Vox Cinemas, which opened its first movie theatre in the kingdom in May 2019, is planning to have 600 screens in Saudi Arabia by 2023, investing $500 for this expansion. Essentially closed spaces, theatres and other such venues have multiple HVAC systems. Moreover, the first phase of the $500-billion NEOM City was completed that year, which saw massive HVAC sales for a differentiated array of buildings.

With more phases of the project taking shape, the demand for such equipment will increase further. Similarly, with increasing business opportunities, the country’s hospitality sector is growing. The Middle East is already known for its luxurious lifestyle, and with Saudis becoming modern every year, many dazzling hotels and resorts are being constructed.

The Intercontinental Hotel Group opened a 4,200-room hotel, while Radisson Hotel Group opened a 355-room hotel, its 43rd in the kingdom, in 2019. Moreover, Hilton Worldwide plans to open 35 hotels here in the next 2–3 years. Apart from business, the kingdom’s booming tourism industry, led by the holy sites of Mecca and Medina, is driving hotel construction here. Another key sector that is propelling the Saudi Arabian HVAC market is district heating and cooling (DHC).

It has been considered better to have a centralized heating and cooling system for a group of buildings than to have individual systems for every building. This is because DHC systems consume up to 50% less energy than individual HVAC units in individual buildings. With the mounting energy prices and widespread environmental concerns, the usage of DHC is rising here.

Moreover, HVAC systems are themselves becoming smart with the integration of automatic functions, connected sensors, and better controls. Moreover, ground-source HVAC systems, which use the heat contained within the ground to perform heating and cooling, are helping reduce the consumption of fossil fuels at power plants by requiring lesser electricity from the grid. To further boost this cause, solar-powered HVAC systems are becoming the trend in the kingdom. All such efforts can be credited, in part, to the Saudi Vision 2030, which aims to reduce the country’s dependence on the oil trade.

Hence, with economic growth, the installation of HVAC systems, especially air conditioners, will burgeon in Saudi Arabia.