Industrial Boiler Market Size - By Product, By Capacity, By Application, By Technology, By Fuel, Growth Forecast, 2026 - 2035

Industrial Boiler Market Size

According to a recent study by Global Market Insights Inc., the industrial boiler market was estimated at USD 12.1 billion in 2025. The market is expected to grow from USD 12.8 billion in 2026 to USD 20.7 billion by 2035, at a CAGR of 5.4%.

• Increasing process heat demand across chemicals, food & beverage, pulp & paper, and metals, coupled with rising throughput targets in continuous-process industries will proliferate the business landscape. Growing investments toward modern high-efficiency fired boilers along with digitized combustion control and O₂ trim systems will stimulate the industry dynamics.
   
• An industrial boiler is a large, closed vessel designed to generate steam or hot water by applying heat energy to water. It is commonly used in manufacturing plants, power generation, chemical processing, and other industrial applications to provide heat or drive turbines. These boilers operate under high pressure and temperature conditions, ensuring efficient energy transfer for various industrial processes.
   
• For instance, in March 2025, Larsen & Toubro through its joint ventures L&T-MHI Power Boilers and L&T-MHI Power Turbine Generators, secured a main plant package contract from NTPC for its 3×800 MW Stage-II Nabinagar thermal power project in Bihar.
   
• Upgradation of aging boiler rooms and replacement of legacy fire-tube units with compact water-tube and hybrid designs in association with reliability-centered maintenance will accelerate the business scenario. Ongoing investments by industrials to decarbonize process steam via biomass and biogas alongside co-firing strategies with natural gas will sway the industry expansion.
   
• Tightening emissions norms for SOx, NOx, PM, and CO₂ coupled with permitting scrutiny will drive demand for advanced burners, flue-gas recirculation, selective catalytic reduction, and high-ash tolerant designs. Increasing fuel-price volatility and gas supply uncertainty will push multi-fuel capable boilers and rapid fuel-switching configurations to optimize lifecycle cost and risk.
   
• Rising adoption of digital twins, predictive maintenance, and IIoT-enabled sensors will restructure service models, shifting from reactive to outcome-based contracts and enhancing boiler uptime KPIs. Ongoing demand for compact, skid-mounted package boilers with faster installation, and modular scalability will boost the product adoption.
   
• For reference, in July 2025, Vanya Steels (A-One Steel Group) commissioned a 10 MW captive power plant using waste-heat-recovery boiler technology at its Koppal facility in Karnataka, India. The USD 12 million investment will convert excess furnace heat into electricity, aiding decarbonization and industrial energy efficiency.
   
• Growth in distributed manufacturing and regional supply chains will encourage mid-scale boiler installations with modular expansions, reducing dependency on a single central steam plant. Rising adoption of low-temperature steam for sanitization, clean-in-place, and hygienic operations will support smaller, quick-start boilers and tighter control of steam quality and carryover.
   
• The industrial boiler market was valued at USD 10 billion in 2022 and grew at a CAGR of approximately 5.0% through 2025. The resurgence of domestic manufacturing and policy-led industrial corridors will anchor sustained boiler demand in metals processing, automotive, agro-processing, and packaging clusters.
   
• Natural gas infrastructure expansions and LNG regas capacity additions in tandem with the rapid growth in district energy and industrial parks will elevate opportunities for central boiler plants supplying steam and hot water networks. Rigorous total cost of ownership assessments and waste-to-energy synergies will strengthen industry dynamics.
   
• The integration of boiler houses with plant-wide energy management systems will enable load forecasting, demand response, and peak-shaving strategies for better utility cost control. Strict environmental regulations aimed at reducing greenhouse gas emissions, combined with climate change concerns and rising capital investments will drive significant growth in the boiler market.
   

Industrial Boiler Market Trends

• The industrial boiler industry is strongly influenced by the expansion of chemical and food processing sectors, which are among the largest consumers of process steam and hot water. In chemical manufacturing, boilers are critical for operations such as distillation, polymerization, and drying, where consistent high-pressure steam is essential for maintaining product quality and throughput.
   
• In addition, the food and beverage industry relies on boilers for sterilization, pasteurization, cooking, and cleaning processes, all of which demand precise temperature control and uninterrupted steam supply. Global population growth, urbanization, and changing dietary patterns have fueled demand for processed foods, beverages, and specialty chemicals, leading to capacity expansions and new plant installations.
   
• For citation, in March 2025, Dongfang Electric’s 700 MW ultra-supercritical circulating fluidized bed (CFB) boiler at Honghe Power Plant in Yunnan, China, completed a 168-hour grid-connection trial and entered official operations marking the first-of-its-kind industrial-scale boiler achieving ultra-supercritical efficiency levels.
   
• Aging boiler infrastructure across industrial facilities is creating significant opportunities for modernization and replacement. Many plants still operate legacy fire-tube or early-generation water-tube boilers that lack advanced combustion controls, efficient heat recovery systems, and compliance with current emission norms.
   
• These outdated units often suffer from high fuel consumption, frequent downtime, and elevated maintenance costs, impacting overall plant productivity. Rising energy prices and stricter efficiency benchmarks have prompted industries to invest in next-generation boilers equipped with economizers, condensing heat exchangers, and digital monitoring systems.
   
• For instance, in December 2024, Harbin Electric’s 660 MW ultra-supercritical CFB boiler at Binchang Power Plant in Shaanxi, China, passed full-load trial tests and began operation, showcasing boiler technology advancement with higher capacity and emissions standards.
   
• Environmental compliance has become a defining factor in industrial boiler procurement and operation. Governments worldwide are enforcing strict emission standards to curb pollutants such as NOx, SOx, particulate matter, and greenhouse gases from industrial combustion processes.
   
• Moreover, carbon pricing mechanisms and mandatory reporting frameworks are pushing companies to minimize CO₂ emissions, further accelerating the transition toward high-efficiency boilers and cleaner fuels including natural gas and biomass. Emerging trends such as hydrogen-ready boilers and hybrid electric-steam systems are also gaining momentum as industries prepare for long-term decarbonization goals.
   

Industrial Boiler Market Analysis

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• Based on product, the industry is segmented into fire-tube and water-tube. The water-tube industrial boiler market holds a share of 70.2% in 2025. Rising demand for high-pressure steam in chemical, petrochemical, and metal processing industries will proliferate the demand for these units. Upgradation of aging water-tube systems with advanced superheaters, economizers, and automated combustion controls will accelerate the business scenario.
   
• For reference, in January 2025, Babcock & Wilcox secured a USD 13 million contract from a coal-fired power plant in Southeast Asia. The scope includes the design, supply, installation, and commissioning of Diamond Power boiler cleaning systems, comprising retractable and standard sootblowers, HydroJet units, and Titanium advanced boiler cleaning controls.
   
• The fire-tube industrial boiler market is set to exceed USD 5.5 billion by 2035. Increasing preference for compact and cost-effective steam generation solutions in small to medium-scale industries will proliferate the product deployment. Growing adoption in food processing, textile, and beverage sectors due to ease of installation, lower initial cost, and simplified maintenance will stimulate the industry dynamics.
   

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• Based on application, the industrial boiler market is divided into food processing, pulp & paper, chemical, refinery, primary metal, and others. The chemical industrial boiler holds a share of 24.2% in 2025 and is set to exceed USD 4.5 billion by 2035. Escalating demand for high-pressure steam in chemical processing and petrochemical operations will accelerate business landscape.
   
• The food processing industrial boiler market will witness a CAGR of over 5.5% by 2035. Increasing demand for processed and packaged food products coupled with stringent hygiene standards will proliferate the demand for these units. Ongoing adoption of natural gas and biomass-fired boilers to reduce carbon footprint and meet sustainability targets will sway the industry expansion.
   
• For illustration, in June 2025, The VA Network Contracting Office published a solicitation for a boiler plant upgrade under a firm-fixed-price contract (USD 20–50 million). The project targets enhanced operational efficiency and compliance, including ASME U/S/H/R-stamped pressure systems and standardized hydrostatic and x-ray testing protocols.
   
• The pulp & paper industrial boiler market was valued at USD 1.1 billion in 2025. Growing investments toward recovery boilers and energy-efficient steam systems along with advanced combustion technologies will stimulate business growth. Rising paper and packaging demand coupled with high-capacity utilization of pulp mills will proliferate the demand for heating units.
   
• The refinery industrial boiler market is set to exceed USD 1.5 billion by 2035. Rising focus on operational reliability and continuous steam supply for critical refinery processes will reinforce market growth. Surging investments toward high-pressure water-tube boilers and advanced heat recovery systems will stimulate the product adoption.
   
• For reference, in August 2025, Mitsubishi Power, a division of Mitsubishi Heavy Industries, completed a pioneering project at the Alexandria National Refining & Petrochemicals Company (ANRPC) refinery in Egypt the first industrial-scale conversion of a boiler to 100% hydrogen fuel in the MENA region.
   
• The primary metal segment will witness a CAGR of over 5.5% by 2035. Rising demand for steam in metal processing, rolling, and heat treatment operations will proliferate the product landscape. Upgradation of aging boiler systems and modernization of steam generation facilities in association with energy-efficiency mandates will accelerate the business scenario.
   
• Based on fuel, the industry is divided into natural gas, oil, coal, and others. The natural gas segment holds a share of 29% in 2025 and is set to exceed USD 6.5 billion by 2035. Growing preference for cleaner combustion technologies is driving the adoption of natural gas-fired boilers across industrial facilities.
   
• Expansion of gas pipeline networks and LNG terminals is enabling wider accessibility, stimulating demand for gas-based steam generation systems. Integration of advanced condensing heat exchangers and low-NOx burners enhancing thermal efficiency and compliance with stringent emission norms.
   
• For illustration, in October 2023, At the Worsley Alumina refinery in Western Australia, part of South32’s operations, the facility completed its first industrial boiler conversion from coal to natural gas. This strategic shift affects the boiler used in the bauxite-to-alumina refining process.
   
• The oil industrial boiler market will witness a CAGR of over 5% by 2035. Modernization of oil-based systems with automated combustion controls is improving efficiency and reducing operational costs. Rising focus on reducing operational costs through optimized oil combustion and heat recovery systems will reinforce industry growth.
   
• The coal industrial boiler market was valued at USD 3.5 billion in 2025. Increasing demand for coal-fired boilers in heavy industries and regions with abundant coal reserves will bolster the business trend. Rising focus on integrating ash handling systems and corrosion-resistant materials for long-term reliability will reinforce business penetration.
   

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• The U.S. dominated the industrial boiler market in North America with around 82.4% share in 2025 and generated USD 1.8 billion in revenue. Growing investments toward energy-efficient and low-emission technologies along with digital monitoring solutions will stimulate industry dynamics. Continuous focus on sustainability and compliance with stringent emission norms will reinforce demand for advanced combustion technologies.
   
• The North America industrial boiler market is projected to hit USD 3.5 billion by 2035. Expansion of industrial corridors in emerging economies coupled with rising food and chemical processing activities will proliferate the regional boiler business landscape. Growing preference for compact and skid-mounted boilers along with advanced automation will stimulate industry dynamics.
   
• For citation, in January 2025, The U.S. Department of Veterans Affairs (VA) issued a request for proposal to upgrade the boiler plant at Northport VA Medical Center, New York. The project includes installing three 30,000 PPH water-tube boilers with stack economizers and dual-fuel capabilities.
   
• The Europe industrial boiler market is set to grow at a rate of over 4% by 2035. Stringent emission regulations under EU directives coupled with decarbonization targets will proliferate the product adoption. Increasing adoption of biomass and waste-to-energy solutions in association with circular economy principles will sway industry expansion.
   
• The Asia Pacific industrial boiler market holds a share of 51.2% in 2025. Growing investments toward large-capacity water-tube boilers for chemical, textile, and food processing industries will stimulate the industry prospective. Continuous development of industrial parks and rising demand for packaged boilers will reinforce the business landscape.
   
• For illustration, in August 2025, L&T Energy CarbonLite Solutions won an EPC contract from Adani Power to construct eight state-of-the-art 800 MW thermal units (total 6,400 MW). Scope includes design, engineering, manufacturing, supply, and commissioning of boiler-turbine-generator packages and systems positioning modern boiler systems at the heart of India’s power expansion.
   
• The Middle East & Africa industrial boiler market was valued at USD 563.1 million in 2025. Growing refinery and petrochemical capacity additions coupled with industrial diversification programs will spur the demand for these heating units. Rising adoption of oil and gas-fired boilers supported by abundant hydrocarbon resources will sway the industry expansion.
   
• The Latin America industrial boiler market will exceed USD 500 million by 2035. Growing investments toward compact and modular boiler systems along with advanced combustion technologies will stimulate industry growth. Increasing adoption of biomass and renewable fuels to support sustainability initiatives will drive industry momentum.
   

Industrial Boiler Market Share

• The top 5 players in industrial boiler industry are Mitsubishi Heavy Industries, Babcock & Wilcox Enterprises, Thermax, Bosch Industriekessel, and Cleaver-Brooks contribute around 36% of the market share in 2025. The market is highly competitive, driven by energy efficiency, emissions compliance, and fuel flexibility.
   
• Mitsubishi Heavy Industries is a global engineering powerhouse with a strong presence in industrial boilers, focusing on high-efficiency and low-emission technologies. The company leverages advanced combustion systems and modular designs to serve large-scale industrial and power generation applications. Its competitive edge lies in technological innovation, global manufacturing capabilities, and a commitment to sustainability through integration of cleaner fuels and energy-efficient solutions.
   
• Babcock & Wilcox Enterprises is a long-established leader in boiler technology, known for its expertise in water-tube boilers and waste heat recovery systems. The company serves diverse industries, including power, chemical, and manufacturing, with a focus on emissions control and renewable integration. Its competitive strength comes from a broad product portfolio, decades of operational experience, and strong engineering capabilities that support complex industrial projects worldwide.
   
• Thermax is a key player in the industrial boiler market, particularly in Asia, offering a wide range of solutions such as steam boilers, thermic fluid heaters, and biomass-fired systems. The company emphasizes energy efficiency and environmental compliance, catering to sectors like food processing, textiles, and chemicals. Its competitive advantage lies in turnkey project execution, strong after-sales service, and a growing focus on clean energy technologies.
   
• Bosch Industriekessel specializes in modular steam and hot water boiler systems for industrial and commercial applications. With a reputation for reliability and innovation, Bosch integrates digital control systems and energy-efficient designs to optimize performance. Its competitive strengths include global reach, customization capabilities, and a strong focus on sustainability through support for alternative fuels and CO₂-neutral solutions.
   
• Cleaver-Brooks is a leading provider of integrated boiler-room solutions, offering packaged boilers, advanced controls, and heat recovery systems. The company serves a wide range of industries, focusing on efficiency, emissions reduction, and lifecycle support. Its competitive edge is built on deep application expertise, continuous innovation, and a comprehensive service network that ensures compliance and operational reliability.
   

Industrial Boiler Market Companies

• In the third quarter of 2025, Babcock & Wilcox Enterprises posted revenue of USD 149.0 million, slightly lower than USD 152.6 million in the same period of 2024. The Global Parts & Services segment delivered robust growth, generating USD 68.4 million, up from USD 61.7 million in the prior quarter, driven by strong aftermarket demand. Adjusted EBITDA from continuing operations improved to USD 12.6 million, compared to USD 8.0 million in the third quarter of the previous year.
   
• Thermax reported consolidated revenue of USD 1,156.7 million for fiscal year 2024, reinforcing its leadership in energy and environmental solutions. The company achieved a profit before tax of USD 98.5 million, reflecting resilience amid macroeconomic challenges and volatile input costs.
   
• Mitsubishi Heavy Industries delivered a strong performance in fiscal year 2024, with orders received rising to USD 45.2 billion, an increase of USD 2.5 billion or 5.8% year-on-year, supported by growth across all segments, particularly Energy Systems. Consolidated revenue climbed to USD 32.2 billion, up USD 2.4 billion or 7.9% year-on-year, underscoring broad-based momentum.
   

Major players operating in the industrial boiler industry are:

• Babcock & Wilcox Enterprises
• Bharat Heavy Electricals
• Bosch Industriekessel
• California Boiler
• Clayton Industries
• Cleaver-Brooks
• Cochran
• Doosan Enerbility
• FERROLI
• Fonderie Sime
• FONDITAL
• Forbes Marshall
• Fulton
• Groupe Atlantic
• HME Boilers
• Hoval
• Hurst Boiler & Welding
• John Cockerill
• John Wood Group
• Mitsubishi Heavy Industries
• Miura America
• Rentech Boiler Systems
• Sofinter
• Thermax
• Thermodyne Engineering Systems
• Victory Energy Operations
• Viessmann Climate Solutions
• Walchandnagar Industries
   

Industrial Boiler Industry News

• In December 2025, Babcock & Wilcox Canada, a subsidiary of Babcock & Wilcox has secured a contract exceeding USD 10 million from Irving Pulp & Paper Limited to install advanced boiler components as part of a USD 20 million modernization initiative at the company’s Saint John mill in New Brunswick, Canada. This latest award follows an earlier USD 10 million agreement in 2025 under which B&W Canada supplied critical boiler elements, including lower furnace water walls, a superheater, overfire air system, economizer, and tubular air heater, for the same Stirling power boiler upgrade project.
   
• In November 2025, Mitsubishi Power, a business division of Mitsubishi Heavy Industries has been awarded a contract to support the fuel conversion project at the O Mon 1 Thermal Power Plant in Can Tho, southern Vietnam. The initiative involves transitioning from oil to natural gas to enhance efficiency and sustainability. As part of the project, Mitsubishi Power will supply key components, including gas burners for the existing boiler, leveraging its expertise as the original equipment manufacturer.
   
• In May 2024, John Cockerill has secured a major contract from ENGIE Belgium to design, supply, and install what will be the largest heat recovery boiler in the Liège region (Flémalle, Belgium). This project forms part of a new 875 MW combined cycle power plant, which is expected to deliver electricity to over one million households annually.
   
• In May 2024, Miura America and Daikin Industries entered into a strategic partnership aimed at advancing innovation in residential heating solutions. Under the agreement, Daikin acquired a 4.67% stake in Miura, while Miura purchased a 49% stake in Daikin Applied Systems, a Daikin subsidiary. The joint initiative focuses on delivering advanced energy management solutions that make home heating more affordable and environmentally sustainable.
   

The industrial boiler market research report includes in-depth coverage of the industry with estimates & forecast in terms of revenue (USD Million), capacity (MMBTU/hr), and volume (Units) from 2022 to 2035, for the following segments:

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Market, By Product

• Fire-Tube
  • By capacity
    • 10 MMBTU/hr
    • 10 - 25 MMBTU/hr
    • 25 - 50 MMBTU/hr
    • 50 - 75 MMBTU/hr
    • 75 - 100 MMBTU/hr
    • 100 - 175 MMBTU/hr
    • 175 - 250 MMBTU/hr
    • > 250 MMBTU/hr
  • By application
    • Food processing
    • Pulp & paper
    • Chemical
    • Refinery
    • Primary metal
    • Others
  • By technology
    • Condensing
    • Non-condensing
  • By fuel
    • Natural gas
    • Oil
    • Coal
    • Others
• Water-Tube
  • By capacity
    • 10 MMBTU/hr
    • 10 - 25 MMBTU/hr
    • 25 - 50 MMBTU/hr
    • 50 - 75 MMBTU/hr
    • 75 - 100 MMBTU/hr
    • 100 - 175 MMBTU/hr
    • 175 - 250 MMBTU/hr
    • > 250 MMBTU/hr
  • By application
    • Food processing
    • Pulp & paper
    • Chemical
    • Refinery
    • Primary metal
    • Others
  • By technology
    • Condensing
    • Non-condensing
  • By fuel
    • Natural gas
    • Oil
    • Coal
    • Others

Market, By Capacity

• 10 MMBTU/hr
• 10 - 25 MMBTU/hr
• 25 - 50 MMBTU/hr
• 50 - 75 MMBTU/hr
• 75 - 100 MMBTU/hr
• 100 - 175 MMBTU/hr
• 175 - 250 MMBTU/hr
• > 250 MMBTU/hr

Market, By Application

• Food processing
• Pulp & paper
• Chemical
• Refinery
• Primary metal
• Others

Market, By Technology

• Condensing
• Non-condensing

Market, By Fuel

• Natural gas
• Oil
• Coal
• Others

The above information has been provided for the following regions & countries:

• North America
  • U.S.
  • Canada
  • Mexico
• Europe
  • France
  • UK
  • Poland
  • Italy
  • Spain
  • Austria
  • Germany
  • Sweden
  • Russia
• Asia Pacific
  • China
  • India
  • Philippines
  • Japan
  • South Korea
  • Australia
  • Indonesia
• Middle East & Africa
  • Saudi Arabia
  • Iran
  • UAE
  • Nigeria
  • South Africa
• Latin America
  • Brazil
  • Argentina
  • Chile