Gas Fired Boiler Market Size & Share 2026-2035

Gas Fired Boiler Market Size

The global gas fired boiler market was estimated at USD 65.1 billion in 2025. The market is expected to grow from USD 71.3 billion in 2026 to USD 126.8 billion by 2035, at a CAGR of 6.6%, according to a recent study by Global Market Insights Inc.

The industry is well poised for expansion because of growth in the world's infrastructure spending and the need for more space heating. The demand for hot water systems using advanced and smart technologies is likely to grow due to extreme climatic conditions, resulting in industry potential. Furthermore, increasing interest in energy saving and carbon emissions reduction in developed economies will support the use of these boilers even more.

A gas boiler is a heating unit which burns off natural gas or propane to generate heat, which in turn is used to make hot water or steam for heating and factory use. Water is heated in the boiler then pumped through a heating system such as a radiator to warm up or supply hot water. The increase in the use of energy efficient space and water heating solutions and upgrade of ageing systems is set to continue to enhance the energy industry landscape.

For illustration, smart gas-fired condensing boilers were deployed in new housing developments in Europe and North America in 2025, complying with the high building energy efficiency requirements and increasing space heating demand in the face of extreme winter conditions. It is the result of increased investments in infrastructure, urban housing growth, and increased regulations focused on the reduction of carbon emissions from residential buildings by implementing more advanced, high-efficiency heating systems.

Gas Fired Boiler Market Trends

Increasing urbanization & infrastructure investments along with priority toward adoption of sustainable and cost-effective heating solutions will boost the adoption of these boilers. The transition toward clean heating systems is being driven by strict government regulations and a focus on reducing carbon emissions, as well as due to the various available options for clean heating systems which have lower emissions. Furthermore, ongoing progress in smart technology integration such as remote monitoring and better temperature management is making these systems more attractive and appealing owing to their greater energy efficiency and responsiveness.

For citation, in 2025, investments in sustainable building infrastructure and in low-emission heating technologies were strongly boosted in European countries to contribute to the decarbonization targets. The European Union estimated that investments in energy efficiency will be USD 400 billion per year by 2030, of which roughly USD 260 billion/year would be allocated to building renovation and energy efficiency in buildings' heating. Furthermore, the EU Social Climate Fund provided around USD 70 billion in funding for the year 2032 for clean heating, smart energy systems and building modernization.

Gas Fired Boiler Market Analysis

The ≤ 10 MMBtu/hr gas fired boiler market is set to exceed USD 90 billion by 2035. The increasing awareness of the consumers regarding the impact of the environment and the regulations that encourage the use of efficient & reliable heating systems are going to drive the industry growth. The rising awareness of consumers of environment impact and the regulations to encourage the use of efficient & reliable heating systems will drive the industry growth. The increasing growth of industrial sector in the developing economies and positive prospects for manufacturing facilities will further surge the product deployment. The business scenario will further accelerate with the transition towards energy efficient technologies, with the assistance of government incentives and funding.

The residential gas fired boiler market holds a share of 77.4% in 2025. The industry is steadily growing and accommodating the increased demand for space heating solutions in urban and suburban households, which are becoming more energy efficient. New regulations on emissions coupled with a drive to replace outdated heating equipment and the rise of condensing boilers are driving consumers to purchase more advanced systems that have higher thermal efficiency and lower operating expenses. This is further bolstered by the quick growth of residential construction, smart home integration, and governmental policies moving toward reduction of emissions for heating.

For instance, in January 2026, Vaillant Group expanded its portfolio of high efficiency residential gas condensing boilers with smart heating control and remote energy management systems, to meet the growing demand for low emission heating solutions in Europe. The project demonstrates the industry's focus on providing energy-efficient, digitally connected and environmentally friendly gas fired boiler solutions for today's modern households.

The commercial application will witness a growth owing to growing demand for energy-efficient heating systems in line with the increasing focus on energy conservation are set to enhance business opportunities. The industry will be able to enjoy a significant impetus because of the growing demand for space heating in cold regions and the growing demand for green buildings. Further, the government policies to promote the use of energy-efficient boilers will boost the outlook for the industry, while the need for replacing legacy heating equipment will further support the industry.

The U.S. dominated the gas fired boiler market in North America with around 74% share in 2025 and generated USD 1.9 billion in revenue. The demand for these systems will increase as a result of the ongoing activities to aid energy conservation and transition to cleaner fuels. The industry is poised for considerable expansion, due to the steep increase in gas use and the competitiveness of gas prices, as well as the shale gas boom. Furthermore, energy efficiency regulations that encourage the use of energy-efficient appliances and regulations designed to cut down on greenhouse gas emissions will foster the growth of the industry.

For reference, in 2025, the U.S. natural gas industry remained benefiting from a high supply of shale gas, with domestic dry natural gas production averaging over 105 billion cubic feet per day, leading to relatively stable and competitive fuel prices in residential and commercial buildings. State-level energy efficiency programs and the U.S. Department of Energy increased the value of incentives for high efficiency gas furnaces and other low emission products, leading to the replacement of traditional gas furnaces with more advanced condensing models.

Economic growth in the European Union and regulation on emissions reductions and energy saving will drive a significant increase in the Europe gas boiler market. The increasing trend of nuclear families combined with the ongoing investments for increased gas infrastructure will further improve the gas-fired boiler market outlook. The trend of nuclear family, along with increased investments for the expansion of gas infrastructure, will continue to boost the market outlook for gas-fired boilers. Moreover, the EU's Green Deal and other national measures have been pushing for decarbonization, fostering the business potential with the use of low-emission technologies.

Gas Fired Boiler Market Share

The industry is competitive, with established industry leaders and new players competing to gain market share in a changing landscape. Key players are looking at technological innovations, creating high efficiency, low emission boilers with increased operational flexibility and reliability. This is attributed to the rising demand for energy-efficient and environmentally friendly heating solutions and the growing regulations for emissions as well as the demand for cost-efficient alternative to various heating applications.

Gas Fired Boiler Market Companies

Major players operating in the gas fired boiler industry are:

• A.O. Smith

• Ariston Holding

• Babcock & Wilcox Enterprises

• BDR Thermea Group

• Bosch Industriekessel

• Bradford White Corporation

• Burnham Commercial Boilers

• Carrier

• Cleaver-Brooks

• Daikin

• FERROLI 

• Forbes Marshall

• Fulton

• Groupe Atlantic

• Hurst Boiler & Welding

• Lochinvar

• Miura America

• Rentech Boiler Systems

• Thermax 

• Vaillant Group

• Viessmann

• WM Technologies

Gas Fired Boiler Industry News

• In August 2025, Bosch Industriekessel highlighted a major industrial implementation of its gas-fired steam boiler technology during Drinktec, showcasing a project with dairy company Lactalis. The installation of a modern UL-S gas fired boiler system with advanced controls and energy optimization technologies reduced gas use by approximately 27% and there were substantial savings on electricity and water use. The project is a good example of how to improve the efficiency and emission of industrial process heating by enhancing the system and applying intelligent control.

• In May 2025, Viessmann unveiled the concept of hydrogen-fueled condensing gas boilers, which will be able to run on natural gas as well as blended fuels and 100% hydrogen. The company said prototypes had been tested and rollout to the market would be synchronized with the availability of hydrogen infrastructure. These boilers are readily available to be adapted from gas to hydrogen, allowing the boilers to reach zero CO₂ emissions when operating in hydrogen mode. This development is part of a larger industry trend as gas fired boilers are no longer phased out but instead fuel flexibility is being used to future proof them.

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

Market, By Capacity

• ≤ 10 MMBtu/hr

• > 10 - 50 MMBtu/hr

• > 50 - 100 MMBtu/hr

• > 100 - 250 MMBtu/hr

• > 250 MMBtu/hr

Market, By Technology

• Condensing

• Non-condensing

Market, By Application

• Residential

• Commercial

  • Offices

  • Healthcare facilities

  • Educational institutions

  • Lodgings

  • Retail stores

  • Others

• Industrial

  • Food processing

  • Pulp & paper

  • Chemical

  • Refinery

  • Primary metal

  • Others

The above information has been provided for the following regions and 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

  • Argentina

  • Chile

  • Brazil