysis

Based on application, the market is segmented into expansion device, refrigerant lines, air filter, electrical connections, outdoor unit, indoor unit, and water distribution system. The outdoor unit segment is further categorized into fan evaporator and compressor. The outdoor unit segment dominated the European market with a share of over 25% in 2022.
 

• Europe places a strong emphasis on reducing greenhouse gas emissions and promoting environmentally friendly technologies. More efficient outdoor units & heat pumps can contribute to lower energy consumption and reduced environmental impacts. Growing awareness about the importance of energy efficiency and a desire to reduce energy bills can drive the consumer demand for advanced heat pump systems with IPMs and efficient outdoor units.
   
• Government incentives & subsidies for energy-efficient technologies and renewable heating systems can encourage consumers & businesses to invest in heat pump systems that use IPMs and efficient outdoor units.
   

The indoor unit segment is further categorized into heat exchanger, circulation pump, expansion tank, control panel, and auxiliary electric heater. The indoor unit segment is anticipated to register a CAGR of over 14.5% up to 2032.
 

• Indoor units in AWHP systems are often designed to be highly energy-efficient, providing effective space heating & cooling with lower energy consumption. This is particularly important in Europe, where energy costs can be high and there is a strong emphasis on energy efficiency & sustainability.
   
• Europe experiences a wide range of climatic variations, from cold winters to mild summers. AWHP systems with indoor units are versatile and can provide both heating & cooling, making them well-suited for diverse weather conditions. Indoor units are often designed to be aesthetically pleasing and can blend into the interior of homes or commercial buildings, which is an important consideration for many European consumers & businesses.
   

Italy dominated the Europe Intelligent Power Module for AWHP market with a share of over 15% in 2022. Italy has a strong tradition of innovation and manufacturing, particularly in the energy and HVAC sectors, fostering a conducive environment for IPM development. Secondly, the rising demand for energy-efficient heating & cooling solutions such as AWHPs is driving the need for advanced power electronics including IPMs. Furthermore, Italy's strategic location in Europe facilitates access to a broad market. Lastly, government incentives & regulations promoting sustainability and energy efficiency are encouraging the adoption of IPMs in AWHPs, further propelling Italy's role in this emerging market.
 

Europe Intelligent Power Module for AWHP Market Share

Players operating in the Europe IPM for AWHP industry focus on implementing different growth strategies to strengthen their offerings and expand their market reach. These strategies involve new product development & launches, partnerships & collaborations, mergers & acquisitions, and customer retention. These players are also heavily investing in R&D to introduce innovative and technologically advanced solutions in the Europe market. Some major players operating in the Europe intelligent power module for AWHP industry are mentioned below:

• ABB Ltd.
• Danfoss A/S
• Infineon Technologies AG
• Mitsubishi Electric Europe B.V.
• ONSemi
• ROHM Semiconductor GmbH
• STMicroelectronics N.V.

Europe Intelligent Power Module for AWHP Industry News

• In March 2023, Infineon Technologies AG signed an agreement to acquire GaN Systems for USD 830 million. GaN Systems is a global technology leader in the development of GaN-based solutions for power conversion.
   
• In February 2022, Infineon Technologies AG strengthened its market leadership in power semiconductors by adding significant manufacturing capacities in the field of wide bandgap (SiC & GaN) semiconductors. The company invested more than USD 2 billion to build a third module at its site in Kulim, Malaysia. Once the site is fully equipped, the new module will generate USD 2 billion in additional annual revenue with products based on silicon carbide and gallium nitride.
   

The Europe Intelligent Power Module for AWHP market research report includes in-depth coverage of the industry with estimates & forecast in terms of revenue (USD Million) from 2018 to 2032, for the following segments:

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By Application, 2018 – 2032

• Expansion Device
• Refrigerant Lines
• Air Filter 
• Electrical Connections
• Outdoor Unit
• Fan
• Evaporator
• Compressor
  • IGBT
  • MOSEFET
  • SIC
  • GAN
  • Others
• Condenser Coil
• Expansion Valve 
• Indoor Units
• Heat Exchanger
• Circulation Pump
• Expansion Tank
• Control Panel
• Auxiliary Electric Heater
• Water Distribution System
• Underfloor Heating Pipes
• Domestic Hot Water Tank Systems

The above information is provided for the following countries:

• Europe
  • UK
  • Germany
  • France
  • Italy
  • Spain
  • Russia
  • Switzerland
  • Netherlands
  • Sweden
  • Belgium
  • Rest of Europe