North America Geothermal Heat Pumps Market By Type (Open Loop, Closed Loop), By Application (Residential, Commercial, Industrial), By Country, Competition, Forecast and Opportunities, 2020-2030F

May 2025 | 120 pages | ID: NF1B364B0FF5EN
TechSci Research

Abstracts

Market Overview

The North America Geothermal Heat Pumps Market was valued at USD 4.42 billion in 2024 and is projected t%li%reach USD 5.89 billion by 2030, growing at a CAGR of 4.90% during the forecast period. This market encompasses the manufacturing, installation, and maintenance of geothermal heat pump systems used t%li%provide space heating and cooling across residential, commercial, and institutional buildings in the United States, Canada, and Mexico. Geothermal systems utilize the earth's consistent subsurface temperature as a renewable thermal source, offering a high-efficiency alternative t%li%conventional HVAC systems. Market growth is supported by rising energy costs, increased focus on carbon reduction, and attractive government incentives such as rebates and tax credits. Technological advances in system design, drilling efficiency, and smart thermostat integration have made geothermal systems more accessible and effective. As climate concerns and energy efficiency regulations grow more prominent, geothermal heat pumps are gaining traction as a viable long-term solution for low-emission building climate control in North America.

Key Market Drivers

Rising Emphasis on Sustainable Residential Construction and Green Building Certifications

The market is experiencing increased demand due t%li%the rising focus on sustainable residential construction and adherence t%li%green building certification programs. Federal, regional, and private initiatives are promoting energy-efficient housing that lowers greenhouse gas emissions and reduces reliance on fossil fuels. Geothermal heat pumps align with these goals, making them an attractive option for developers pursuing certifications such as Leadership in Energy and Environmental Design. These systems help improve energy performance and occupant comfort, while reducing utility costs and enhancing property value. Growing consumer awareness around eco-friendly living further supports adoption, with geothermal systems becoming a preferred choice in both high-end and mid-range housing developments. As the real estate sector pushes toward net-zer%li%targets, geothermal technology is increasingly viewed as a strategic investment that delivers long-term environmental and economic benefits.

Key Market Challenges

High Initial Capital Investment and Financing Barriers

A primary obstacle t%li%widespread adoption of geothermal heat pump systems is the substantial upfront cost, especially in the residential and small commercial segments. Unlike traditional systems, geothermal solutions require drilling or trenching for underground loop installation, often resulting in system costs exceeding USD 25,000. This capital intensity is a deterrent for many property owners, even though the systems promise lower long-term operating expenses. Additionally, financing options tailored specifically for geothermal technologies remain limited. Traditional lenders may lack familiarity with these systems, while incentive programs often involve complex procedures or delayed reimbursements. This creates accessibility issues, particularly in rural or low-income areas. The absence of scalable financing models such as utility on-bill programs or third-party ownership, which have driven solar adoption, further limits market expansion. As a result, geothermal systems are often perceived as premium products, restricting broader market penetration and slowing the transition t%li%cleaner thermal energy alternatives.

Key Market Players

• WaterFurnace Renewable Energy, Inc.
• Trane Technologies plc
• Carrier Global Corporation
• Daikin Industries, Ltd.
• Enertech Global, LLC
• Rheem Manufacturing Company
• Ormat Technologies Inc.
• Mammoth, Inc.

Report Scope:

In this report, the North America Geothermal Heat Pumps Market has been segmented int%li%the following categories, in addition t%li%the industry trends which have als%li%been detailed below:

• North America Geothermal Heat Pumps Market, By Type:
• Open Loop
• Closed Loop
• North America Geothermal Heat Pumps Market, By Application:
• Residential
• Commercial
• Industrial
• North America Geothermal Heat Pumps Market, By Country:
• United States
• Canada
• Mexico

Competitive Landscape

Company Profiles: Detailed analysis of the major companies present in the North America Geothermal Heat Pumps Market.

Available Customizations:

North America Geothermal Heat Pumps Market report with the given market data, TechSci Research offers customizations according t%li%a company's specific needs. The following customization options are available for the report:

Company Information

• Detailed analysis and profiling of additional market players (up t%li%five).

Contents

1. PRODUCT OVERVIEW

1.1. Market Definition
1.2. Scope of the Market
  1.2.1. Markets Covered
  1.2.2. Years Considered for Study
1.3. Key Market Segmentations

2. RESEARCH METHODOLOGY

2.1. Objective of the Study
2.2. Baseline Methodology
2.3. Formulation of the Scope
2.4. Assumptions and Limitations
2.5. Sources of Research
  2.5.1. Secondary Research
  2.5.2. Primary Research
2.6. Approach for the Market Study
  2.6.1. The Bottom-Up Approach
  2.6.2. The Top-Down Approach
2.7. Methodology Followed for Calculation of Market Size & Market Shares
2.8. Forecasting Methodology
  2.8.1. Data Triangulation & Validation

3. EXECUTIVE SUMMARY

3.1. Overview of the Market
3.2. Overview of Key Market Segmentations
3.3. Overview of Key Market Players
3.4. Overview of Key Regions/Countries
3.5. Overview of Market Drivers, Challenges, and Trends

4. VOICE OF CUSTOMER

5. NORTH AMERICA GEOTHERMAL HEAT PUMPS MARKET OUTLOOK

5.1. Market Size & Forecast
  5.1.1. By Value
5.2. Market Share & Forecast
  5.2.1. By Type (Open Loop, Closed Loop)
  5.2.2. By Application (Residential, Commercial, Industrial)
  5.2.3. By Country (United States, Canada, Mexico)
  5.2.4. By Company (2024)
5.3. Market Map

6. UNITED STATES GEOTHERMAL HEAT PUMPS MARKET OUTLOOK

6.1. Market Size & Forecast
  6.1.1. By Value
6.2. Market Share & Forecast
  6.2.1. By Type
  6.2.2. By Application

7. CANADA GEOTHERMAL HEAT PUMPS MARKET OUTLOOK

7.1. Market Size & Forecast
  7.1.1. By Value
7.2. Market Share & Forecast
  7.2.1. By Type
  7.2.2. By Application

8. MEXICO GEOTHERMAL HEAT PUMPS MARKET OUTLOOK

8.1. Market Size & Forecast
  8.1.1. By Value
8.2. Market Share & Forecast
  8.2.1. By Type
  8.2.2. By Application

9. MARKET DYNAMICS

9.1. Drivers
9.2. Challenges

10. MARKET TRENDS & DEVELOPMENTS

10.1. Merger & Acquisition (If Any)
10.2. Product Launches (If Any)
10.3. Recent Developments

11. COMPANY PROFILES

11.1. WaterFurnace Renewable Energy, Inc.
  11.1.1. Business Overview
  11.1.2. Key Revenue and Financials
  11.1.3. Recent Developments
  11.1.4. Key Personnel/Key Contact Person
  11.1.5. Key Product/Services Offered
11.2. Trane Technologies plc
11.3. Carrier Global Corporation
11.4. Daikin Industries, Ltd.
11.5. Enertech Global, LLC
11.6. Rheem Manufacturing Company
11.7. Ormat Technologies Inc.
11.8. Mammoth, Inc.

12. STRATEGIC RECOMMENDATIONS

13. ABOUT US & DISCLAIMER