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The Business of HVAC in Canada: Trends & Strategies for Growth (2025)

The Canadian HVAC landscape is evolving rapidly. With climate-conscious policies, shifting consumer expectations, and growing demand for smart, energy-efficient solutions, contractors face both challenges and unprecedented opportunities.

Understanding these trends is crucial to positioning your business for success. Here’s a clear breakdown of key changes and what they mean for your operations.

 

1. Heat Pumps Are Taking Over

Heat pump systems are no longer a niche offering; they’re becoming standard across Canada.

In 2023 alone, over 170,000 heat pumps were installed in Canada, with uptake continuing to rise thanks to federal and provincial rebates (like the Canada Greener Homes Grant) offering up to $5,000 for eligible installations.

The federal government has committed to eliminating oil heating in homes by 2030, providing a strong incentive to convert to high-efficiency heat pumps.

 

What does this mean for you:

Customers are asking for heat pumps, and governments are backing them. Contractors trained and stocked for heat pump installation will be in high demand through 2025 and beyond.

 

2. New Refrigerant Rules Are Reshaping the Market

Canada is phasing out high Global Warming Potential (GWP) refrigerants like R-410A.

By 2025, most systems must use low-GWP refrigerants like R-32 or R-454B, in line with Environment and Climate Change Canada’s regulations.

This change will impact installation practices, service protocols, and product availability.

 

What does this mean for you:

You’ll need systems and components that are A2L-ready, and your team will need proper training to handle and service them safely.

 

3. Smart Systems and IAQ Matter More Than Ever

Homeowners and businesses alike are seeking smarter HVAC solutions and better air quality.

Demand for smart thermostats, zoning systems, and indoor air quality (IAQ) upgrades is growing rapidly, especially in urban centres.

These systems are no longer considered premium add-ons—they’re part of the expected comfort and energy-efficiency package.

 

What does this mean for you:

Offering smart upgrades and IAQ solutions can increase your average project value and differentiate your services from the competition.

 

4. Labor Shortages = Opportunity for Strategic Growth

With an aging workforce, the HVAC industry in Canada is facing a shortage of over 10,000 skilled workers by 2030.

At the same time, demand for HVAC installation and service is growing.

This means increased competition for talent and greater pressure to work efficiently.

 

What does this mean for you:

Streamlining your parts sourcing, training new techs efficiently, and choosing reliable product partners will directly affect your profitability and growth.

 

How Airtek Helps Canadian Contractors Succeed

As one of Canada’s leading HVAC distributors and service contractors, Airtek Group proudly partners with Gree Electric Appliance Inc., a global leader in HVAC technology. With locations across Canada, Airtek is dedicated to providing contractors with:

  • Energy-efficient, low-GWP systems and refrigerants compliant with evolving Canadian regulations.
  • Heat pump, smart thermostat, and IAQ solution bundles tailored for quick, reliable installation.
  • Comprehensive training and certification resources to keep your team A2L-ready and up to date.
  • Reliable, timely supply to help you avoid delays and maintain smooth project delivery.
  • Personalized advice and support to match your business needs and regional market dynamics.

 

Let’s Get Started

Ready to stay ahead in 2025 by equipping your team with compliant, energy-efficient HVAC products and the expert support needed for smooth, safe installations?

Contact Airtek today:
Call us at 1-866-969-1931
Explore more at airtekshop.com

 

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