RACA Journal January 2026 RACA_January_2026 | Page 5

3
NEWS FEATURE

THE STATE OF SA’ S AIR-CONDITIONING MARKET( 2024 – 2028 OUTLOOK)

South Africa’ s air-conditioning market is quietly moving from a seasonal commodity into a steady, investment-grade sector. Headline forecasts from recent market reports place the national HVAC / air-conditioning market in the mid-single-digit CAGR range over the next 3 – 8 years, with split and packaged systems dominating residential and commercial demand, while precision cooling for data centres grows much faster.

Drivers are straightforward: hotter summers and more frequent heatwaves, urbanisation and rising middle-class household formation, and a wave of commercial and industrial projects that require efficient, low-footprint cooling. Vendors are responding with inverter technology, higher-efficiency refrigerants, and more packaged VRF systems to address both energy consumption and load flexibility.
South Africa registers as one of the continent’ s largest national markets by unit sales and value – frequently ranked just behind substantially-larger population countries Egypt and Nigeria in Africa-wide breakdowns – so multinational OEMs and local distributors treat it as a strategic African hub. At the continental level, analysts project the African air-conditioner market to grow from roughly USD7-billion to USD7.7-billion in 2024, and toward ~ USD12.2-billion by the early 2030s, which lifts the attractiveness of the South African segment.
A notable subsegment is precision / data-centre cooling, where multiple specialist reports predict high double-digit or high single-digit CAGRs( often 9 – 13 %+ over 2024 – 2032) as hyperscale and cloud capacity expands in Johannesburg and Cape Town. This creates a premium market for precision chillers, in-row units and liquid cooling, distinct from mainstream room AC. RACA
REFERENCES:
1. https:// straitsresearch. com / report / hvac-systems-market / southafrica? utm
2. https:// www. researchandmarkets. com / report / africa-air-conditionermarket? srsltid = AfmBOoqLQInwTvJ9dUdqpu _ B-n2CjQJ _ P3FSvCWuBs2vowqGwmKbw-9n & utm
3. https:// www. globenewswire. com / news-relea se / 2025 / 03 / 21 / 3046996 / 28124 / en / Growth-Opportunities-in-Africa-s-12- 23-Bn-Air-Conditioner-Market-2025-2033-with-Regional-and-Company- Specific-Industry-Data. html? utm =& utm
4. https:// www. credenceresearch. com / report / south-africa-data-centerprecision-air-conditioning-market? utm news
RACA Journal I January 2026 www. refrigerationandaircon. co. za

3