The global industrial motors market size by volume will cross 162 million units by 2026. The global industrial motors industry is expected to grow with the growth in industrial production, enhancement in technological advancement, increase in urbanization, and expansion of manufacturing industries. The industrial motor sales in the APAC region are anticipated to experience steady growth, and key drivers include an increase in infrastructure expenditure and a focus on industrial production growth. Several APAC countries, including China and India, are expected to observe remarkable gains in the industrial motors market with key infrastructure expansions in the industrial sector and building services during the forecast period.
- The industrial motors demand is anticipated to grow due to the increased industrial production and the replacement of worn-out motors with new and energy-efficient machines for industries.
- The US industrial motors market share is expected to reach a revenue of over $21 billion by 2026 on account of strict regulations, increased motor demand from the oil & gas industry, and the growth of the F&B industry.
- The HVAC industry is likely to observe an incremental growth of over $10 billion by 2026 due to evolving regulations on energy consumption and climate changes
- The AC motor segment is expected to achieve a revenue of over $79 billion by 2026 due to the increase in infrastructural development projects and construction activities in developing countries.
GLOBAL INDUSTRIAL MOTORS MARKET SEGMENTATION
This research report includes a detailed segmentation by
- Sales Channel
- Power Output
INSIGHTS BY PRODUCT
The increasing automation in industrial processes and the use of electric AC motors in diverse applications such as healthcare, construction, automotive, and consumer goods industries are expected to drive the AC motors market growth. The growing application of electric AC motors in infrastructural development, and rising construction activities in developing economies are other major factors accelerating the market growth.
High-efficiency DC motors are expected to gain importance due to long-lasting operational life, low maintenance, and low energy consumption. A large-scale adoption in forklift chemical injection pumps and HVAC applications is estimated to drive the market growth by 2026. The DC motor type has undergone several advancements over the past few years, owing to which the current motor demand is expected to gain traction in the future.
INSIGHTS BY EFFICIENCY
IE2 low-voltage motors are anticipated to grow during the forecast period as several customers have replaced IE1 with IE2 ones. Changes in government energy-efficiency regulations are influencing growth across the world. However, the growth of the IE2 motors market is likely to be affected due to the adoption of efficient IE3 and IE4 motors. The IE1 industrial motors market growth is expected to remain stable during the forecast period as several new and high-efficiency motors are likely to grow in the industry. With the industrial sector growing, IE1 motors are expected to increase. APAC, North America, and Latin American countries are likely to drive the segment, albeit slowly.
INSIGHTS BY VOLTAGE
Low-voltage industrial motors are expected to grow substantially during the forecast period. The growth in the manufacturing sector worldwide and the application of several technological products such as smart sensors are likely to increase the demand. Low-voltage motors are characterized by high reliability, ruggedness, and efficiency, hence their adoption in industrial or commercial environments, building management systems, shipbuilding, and infrastructure is high.
Medium-power electric motors not only help to control energy effectively but also decrease operational costs and improve efficiency. The replacement of old products, coupled with the implementation of strict energy-saving regulations, is accelerating the market growth for medium-power motors. High-power motors are observing high adoption in oil & gas, water & wastewater treatment, chemicals & petrochemicals, power generation, metal manufacturing, and utility industries. Specialized industrial high voltage electric motors are being adopted at a higher rate than before. However, a high maintenance cost is anticipated to hamper the adoption and demand for these machines.
INSIGHTS BY POWER INPUT
The increasing global understanding of energy conservation fuels the demand for integral horsepower units as they are extremely energy efficient motors. Factories are using these motors to reduce electrical and operational costs. The market is expected to observe growth during the forecast period due to continued industrialization in emerging economies such as India and China. However, an initial installation cost is significantly hindering the growth of the segment.
The demand for fractional horsepower (FHP) motors is high in North America and Europe, especially in precision parts end-users. FHP motors are popular in the white goods industry and the small domestic appliances market. They are used to drive pumps and compressors in refrigerators, washing machines, and other products. Currently, Europe’s automotive market is crucial, however, it is witnessing a decline. Also, the production activity in the automotive sector declined around 16% YOY in 2020, which decreased the demand for FHP motors in the automotive market.
INSIGHTS BY END-USER
The demand for HVAC for integrated cooling and ventilation is growing as the number of buildings with glass walls is increasing the need for a highly efficient indoor climate. The requirement for HVAC is expected to surge, albeit at a slower rate, on account of the COVID-19-related economic slowdown. Regulations on energy consumption and climate change control are evolving. However, short time-to-market and narrow acceptance of new technology add to the market challenges for HVAC vendors.
To manufacture, package, and transport food products to consumers, the F&B industry relies heavily on various processing equipment and conveyance systems. Such systems and equipment need well-designed, effective, and reliable motors to allow sufficient speed, proper transfer of products, and completion of the overall product cycle. Therefore, owing to the significant usage in several applications in the F&B industry and the rapidly growing food processing industry, the demand for motors is expected to grow at a significant rate during the forecast period.
INSIGHTS BY SALES CHANNEL
Direct sales account for the highest revenue share of the industrial motors market. These channels allow the consumer to buy goods directly from manufacturers. As there are no third-party intermediaries, customers prefer to purchase via these channels. Direct channels have highly effective in eliminating inefficiencies, adding new offerings, and setting rates. However, for manufacturers, direct channels tend to be costlier as they require substantial capital investment. Indirect sales channels are third-party purchases via distributors or dealers. Indirect networks free the manufacturer from any start-up expenses (related to distribution). The segment is expected to grow due to the availability of a wide distribution network and profound market knowledge and demand insights through distributors.
INSIGHTS BY GEOGRAPHY
Pegged as a manufacturing and industrial hub of the world, the APAC industrial motors market is expected to reach over $29 billion by 2026. The demand for industrial motors in the region can be attributed to rapidly increasing urbanization and industrialization. The presence of several developed countries, which are witnessing high demand for industrial motors in several end-user applications, is expected to drive the growth of the region during the forecast period. Being a global manufacturing center, with access to low labor cost, highly skilled workers, an abundance of raw materials, China accounts for the highest industrial motors market share in the APAC region as well as across the globe. However, with the outbreak of the COVID-19 pandemic and the increasing trade concerns with the US, the manufacturing industry in China is currently going through a decline for a short-term period.
INSIGHTS BY VENDORS
The competitive scenario in the global industrial motors market is currently intensifying. The entry of large motor companies in the market poses a significant threat to domestic vendors. Large companies such as ABB, Siemens, Eaton, Johnson Electric, and Mitsubishi are set to explore the market worldwide. All these companies have a global presence in three major geographical regions - North America, APAC, and Europe. However, there are local vendors providing products with similar specifications at low prices. This has intensified price wars among the key players.
The global industrial motors market research report includes in-depth coverage of the industry analysis with revenue and forecast insights for the following segments:
- Power Generation
- Machine Tools
- Elevators and Escalators
- Paper & Paperboard
- Oil & Gas
- Metal Processing
- Integral Horsepower
- Fractional Horsepower
- Direct to End-user
- Direct to OEM
- Direct to System Integrator
- Distributor to End-user
- Distributor to OEM
- Distributor to System Integrator
- North America
- Asia Pacific
- South Korea
- Latin America
- Middle East & Africa
- Saudi Arabia
- Rest of Middle East & Africa