2.2 EUROPE

Growth of the European economy showed initial signs of stability in 2019. Weakness and uncertainty in international trade affected manufacturing, but strong growth was seen in the services and construction sectors. European Union (EU) gross domestic product (GDP) grew by 1.2% in 2019. Hot summer weather throughout Europe has boosted the air conditioner market including VRF systems. At the same time, European countries have introduced policies to speed up restrictions on the use of fossil fuels, bringing opportunities for heat pumps.