The global electric water heater market value was US$ 23 billion in 2020. The global electric water heater market is forecast to reach US$ 40 billion by 2030, with a growing compound annual growth rate (CAGR) of 5.4% during the forecast period from 2021-2030.

Electric water heaters operate on electricity as an energy source. There are three basic types of electric storage water heaters: Electric storage, Instantaneous, and Quick (also called semi-storage). Electric water heaters use two electric resistance elements, one at the bottom and one at the top of the storage tank, to heat the water in the tank. There is an independent thermostat for each element. The lower unit provides recovery from standby loads during high hot water usage periods, while the upper part provides heating. Resistance water heaters may only contain a lower element.

Factors Influencing Market Growth

Growing demand for hot water from various applications in the residential, commercial, and industrial sectors is driving the growth of the global electric water heater market.
The government's implementation of stringent rules, policies regarding highly efficient heating equipment, and the rapid growth of the solar water heating industry are key factors hindering the market's growth.
Since traditional water heating systems such as boilers, burners, and others are becoming obsolete rapidly, key players are likely to benefit from lucrative growth prospects to maintain their position in the market during the forecast period.
Impact Analysis of COVID-19

Covid-19's disruptive effect had affected the global electric water heater market. During the COVID-19 outbreak, most economies globally implemented lockdowns, which have adversely affected the supply chain for materials and production of electric water heaters due to the shortage of labor and stoppage of transportation and logistics. As a result, the market has been declining.

Post COVID-19, the market should gain momentum thanks to the decline in cases and rising demand for Heating, Ventilation, and Air Conditioning (HVAC) equipment from consumers. During the forecast period, major economies will witness a slow recovery due to the restarting of the global economy.

Regional Insight

Asia-Pacific held dominance in the global electric water heater market, and it is forecast that it will maintain its lead during the forecast period. The reason is the presence of key players and an expansive consumer base in the region. The electric water heater market is also growing due to an increase in electrification rates, rising disposable income in Asian economies, and rapid urbanization. These factors are likely to propel the market during the forecast period in the Asia Pacific region.

Leading Competitors

The leading prominent companies profiled in the global electric water heater market are:

A.O. Smith
Ariston Thermo S.P.A.
Bajaj Electricals
Bosch Thermotechnology
Bradford White Corporation
Ferroli S.p.A.
General Electric
Haier Electronics Group Co., Ltd.
Havells India Ltd.
Racold
Rheem Manufacturing Co.
Rinnai Corporation
Stiebel Eltron, Inc.
Vaillant Group
Viessman Group
Westinghouse Electric Corporation
Whirlpool Corporation
Zenith Water Heater
Other Prominent Players
Scope of the Report

The global electric water heater market segmentation focuses on Product Type, Capacity, End-User, and Region.

Segmentation based on Product Type

Tank
Tankless
Segmentation based on Capacity

Less than 100 liters
100 to 400 liters
More than 400 liters
Segmentation based on End-User

Residential
Commercial
Industrial
Segmentation based on Region

North America
The U.S.
Canada
Mexico
Europe
Western Europe
The UK
Germany
France
Italy
Spain
Rest of Western Europe
Eastern Europe
Poland
Russia
Rest of Eastern Europe
Asia Pacific
China
India
Japan
Australia & New Zealand
ASEAN
Rest of Asia Pacific
Middle East & Africa (MEA)
UAE
Saudi Arabia
South Africa
Rest of MEA
South America
Brazil
Argentina
Rest of South America