Particle.news

Download on the App Store

Germany's Heat Pump Market Rebounds, But Future Uncertainty Looms

Heat pump sales rose 35% in Q1 2025, but industry leaders warn that plans to reform the Heizungsgesetz could disrupt progress toward climate goals.

Image

Overview

  • Heat pump sales in Germany hit 62,000 units in Q1 2025, a 35% increase compared to the same period last year, signaling market recovery after a challenging 2024.
  • The Bundesverband Wärmepumpe forecasts 260,000 heat pump sales for 2025, well below the 500,000-unit annual target set in 2022 by industry and policymakers.
  • State subsidies, covering up to 70% of installation costs, are identified as the primary driver of the recent sales growth.
  • The incoming Union-SPD government plans to repeal and replace the current Heizungsgesetz with a more flexible and technology-neutral framework while maintaining subsidies.
  • Industry leaders stress the need for swift and clear regulatory reforms to avoid market uncertainty and ensure alignment with EU climate targets.