2023 North American Boiler Rental Market

Opportunities Driven by Industry Demand, Increasing Equipment Costs, Fleet Shortages, and Lengthy Lead Times for Parts & Maintenance

This research report shows that the North American Boiler Rental Market was valued at roughly $575 million in 2022.

The boiler rental market is characterized by maturity, fragmentation, and regionalization, with specialty rental companies such as WARE, Inc., Nationwide Boiler, Wabash Power Equipment, and more recently, Atlas Copco Specialty Rental. Currently, the largest general equipment rental companies have minimal direct involvement in the boiler rental market. The entry of Atlas Copco in 2019 through the acquisition of Powerhouse marked a significant turning point as a major multinational industrial brand entered the North American market. The curators of this report anticipate further consolidation in the future, following the trend seen in other specialty rental equipment sectors.

Since the analyst last examined the boiler rental industry in 2017, boiler costs have nearly doubled. During the pandemic, steel prices, which are commonly used in boiler construction, increased by 50 percent. Although steel prices have since declined, boiler original equipment manufacturers (OEMs) have not passed on the reduced steel costs to customers. Consequently, higher boiler costs have become widely accepted, akin to the automotive industry.

Supply chain challenges have caused delays in the production of new boiler manufacturing capacity, resulting in a lead time of approximately one year for acquiring new machinery. As a result, customers often resort to renting boilers for maintenance or replacement needs. The COVID-19 pandemic has also led to shortages of boiler components such as pumps, electrical elements, and chipsets. Rental companies and customers are advised to proactively secure manufacturing capacity to ensure the availability of necessary burners and boilers. With limited boilers available for purchase, companies are increasingly turning to rentals to meet their immediate requirements.

Fire Tube Boilers, known for their durability and efficiency, continue to be in high demand despite being one of the oldest designs. Their popularity stems from their simple design, ease of operation, and low maintenance costs. The fire tube boiler rental market remains robust due to the versatility and capacity of these boilers to handle a wide range of pressures.

Conversely, Water Tube Boilers are renowned for their high efficiency and ability to generate steam at high pressure and temperature. They are particularly suitable for heavy-duty operations, making them a preferred choice in industries such as power generation, petrochemicals, and district heating. Renting water tube boilers enables companies to address peak loads without significant capital investments, which greatly benefits the boiler rental market.

Hydronic Boilers offer distinct advantages, including efficient heating and a compact design. This type of boiler utilizes water to transfer heat, making it suitable for space heating in hospitals, commercial and multi-family buildings, as well as process heating applications in the food and beverage industry.

The steam boiler rental market in the United States and Canada presents promising opportunities driven by industry demand, increasing equipment costs, fleet shortages, and lengthy lead times for parts and maintenance. A well-funded capital group equipped with the necessary technical expertise and a diverse fleet could thrive within the boiler rental market.

Report Scope

A comprehensive analysis of the North American Boiler Rental Market. This market research report on steam boiler rental equipment includes market sizing, market share by competitor, market share by revenue, market share by equipment type, market share by end user, market share by fuel, drivers, restraints and forecasts to 2029.

The North American Steam Boiler Rental Market is mature and competitive with the presence of regional and national market participants trying to get a strong foothold in the market. Long lead times for parts, maintenance and boiler replacement, industrial expansion, increasing infrastructure spend, stringent emission requirements, the growing shift from capital expenditures to operating expenditures, frequency of natural disasters, and a growing emergency response opportunities are all driving boiler rental opportunities and market growth through the forecast period.

A boiler is defined as an enclosed device using controlled flame combustion and having the primary purpose of recovering thermal energy in the form of steam or hot water. Waste heat boilers are excluded from this definition.

This study aims to provide a detailed analysis of the North American Boiler Rental Market, along with competitive intelligence for the year 2022. The market numbers included in this report represent revenues generated by companies operating in the North American Boiler Rental Market. The base year for the study is 2022 and the forecast period is from 2022 until 2029.

This study captures the following information on North American Steam Boiler Rental Market:

• Market Size, Growth Rate, Revenue Forecasts (2012-2029)
• Growth Drivers & Restraints
• Market Data
• Quotes by Key Industry Participants
• Market Share Analysis
• Market Trends

Companies included in the research are Wabash Power Equipment Co., Atlas Copco (Powerhouse Equipment & Engineering Co.), Nationwide Boiler Inc., WARE, Inc., Indeck Power Equipment Co., Inc., Power Mechanical, Inc., Groupe Simoneau, Prime Boiler Services, and Cleaver-Brooks Sales and Services, Inc., among others.

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