Industrial Boilers Market Size, Share, and Trends 2025 to 2034

Industrial Boilers Market Size and Forecast 2025 to 2034

The global industrial boilers market was valued at USD 17.39 billion in 2024 and is anticipated to reach around USD 27.57 billion by 2034, expanding at a CAGR of 4.73% from 2025 to 2034. The exciting applications of industrial boilers in generating the heat, steam, mechanical power, and electricity fuel the expansion of the industrial boilers market.

Industrial Boilers Market Key Takeaway

• North America dominated the global market with the largest market share of 41.91% in 2024.
• By application , the chemical and petrochemicals segment contributed the highest market share in 2024.
• By type, the water tube  segment is expected to grow at a significant CAGR from 2025 to 2034.
• By fuel type, the fossil segment captured the biggest market share in 2024.

Role of Artificial Intelligence in the Industrial Boilers Market

Artificial intelligence and machine learning helps in the optimization of boilers for efficient and clean energy production. AI also helps in reducing the harmful gas emissions in the environment by requiring the least amount of construction and operating expenditures. AI-based approaches are helpful in modelling, predicting performances, and achieving control over emissions of combustion processes. AI-ML algorithms are used to process the data obtained from internet of things (IoT) devices. They can also create models and train them to allow machines to learn and take their own practical decisions for operational and engineering practices of boilers.   

Asia Pacific Industrial Boilers Market Size and Growth 2025 to 2034

The Asia Pacific industrial boilers market reached USD 7.31 billion in 2024 and is expected to be worth around USD 11.87 billion by 2034, growing at a CAGR of 4.97% between 2025 and 2034.

Asia Pacific accounted for around 41.91% of the market share and dominated the global industrial oilers market in 2024. The rapid industrialization owing to the constant government initiatives to attract FDIs is expected to propel the growth of the industrial boilers market. The availability of cheap factors of production and the favorable government policies are attracting the top manufacturers of various industries to expand their manufacturing facilities in the Asia Pacific region. Thus, the demand for industrial boilers is expected to foresee huge growth across the Asia Pacific region especially in the countries like India and China. China and India are becoming the manufacturing hubs of the world. Moreover, the presence of a huge population is presenting lucrative growth opportunities to food & beverages, consumer goods, textiles, and various other industries. This is a crucial factor that can be held responsible for the growth of the industrial boilers market in the Asia Pacific region in the forthcoming future.

• In November 2024, the Japanese government planned to introduce a carbon emissions trading system applicable in April 2026 which sets targets over 300 to 400 companies involved 100,000 tons of CO2 emissions annually. This system will complete 60% of domestic greenhouse gas emissions in Japan including several industries like steel, cars, airlines, and electricity. 

Europe region is estimated to be the most opportunistic segment during the forecast period. The presence of a higher number of industries and manufacturing units across Europe has fostered its growth. The increased awareness regarding carbon emissions, increased environmental consciousness, and increased focus of the industries on achieving sustainability have compelled the government to implement strict regulations regarding harmful industrial emissions. This has significantly boosted the growth of the industrial boilers market in Europe. Moreover, with the higher adoption rate of advanced and innovative technologies to attain sustainability and energy efficiency across the manufacturing units in Europe, the demand for industrial boilers has witnessed a surge in demand.

• In February 2024, the European Commission approved the €325 million scheme initiative of France to promote biomass heat production and move towards sustainable energy. 

Industrial Boilers Market  Growth Factors

The global industrial boilers market is driven by surging demand from the chemicals & petrochemical and the food & beverages industries. The rapid industrialization and the stringent government regulations pertaining to the harmful emissions are significantly driving the demand for the industrial boilers across the globe. The rising adoption of the industrial boilers across various industries such as chemical, food & beverages, and mining is expected to foster the market growth in the forthcoming years. The growing population and rising disposable income are encouraging the manufacturers to set up new manufacturing facilities in order to cater the demand for the food and beverages, textiles, and consumer goods. The rising investments in the growth of the industries across the globe are boosting the demand for the industrial boilers. The chemical industry has huge contributions in the global GDP, which highlights the importance of increasing demand for the industrial boilers in the chemicals industry. The growing demand in the chemical and petrochemical industry in the developing nations is expected to have a huge impact on the market growth in the foreseeable future.

The rising concerns regarding pollution, carbon emissions, and environment protection have forced the government to take strict actions regarding the industrial emissions. The stringent government norms pertaining to the harmful emissions to the environment are supporting the growth of the global industrial boilers market. Moreover, the rising investments in the thermal power owing to the rising demand for the efficient power supply are major factors that drive the growth of the industrial boilers market across the globe. The technological advancements and the rising focus of the manufacturers to increase the capacity of the boilers is supplementing the market growth. For instance, Bosch Industriekessel Gmbh provides water boilers that range up to 38 MW to the top food & beverage companies like Coca Cola, Nestle, and Daimler.

Market Scope

Type Insights

The water tube segment dominated the global industrial boilers market in 2023. This is attributed the increased demand for the water tube boilers in the paper & pulp, chemical & petrochemical, and the food processing industries across the globe. The features like low carbon emissions along with the higher thermal efficiency are the major factor that has fostered the growth of the water tube boilers across industries. The growing investments on the adoption of large capacity boilers along with the replacement of conventional heating systems are further expected to propel the growth of this segment in the forthcoming future.

Application Insights

The chemical and petrochemicals segment garnered a market share in 2024. The huge demand for the high quality steam that has utilization in the production of chemicals such as petrochemicals, alkali, chlorine, fertilizers, and pesticides has fueled the growth of this segment in the past years. The chemical industry has huge contributions in the GDP. The huge demand for huge variety of chemicals across all the industries has boosted its growth. The rising demand for the various chemical products is boosting the demand for the industrial boilers in the chemical industry across the globe. Hence, this segment is expected to sustain its significance throughout the forecast period.

Fuel Type Insights

The fossil segment held the largest share of the market in 2024. The growing emphasis on green fuel, especially in industrial areas promotes the segment’s expansion in the market. Multiple industry players are focused on the innovation of products that meet government emission standards and goals. Fossil fuels are readily available on a global scale, making them a convenient choice for industrial boiler operators operating in diverse geographic locations. This global availability ensures consistent fuel supply and reduces logistical challenges associated with sourcing alternative fuels.

Industrial Boilers Market Companies

• AMEC Foster Wheeler PLC
• Siemens AG
• Thermax Limited
• Harbin Electric Corporation
• Bharat Heavy Electricals Limited
• General Electric Company
• Dongfang Electric Corporation Ltd.
• Babcock & Wilcox Enterprises, Inc.
• IHI Corporation
• AC Boilers S.P.A

Key Market Developments

• In May 2017, Mitsubishi Power Systems entered into a contract with the CEPC in Egypt, wherein, Mitsubishi will undertake the repairing activities related to the boilers
• In December 2017, Mitsubishi Heavy Industries Marine Machinery & Equipment Co. received an order of 200 boilers for the purpose of business development in China.

The various developmental strategies like product launches, acquisitions and mergers fosters market growth and offers lucrative growth opportunities to the market players. The market players are constantly engaged in various developmental strategies to gain market share, exploit the prevailing opportunities in the market, and gain competitive edge in the market.

Latest Announcements by Industry Leaders 

• In February 2024, Addison Stark, CEO of Atmos Zero reported that the company is making efforts to solve industrial decarbonization by electrifying the boiler room and building a scalable, drop-in replacement product than complicated expensive customized projects.  
• In October 2024, Emma Falck, Executive Vice President of Siemens AG announced that there is 40% energy consumption by buildings worldwide and 75% of buildings face inefficient management. So, the company introduces its innovative Climatix Hub Technology at Chillventa to help customers and partners in lowering gas emissions and energy costs.  

Recent Developments

• In February 2024, Siemens AG introduced innovative and sustainable building technology, products, solutions, and systems at Mostra Convegno Expocomfort (MCE) trade show including highly efficient chillers and heat pumps with magnetic expansion valve. 
• In September 2024, Thermax showcases its technologically advanced solutions or innovative technologies in clean air, clean energy, and clean water at Boiler India 2024 which is the India’s largest exhibition on advanced boiler technologies held at the CIDCO Exhibition Centre, Navi Mumbai. 

Segments Covered in the Report

By Type

• Fire Tube
• Water Tube
• Others

By Function

• Hot Water
• Steam

By Fuel Type

• Oil & Gas
• Biomass
• Fossil
• Non-Fossil

By Boiler Horsepower

• 10-150 BHP
• 151-300 BHP
• 301-600 BHP

By Technology

• Condensing
• Non-Condensing

By Steam Pressure

• High Pressure Boilers
• Medium Pressure Boilers
• Low Pressure Boilers

By Steam Usage

• Process Boilers
• Utility Boilers
• Marine Boilers

By Furnace Position

• Externally Fired Boilers
• Internally Fired Boilers

By Shell Axis

• Horizontal Boilers
• Vertical Boilers

By Tubes In Boilers

• Multi-Tube Boilers
• Single Boilers

By Water And Steam Circulation In Boilers

• Forced Circulation Boilers
• Natural Circulation Boilers

By Application

• Paper & Pulp
• Food & Beverages
• Chemicals & Petrochemicals
• Metals & Mining
• Others

By Geography

• North America
• U.S.
• Canada
• Europe
• U.K.
• Germany
• France
• Asia Pacific
• China
• India
• Japan
• South Korea
• Latin America
• Brazil
• Rest of Latin America
• Middle East & Africa (MEA)
• GCC
• North Africa
• South Africa
• Rest of Middle East & Africa