Commercial Boiler Market Report 2026

The commercial boiler market size has grown strongly in recent years. It will grow from $4.08 billion in 2025 to $4.28 billion in 2026 at a compound annual growth rate (CAGR) of 5.1%. The growth in the historic period can be attributed to expansion of commercial infrastructure development, growth in urban office buildings, increasing replacement of aging boiler systems, rising focus on energy efficiency regulations, availability of advanced heating technologies.

The commercial boiler market size is expected to see steady growth in the next few years. It will grow to $5.15 billion in 2030 at a compound annual growth rate (CAGR) of 4.7%. The growth in the forecast period can be attributed to increasing investments in green building projects, rising adoption of low-emission heating systems, expansion of smart building management systems, growing demand for hybrid heating solutions, increasing retrofitting activities. Major trends in the forecast period include increasing adoption of condensing boiler systems, rising demand for energy-efficient heating solutions, growing integration of smart boiler controls, expansion of modular boiler installations, enhanced focus on emission reduction.

The increasing construction of commercial buildings and the rising demand for safety equipment are expected to drive the growth of the commercial boiler market. Commercial buildings, including offices, retail stores, warehouses, and hospitals, are expanding due to factors such as economic development, rapid urbanization, and industrial growth. A commercial boiler is a pressurized system that uses electricity or fuel to heat water or provide heating for commercial facilities. These boilers ensure safety and comfort in buildings while minimizing energy wastage, making them a cost-effective choice for commercial applications. The growth in commercial infrastructure and the need for enhanced safety systems are generating demand for commercial boilers, which are critical for heat and steam applications. For example, in February 2025, the Alan Boswell Group reported that average commercial property rent in England and Wales is projected to rise from £94 ($120) per square foot in 2024 to £112 ($143) per square foot by 2034, with offices being the priciest at £183 ($234) per square foot. East London recorded the highest vacancy rate at 14.8% in Q2 2024, while planning permission approvals remained strong at 87% in H1 2024. Consequently, the growth of commercial buildings and the increasing requirement for safety equipment are driving the commercial boiler market.

Companies in the commercial boiler market are focusing on developing hydrogen-ready combined heat and power (CHP) plants to improve energy efficiency and support the transition to low-carbon energy solutions. A hydrogen-ready CHP plant is designed to efficiently generate both electricity and usable heat while integrating hydrogen as a fuel source. For instance, in July 2024, Essar Oil (UK) Limited launched EET Hydrogen Power, Europe’s first hydrogen-ready CHP plant, at its Stanlow refinery. This project supports EET Fuels’ goal to become the lowest-carbon process refinery globally and EET Hydrogen’s ambition to be a leading low-carbon hydrogen producer in the UK. The facility will supply low-carbon power to regional industrial users to help meet decarbonization targets. EET Hydrogen Power is being developed in two phases to achieve a capacity of 125 MW of power with 6,000 tonnes per day of steam, with hydrogen replacing hydrocarbons, reducing carbon dioxide emissions by 740,000 tonnes per year.

In May 2024, Miura Co., Ltd., a Japan-based boiler manufacturer, acquired Cleaver-Brooks for an undisclosed amount. This acquisition aims to strengthen Miura’s commercial boiler capabilities by expanding its presence in the North American market, broadening product and service offerings across the boiler-system value chain, and enhancing its global footprint in industrial and commercial boiler markets. Cleaver-Brooks is a US-based manufacturer of both commercial and industrial boilers.

Major companies operating in the commercial boiler market are AO Smith Corporation, Bosch Thermotechnology, Cochran Limited, Cleaver-Brooks, Fulton Boiler Company, Siemens Energy AG, Asea Brown Boveri, Babcock & Wilcox Enterprises Inc., Harbin Electric Co. Ltd., Hurst Boiler & Welding Company Inc., Miura Co. Ltd., Thermax Limited, Zhengzhou Boiler (Group) Co. Ltd., Parker Boiler, Superior Boiler Works Inc., Vaillant Group, Weil-McLain, Slant Fin Corporation, Pelco Products Inc., Lochinvar LLC, Burnham Commercial, Raypak Inc., Mestek Inc., Laars Heating Systems Company, Columbia Boiler Company, Victory Energy Operations LLC, UNILUX.

North America was the largest region in the commercial boiler market in 2025. The regions covered in the commercial boiler market report are Asia-Pacific, South East Asia, Western Europe, Eastern Europe, North America, South America, Middle East, Africa. The countries covered in the commercial boiler market report are Australia, Brazil, China, France, Germany, India, Indonesia, Japan, Taiwan, Russia, South Korea, UK, USA, Canada, Italy, Spain.

The commercial boiler market consists of sales of commercial electric boilers, vertical boilers, and condensing boilers. Values in this market are ‘factory gate’ values, that is the value of goods sold by the manufacturers or creators of the goods, whether to other entities (including downstream manufacturers, wholesalers, distributors, and retailers) or directly to end customers. The value of goods in this market includes related services sold by the creators of the goods.

The market value is defined as the revenues that enterprises gain from the sale of goods and/or services within the specified market and geography through sales, grants, or donations in terms of the currency (in USD unless otherwise specified).

The revenues for a specified geography are consumption values that are revenues generated by organizations in the specified geography within the market, irrespective of where they are produced. It does not include revenues from resales along the supply chain, either further along the supply chain or as part of other products.

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