Commercial Laundry Equipment Market to Hit $7.5 Bn by 2032 Driven by Tech & Demand

Market Overview

The global commercial laundry equipment market is projected to grow from US$5.3 billion in 2025 to US$7.5 billion by 2032, registering a CAGR of 5.1% during the forecast period from 2025 to 2032. The market expansion is fueled by the rising demand for advanced laundry solutions across hospitality, healthcare, and institutional sectors where bulk washing, energy efficiency, and durability are critical. Commercial facilities are increasingly adopting automated and eco-friendly machines that reduce operational costs while improving performance, driving steady adoption worldwide.

Among product categories, washer extractors and dryers dominate the market share due to their extensive use in hotels, hospitals, and laundromats. On the regional front, North America leads the commercial laundry equipment market, supported by strong institutional infrastructure, growing demand for on-demand laundry services, and high adoption of energy-efficient models. However, Asia-Pacific is emerging as the fastest-growing region, with urbanization, a booming hospitality sector, and expanding healthcare facilities accelerating demand.

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Key Highlights from the Report

• The global commercial laundry equipment market is projected to reach US$7.5 billion by 2032.
• The market is expected to register a CAGR of 5.1% between 2025 and 2032.
• Washer extractors and dryers account for the leading product category in the market.
• North America holds the dominant regional market share in 2025.
• Asia-Pacific is expected to record the fastest growth during the forecast period.
• Demand for energy-efficient and automated laundry equipment is a major driver of growth.

Market Segmentation

The commercial laundry equipment market can be segmented by product type, end-user, and technology adoption. On the basis of product type, washer extractors, dryers, and finishing equipment form the largest categories. Washer extractors are particularly popular for their ability to handle heavy-duty laundry loads, while dryers are essential across all commercial setups. Finishing equipment such as presses and folders are gaining importance in hospitality and garment industries where presentation and finishing quality are critical.

In terms of end-users, hospitality remains the leading segment, owing to hotels, resorts, and serviced apartments requiring large volumes of clean and pressed linens. The healthcare sector represents another significant share, driven by the critical need for sanitized hospital linens, scrubs, and patient wear. Additionally, laundromats and on-demand laundry service providers are becoming prominent contributors, supported by urban population growth and the rising demand for outsourced laundry services.

Technology adoption is further reshaping market segmentation. Energy-efficient machines, IoT-enabled smart laundry systems, and water-recycling technologies are seeing accelerated adoption as sustainability pressures mount. Facilities are prioritizing automation and digital solutions that improve efficiency, reduce energy costs, and provide data-driven insights into operations.

Regional Insights

North America dominates the commercial laundry equipment market, largely due to a well-developed hospitality and healthcare infrastructure. The presence of a large number of premium hotels, hospital networks, and institutional laundry service providers ensures steady equipment demand. Furthermore, sustainability policies and high energy costs are encouraging the shift toward eco-friendly laundry systems.

In Europe, regulations surrounding water and energy consumption are shaping market growth. Countries such as Germany, France, and the UK are leading adopters of high-efficiency laundry machines, driven by strict environmental compliance and operational cost savings. The region also has a growing number of commercial laundries and textile rental businesses, further spurring equipment demand.

Asia-Pacific is the fastest-growing market, with countries like China, India, and Southeast Asian nations experiencing strong growth in hospitality and healthcare infrastructure. Rapid urbanization, rising disposable incomes, and increased outsourcing of laundry services are expected to drive equipment installations in commercial spaces. Meanwhile, Latin America and the Middle East & Africa are also showing promising growth, with expanding tourism industries and the modernization of healthcare systems stimulating demand.

Market Drivers

The commercial laundry equipment market is primarily driven by the expansion of the hospitality and healthcare sectors, where high-capacity laundry solutions are critical. The growing popularity of laundromats and on-demand laundry services, particularly in urban centers, is another key driver. Additionally, sustainability concerns and high operational costs are leading facilities to invest in energy-efficient and water-saving machines, further accelerating adoption. The integration of smart technologies, including IoT and remote monitoring, is also making equipment more efficient and reliable, supporting long-term growth.

Market Restraints

Despite positive growth, the market faces several restraints. High upfront costs of advanced laundry equipment remain a barrier for small and medium-sized enterprises, especially laundromats in developing economies. Maintenance and operational expenses also add to the cost burden. Moreover, the commercial laundry sector is highly competitive, with the availability of second-hand or refurbished machines posing a challenge to new equipment sales. Stringent compliance regulations in certain regions may also increase operational complexity for end-users.

Market Opportunities

The market presents significant opportunities through the development of sustainable and smart laundry solutions. Manufacturers are focusing on innovations such as water-recycling systems, energy-efficient dryers, and automated controls that improve overall efficiency. The growth of shared laundry services in residential and co-living spaces provides untapped avenues for market expansion. Moreover, emerging economies with growing hospitality and healthcare infrastructure represent substantial growth opportunities, as they continue to modernize and adopt advanced commercial laundry equipment.

Reasons to Buy the Report

1. Gain comprehensive insights into the global commercial laundry equipment market size, share, and growth potential.
2. Understand key drivers, restraints, and opportunities shaping the industry landscape.
3. Access detailed regional analysis to identify high-growth markets and investment prospects.
4. Evaluate the competitive landscape with company profiles and recent developments.
5. Stay ahead of industry trends with forecasts and strategic recommendations through 2032.

Frequently Asked Questions (FAQs)

How Big is the Commercial Laundry Equipment Market in 2025?
Who are the Key Players in the Global Commercial Laundry Equipment Market?
What is the Projected Growth Rate of the Commercial Laundry Equipment Market?
What is the Market Forecast for Commercial Laundry Equipment by 2032?
Which Region is Estimated to Dominate the Industry through the Forecast Period?

Company Insights

Some of the leading players operating in the commercial laundry equipment market include:
• Alliance Laundry Systems LLC
• Whirlpool Corporation
• Electrolux AB
• LG Electronics
• Miele & Cie. KG
• Girbau Group
• Haier Group Corporation
• Dexter Laundry, Inc.
• Pellerin Milnor Corporation
• BÖWE Textile Cleaning GmbH

Recent Developments:

• In 2024, Alliance Laundry Systems introduced a new line of high-capacity, energy-efficient washer extractors designed for the healthcare sector.
• Electrolux Professional launched an IoT-enabled commercial laundry solution, enabling predictive maintenance and improved energy efficiency for large-scale operations.

The global commercial laundry equipment market is entering a period of steady growth, fueled by the expansion of hospitality, healthcare, and on-demand laundry services. The industry is being reshaped by sustainability requirements and technological innovations, leading to the adoption of energy-efficient and smart machines across all sectors. With North America maintaining dominance and Asia-Pacific poised for rapid growth, opportunities for manufacturers and service providers remain substantial. Despite cost-related restraints, ongoing advancements in eco-friendly technologies and automation are expected to define the market's future trajectory, making it a critical component of the global services and equipment landscape through 2032.

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