Welcome back to another Monthly Round-Up, our periodic report of the industry's current state—but more importantly, we want to wish you a very Happy Holidays, from our team to yours! After we made it past Brown Friday, we scanned the web to gather the latest industry trends and events for you.
In case you missed it, we covered a collection of HVAC and plumbing-related topics in our October Round-Up, including the finalization of federal residential furnace efficiency standards, San Francisco’s new Extreme Weather Resilience Program, and Lennox’s massive HVAC unit donation. Now, let’s take a look at November to see what industry news unfolded over the past month!
On November 17, the U.S. Department of Energy (DOE) announced a new $169 million electric heat pump project as part of the Biden-Harris Administration’s ongoing Investing in America Agenda. The historic $169 million effort aims to support nine separate manufacturers that will accelerate electric heat pump manufacturing across 15 nationwide locations. This project utilizes allowances under the Defense Product Act (DPA) to boost the production of critical clean energy technologies.
According to government officials, the $169 million investment will help place more American-made electric heat pumps onto the market, helping save homeowners and businesses money on their annual heating and cooling costs as well as reduce harmful emissions by up to 50%. Likewise, accelerated production will also aid in creating thousands of new manufacturing positions nationwide, which further supports a stronger clean energy supply chain overall.
The Administration has selected nine different manufacturers to receive funding to support this growing effort, including Armstrong International Inc., Bard Manufacturing Company, Mitsubishi Electric U.S. Inc., and York International Corporation. The DOE anticipates another round of DPA investments could be issued in 2024 to further support domestic manufacturing supply chains.
Earlier this month, the Air Conditioning Contractors of America (ACCA) Association made their official announcement for their upcoming 2024 Expo. In 2024, the ACCA will partner with the Florida Air Conditioning and Refrigeration Contractors Association (FRACCA) for a four-day event beginning March 11 in Orlando, Florida. The partnership will provide expansive content and networking opportunities and the chance for professionals to obtain Florida CE credits.
The 2024 ACCA Expo will offer attendees an extensive schedule of educational opportunities, including keynote speaker sessions, as well as workshops highlighting various topics such as workforce development, finances, and business leadership. Attendees will also have the chance to learn about the latest industry innovations and directly connect with leading equipment providers. ACCA 2024 registration is now open, with early bird pricing available until December 15, 2023.
Field Controls, a leading U.S. provider of indoor air quality (IAQ) solutions in North America, partnered with Tadiran International to introduce new innovative hydrogen peroxide air cleaner technology to the U.S. market this month. Tadiran International is an IAQ solution manufacturer out of the European market that has recently made waves across the HVAC and IAQ markets thanks to their new TADIRAN AIROW 3 unit.
The TADIRAN AIROW 3 is a revolutionary hydrogen peroxide air disinfector device engineered to easily fit into a variety of HVAC systems, including VRF ductless systems, mini split units, and ceiling cassettes. This unit can improve indoor air quality by breaking down the structure of harmful airborne pathogens using hydrogen peroxide to purify an HVAC unit’s airflow. Through this ongoing partnership, company officials hope to continue to make larger steps toward revolutionizing IAQ.
Technavio, a leader in market research, reported this month that the HVAC system market is set to endure some pretty impressive growth from 2022 to 2027. At a compound annual growth rate (CAGR) of 6.22%, the HVAC system market could see upwards of $48 billion in growth worldwide, with the Asia-Pacific region accounting for 54% of this growth. Overall, the study reported a variety of industry growth drivers including the:
However, while these various industry drivers are preferable to scale HVAC market value, Technavio also reported that the ongoing lack of skilled labor will continue to challenge this industry's growth for the foreseeable future. Without enough professionals who are equipped with the skills and knowledge to install, maintain, and innovate these new HVAC systems, contractors may find it challenging to increase unit sales, ultimately impeding market growth.
BuildOps, a leading provider of trade business management software, announced a new partnership with a familiar name this month, but not one you associate with HVAC or plumbing… Kid Dynamite, Iron Mike himself, Mike Tyson! Titled ‘Tyson for the Trades,’ this initiative seeks to inspire more job seekers across the country to explore careers in the trade industries, including HVAC and plumbing.
At a time when 68% of tradespeople are over the age of 40 and retirement numbers outweigh incoming professionals, Tyson has chosen to work with BuildOps to help increase training and career opportunities for those looking to get involved. Tyson himself is a dedicated advocate for the trade industries and has also partnered with the We 2 Matter initiative in an effort to bring trade scholarship opportunities to previously incarcerated women looking to re-enter the workforce.
From new government efforts impacting the HVAC industry to celebrity-endorsed trade career initiatives, you can see there are simply no slowdowns when it comes to trade industry updates. Be sure to tune in next month for the 2023 finale of JB Warranties’ Monthly Round-Up, where we’ll pay close attention to our industry news feeds to deliver you only the best December topics we can find.
In the meantime, now is the time to implement upgrades to your trade operation to help encourage better customer retention, sales, and company growth before the New Year is underway. Over at the JB Dealer Services Marketplace, you will find numerous business management solutions that can help you develop, monitor, and exceed all HVAC or plumbing business goals throughout 2024.