Top 10: Heat Pump Manufacturers

Heating and cooling buildings is currently one of the single largest contributors to global energy consumption.

Estimates vary among researchers, but the scale is always enormous. 

MIT, for instance, says that heating and cooling buildings accounts for between 10-15% of all CO₂ emissions.

Meanwhile, the IEA says that the operation of buildings contributes to 30% of the world’s energy consumption.

Regardless of the exact figures, it is clear that temperature control needs to become more sustainable, especially given that the climate is becoming more extreme each year.

Heat pumps are generally considered the natural successor to traditional gas boilers in the age of climate consciousness.

Firstly, they are powered by electricity. They are also very efficient – 400% more efficient than gas boilers according to the UK Government. 

And, importantly for consumers, they can be far cheaper than gas boilers given the right conditions.

The demand for heat pumps is rising every year, thanks to subsidies, regulations and improvements to the technology. Central to that upward trajectory are the manufacturers themselves. 

In this week’s Top 10, Energy Digital takes a look at some of the heat pump companies leading the way right now.

10. Panasonic

Founded: 1918
Based in: Kadoma, Osaka, Japan
CEO: Yuki Kusumi

Panasonic is best known for its everyday electronics, but it has channelled that technical expertise into heat pumps in recent years, becoming one of the most dependable manufacturers around.

Its Aquarea range has been a popular choice in the European market since 2008, especially because of its efficacy in colder climates.

Its heat pumps also come with smart controls, making them a great option for homes and buildings running an IoT system.

9. Trane Technologies

Founded: 1871
Based in: Swords, Ireland
CEO: Dave Regnery

Trane has spent more than a century building its reputation as a leader in heating and cooling systems. Heat pumps are central to the continuation of that legacy today. 

The sheer versatility of Trane’s heat pumps are key to this, with its systems widely used across residential, commercial and industrial markets. 

The Irish firm’s history of engineering expertise – coupled with its extensive service network – give it an advantage in projects where performance and maintenance matter just as much as the upfront cost.

8. Johnson Controls

Founded: 1885
Based in: Cork, Ireland
CEO: Joakim Weidemanis

Johnson Controls is a major player in energy technology and is investing a lot of resources in boosting its production of heat pumps as demand soars around the world.

Just recently, the firm opened a new manufacturing and testing complex in Holme, Denmark, which promises to double its output of large-scale industrial heat pumps.

The hardware is not the only aspect to Johnson Controls’ success, though. 

Rather than treating heating in isolation, the company integrates its heat pumps with digital controls, automation and building management systems that can improve the overall performance of their machines.

7. Vaillant

Founded: 1874
Based in: Remscheid, Germany
CEO: Norbert Schiedeck

Vaillant is one of European heating's oldest names. 

The company has invested huge amounts in heat pump development in recent years as it pivots away from the gas boilers that made its name. 

To date, it has put billions of euros into manufacturing these machines and is capable of producing half a million heat pumps a year at its flagship factory in Slovakia.

Vaillant’s latest ranges have become sleeker and more compact, making them appropriate for even the smallest spaces.

6. Bosch

Founded: 1886
Based in: Wetzlar, Germany
CEO: Jan Brockmann

Known globally for precision manufacturing and energy technology, Bosch has expanded aggressively into renewable heating solutions for both homes and commercial buildings. 

The German firm’s heat pumps – manufactured by the Bosch Home Comfort Group – are designed to deliver efficient heating, cooling and hot water. 

The company’s growing focus on digitalisation means that its heat pumps include connected controls and energy management tools too, reflecting a wider industry shift toward more intelligent home energy ecosystems. 

5. LG Electronics

Founded: 1958
Based in: Seoul, South Korea
CEO: Lyu Jae-cheol

Since the release of its first heat pump product in 2008, LG’s heating and cooling portfolio has gone from strength to strength.

Behind much of the firm’s recent work is its trifecta of dedicated HVAC research centres in Germany, South Korea and the US.

In terms of performance, LG’s Therma V system is both efficient and compatible with smart home platforms, making it a thoroughly modern model. 

In an effort to roll out more heat pumps across the US, LG has pledged to support California’s goal of installing six million systems across the state by 2030.

4. NIBE

Founded: 1952
Based in: Markaryd, Sweden
CEO: Gerteric Lindquist

NIBE is perhaps the most undersung of all major heat pump manufacturers. Founded in the Swedish province of Småland, the NIBE released its first heat pump in 1981 and has since built one of the strongest, most diverse businesses in the sector.

Its ground source heat pump technology is particularly well respected, having helped Sweden achieve one of the highest rates of residential heat pump penetration in the world – 70% of detached houses.

Despite some headwinds in 2024 caused by rising interest rates dampening new construction and consumer spending, NIBE's long-term strategic direction remains clearly oriented towards sustainable heating at scale.

3. Mitsubishi Electric

Founded: 1921
Based in: Tokyo, Japan
CEO: Kei Uruma

Mitsubishi Electric has long been regarded as one of the most technically sophisticated heat pump manufacturers in the world, and its Ecodan range has come to define quality benchmarking in the residential air source sector.

The decision to manufacture the Ecodan systems at a dedicated factory in Scotland – producing critical components entirely in-house – is an keeps Mitsubishi's supply chain small and resilient, which is especially important in times of geopolitical instability.

The Ecodan is widely respected for their ability to maintain performance in colder climates, helping expand heat pump adoption into regions once considered difficult markets.

2. Carrier Global

Founded: 1915
Based in: Palm Beach, Florida, USA
CEO: Dave Gitlin

Willis Carrier invented modern air conditioning in the early twentieth century, so it is quite fitting that the company bearing his name is now among the world’s heat pump leaders. 

Carrier’s acquisition of Viessmann in early 2024 transformed the firm from a respected player into a formidable force, adding a premium European brand, solar and storage integration capabilities – as well as 12,000 additional employees – practically overnight. 

Around the time of the deal, Carrier’s CEO Dave Gitlin told investors that Europe was “the single most attractive market in the world” when it came to heat pumps, adding that he expected the sales of the devices in the region to soar to US$15bn by 2027.

1. Daikin

Founded: 1924
Based in: Osaka, Japan
CEO: Masanori Togawa

Daikin sits at the summit of the global heat pump industry by virtually every measure, and its centenary year in 2024 was marked by record revenues of nearly US$33.5bn. 

The Japanese firm’s extraordinary position in this market has been won thanks to the uniqueness of its offering. 

Daikin is the sole manufacturer worldwide that develops and produces its climate systems, their compressors and the refrigerants that power them, all under one corporate roof. Right now, no other company can match that.

This level of self-sufficiency gives Daikin the chance to innovate and create at high speed.

Its Altherma series of air-to-water heat pumps is the dominant product across residential Europe right now, where heat pump uptake is greatest, which is a testament to the company’s business model.