The global variable refrigerant flow systems market, valued at $11,400.7 million in 2017, is projected to witness a CAGR of 13.4% during the forecast period (2018–2023). With expanding construction industry, government initiatives toward easing FDI norms in real estate, and growing demand for energy-efficient heating, ventilation and air conditioning (HVAC) systems, the VRF systems market is growing. VRF is a type of air-conditioning system that consists of two major components: an outdoor unit and an indoor unit.

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Unlike conventional systems that cut off heating or cooling with the change in room temperature, VRF HVAC systems continuously maintain the supply of warm or cool air without causing fluctuations in room temperature. Furthermore, VRF systems are designed to acquire heat while cooling, and use it in areas that need heating. Hence, with an adjustable-speed compressor and compatibility at partial-load conditions, these units witness less wear and tear and fewer breakdowns that result in increased life.

The system allows heating and cooling at the same time for different zones, which means that the compressor doesn’t have to run continuously and can be operated at lower capacity, hence delivering higher energy efficiency. Thus, it can be said that the energy-saving properties of such equipment are driving the growth of the variable refrigerant flow systems market.

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Therefore, VRF systems are in high demand in spaces where simultaneous heating and cooling are required. Thus, the vrf systems market is being driven by the reduced efficiency loss and energy-saving capabilities of such units. Therefore, due to the numerous benefits associated with energy-efficient HVAC systems, the sector is projected to grow.