Greenhouse Heater Market – Global Industry Size, Share, Trends, Opportunity, and Forecast, Segmented By Heater type (Electric, Gas, Paraffin), By Application (Glass Greenhouse, Plastic Greenhouse), By Greenhouse size (Small, Medium, Large), By Region, By Competition, 2021-2031F

Forecast Period	2027-2031
Market Size (2025)	USD 2.79 Billion
CAGR (2026-2031)	5.88%
Fastest Growing Segment	Glass Greenhouse
Largest Market	North America
Market Size (2031)	USD 3.93 Billion

Market Overview

The Global Greenhouse Heater Market will grow from USD 2.79 Billion in 2025 to USD 3.93 Billion by 2031 at a 5.88% CAGR. Greenhouse heaters are specialized thermal regulation systems designed to maintain optimal ambient temperatures within controlled agricultural environments, thereby ensuring consistent plant development during cold periods. The market is primarily propelled by the escalating global demand for year-round food security and the intensification of commercial horticulture practices aimed at maximizing crop yield per square meter. This robust expansion of the protected cultivation sector drives the necessity for reliable heating solutions. According to the Spanish Federation of Associations of Producers Exporters of Fruits and Vegetables (FEPEX), in 2024, the export value of fresh fruits and vegetables exceeded 17.7 billion euros, representing a 5% increase compared to the previous year.

However, market expansion is significantly impeded by the volatility and high cost of energy required to operate these systems. As fuel prices fluctuate and regulatory frameworks increasingly mandate low-carbon operations, growers encounter substantial pressure to balance thermal efficiency with operational expenditures. This financial strain often causes hesitation in infrastructure upgrades and capital investments, potentially slowing the adoption rate of new heating units and hindering broader market growth.

Key Market Drivers

The expansion of commercial greenhouse cultivation areas is the primary catalyst for market growth, driven by the imperative to scale production against a backdrop of rising global food demand. As producers increase their physical footprint to ensure year-round supply, the installation of robust heating infrastructure becomes essential to extend growing seasons and protect crops from freezing temperatures. This trend is physically evident in major agricultural regions where protected cropping is surging in scale. According to Agriculture and Agri-Food Canada, October 2025, in the 'Statistical Overview of the Canadian Greenhouse Vegetable and Mushroom Industry 2024', there were a total of 974 commercial greenhouse vegetable operations in Canada in 2024, representing a 5% increase in production compared to the previous year. This ongoing infrastructure development directly necessitates new thermal regulation units, fueling consistent order volumes for manufacturers.

Simultaneously, the market is being reshaped by supportive government initiatives and the growing focus on sustainable heating solutions. As energy price volatility persists, growers are aggressively transitioning toward efficient systems supported by public funding programs designed to lower the barrier to entry for green technology. According to the UK Department for Environment, Food & Rural Affairs, May 2025, in the 'Farming Equipment and Technology Fund 2025' guidance, the government allocated a total budget of £46.7 million to help farmers invest in equipment that improves productivity and energy efficiency. This financial backing is accelerating the shift away from fossil fuels, a trend further highlighted by the adoption of renewable sources. According to Geothermie Nederland, February 2025, in its annual production figures release, geothermal heat production for greenhouse horticulture in the Netherlands increased by over 16% in 2024, underscoring the rapid sector-wide move toward decarbonized heating.

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Key Market Challenges

The volatility and high cost of energy required for thermal regulation represent a formidable barrier to the growth of the Global Greenhouse Heater Market. As heating systems constitute a major portion of operational expenditures in controlled environment agriculture, fluctuating fuel prices directly destabilize profit margins for growers. When energy rates rise unpredictably, agricultural producers are compelled to divert capital toward covering immediate utility bills rather than investing in infrastructure upgrades or purchasing new heating units. This financial precarity makes long-term capital expenditure decisions increasingly difficult, leading to the postponement or cancellation of heater replacement projects.

Consequently, the market experiences reduced demand for new installations as the adoption rate of thermal technologies slows. According to Glastuinbouw Nederland, in 2024, natural gas prices for the horticultural sector traded between 50 and 80 euros per megawatt-hour, maintaining a cost burden significantly higher than historical pre-crisis norms. This sustained pricing pressure forces growers to prioritize operational survival over facility expansion, thereby dampening sales volumes for greenhouse heaters. Manufacturers thus encounter a challenging environment where potential clients remain hesitant to commit to new heating assets without the assurance of stable energy inputs.

Key Market Trends

Implementation of Waste Heat Recovery Technologies is increasingly characterizing the market as growers establish symbiotic relationships with data centers to capture excess thermal energy. This circular economy approach repurposes the substantial heat generated by high-performance computing servers to maintain optimal greenhouse temperatures, significantly reducing reliance on traditional gas boilers. By utilizing this residual energy, agricultural operations can effectively decouple thermal regulation costs from volatile fossil fuel markets while simultaneously lowering carbon emissions. According to Vertical Farm Daily, June 2025, in the article 'Using heat from AI data centers to warm greenhouses', a 10-hectare Dutch bell pepper grower utilizing this digital energy exchange model can achieve heating gas savings of up to €860,000 annually.

The Shift Toward High-Efficiency Electric Heating Units is accelerating as producers prioritize the modernization of aging infrastructure that is no longer economically viable. Growers are aggressively replacing obsolete fossil fuel systems with advanced electric heat pumps and hydronic solutions to improve thermal retention and comply with stricter environmental regulations. This retrofitting wave is particularly critical for mature agricultural markets where older facilities face severe efficiency disadvantages compared to modern builds. According to Hortidaily, October 2025, in the article 'By mid-century, I hope greenhouses will be recognised as essential nodes in the UK's food network', a study mapping protected cropping space revealed that over 70% of the UK's greenhouse infrastructure is more than 40 years old, underscoring the massive immediate potential for upgrading to modern heating technologies.

Segmental Insights

The Glass Greenhouse segment is currently emerging as the fastest-growing category within the global greenhouse heater market due to the increasing adoption of commercial-scale horticulture. Growers prefer glass structures for their superior durability and high light transmission, which are essential for maximizing yields of high-value crops. This structural preference necessitates the installation of reliable heating systems to maintain precise internal temperatures, particularly in regions experiencing harsh winters. Consequently, the global shift toward permanent agricultural infrastructure supports the sustained demand for efficient heating solutions to ensure stable year-round production.

Regional Insights

North America currently holds a dominant position in the Global Greenhouse Heater Market, primarily driven by the extensive expansion of controlled-environment agriculture across the United States and Canada. The region's distinct seasonal variations and prolonged cold periods necessitate reliable heating infrastructure to maintain optimal growing conditions throughout the year. This demand is further strengthened by favorable government initiatives, such as energy efficiency programs supported by the United States Department of Agriculture, which incentivize growers to upgrade to modern heating systems. Consequently, the convergence of climatic requirements and supportive agricultural policies secures North America’s leadership in this sector.

Recent Developments

• In June 2025, Van der Ende Group expanded its climate control portfolio with the introduction of the Airmix Active, a compact heat pump dehumidifier developed for the greenhouse sector. This innovative system was engineered to work in conjunction with existing Airmix units, creating a hybrid solution that intelligently switched between passive and active dehumidification based on climate conditions. The unit functioned by converting recovered moisture into usable heat, returning approximately 4.2 watts of heat energy to the greenhouse for every unit of electricity consumed. This launch provided growers with an energy-efficient method to maintain optimal humidity and temperature levels year-round.
• In January 2025, Modine Manufacturing Company introduced a revitalized series of its Hot Dawg unit heaters, incorporating significant enhancements to improve performance and efficiency for the Global Greenhouse Heater Market. The revamped lineup included gas-fired, electric, and hydronic models, featuring a new dimpled heat exchanger tube designed to increase efficiency and reduce operational noise. These updates were part of the company's broader strategy to provide versatile and reliable heating solutions for agricultural and commercial applications. The improved design also offered easier installation and maintenance features, such as repositioned manometer connections and external gas line access.
• In December 2024, BioTherm Solutions launched the Ultimate Grower Climate Control System, a comprehensive all-in-one solution designed to optimize environmental management in cultivation spaces. This new system featured advanced four-pipe hydronic HVACD technology with reheat capabilities, which provided precise temperature control and heating for greenhouse operations. The launch included the integration of AirDentro air handling units and a dissolved oxygen system to support robust root development. By consolidating heating, cooling, and dehumidification into a single efficient platform, the company aimed to eliminate the need for traditional distributed air conditioning units and standalone dehumidifiers.
• In March 2024, Munters established a dedicated retrofit center aimed at extending the lifespan of its climate control products and enhancing energy efficiency for customers in the Global Greenhouse Heater Market. This facility was designed to assist growers in upgrading existing air handling units and transitioning from fossil fuel-based heating to cleaner electric heating sources. The initiative addressed the growing demand for sustainable agricultural operations by offering solutions such as plug fan walls and advanced controllers. This strategic move allowed the company to support European customers in reducing their carbon footprint while optimizing the performance of their installed heating and climate systems.

Key Market Players

• KING ELECTRICAL MFG. CO.
• Heliospectra AB
• Hort Americas, LLC
• The International Greenhouse Contractors LLC
• Agra-Tech Inc
• L.B. White Company, LLC
• BioGreen GmbH
• Siebring Manufacturing, Inc.
• Hotbox International Limited
• Roberts-Gordon LLC

By Heater type	By Application	By Greenhouse size	By Region
Electric Gas Paraffin	Glass Greenhouse Plastic Greenhouse	Small Medium Large	North America Europe Asia Pacific South America Middle East & Africa

Report Scope:

In this report, the Global Greenhouse Heater Market has been segmented into the following categories, in addition to the industry trends which have also been detailed below:

• Greenhouse Heater Market, By Heater type:

• Electric
• Gas
• Paraffin

• Greenhouse Heater Market, By Application:

• Glass Greenhouse
• Plastic Greenhouse

• Greenhouse Heater Market, By Greenhouse size:

• Small
• Medium
• Large

• Greenhouse Heater Market, By Region:

• North America
• United States
• Canada
• Mexico
• Europe
• France
• United Kingdom
• Italy
• Germany
• Spain
• Asia Pacific
• China
• India
• Japan
• Australia
• South Korea
• South America
• Brazil
• Argentina
• Colombia
• Middle East & Africa
• South Africa
• Saudi Arabia
• UAE