Plumbing, Heat & Air Conditioning Installation in France - Market Size, Industry Analysis, Trends and Forecasts (2025-2029)

Plumbing, Heat & Air Conditioning Installation in France industry analysis

Plumbing and HVAC (heating, ventilation and air conditioning) contractors play a crucial role in the building construction process, as well as providing and provide renovation services for existing buildings. Industry contractors are a critical component of France’s drive towards energy- efficiency and carbon neutrality, which will require households to replace older heating systems with modern, energy-efficient alternatives. This link has had a major influence on the industry in recent years, and will continue to do so in the coming years.
Revenue is forecast to slide at a compound annual rate of 1.6% to €34.3 billion over the five years through 2025 to €34.3 billion. Demand for industry services has been underpinned by strong renovation activity since the MaPrimeRenov scheme was launched in January 2020 to help households finance energy retrofitting. Despite mitigating its impact, this has proved insufficient in offsetting the effects of a slump in building construction markets, with rising interest rates and soaring borrowing costs prevailing to stunting growth over the two years through 2024. Revenue is set to grow by 2% in the current year,2025, as improving economic conditions are expected to spark some life back into building construction markets.
Revenue is slated to grow at a compound annual rate of 2.6% over the five years through 2030, reaching €38.9 billion. Falling interest rates should release the current constraints on downstream building construction markets in the medium- term, supporting demand for industry contractors. Ambitious targets set as part of France’s MaPrimeRenov MaPrimeRenov scheme will continue to drive demand for energy retrofitting, in turn fuelling demand for industry contractors.

Trends and Insights

• Demand from infrastructure markets remains resilient. Due to the essential nature of infrastructure and the fact that public funding is pre-allocated, infrastructure construction has remained reasonably steady in the face of recent economic hardship.
• Government funding supports new installations. Funding for the installation of new, more-efficient heating systems has created high-value opportunities for plumbing and HVAC contractors.
• Many small-scale contractors means a fragmented market. Market concentration is low because many plumbing and HVAC contractors are small, owner-operated businesses serving a limited geographical region.