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NAICS Code· 423720

NAICS 423720: Plumbing and Heating Equipment and Supplies (Hydronics) Merchant Wholesalers

This industry comprises establishments primarily engaged in the merchant wholesale distribution of plumbing equipment, hydronic heating equipment, household-type water heaters, and/or supplies. Cross-References. Establishments primarily engaged in--Show more

NAICS 423720 – Plumbing and Heating Equipment and Supplies (Hydronics) Merchant Wholesalers encompasses the wholesale distribution of hydronic system components, including boilers, heat exchangers, pumps, valves, piping systems, thermostats, and related controls used in commercial, institutional, and military facility heating, cooling, and fluid transport applications. This sector serves as a critical supply chain link for building infrastructure projects requiring efficient thermal management, particularly in federal buildings, VA hospitals, military barracks, and energy-efficient retrofit programs.

47
Active Contracts
$2.2M
Total Obligations (12mo)
63
Awarded Contracts (12mo)
43
Contractors Awarded (12mo)
2
Median Bidders per Award
+68.5%
YoY Growth

Industry Spending Overview

Federal obligations, top contractors and agencies, and related industry codes for NAICS 423720.

AI Industry Description

NAICS 423720 – Plumbing and Heating Equipment and Supplies (Hydronics) Merchant Wholesalers encompasses the wholesale distribution of hydronic system components, including boilers, heat exchangers, pumps, valves, piping systems, thermostats, and related controls used in commercial, institutional, an...

NAICS 423720 – Plumbing and Heating Equipment and Supplies (Hydronics) Merchant Wholesalers encompasses the wholesale distribution of hydronic system components, including boilers, heat exchangers, pumps, valves, piping systems, thermostats, and related controls used in commercial, institutional, and military facility heating, cooling, and fluid transport applications. This sector serves as a critical supply chain link for building infrastructure projects requiring efficient thermal management, particularly in federal buildings, VA hospitals, military barracks, and energy-efficient retrofit programs. Wholesalers in this category typically act as intermediaries between manufacturers and end-users, providing technical specifications, inventory logistics, and compliance documentation for federal procurement standards such as ASTM, ASME, and LEED-aligned products. No contractor data is available to identify top performers in this NAICS code, suggesting a fragmented or highly specialized contractor base with no dominant primes or small business leaders currently visible in government award records. The competitive landscape likely includes regional distributors, niche manufacturers with direct federal contracts, and small businesses certified under HUBZone, 8(a), or SDVOSB programs serving localized infrastructure needs. No agency data is available to identify primary buyers, though demand is likely driven by the General Services Administration for facility maintenance, the Department of Defense for base utilities, and the Department of Veterans Affairs for hospital HVAC modernization. Procurement activity tends to align with energy conservation initiatives, aging infrastructure replacement cycles, and seismic or sustainability upgrades. The market presents moderate opportunity density with low visibility due to the indirect nature of hydronic supply chains in federal contracting. Contractors with expertise in federal procurement compliance, technical documentation, and just-in-time delivery for mission-critical facilities stand to gain an edge, particularly as agencies prioritize resilient, low-carbon building systems.

Small Business Size Standard

The SBA threshold that decides who can bid NAICS 423720 work as a small business.

200 employees
Applies to the whole industry code

The SBA cap for this NAICS (13 CFR 121.201). A business at or under it can self-certify as small for work in this code, which is what makes it eligible for a small-business set-aside. The cap is set per NAICS, so the same company can be small in one code and not in another.

13 CFR 121.201, effective January 1, 2026. The SBA revises the table roughly once a year.

Top Contractors

Companies with the highest total award value under NAICS 423720, ranked by dollars won.

Competition

How many companies historically bid on federal awards in NAICS 423720, from bidder counts reported on USAspending.

Fewer Bidders

Median under 3 bidders per reported award. · 10,300 reported awards

Median Bidders

2

Per reported award, all-time

Single-Bid Awards

35%

Share of reported awards with one bidder

10+ Bidder Awards

2%

Share of reported awards with 10+ bidders

Reported Awards

10,300

93% of 11,050 total awards

Bidder Count Distribution by Fiscal Year

Share of reported awards in each bidder-count bracket per federal fiscal year.

How this code compares up the NAICS hierarchy. Parent cohorts pool every code under their prefix, so they are the steadier baseline when a 6-digit sample is thin.

Industry FamilyCompetitionMedian BiddersSingle-BidBidder MixReported Awards
423720This Code
Plumbing and Heating Equipment and Supplies (Hydronics) Merchant Wholesalers
Fewer Bidders235%
10,30093% of 11,050
42372NAICS Industry
Fewer Bidders235%
10,30093% of 11,050
4237Industry Group
Hardware, and Plumbing and Heating Equipment and Supplies Merchant Wholesalers
Crowded Field227%
409,23060% of 684,191
423Subsector
Fewer Bidders224%
4,646,33738% of 12,317,116
42Sector
Wholesale Trade
Moderate Competition318%
7,852,24141% of 19,092,105

Bidder counts reported on past federal awards in this NAICS (USAspending). An open opportunity has no bidders yet, so this is the historical norm for similar work, not a fact about this solicitation. Not all awards report bidder counts, and fewer bidders often means incumbent-held work rather than an easier win. Federal reporting of bidder counts fell from ~96% of awards (FY2016) to ~30% (FY2018 onward); the chart shows shares of reported awards, and washed-out stretches mark years with fewer than 30 of them.

Related NAICS Codes

Industries similar to Plumbing and Heating Equipment and Supplies (Hydronics) Merchant Wholesalers, by shared sector, subsector, and industry group.

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423710Same Industry GroupHigh Similarity

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423730Same Industry GroupHigh Similarity

Refrigeration Equipment and Supplies Merchant Wholesalers

This industry comprises establishments primarily engaged in the merchant wholesale distribution of r...
423740Same Industry GroupHigh Similarity

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This industry comprises establishments primarily engaged in the merchant wholesale distribution of n...
423110Same SubsectorMedium Similarity

Motor Vehicle Supplies and New Parts Merchant Wholesalers

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423120Same SubsectorMedium Similarity

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Motor Vehicle Parts (Used) Merchant Wholesalers

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NAICS 423720 FAQ

Frequently Asked Questions

NAICS code 423720 covers Plumbing and Heating Equipment and Supplies (Hydronics) Merchant Wholesalers. This industry comprises establishments primarily engaged in the merchant wholesale distribution of plumbing equipment, hydronic heating equipment, household-type water heaters, and/or supplies. Cross-References. Establishments primarily engaged in--

Recently Posted in Plumbing and Heating Equipment and Supplies (Hydronics) Merchant Wholesalers

NAICS: 423720
New
SLED
MEADOW STREET WATERLINE PRODUCTS
Solicitation # RFQ 27-48
The City of Charlottesville Utilities Department is soliciting quotes under RFQ 27-48 for the supply of waterline products to support an in-house watermain replacement project on Meadow Street. All products must be new, unused, and of current production, with a strict requirement that only Kennedy or Mueller brands be provided for hydrants and valves. Specifically, hydrants must be 4 feet in size, and water valve boxes must be three-piece units manufactured by Capital Foundry of VA Inc., utilizing models 562S, VB-EXTN, and VB-BASE-160. All items must be delivered to the Meadow Street project site within 14 days of the Notice of Award, with the contractor assuming full responsibility for delivery, unloading, and storage. The City requires 48 hours' notice prior to delivery. Quotations must be submitted via the OpenGov portal by 2:00 pm on October 22, 2026. Bidders must provide their State Corporation Commission identification number and certify compliance with non-discrimination, drug-free workplace, and anti-collusion regulations. Award evaluation is based on compliance with RFQ requirements and the bidder's qualifications, though Bid Additive 1 will not be a factor. The City maintains the option to place additional orders at the original unit price within the first 120 days of the contract, up to 100 percent of the original quantity. Contractors are required to maintain comprehensive insurance, including Workers Compensation, Commercial General Liability with the City named as an additional insured, and Automobile Liability. Invoicing must include the City's purchase order or contract number and be submitted to the designated payment address. The City is exempt from state sales and federal excise taxes. All shipping containers must be legibly marked with the purchase order number, commodity description, and quantity, utilizing standard commercial packaging.
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