Global Industrial Motors Market Report 2023: A $90+ Billion Industry by 2028 - AC vs. DC Motors, Power Output, and Voltage Brackets

News provided by

Oct 05, 2023, 12:30 ET

DUBLIN, Oct. 5, 2023 /PRNewswire/ -- The "Global Industrial Motors Market - Outlook & Forecast 2023-2028" report has been added to ResearchAndMarkets.com's offering.

The global industrial motors market is expected to reach a value of $91.03 billion by 2028 from $62.76 billion in 2022, growing at a CAGR of 6.39%

This comprehensive analysis explores a multitude of parameters that have a profound impact on market growth, ranging from product lifecycle assessments to pricing and profit margin analyses. Our in-depth examination extends to the supplier and raw material landscape, delving into the intricacies of demand and supply factors that steer this market's course.

As we navigate through this report, you will find valuable value propositions for product development and gain valuable insights into the major vendors dominating the Industrial Motors Market. Additionally, we pinpoint regions experiencing exceptional demand and high growth, offering a holistic view of the industry's current landscape and future potential.

In a global landscape characterized by infrastructural growth in key markets such as the United States and emerging economies, coupled with a notable upsurge in production within the chemical and oil & gas sectors, the industrial motors market is poised for substantial expansion. Additionally, countries like China are demonstrating promising trajectories, marked by robust economic growth and heightened industrial expenditures.

The Asia-Pacific (APAC) region emerged as the frontrunner in the global industrial motors market, capturing a commanding share of over 33% in 2022. This dominance can be primarily attributed to the presence of industrial powerhouses like China and Japan, as well as the rapid acceleration of industrialization in India.

Within APAC, key players in the industrial motors market include China, Japan, India, and South Korea, all of which are significant markets for industrial motors. The ongoing urbanization and industrialization in emerging economies like India are fueling heightened demand for vehicles, consequently driving up the need for industrial motors, particularly within the automotive sector.

The competitive landscape of the global industrial motors market is currently undergoing intensification. Vendors operating in this space are facing the challenges posed by a rapidly evolving technological environment, characterized by continuous advancements and adaptations in accordance with regulatory frameworks and government policies.

The competition among these vendors for market share is fierce, and the entry of major motor corporations into the industry presents a significant hurdle for domestic sellers. In this evolving scenario, suppliers are compelled to fine-tune and enhance their unique value propositions to maintain a robust foothold in the industry.

MARKET TRENDS & OPPORTUNITIES

Demand for IE4 Efficiency Low Voltage Motors

There is a growing focus on energy efficiency and sustainability across industries worldwide. In response, manufacturers seek more energy-efficient motor options to reduce energy consumption and operating costs. IE4 efficiency motors offer significant energy savings compared to older, less efficient models.

Apart from this, several regulations and standards are in place that mandate or incentivize the use of more energy-efficient motors. For example, the European Union's Eco-design Directive has set minimum efficiency standards for electric motors sold within the EU, which are becoming increasingly stringent. Similar regulations exist in other parts of the world, such as the US Energy Policy Act (EPAct) and China's Minimum Energy Performance Standards (MEPS).

Expansion of Warehouses in the APAC Region

Recently, warehousing and logistics facilities have been increasing due to a boost in e-commerce platforms. The warehousing sector has been strong for a few years in many countries of the APAC region. Several organizations are growing through omnichannel distribution networks and increasing their workforce to retain productivity.

The requirement for warehouses is increasing rapidly due to the rise in demand for online delivery of goods. Demand for one-day delivery led to significant demand for warehouses, contributing to the industrial motors market. Increasing warehouses are expected to generate demand for industrial motors in the market. Warehousing and logistics facilities are transforming into modern warehouses.

They are implementing automation & IoT solutions for accuracy, reducing error, saving time, and enhancing productivity. Thus, the demand for industrial motors will likely be generated from countries or regions with large warehousing facilities.

INDUSTRY RESTRAINTS

Supply Shortage of Electric Steel

Industrial and commercial motors suppliers are dealing with a serious issue, i.e., lack of electric steel. In the past, suppliers like Nidec Corporation, Siemens, ABB, and others haven't had much trouble acquiring supplies of essential raw materials needed to make their motors.

Numerous supply disruptions have undoubtedly occurred throughout the industry's history, but relatively few have become long-term issues. The industrial motors market heavily relies on electric steel, which is used to manufacture the cores of the electric motors that power a wide range of industrial equipment, from manufacturing machinery to HVAC systems.

However, there has been a recent supply shortage of electric steel, which has led to difficulties in meeting the demand for electric motors and has hampered the growth of the industrial motors market.

MARKET SEGMENTATION

The industrial motors market encompasses two main types of motors: AC and DC motors, both widely used across various applications. The AC motor segment is poised to exhibit a CAGR of over 6% during the forecast period, driven by the growing demand for improved motor efficiency and precision to reduce environmental impact. Elevated use of industrial machinery like elevators, conveyors, and compellers is expected to fuel the adoption of IE4 and higher-efficiency motors.

In terms of power output, the market classifies motors into IHP and FHP categories. IHP motors dominate the revenue share, finding common usage in heavy-duty applications such as large-scale manufacturing, mining, and heavy machinery. In contrast, FHP motors cater to industries like food & beverage, electrical, and mechanical machinery components.

Voltage brackets play a significant role, with low-voltage motors governed by energy efficiency legislation and accounting for the largest market share. Medium and high-voltage motors are expected to thrive due to their suitability for advanced machines and long lifespan.

Energy efficiency is a key driver for the growth of energy-efficient motors, fueled by cost savings, government funding, environmental concerns, and industrial sector adoption. However, the high cost of premium performance motors (IE4) presents a challenge.

Sales channels in the industrial motors market are categorized as direct and indirect. Direct channels, which allow consumers to purchase goods directly from vendors, are gaining popularity due to cost-saving benefits. Direct-to-OEM sales constitute the largest segment. Conversely, indirect sales involve third-party purchases through distributors or dealers.

Within the end-user segment, HVAC (Heating, Ventilation, and Air Conditioning) holds the largest market share. The HVAC industry relies on motors for various heavy-duty applications, driven by the increased use of variable frequency drives (VFDs) and the need to replace old motors with energy-efficient alternatives, fostering market growth.

KEY QUESTIONS ANSWERED:

How big is the industrial motors market?
What is the growth rate of the global industrial motors market?
What are the growing trends in the industrial motors market?
Which region holds the most significant global industrial motors market share?
Who are the key players in the global industrial motors market?

Industry Outlook

Key Insights
Parameters Impacting Market Growth
Product Lifecycle
Pricing & Profit Margin Analysis
Supplier & Raw Material Snapshot
Demand And Supply Factors
Global Economy Outlook
Risk Factors
Value Propositions To Focus On Product Development
Major Vendors In Industrial Motors Market
Regions Experiencing Exceptional Demand & High Growth

Market Opportunities & Trends

Demand For Ie4 Efficiency Low Voltage Motors
Industry 4.0 Elevating The Industrial Motors Market
Growing Data Center Investments
Vfd Boosting Efficiency Of Ie2/Ie3 Ac Lv Motors
Rising Demand For Evs

Market Growth Enablers

Increasing Infrastructural Development In Emerging Countries
Expansion Of Warehouses In The Apac Region
Increase In Automation Expenditure
Increasing Demand For Energy-Efficient Motors

Market Restraints

Increasing Cost Of Raw Materials
Volatility In The Oil & Gas Industry
Trade Conflicts Between The Us & China
Supply Shortage Of Electric Steel

Key Company Profiles

ABB
Allied Motion
Ametek
CG Power and Industrial Solutions
Danfoss
Johnson Electric Group
NIDEC CORPORATION
Regal Rexnord
Siemens
WEG

Other Prominent Vendors

Addison Electric
ARC Systems
Bonfiglioli
Brook Crompton
Dana Brevini Power Transmission
Eaton
ElectroCraft
Fuji Electric
General Electric
Groschopp
Hankscraft OEM Division
Maxon
Moog
Mitsubishi Electric Corporation
Parker Hannifin Corporation
Rockwell Automation
SEW-EURODRIVE
Sumitomo Heavy Industries
TECO-Westinghouse
Toshiba International Corporation

Premium Insights

Market Definition
Report Overview
Risk Factors
Global Economy Outlook
Opportunities & Challenge Analysis
Segment Analysis
Regional Analysis
Competitive Landscape

Segmentation by Sales Channel

Direct to OEM
Direct to End-user
Distributor to End-user
Distributor to OEM
Direct to System Integrator
Distributor to System Integrator

Segmentation by Product

AC Motor
DC Motor

Segmentation by Power Output

Segmentation by Voltage

Low Voltage
Medium Voltage
High Voltage

Segmentation by Efficiency

Segmentation by End-User

HVAC
F&B
Power Generation
Warehousing
Mining
Paper & Paperboard
Automotive
Oil & Gas
Packaging
Metal Processing
Elevators and Escalators
Pharmaceutical
Machine Tools
Chemical

For more information about this report visit https://www.researchandmarkets.com/r/fkakvv

About ResearchAndMarkets.com
ResearchAndMarkets.com is the world's leading source for international market research reports and market data. We provide you with the latest data on international and regional markets, key industries, the top companies, new products and the latest trends.

Media Contact:

Research and Markets
Laura Wood, Senior Manager
[email protected]

For E.S.T Office Hours Call +1-917-300-0470
For U.S./CAN Toll Free Call +1-800-526-8630
For GMT Office Hours Call +353-1-416-8900

U.S. Fax: 646-607-1907
Fax (outside U.S.): +353-1-481-1716

Logo: https://mma.prnewswire.com/media/539438/Research_and_Markets_Logo.jpg

SOURCE Research and Markets