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China-Pakistan Economic Corridor (CPEC), Infrastructure Expansion and Growing Investments to Spur Air Conditioners Market in Pakistan -6Wresearch

13 October, 2017

Pakistan is one of the potential markets for investment and collaboration amongst all Asian countries. Despite political instability and security concerns, Pakistan has registered promising economic growth of 5.3% during 2016-17 due to rising investments by China. China has become a strategic partner for Pakistan by signing number of agreements such as China-Pakistan Economic Corridor (CPEC) and China-Pakistan all-weather strategic cooperative partnership which would enhance the development projects of Pakistan. In 2017, China has invested more than $100 billion in various applications such as infrastructure, commercial buildings, residential and industrial. Further, around $50 billion would be invested on roads, railways and energy projects linking Southern Pakistan and the Gwadar Port to China’s Xinjiang Uyghur region over the next few years.

According to 6Wresearch, Pakistan Air Conditioner market is projected to grow at a CAGR of 7.2% during 2017-23. Development projects including airports, metro, educational institutions, ports & industrial hubs as well as government initiatives towards housing facilities have increased construction activities in the country. As a result, air conditioner market witnessed growth during last three years. The air conditioner market is likely to register a healthy growth over the coming years owing to upcoming mega projects in the country.

According to Prijo Samuel, Assistant Manager, 6Wresearch, “Positive growth in real estate market has increased construction activities in the country. Pakistan is registering significant development in the areas of commercial office, retail and government & transportation applications owing to foreign investments. Currently, split air conditioner market has dominated the overall air conditioner market in the country, followed by centralized and floor standing air conditioner market.”

“Moreover, VRF & floor standing air conditioner segments are driven by growing construction activities in commercial buildings and retail space. Expanding middle class group with rising disposable income has increased the demand for malls and supermarkets in the country. In addition, residential air conditioner market is also registering strong growth contributing major revenue share in the overall air conditioner market and in next few years the residential market would be increasing with growing demand for housing units in the country,” Prijo Samuel concluded.

According to Sathi Paul, Research Analyst, Research and Consulting, 6Wresearch, “Punjab and Sindh regions are key contributors in Pakistan air conditioner market owing to large concentration of urban population and middle class group. Currently, the Northern region of Pakistan has dominated the overall air conditioner market and is anticipated to register highest growth during the forecast period as well.

Pakistan air conditioner market consists of both local and international players such as Haier, Gree, LG, Mitsubishi, Orient, Dawlance, PEL and others. Majority of the local companies are dependent on China for manufacturing and imports complete air conditioner systems in Pakistan,” Sathi concluded.

“Pakistan Air Conditioner Market (2017-2023)” provides in-depth analysis with 36 figures and 9 tables covered in more than 93 pages. The report estimates and forecast the overall Pakistan Air Conditioners market by revenues, by types of air conditioners, by regions (including Northern and Southern) and by end user segments such as residential, hospitality, government & transportation, retail & commercial offices and others. The report also gives insights on competitive landscape, market share by companies, company profile, recent trends and developments, opportunities, market drivers and restraints.

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