Good outlook for China Field device market, says new BSRIA studyJanuary 2021

New China HVAC field device study covers the market for valves, dampers, actuators, and sensors installed in commercial buildings, worth an estimated USD 730 billion.

The HVAC field devices market in China is a developing market that, in 2019, was depressed by the adverse economic environment. It is also strongly driven by the construction sector, which was severely affected by Covid-19 pandemic in 2020. As China's economy is on a path for good recovery, the market is forecast to rebound in 2021-22.

International brands, including Siemens, Johnson Controls and Honeywell, have been leading the commercial valves market as they are able to offer comprehensive building solutions and thus satisfy the high-end market. The middle and low-end market is occupied by a large number of specialised valve companies and mostly domestic small brands. Local brands, relying on their low prices, have been gradually eroding international brand market share. 

The commercial HVAC damper market is also affected by the market environment; its development trend is basically in line with that of HVAC valves. Therefore, the commercial HVAC damper market declined in 2019-2020. The difference between the two is that dampers are more price sensitive, so the share of high value foreign brands in this market is low. In comparison, the valve/actuator market demands a higher technology threshold, therefore, international brands are leading the market.

China HVAC field device market by value, 2019

Fire damper and actuators have also been covered in the research process. This analysis is included in the study and treated separately from the valve, dampers and actuators market mentioned above.

The Chinese commercial HVAC sensors market is promising, as it is driven by energy efficiency, user comfort and intelligence. The trend for more intelligent buildings leads to the deployment of larger numbers of sensors. Moreover, in addition to conventional temperature, humidity and light-dependent sensors, air-quality sensors are emerging, including CO, CO2 and VOC particles sensors. Sensors are dominated by analogue connectivity but the development of building automation systems supports the growth of Bus connected sensors. 

New IoT products are already being introduced to the market and will continue to be introduced during the forecast period and beyond, stimulating market growth. However, the value of the IoT connected sensors market is still marginal and is the territory of small start-up companies. 

BSRIA does expect the market for IoT products to continue its development, but this will likely not be happening within the 5-year forecast period. 

The sensors competitive landscape again is made of the main control companies, but also specialist sensor companies and many local brands active in the market, each one on a very small scale.