The Future of Heat Pumps in China

Heating is a fundamental service to society that needs to be decarbonised further, and heating choices in China have a major influence on global heating trends. China is responsible for nearly 33% of global heat consumption, with the share of the industrial sector accounting for as much as 40%, and the buildings sector for around 20%.

Electrification through heat pumps can provide a key lever for decarbonising heating, and sales have increased in recent years in China, driven by growing demand for space and water heating, and clean heating policies.

This report, prepared in collaboration with Tsinghua University, provides an overview of the status of heat pumps in buildings, industry and district heating in China, and examines potential to further accelerate deployment. Heat pumps can play an important role towards meeting China’s goal of CO₂ emissions peaking before 2030 and achieving carbon neutrality before 2060, and this report highlights key opportunities to increase adoption.

Ahead of the 15th Five-Year-Plan period, this report considers the key policy measures that can address barriers to uptake and further accelerate deployment.