Water heater shipments rise in September, electric leads in volume

September data released Thursday by AHRI shows that U.S. shipments of both gas and electric residential storage water heaters rose year-over-year. 

What’s happening: Gas water heater shipments grew at a faster rate compared to last year, though more electric products were shipped during the month. 

• Shipments of gas-fired water heaters rose 16 percent year-over-year to just over 337,000 units, while electric water heater shipments climbed 8.3 percent to more than 395,000 units. 

Zoom out: Year-to-date, from January through September, nearly 3.2 million residential gas water heaters have been shipped, a 1.2 percent increase from the same period last year. Electric water heater shipments, meanwhile, total 3.8 million units, a 1.1 percent year-over-year decrease. 

Of note: AHRI data doesn’t include tankless water heaters. 

The big picture: Over the past three years, electric storage water heaters have gained five percent market share over gas-fired water heaters in the U.S., according to a May analysis by PHCP Pros. 

• “This is likely the highest market share electric storage water heaters have had as far back as at least 1954, the earliest records we could find on water heater shipments,” the outlet wrote. 
• In 2024, electric water heaters surpassed five million units sold for the first time, marking the highest total number on record. 

“Building codes, air quality agencies and new, more efficient technologies such as [heat pump water heaters] are likely driving these trends,” PHCP Pros added.