Introduction – Current State of Play: The Cooling System Sector in Indonesia
Indonesia’s cooling system industry is heating up—literally and figuratively. With record-breaking temperatures, supply chain hiccups, and regulatory changes, 2025 is proving to be a defining year for the sector.
The HVAC (Heating, Ventilation, and Air Conditioning) market in Indonesia is projected to skyrocket from USD 5.82 billion in 2024 to USD 17.56 billion by 2035, driven by rapid urbanization, industrial expansion, and a growing middle class. Meanwhile, the cold chain sector is booming, thanks to rising demand in food and pharmaceuticals.
But it’s not all smooth sailing.
In May 2024, vendors in Jakarta were caught off guard when new bureaucracy (Industry Ministry Regulation No. 6/2024) caused delays in importing air conditioners. That’s a big problem when you’re trying to beat the heat in one of the world’s hottest cities during a heatwave.
Add to that a shaky global supply chain and a manufacturing sector slowdown (Indonesia’s PMI dropped to 46.7 in April 2025), and it’s clear that agility and up-to-date intelligence are non-negotiables for businesses operating in this space.
Platforms like Freshdi have become essential for navigating these rapid changes, offering verified supplier connections, RFQ trend data, and real-time market signals tailored for B2B buyers.
Let’s dive deeper into what’s really happening.
Deep Dive – Breaking News: Critical Updates & Their Effects
HVAC Systems Are on Fire—In a Good Way
Indonesia’s HVAC market is on a tear. With a projected CAGR of 10.69%, it’s one of the most promising sectors in Southeast Asia. The residential segment alone accounts for over half of the total market, signaling that homeowners are increasingly prioritizing comfort and energy efficiency.
Smart HVAC systems are gaining ground, as consumers seek tech-savvy solutions to manage rising electricity costs. Expect to see more AI-integrated and IoT-enabled air-conditioning systems in homes and offices alike.
Cold Chain Logistics: The Backbone of Modern Commerce
Indonesia’s cold chain logistics market was valued at around USD 5.57 billion in 2025 and is expected to reach nearly USD 14 billion by 2035. This growth is fueled by rising demand for frozen food, pharmaceuticals, and vaccines—especially in the wake of recent health crises and increased food exports.
Cold storage and transport are becoming major investment zones, with smart sensors and IoT integration improving transparency and efficiency.
Data Center Cooling: A Cool Opportunity
As Indonesia’s digital economy grows, so does the need for data centers—and with them, sophisticated cooling systems. The data center cooling market is set to triple in size by 2031, growing at an eye-popping CAGR of 20.7%.
Challenges like unreliable power infrastructure and skill shortages are real, but companies are responding with innovations like liquid cooling and green technologies.
Major Industry Moves:
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Daikin Industries has opened a $220 million residential AC factory in West Java, aiming to produce 1.5 million units a year to serve the ASEAN market. That’s a serious commitment to the region.
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LG Electronics signed a deal to supply cooling systems for an AI-powered data center in Jakarta. The center is expected to be operational by late 2026 and represents a key milestone in Indonesia’s digital transformation.
Top 4 Verified Cooling System Suppliers in Indonesia – Relevant in the Current Climate
Based on supplier verification, export capability, and buyer feedback on Freshdi, here are the Top 4 Cooling System Suppliers in Indonesia in 2025:
- Totalindo Surveying
- Specializes in advanced cooling diagnostics and corrosion mapping tools.
- Known for international exports and compliance with ISO standards.
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Strong customer feedback on Freshdi for product precision and reliability.
- While primarily a food-grade oil supplier, they provide integrated cold chain solutions for bulk oil transport.
- Recognized for innovation in temperature-controlled logistics.
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Actively adapting to fast-changing regulatory conditions.
- A major player in cold chain logistics for seafood exports.
- Offers end-to-end cold storage and refrigerated transport solutions.
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Regularly featured in Freshdi’s RFQ trend reports for B2B buyers dealing in perishables.
- A pharmaceutical-grade supplier with robust cold chain infrastructure.
- Known for strict compliance with temperature control protocols.
- Trusted by global buyers for sensitive shipments like vaccines and biologics.
Dynamic Ranking Note: Supplier rankings on platforms like Freshdi may change monthly or quarterly based on export volumes, RFQ response times, and buyer ratings under sections like “Suppliers of the Month.”
Market Navigation – Strategic Responses to The Current Cooling System Landscape in Indonesia
Opportunities Are Hotter Than Ever
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Urban Expansion – Cities like Jakarta, Bandung, and even the upcoming capital Nusantara are fueling demand for residential and commercial air conditioning. Developers are actively seeking scalable HVAC solutions.
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Industrial Boom – Manufacturing hubs are expanding, and sectors like automotive, electronics, and packaged foods require precision climate control. Now’s the time to target industry-specific cooling systems with high thermal tolerance.
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Green Tech Incentives – Indonesia is pushing energy-efficient appliances, so there’s strong demand for eco-friendly, inverter-based, and smart cooling systems.
But There Are Some Chilling Challenges
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High Entry Costs – Advanced cooling tech doesn’t come cheap. Small and medium businesses often struggle with the initial investment.
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Logistics Hurdles – Indonesia’s archipelagic geography means long lead times and higher shipping costs. Underdeveloped ports and roads make logistics trickier.
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Regulatory Red Tape – Complying with local content (TKDN) and import approval processes like Pertek can slow down market entry.
Sourcing Strategy Shifts: What Businesses Should Do Now
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Build Local Partnerships – Work with Indonesian suppliers who understand the regulatory maze. This lowers risk and speeds up delivery.
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Invest in Onshore Manufacturing – Like Daikin, consider setting up local assembly units. It reduces import dependence and ensures faster fulfillment.
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Stay Compliant – Align with local content laws and environmental regulations. Platforms like Freshdi help you vet suppliers who meet these criteria.
Short-Term Outlook: What’s Next?
- Demand for cooling systems will rise sharply in Q3 and Q4 of 2025 due to seasonal heatwaves.
- Sectors like pharmaceuticals and digital infrastructure will drive the cold chain and data center cooling segments.
- Expect continued investment in sustainable cooling tech, particularly from Japanese and South Korean multinationals.
Latest News at a Glance
- Daikin’s Factory Launch in May 2025 marks a new era for residential AC manufacturing in Indonesia.
- LG’s Jakarta Data Center Deal, signed in August 2025, underlines the importance of high-performance cooling in the digital sector.
Conclusion – Key Takeaways for Businesses in a Rapidly Evolving Market
Indonesia’s cooling system market is in overdrive. From residential ACs to industrial cold chains and data center cooling, the opportunities are vast—but so are the risks.
What should you do now? Stay updated, source smart, and move fast.
Platforms like Freshdi offer:
- Verified, export-ready suppliers.
- Real-time RFQ trends and alerts.
- Tools to navigate regulations and supplier certifications.
Checklist for Buyers Navigating the Indonesian Cooling System Market
✅ Monitor regulatory updates like Industry Ministry Regulation No. 6/2024.
✅ Prioritize energy-efficient systems to align with local incentives.
✅ Vet logistics partners for cold chain reliability.
✅ Partner with certified local suppliers to meet TKDN requirements.
✅ Use platforms like Freshdi for sourcing intelligence and supplier credibility.
Future Outlook: Where Is the Market Headed?
- 2025–2027: Smart and green cooling systems will dominate urban and commercial segments.
- 2028–2030: Cold chain infrastructure will expand to second-tier cities, fueled by food exports and healthcare needs.
- 2031–2035: Data center cooling will become a top priority as Indonesia becomes a digital economy hub.
Stay ahead of the curve—because in Indonesia’s cooling system market, the only thing you can’t afford is to be left in the heat.
FAQs
1. What is driving the growth of Indonesia’s cooling system market in 2025?
Rapid urbanization, industrial expansion, and rising temperatures due to climate change are fueling demand. Government energy efficiency initiatives and infrastructure investments are also contributing to sector growth.
2. How has regulation impacted cooling system imports in Indonesia?
Industry Ministry Regulation No. 6/2024 introduced stricter approval processes (Pertek), causing delays in imports and affecting supply chains, especially during peak demand periods.
3. Which cooling system supplier is best for cold chain logistics?
PT.PROSS INDO KARGO stands out for its robust cold chain logistics solutions, especially for perishables like seafood and pharmaceuticals.
4. How can I reduce sourcing risk when buying cooling systems in Indonesia?
Use platforms like Freshdi to connect with verified suppliers, monitor RFQ trends, and ensure regulatory compliance.
5. Where should I focus my sourcing efforts geographically in Indonesia?
Focus on industrial hubs like West Java, Jakarta, and Surabaya, where infrastructure is more developed and supplier networks are mature.
References
- GlobeNewswire
- The Jakarta Post
- AINVEST
- Energy News
- BriefingWire
- Verified Market Research
- Nasdaq
- Cooling Post – Daikin
- Cooling Post – LG
- Ken Research
- JTMasia
- Trade.gov
- Freshdi
