The demand for refrigeration unit is driven by the increasing demand for frozen and chilled products and increasing sales of commercial vehicles. Truck refrigeration unit market estimated at USD 10.5 billion in 2018, is projected to reach USD 15.0 billion by 2025, at a CAGR of 5.21%, reports Reportlinker.
Light Commercial Vehicle segment estimated to be the largest truck refrigeration unit market. LCVs are preferred for transportation of perishable goods within the city. With rising urbanization in developing countries, refrigeration unit market is expected to grow in future. However, fitment of the frozen refrigeration unit requires certain power output of light trucks as frozen refrigeration unit comes with high capacity compressor. So, the refrigeration unit fitted in LCV is economical. The roof mount system segment is estimated to be the fastest LCV refrigeration unit. The reasons attributed to the growth of this system are enhanced operational efficiency, lightweight, compact size, and low maintenance cost among others. On the other hand, the split systems are economical compared to the roof mount system, and hence, presently it has a higher adoption rate in the developing countries of Asia-pacific. However, owing to its benefits over the split system, the roof mount systems are projected to dominate during this period.
Asia Pacific region is projected to lead this market, as India, China, and Japan, have a substantial consumption of frozen and chilled products. Countries such as India and China are improving their cold storage infrastructure in order to prevent wastage of items. Thus, to maintain the shelf life of perishable commodities, the demand for refrigeration unit is expected to remain significant in the coming years.