Korean home boiler giants boost presence in cooling market

[Courtesy of KD Navien and Kiturami]

As the sweltering summer approaches, South Korea’s two largest home boiler companies, KyungDong Navien (KD Navien) Co. and Kiturami Co., are vying for dominance in the cooling market, capturing the attention of industry observers.

According to sources on Monday, KD Navien and Kiturami are trying to expand their cooling business as part of their second business models. KD Navien has taken the lead by unveiling its Condensing Air Conditioner Hybrid, capable of both cooling and dehumidification, signaling its entry into the cooling market. The company also plans to launch the Condensing Hydro Furnace for the heating, ventilation, and air conditioning (HVAC) market in North America later this year.

KD Navien’s Condensing Air Conditioner Hybrid utilizes surplus energy produced during electricity generation, not only providing cooling but also achieving dehumidification and clean ventilation. Its ability to recycle waste heat generated from power production during the summer and reuse it holds significant environmental value.

KD Navien, which started business as an OEM vendor in the air conditioner market in 2006 has shifted its focus from simple air conditioners to air heating and cooling units with air purification capabilities. This move has led the company to compete in the HVAC market, a comprehensive system that integrates heating, cooling, and ventilation facilities previously managed individual devices, including boilers and air conditioners.

The company said it plans to launch the latest model inverter compressor, ‘Heat Pump,’ in North America and supply a cooling and heating solution package in conjunction with the Condensing Hydro Furnace within this year. To achieve this, the company is currently expanding its Gyeonggi Pyeongtaek Seotan factory to enhance system upgrades. It aims to increase annual production from 2 million units to over 4.39 million units by 2026 and establish a new production line for cooling-related new products on a site covering 330,600 square meters.

While KD Navien is targeting a comprehensive cooling management solution, rival Kiturami is focusing on strengthening its position in the home air conditioner market by introducing new window-type air conditioner models this year. Kiturami, previously focused on industrial and commercial air conditioners, expanded its range by launching window-type air conditioners for homes in 2020. The company’s expansion in the cooling market has been driven by acquisitions, including Century Asan’s plant at the end of 2003 and Daewoo Electronics’ air conditioner business in 2009.

In April this year, the company launched a significantly enhanced version of the window-type air conditioner. The new model boasts improved cooling performance, efficiency, convenience features, and design, making it popular among consumers, the company said. Kiturami’s window-type air conditioner released in 2020 achieved sales of 10,000 units in just one month. The latest model this year automatically dries the system interior for five minutes after cooling, effectively inhibiting the growth of mold and bacteria.