"Innovative Market Solutions to Help Businesses Make Informed Decisions"

U.S. Natural Refrigerants Market Size, Share & COVID-19 Impact Analysis, By Type (Hydrocarbons, Ammonia, and Carbon Dioxide), By End-Use Industry (Industrial, Commercial, and Domestic), and Forecast, 2023-2030

Region : USA | Format: PDF | Report ID: FBI108285



Play Audio Listen to Audio Version

The U.S. natural refrigerants market size was worth USD 259.8 million in 2022 and is projected to grow at a CAGR of 6.5% during the forecast period.

Natural refrigerants are produced by biochemical processes that use natural resources. Most products used in Heating, Ventilation, Air Conditioning, and Refrigeration (HVACR) applications are hydrocarbons such as propylene (R-1270), propane (R-290), and isobutene (R-600a); ammonia (R-717, NH3), and carbon dioxide (R-744, CO2), while other refrigerants include air (R-729) and water (R-718, H2O).

The U.S. natural refrigerants market is driven mainly by the increasing demand for natural type of refrigerants with good energy efficiency and minimal environmental effects. Natural refrigerants are becoming increasingly popular as an alternative to synthetic refrigerants, such as chlorofluorocarbons (CFCs) and hydrofluorocarbons (HFCs), known to have significant potential for global warming and ozone depletion. The rising concern about global warming and other environmental issues are key factors driving the U.S. natural refrigerants market growth.

The COVID-19 outbreak had a detrimental impact on every aspect of the global economy, and this industry is no exception. Natural refrigerant manufacturing companies and ammonia and hydrocarbon manufacturing faced crippled demand and stalled business activities. Companies operating in the natural refrigerants manufacturing sector had to adopt additional safety measures and maintain appropriate COVID-19 behavior to safeguard their employees.


Implementation of Stringent Environmental Regulations to Favor Market Growth

According to the U.S. Environmental Protection Agency (EPA), Ozone-Depleting Substances (ODS) are regulated in the U.S. as Class I or II controlled substances. Class I substances, such as halons and chlorofluorocarbons (CFCs), have a higher ozone-depleting potential and have been phased out in the U.S., with a few exceptions, meaning that no one can import or manufacture Class I substances. Class II substances are fluorochlorinated hydrocarbons (HCFCs), transitional substitutes for many Class I substances. The new production and import of most HCFCs was discontinued in 2020. Such regulations are anticipated to drive the market expansion.


Reduced Operating Costs and Lower Maintenance to Drive the Market Growth

Natural refrigeration technologies are an outperformer from an economic standpoint. Many refrigerants in this category are cheaper than artificial gases, CFCs, and HFCs. Some are up to 40% more energy efficient than HFCs. Depending on the size and type of the system, many manufacturers may incur additional expenses upon installing a natural refrigerant system. Still, these costs are offset in the mid to long term by the reduced costs of the product.

Hydrocarbons, such as propane, butane, and propene, are ideal natural refrigerants. Butane is increasingly found in small commercial refrigeration systems. For example, Pepsi compared the efficiency of small drinks chillers with up to 150 g of coolant and discovered that butane-powered chillers used up to 27% less energy than R134a-powered chillers. Since then, the beverage manufacturer is the only one who uses butane in these chillers. Ben & Jerry's used butane for the first time in the U.S. for its ice cream freezers, and the results were mostly satisfactory. These results will drive the demand for butane for soft drink freezers in the retail market.


Toxicity and Challenges of Using Natural Refrigerants to Restrict Market Growth

Natural refrigerants have some challenges and limitations as hydrocarbon refrigerants are extremely flammable and require additional safety such as gas detectors and safety instructions for personnel. Carbon dioxide refrigerants operate at high pressure. Ammonia refrigerants are toxic. Ammonia alkalinity is extremely corrosive and application components require careful consideration of material compatibility. However, some challenges and its toxicity have slowed the U.S. market growth.


By Type Analysis

Based on type, the market is segmented into hydrocarbons, ammonia, and carbon dioxide.

The hydrocarbons segment accounted for the largest U.S. natural refrigerants market share and is anticipated to grow at a notable CAGR over the study period. This is due to the growing demand for hydrocarbon refrigerants for various applications such as air conditioners, refrigerators, heat pumps, chillers, and others. Moreover, the surge in industrialization in developing countries and their utilization for a wide range of commercial and residential purposes also boost the market growth.

Growing consumption of ammonia as an ideal natural refrigerant in applications, such as food & beverage preservation and processing, owing to its superior cooling abilities and low environmental impact would flourish the segment growth.

Carbon dioxide natural refrigerants are gaining traction in various applications such as compression-type refrigerating machines and onboard refrigerated ships. This is on account of the advent of synthesized halogenated working fluids, which are found to be an ideal and safe refrigerant.

By End-Use Industry Analysis

Based on end-use industry, the market is segmented into industrial, commercial, and domestic.

The industrial segment is expected to dominate the U.S. market share during the forecast period. Growing industrialization in the U.S. along with rising demand for ammonia in industrial refrigeration owing to its thermodynamic properties, profitability, and efficiency would propel the industrial segment growth. These factors would also help escalate product adoption in the industrial sector.

The demand for carbon dioxide, hydrocarbons, and ammonia as an ideal substitute is increasing rapidly in the domestic sector over hydrofluorocarbon (HFC) refrigerants. Their versatility enables them to work in home systems ranging from family-sized freezer/refrigeration systems to small under-the-counter refrigerators with numerous cooling compartments.


In terms of the competitive landscape, the U.S. market depicts the presence of established and emerging natural refrigerant companies. Key players include Air Liquide USA, Linde plc, Airgas, Inc., AGC Inc., and Honeywell International Inc. Industry players compete primarily based on the price and application characteristics of the product. Companies are focusing on product innovation, social marketing, acquisitions, and collaborations.



  • September 2020 - Linde plc launched a new line of hydrogen-based refrigeration systems for industrial and commercial applications. These systems used hydrogen, a natural refrigerant, and were designed to provide energy-efficient and environment-friendly cooling solutions.

  • January 2022 - Honeywell launched a new, non-flammable, energy-efficient refrigerant, Solstice N71 (R-471A), to meet stringent regulations to reduce greenhouse gas emissions.


An Infographic Representation of U.S. Natural Refrigerants Market

To get information on various segments, share your queries with us

The report thoroughly examines key factors such as leading companies, applications, and products. It also provides market trends and highlights significant industry advancements. The study includes different variables that have contributed to the market growth in recent years. It examines the market dynamics & opportunities and historical data and revenue growth estimates at the country level.

Report Scope & Segmentation



Study Period


Base Year


Estimated Year


Forecast Period


Historical Period


Growth Rate

CAGR of 6.5% from 2023 to 2030


Value (USD Million), Volume (Kiloton)


By Type and End-Use Industry

By Type

  • Hydrocarbons

  • Ammonia

  • Carbon Dioxide

By End-Use Industry

  • Industrial

  • Commercial

  • Domestic

Frequently Asked Questions

Fortune Business Insights says that the U.S. market was worth USD 259.8 million in 2022.

The market is expected to exhibit a CAGR of 6.5% during the forecast period (2023-2030).

Based on type, the hydrocarbons segment is expected to lead the market during the forecast period.

Air Liquide USA, Linde plc, Airgas, Inc., AGC Inc., and Honeywell International Inc. are the top players in the market.

Seeking Comprehensive Intelligence on Different Markets?
Get in Touch with Our Experts

Speak to an Expert
  • Sep, 2023
  • 2022
  • 2019-2021
  • 125


  • $2850

Personalize this Research

  • Granular Research on Specified Regions or Segments
  • Companies Profiled based on User Requirement
  • Broader Insights Pertaining to a Specific Segment or Region
  • Breaking Down Competitive Landscape as per Your Requirement
  • Other Specific Requirement on Customization
Request Customization Banner

Client Testimonials

“This report is really well done and we really appreciate it! Again, I may have questions as we dig in deeper. Thanks again for some really good work.”

- U.S.-based biotechnology company focussing on treatment of chronic pain.

“Kudos to your team. Thank you very much for your support and agility to answer our questions.”

- Europe-based provider of solutions to automate data centre operations.

“We appreciate you and your team taking out time to share the report and data file with us, and we are grateful for the flexibility provided to modify the document as per request. This does help us in our business decision making. We would be pleased to work with you again, and hope to continue our business relationship long into the future.”

- India-based manufacturer of industrial and specialty intermediates with a strong global presence.

“I want to first congratulate you on the great work done on the Medical Platforms project. Thank you so much for all your efforts.”

- One of the largest cosmetics company in the world.

“Thank you very much. I really appreciate the work your team has done. I feel very comfortable recommending your services to some of the other startups that I’m working with, and will likely establish a good long partnership with you.”

- U.S. based startup operating in the cultivated meat market.

“We received the below report on the U.S. market from you. We were very satisfied with the report.”

- UGlobal hearing aids manufacturer.

“I just finished my first pass-through of the report. Great work! Thank you!”

- U.S. based solar racking solutions provider.

“Thanks again for the great work on our last partnership. We are ramping up a new project to understand the imaging and imaging service and distribution market in the U.S.”

- World’s leading advisory firm.

“We feel positive about the results. Based on the presented results, we will do strategic review of this new information and might commission a detailed study on some of the modules included in the report after end of the year. Overall we are very satisfied and please pass on the praise to the team. Thank you for the co-operation!”

- Germany based machine construction company.

“Thank you very much for the very good report. I have another requirement on cutting tools, paper crafts and decorative items.”

- Japanese manufacturing company of stationery products.

“We are happy with the professionalism of your in-house research team as well as the quality of your research reports. Looking forward to work together on similar projects”

- One of the Leading Food Companies in Germany

“We appreciate the teamwork and efficiency for such an exhaustive and comprehensive report. The data offered to us was exactly what we were looking for. Thank you!”

- Intuitive Surgical

“I recommend Fortune Business Insights for their honesty and flexibility. Not only that they were very responsive and dealt with all my questions very quickly but they also responded honestly and flexibly to the detailed requests from us in preparing the research report. We value them as a research company worthy of building long-term relationships.”

- Major Food Company in Japan

“Well done Fortune Business Insights! The report covered all the points and was very detailed. Looking forward to work together in the future”

- Ziering Medical

“It has been a delightful experience working with you guys. Thank you Fortune Business Insights for your efforts and prompt response”

- Major Manufacturer of Precision Machine Parts in India

“I had a great experience working with Fortune Business Insights. The report was very accurate and as per my requirements. Very satisfied with the overall report as it has helped me to build strategies for my business”

- Hewlett-Packard

“This is regarding the recent report I bought from Fortune Business insights. Remarkable job and great efforts by your research team. I would also like to thank the back end team for offering a continuous support and stitching together a report that is so comprehensive and exhaustive”

- Global Management Consulting Firm

“Please pass on our sincere thanks to the whole team at Fortune Business Insights. This is a very good piece of work and will be very helpful to us going forward. We know where we will be getting business intelligence from in the future.”

- UK-based Start-up in the Medical Devices Sector

“Thank you for sending the market report and data. It looks quite comprehensive and the data is exactly what I was looking for. I appreciate the timeliness and responsiveness of you and your team.”

- One of the Largest Companies in the Defence Industry
We use cookies to enhance your experience. By continuing to visit this site you agree to our use of cookies . Privacy.