Waste Heat Recovery Market: Analysis of Future Demand and Leading Key Players Through 2030
The Business Research Company
The Business Research Company’s Waste Heat Recovery Global Market Report 2026 - Market Size, Trends, And Global Forecast 2026-2035
LONDON, GREATER LONDON, UNITED KINGDOM, January 27, 2026 /EINPresswire.com/ -- The waste heat recovery sector is gaining significant traction as industries worldwide seek more energy-efficient and environmentally friendly solutions. By tapping into heat that would otherwise be lost, this market is poised for robust growth driven by technological advances and increasing regulatory pressures. Let's delve into the market size, key growth drivers, regional outlook, and the emerging trends shaping the future of waste heat recovery.
Waste Heat Recovery Market Size and Growth Trajectory
The waste heat recovery market has witnessed impressive expansion in recent years. It is projected to increase from $69.90 billion in 2025 to $76.31 billion in 2026, marking a compound annual growth rate (CAGR) of 9.2%. This upward trend in the past has been fueled by rising fuel and electricity costs, the introduction of environmental policies, financial incentives, cost-saving potentials, growth in heavy industry across the Asia-Pacific region, and the proven effectiveness of Organic Rankine Cycle (ORC) technology.
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Looking ahead, the market is expected to maintain this momentum, reaching $107.31 billion by 2030 with a CAGR of 8.9%. The anticipated growth will be driven by global decarbonization mandates, breakthroughs in harnessing low-grade heat, increasing adoption of decentralized power systems and microgrids, the rise of Energy-as-a-Service (EaaS) business models, and focused government incentives. Key market trends include the dominance of advanced ORC solutions, preference for modular and compact units, integration with district heating networks, emphasis on supercritical carbon dioxide cycles, and the use of cascade heat recovery systems.
Understanding Waste Heat Recovery and Its Benefits
Waste heat recovery involves capturing excess thermal energy generated by industrial machinery, engines, or processes that would typically dissipate into the environment. By converting this waste heat into usable power or process heat, industries can significantly boost energy efficiency, decrease fuel consumption, and cut down greenhouse gas emissions. This not only reduces operational costs but also enhances the overall sustainability of industrial operations, making it a crucial technology in the shift toward greener manufacturing and energy practices.
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Environmental Sustainability as a Key Growth Driver in Waste Heat Recovery
One of the foremost forces propelling the waste heat recovery market forward is the rising emphasis on environmental sustainability. This concept revolves around responsibly interacting with natural ecosystems to ensure the preservation of resources for both current and future generations. Heightened awareness of environmental issues has led governments worldwide to enforce stricter regulations and recycling mandates, encouraging industries to adopt greener practices. Waste heat recovery aligns well with these goals by preventing thermal energy wastage and reducing emissions, thereby supporting cleaner and more efficient industrial processes.
For example, in October 2024, the United States Environmental Protection Agency reported a 1.4% increase in greenhouse gas emissions in 2023 compared to the previous year, totaling 322 million metric tons. This rise highlights the urgent need for sustainable solutions like waste heat recovery, which can help mitigate environmental impact and meet evolving regulatory standards.
Regional Landscape of the Global Waste Heat Recovery Market
In 2025, North America held the largest share of the waste heat recovery market, underscoring its advanced industrial base and regulatory environment. However, the Asia-Pacific region is expected to become the fastest-growing market over the coming years, driven by rapid industrialization, growing energy demands, and strong government support for clean energy technologies. Other regions included in the market analysis are South East Asia, Western Europe, Eastern Europe, South America, the Middle East, and Africa, providing a comprehensive view of global market trends and opportunities.
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