As a heatwave charges across the U.S. affecting over half of the population, President Joe Biden issued a call to protect workers and invest in key areas to combat the impact of extreme weather events.
What Happened: In a first, Biden directed the Department of Labor to issue a “Hazard Alert” emphasizing heat-related worker protections under federal law. Biden also pledged to step up inspections in high-risk sectors such as construction and agriculture.
The president's announcements came as scorching temperatures, especially in the South and Southwest, strained power grids, leading to power outages, heat-related injuries, and even deaths.
More than 151 million people are currently under some kind of heat alert, making the issue of climate change more urgent and palpable than ever.
Biden said his administration is set to invest up to $7 million from the Inflation Reduction Act to enhance weather forecasts and $152 million from the Bipartisan Infrastructure Law to expand water storage in drought-prone regions.
In the face of current extreme conditions, air conditioning has gone from being a luxury to a necessity.
Benzinga previously reported on data issued by SkyQuest Technology, which showed the air conditioning market is set to grow at a 6.2% compound annual growth rate from 2022 to 2028, reaching $172.48 billion by 2028.
Demand is highest in the Asia Pacific region, but North America and Europe are catching up quickly. In North America alone, the air conditioner market is projected to reach $35.6 billion in 2030, GrandView Research data showed.
A/C Enters the Room: As climate change turns up the heat, consumer electronics companies — particularly those manufacturing air conditioning units — stand to benefit.
U.S.-based Carrier Global Corp CARR recently entered a deal to acquire Germany-based Viessmann Climate Solutions to expand in the European market. Whirlpool Corporation WHR and Emerson Electric Co EMR are also seeing positive trends, according to prior Benzinga reporting.
In addition, non-U.S.-based companies like Electrolux AB ELUXY, Hitachi Ltd HTHIY, Mitsubishi Electric ADR MIELY, and Toshiba Corp TOSYY are seeing favorable pricing trends.
As the demand for air conditioning surges, addressing the energy demands and environmental implications linked to their usage will remain a challenge.
Read Next: Heatwave Havoc: June 2023 Takes The Title For Hottest Month On Record
Photo: Shutterstock
© 2024 Benzinga.com. Benzinga does not provide investment advice. All rights reserved.
Trade confidently with insights and alerts from analyst ratings, free reports and breaking news that affects the stocks you care about.
