Thailand Low GWP Refrigerants Market Report Size Share Growth Drivers Trends Opportunities & Forecast 2025–2030

Thailand Low GWP Refrigerants Market Overview

• The Thailand Low GWP Refrigerants Market is valued at USD 270 million, based on a five-year historical analysis. This growth is primarily driven by increasing environmental regulations, rising awareness of climate change, the transition towards sustainable refrigerants, and the regional shift to R32 in new residential and light commercial air conditioning systems.
• Key players in this market are concentrated in urban centers such as Bangkok, Chiang Mai, and Pattaya. Bangkok, being the capital and largest city, serves as a hub for commercial activities and innovation, while Chiang Mai and Pattaya attract significant tourism, driving demand for refrigeration and air conditioning solutions. The concentration of industries and population in these areas further enhances market growth.
• The Chemicals and Materials Impact Notification (CMIN) Order B.E. 2564 (2021) issued by the Ministry of Industry mandates import licensing and management of controlled refrigerants including HFCs, requiring phase-down compliance through quotas, technician certification, and recovery programs for high-GWP substances above specified thresholds.

Thailand Low GWP Refrigerants Market Segmentation

By Type:The market is segmented into Hydrocarbons, HFOs (Hydrofluoroolefins), CO2 (Carbon Dioxide), and Ammonia. Among these, Hydrocarbons are gaining traction due to their low environmental impact and efficiency. HFOs are also popular for their favorable thermodynamic properties, while CO2 is increasingly used in commercial refrigeration applications. Ammonia remains a strong choice in industrial settings due to its efficiency and low GWP.

By Application:The applications of low GWP refrigerants include Air Conditioning, Refrigeration, Heat Pumps, and Chillers. Air Conditioning is the leading application segment, driven by the growing demand for energy-efficient cooling solutions in residential and commercial buildings. Refrigeration follows closely, particularly in the food and beverage sector, while Heat Pumps and Chillers are gaining popularity in industrial applications.

Thailand Low GWP Refrigerants Market Competitive Landscape

The Thailand Low GWP Refrigerants Market is characterized by a dynamic mix of regional and international players. Leading participants such as Thai Refrigeration Industry Co., Ltd., SCG Chemicals, Daikin Industries (Thailand) Co., Ltd., Mitsubishi Electric Kang Yong Watana Co., Ltd., Gree Electric Appliances, Inc., LG Electronics (Thailand) Co., Ltd., Panasonic Manufacturing (Thailand) Co., Ltd., Honeywell (Thailand) Ltd., Chemours Thailand Co., Ltd., Arkema S.A., A-Gas (Thailand) Co., Ltd., Solvay S.A., Linde Thailand Ltd., Air Products and Chemicals, Inc., Refron Co., Ltd. contribute to innovation, geographic expansion, and service delivery in this space.

Thailand Low GWP Refrigerants Market Industry Analysis

Growth Drivers

• Increasing Environmental Regulations:Thailand's commitment to the Paris Agreement has led to stricter environmental regulations, particularly regarding greenhouse gas emissions. The government aims to reduce emissions by 20-25% by 2030, which directly impacts the refrigeration sector. As of the future, the Ministry of Natural Resources and Environment has implemented policies that encourage the transition to low GWP refrigerants, resulting in a projected increase in demand for these alternatives by approximately 15,000 tons annually.
• Rising Demand for Energy-Efficient Solutions:The Thai government has set a target to increase energy efficiency by 30% by 2030, which is driving the adoption of energy-efficient refrigeration systems. In the future, the energy consumption in the refrigeration sector is expected to reach 12,000 GWh, prompting businesses to seek low GWP refrigerants that offer better energy performance. This shift is supported by the Energy Efficiency Development Plan, which allocates THB 20 billion for energy-saving initiatives.
• Technological Advancements in Refrigeration:Innovations in refrigeration technology are facilitating the adoption of low GWP refrigerants. In the future, the introduction of new compressor technologies and heat exchangers is expected to enhance system efficiency by 20%. The Thai government is also investing THB 5 billion in research and development for sustainable refrigeration technologies, which is expected to accelerate the transition to low GWP solutions, making them more accessible and effective for various applications.

Market Challenges

• High Initial Investment Costs:The transition to low GWP refrigerants often requires significant upfront investments in new equipment and training. In the future, the average cost of retrofitting existing systems is estimated at THB 1 million per facility, which can deter small and medium enterprises from making the switch. This financial barrier is compounded by the need for specialized knowledge and skills to handle new refrigerants, further complicating the adoption process.
• Limited Availability of Low GWP Alternatives:Despite growing demand, the availability of low GWP refrigerants remains limited in Thailand. As of the future, only 30% of the market is served by low GWP options, with major suppliers focusing on traditional refrigerants due to established supply chains. This scarcity can lead to higher prices and reduced competition, hindering the overall growth of the low GWP refrigerants market and limiting choices for consumers and businesses alike.

Thailand Low GWP Refrigerants Market Future Outlook

The future of the low GWP refrigerants market in Thailand appears promising, driven by increasing environmental awareness and regulatory support. As businesses and consumers become more conscious of their carbon footprints, the demand for sustainable refrigeration solutions is expected to rise. Additionally, ongoing technological advancements will likely enhance the efficiency and affordability of low GWP options, making them more attractive to a broader range of users. Collaborative efforts between the government and private sector will further accelerate this transition, fostering a more sustainable refrigeration landscape.

Market Opportunities

• Expansion of Green Building Initiatives:The Thai government is promoting green building standards, which include the use of low GWP refrigerants. In the future, an estimated 1,000 new green buildings are expected to be constructed, creating a significant market for eco-friendly refrigeration solutions. This initiative aligns with global sustainability trends, providing a robust opportunity for manufacturers and service providers.
• Development of New Refrigerant Technologies:Ongoing research into alternative refrigerants presents a substantial opportunity for innovation. In the future, investments in R&D are projected to exceed THB 3 billion, focusing on developing next-generation refrigerants that are both efficient and environmentally friendly. This investment will likely lead to breakthroughs that can reshape the market landscape, offering new solutions to meet regulatory demands.