Companiesandmarkets.com

Saudi Arabia air conditioning market considered one of the largest in the world

Press Release   •   Aug 15, 2012 16:40 BST

The air conditioning market in Saudi Arabia is considered one of the largest in the world, and represents the biggest market for air conditioners in the Middle East and Northern Africa region.

The Saudi Arabia air conditioning industry is forecast to increase at a compound annual growth rate (CAGR) of approximately 8.7% over the next five years, to achieve a market value of US$2 billion by 2017.

Air conditioning is rapidly becoming a booming industry in Saudi Arabia due to rising temperature levels, high per capita income, the ever increasing population and the growing real estate market.

Although there are some regional differences, air-conditioning products are considered a necessity and are installed in almost all buildings throughout the country.

The central region (around Riyadh) has the largest sales, accounting for approximately 35%, followed by the western region (around Jeddah) which accounts for about 25%. A further 15% of sales are in the east of the country (around Dammam), with the remaining 25% shared between all other regions.

The Saudi Arabia air conditioners market is dominated by Korean manufacturers LG, a leading player in the global air conditioning market, manufacturing both commercial and residential air conditioners and providing total sustainability and building management solutions, and Samsung, a nationwide importer and distributor of Samsung and Alliance Air products for both domestic and commercial use.

On the other hand, Japanese companies which once ruled the market are struggling.

For more information on the Saudi Arabia air conditioning market, see the latest research: Saudi Arabia Air Conditioning Market Report

Follow us on Twitter @CandMResearch

Companiesandmarkets.com issues news updates and report summaries covering all major industries and sectors. The service provides additional client monitoring and timely alerts to breaking industry and sector news leading the day's business headlines. News articles, written by our staff, contain additional analyst insight, providing value added insight for our readers. News updates and real-time alerts on newly-released market reports are also available from our Facebook page, Twitter feed @CandMResearch and RSS links. We also welcome inquiries from business journalists and the news media.