Korea's major corporations and midsize home appliance makers have begun a head-on battle in the heat pump market, a technology seen as key in the era of energy transition.
Samsung Electronics and LG Electronics, which are expanding their existing heating, ventilation and air conditioning (HVAC) businesses, as well as Kyungdong Navien, a powerhouse in the boiler market, are concentrating their capabilities, signaling the start of a full-fledged fight for leadership in the next-generation heating market.
On the 2nd, according to global market research firm MarketsandMarkets, the global heat pump market is expected to grow from $83.2 billion in 2025 to $162.6 billion (about 220 trillion won) in 2030.
A heat pump is a technology that supplies heating and hot water using electricity, and it is drawing attention as a next-generation eco-friendly heating technology.
In Europe, carbon neutrality policies and a push to strengthen energy security are combining to rapidly expand the related market. About 3.25 million units were sold in Europe from 2023 through last year, and 2.65 million units were deployed in China over the same period. The Korean government also presented a blueprint to distribute 3.5 million heat pumps by 2035 with the goal of reducing greenhouse gases by 5.18 million tons.
Heat pumps are being evaluated as an inflection point that will reshape the landscape of the existing heating industry beyond a simple move into a new business. In particular, for Kyungdong Navien, which grew with gas boilers as its main business, a strategic response is unavoidable to defend leadership in the future heating market.
Vice Chairman Son Heung-rak of Kyungdong Navien, the eldest son of Chairman Son Yeon-ho who is leading new businesses, has reportedly been aggressively pushing the heat pump business while naming HVAC expansion as the next growth engine.
Samsung Electronics and LG Electronics, long seen as traditional powerhouses in home appliances, have also designated heat pumps as a new growth driver.
Samsung Electronics touted app connectivity that allows users to check and set indoor temperature and water outlet temperature as a strength, while LG Electronics cited an integrated structure that combines the outdoor unit and key system components as an advantage.
Having built service infrastructure for appliance repair and maintenance over many years, Samsung Electronics and LG Electronics plan to leverage their nationwide service networks to reduce the burden of maintenance and after-sales service after heat pump installation.
Industry watchers say no particular company holds an overwhelming technological edge. In other words, corporations with capabilities in boiler or air conditioner manufacturing will not find it difficult to enter the heat pump market. As a result, future competition is expected to hinge not only on product performance but also on installation capabilities, service networks and the ability to build maintenance systems.
The stage for competition is not expected to be limited to Korea. Kyungdong Navien has already entered the U.S. and U.K. heat pump markets. It counts not only domestic corporations but also local European players such as Viessmann and Vaillant as rivals.
Samsung Electronics is set to supply heat pumps and a management system to a large-scale residential complex development led by Polish energy company Ekopark, and LG Electronics in March showcased new heat pump products at Mostra Convegno Expocomfort 2026 in Milan, Italy, moving to target the European market.
An industry official said, "A heat pump is not a home appliance that is simply used by connecting power; it is equipment that requires comprehensive design of a building's entire heating and hot water system," adding, "Because the optimal design method varies depending on building structure, climate conditions and usage patterns, how much diverse installation and operational experience is accumulated will be a key factor that determines future competitiveness."