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The Europe chiller market reached a value of USD 1.98 Billion in 2025 and is projected to expand at a CAGR of around 5.20% during the forecast period of 2026-2035. Rising demand for energy-efficient and sustainable cooling, EU F-Gas regulations driving adoption of low-GWP refrigerants, decarbonisation commitments across commercial and industrial sectors, strong food and beverage processing demand, and the growing deployment of chillers in data centres are driving Europe chiller market growth. The market is expected to reach USD 3.29 Billion by 2035.

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| Europe Chiller Market Report Summary | Description | Value |
| Base Year | USD Billion | 2025 |
| Historical Period | USD Billion | 2019-2025 |
| Forecast Period | USD Billion | 2026-2035 |
| Market Size 2025 | USD Billion | 1.98 |
| Market Size 2035 | USD Billion | 3.29 |
| CAGR 2019-2025 | Percentage | XX% |
| CAGR 2026-2035 | Percentage | 5.20% |
| CAGR 2026-2035 - Market by Region | Germany | 5.9% |
| CAGR 2026-2035 - Market by Region | Italy | 5.6% |
| CAGR 2026-2035 - Market by Type of Cooling | Water Cooled | 5.9% |
| CAGR 2026-2035 - Market by End Use | Food and Beverage | 5.9% |
| Market Share by Country | United Kingdom | 11.6% |
The Europe chiller market is driven by EU F-Gas regulations mandating transitions to low-GWP refrigerants, the growing data centre cooling demand across Europe, the decarbonisation of commercial and industrial cooling, and strong food and beverage sector chiller demand.
Trane Technologies launched the updated Sintesis eXcellent GVAF air-cooled chillers in May 2026, featuring a wider operating map extending to 54°C ambient and magnetic-bearing, high-speed centrifugal compressors optimized for ultra-low GWP R1234ze refrigerant. The updated GVAF platform delivers larger capacities and increased seasonal efficiencies. All GVAF units are manufactured and tested at Trane Technologies' plant in France.
Daikin acquired the Swedish residential heat pump service company Kylslaget in April 2025, strengthening Daikin's nationwide residential heating and cooling service network in Sweden. The acquisition follows Daikin's earlier acquisition of BKF Klima in Denmark in 2024. Daikin Europe holds a leading position in the HVAC-R market with over 13,800 employees.
Johnson Controls launched the YORK® YVAM Air-cooled Magnetic Bearing Chiller in Europe at the Data Centre World Expo in London on March 12, 2025. The YVAM is designed to meet growing demand in the European data centre industry driven by AI and cloud computing, utilizing ultra-low GWP refrigerant and proprietary magnetic-bearing technology. The YVAM operates at just 65 dBA at 10 meters with a lubrication-free design.
Johnson Controls launched the YORK® YK-CP Centrifugal Chiller on December 5, 2024, optimized specifically for the use of ultra-low GWP refrigerant R-1234ze(E) across the 2,000 to 3,000-ton range. The YK-CP delivers operation up to 30% more energy-efficient than conventional chillers, achieving real-world efficiencies as low as 0.15 kW/ton (23.4 COP), equivalent to cutting annual CO2 emissions by over 500 metric tons per chiller.
Air Cooled chillers are the fastest-growing Europe chiller market cooling type, driven by growing sustainability concerns shifting consumer preferences toward air cooled systems. Air cooled chillers eliminate the need for cooling tower infrastructure, reducing water consumption. Growing data centre and food processing decarbonisation is accelerating air cooled chiller adoption across Europe.
Screw Chillers are the dominant Europe chiller market compressor type, driven by the versatility and reliability of screw compressor technology across the 100 to 1,500 kW capacity range. Screw compressors maintain stable operation down to 10% capacity, making them ideal for variable demand environments such as food processing plants. Centrifugal Chillers are a fast-growing type through excellent energy efficiency at large loads, driven by data centre demand.
Food and Beverage is the dominant Europe chiller market end use, driven by the essential role of industrial chillers in food and beverage processing, cold storage, pasteurisation, crystallisation, and cold chain management. Medical and Pharmaceutical is a significant and growing end use through precise temperature control in pharmaceutical manufacturing.
Germany is the fastest-growing Europe chiller market country at approximately 5.9% CAGR over the forecast period, driven by the German government's focus on integrating district heating and cooling systems into commercial and residential buildings, aiming to connect 100,000 buildings to district heating every year. The United Kingdom, France, and Italy are significant Europe chiller market countries.
Water Cooled Chillers are the dominant Europe chiller market cooling type by installed base, driven by their dominant role in large-scale commercial buildings, data centres, and industrial process cooling applications where high cooling capacities, optimal energy efficiency, and integration with cooling towers are required. Water cooled chiller systems offer superior coefficient of performance compared to air cooled systems for large installations. Leading manufacturers including Johnson Controls YORK, Carrier, Daikin Applied Europe, and Trane Technologies serve the Europe water cooled chiller market with centrifugal, screw, and absorption water cooled chiller platforms.
The "Europe Chiller Market Report and Forecast 2026-2035" by Expert Market Research offers analysis across the following segments:
Market Breakup by Type of Cooling
Key Insight: Water Cooled is the dominant cooling type in the Europe chiller market. Air Cooled is the fastest-growing cooling type through sustainability-driven shifts toward low-water and energy-efficient chiller solutions.
Market Breakup by Compressor Type
Key Insight: Screw Chillers is the dominant compressor type in the Europe chiller market. Centrifugal Chillers is a fast-growing type through large-scale data centre and district cooling demand. Absorption Chillers is growing through waste heat utilization and sustainability applications.
Market Breakup by End Use
Key Insight: Food and Beverage is the dominant Europe chiller market end use. Medical and Pharmaceutical is a significant and growing end use. Chemicals and Petrochemicals is a key industrial end use.
Market Breakup by Region
Key Insight: Germany is the fastest-growing Europe chiller market country at approximately 5.9% CAGR through district heating and cooling integration. The United Kingdom and France are significant Europe chiller market countries.
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By Type of Cooling, Water Cooled is dominant while Air Cooled is the fastest-growing type in the Europe chiller market
Water Cooled commands the largest Europe chiller market share by cooling type, driven by its dominant position in large-scale commercial buildings, data centres, and industrial process cooling across Europe. Air Cooled is the fastest-growing cooling type through sustainability-driven consumer preferences, lower installation costs, and energy-efficient air cooled chillers using low-GWP refrigerants.

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By Compressor Type, Screw Chillers is the dominant compressor type in the Europe chiller market
Screw Chillers commands the largest Europe chiller market share by compressor type, driven by versatility, reliability, and optimal performance across the 100 to 1,500 kW capacity range serving industrial and commercial applications. Centrifugal Chillers are fast-growing through data centre and large-scale commercial cooling demand. Scroll Chillers serve lighter commercial applications. Reciprocating Chillers serve industrial process and specialty applications. Absorption Chillers are growing through waste heat utilization.

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By End Use, Food and Beverage is the dominant end use in the Europe chiller market
Food and Beverage commands the largest Europe chiller market share by end use, driven by the essential role of industrial chillers in food and beverage processing, pasteurisation, crystallisation, cold storage, and cold chain management. Chemicals and Petrochemicals is a key end use through reactor temperature management. Medical and Pharmaceutical is a significant and growing end use through precise temperature control in pharmaceutical manufacturing.

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Germany is the fastest-growing Europe chiller market country driven by large-scale district heating and cooling integration and decarbonisation of commercial and industrial buildings
Germany is the fastest-growing Europe chiller market country at approximately 5.9% CAGR, driven by the German government’s focus on connecting 100,000 buildings to district heating annually and the strong adoption of energy-efficient, low-GWP chiller solutions. The United Kingdom is a significant Europe chiller market through large-scale commercial buildings, data centres, pharmaceutical facilities, and food and beverage processing plants served by Carrier, Johnson Controls, and Daikin.
France and Italy are significant Europe chiller market countries, with France’s large food and beverage processing sector and industrial cooling demand driving consistent chiller consumption, and Italy serving as a chiller manufacturing hub through Daikin Applied Europe’s manufacturing facilities. Other European countries including the Netherlands, Belgium, Spain, and the Nordic countries are growing chiller markets driven by data centre investments, EU F-Gas regulatory transitions, and energy efficiency retrofits.

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The Europe chiller market is highly competitive, with global HVAC manufacturers, Japanese equipment specialists, and European chiller companies competing through low-GWP refrigerant transitions, energy efficiency innovation, and data centre cooling solutions.
Daikin Industries Ltd. is a Japan-based global HVAC-R company with a dominant Europe chiller market presence through its Daikin Europe group and Daikin Applied Europe division. Daikin Applied Europe is headquartered in Rome, Italy, and is the competence centre for chillers, heat pumps, and HVAC solutions with over 800 employees and 3 manufacturing sites in Italy. Daikin acquired Kylslaget in Sweden in April 2025, following the earlier acquisition of BKF Klima in Denmark.
Carrier Global Corp. is a US-based global climate solutions company with a significant Europe chiller market presence through its Carrier-branded chiller portfolio for commercial, industrial, and data centre cooling applications. Carrier serves the Europe chiller market with air cooled and water cooled chillers, heat pumps, and HVAC solutions across food and beverage, commercial, and industrial end uses.
LG Corp. is a South Korea-based global electronics and home appliance company with a significant Europe chiller market presence through its LG Electronics HVAC division and chiller product range. LG serves the Europe chiller market with air cooled and water cooled chillers including its Therma V heat pump chiller, multi-split HVAC systems, and variable refrigerant flow solutions for commercial buildings and industrial applications.
Johnson Controls International Plc is a US-based global smart building technology company with a significant Europe chiller market presence through its YORK-branded chiller portfolio. In March 2025, Johnson Controls launched the YORK® YVAM Air-cooled Magnetic Bearing Chiller in Europe at the Data Centre World Expo, London. In December 2024, Johnson Controls launched the YORK® YK-CP Centrifugal Chiller optimized for ultra-low GWP R-1234ze(E), delivering up to 30% greater efficiency.
Other key players include Trane Technologies Plc, Aermec S.p.A., Panasonic Holdings Corp., Mitsubishi Electric Corporation, Midea Group Co. Ltd., and HYDAC International GmbH, among others.
*Please note that this is only a partial list; the complete list of key players is available in the full report. Additionally, the list of key players can be customized to better suit your needs.*
Our full report for 2026-2035 delivers the market data, competitive intelligence, and strategic analysis to capture Europe's growing chiller market. Reach out to our team to access the complete report or request a customised version.
*While we strive to always give you current and accurate information, the numbers depicted on the website are indicative and may differ from the actual numbers in the main report. At Expert Market Research, we aim to bring you the latest insights and trends in the market. Using our analyses and forecasts, stakeholders can understand the market dynamics, navigate challenges, and capitalize on opportunities to make data-driven strategic decisions.*
The market reached nearly USD 1.98 Billion in 2025.
The market is projected to grow at a CAGR of 5.20% between 2026 and 2035.
The market is assessed to witness a healthy growth in the forecast period to reach around USD 3.29 Billion in 2035.
The different compressor types in the market include screw chillers, scroll chillers, reciprocating chillers, centrifugal chillers, and absorption chillers.
The different end uses of compressors are food and beverage, chemicals and petrochemicals, medical and pharmaceutical, and plastics, among others.
The major types of cooling considered in the market include water cooled and air cooled.
The different countries covered in the market report are Germany, the United Kingdom, France, and Italy, among others.
The key market players are Daikin Industries Ltd., Carrier Global Corp., LG Corp., Johnson Controls International Plc, Trane Technologies Plc, Aermec S.p.A., Panasonic Holdings Corp., Mitsubishi Electric Corporation, Midea Group Co. Ltd., and HYDAC International GmbH, among others.
Explore our key highlights of the report and gain a concise overview of key findings, trends, and actionable insights that will empower your strategic decisions.
| REPORT FEATURES | DETAILS |
| Base Year | 2025 |
| Historical Period | 2019-2025 |
| Forecast Period | 2026-2035 |
| Scope of the Report |
Historical and Forecast Trends, Industry Drivers and Constraints, Historical and Forecast Market Analysis by Segment:
|
| Breakup by Type of Cooling |
|
| Breakup by Compressor Type |
|
| Breakup by End Use |
|
| Breakup by Region |
|
| Market Dynamics |
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| Competitive Landscape |
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| Companies Covered |
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