Industrial Motor Market - Forecast(2024 - 2030)

Industrial Motor Market Overview:

Industrial Motor Market size is estimated to reach $33 billion by 2030, growing at a CAGR of 4.24% during the forecast period 2024-2030. Growing demand for industrial motors in the Automotive and Oil and Gas industries, Growth of Chemicals & Petrochemicals industries leading to the adoption of industrial motors and Ongoing technological advancements in industrial motors, including improvements in efficiency, smart motor technologies, and IoT integration are propelling the Industrial Motor Market growth.

Additionally, increasing production of electric vehicles has accelerated the demand for industrial motors for higher efficiency and good speed regulation during the forecast period is also boosting the growth of the market. The demand for industrial motors is being propelled by increased manufacturing activities, especially in emerging economies. In May 2023, ABB ltd. acquired the Siemens low voltage NEMA motor business. The acquisition of this business area’s profitable growth strategy. The rising focus on sustainable energy sources and initiatives for green manufacturing are further driving market growth. Manufacturers are emphasizing the development of more reliable, efficient, and environmentally friendly motor solutions to meet evolving industry demands. Furthermore, rising number of government incentives to encourage use of energy efficient industrial motors for safeguarding the environment from carbon emissions is also expected to drive the market growth during the forecast period.

Market Snapshot:

Industrial Motor Market - Report Coverage:

The “Industrial Motor Market Report - Forecast (2024-2030)” by IndustryARC, covers an in-depth analysis of the following segments in the Industrial Motor Market.

COVID-19 / Ukraine Crisis - Impact Analysis: 

• The COVID-19 pandemic significantly impacted the Industrial Motors Market, catalyzing a shift toward Industry 4.0 and enhancing manufacturing productivity. This crisis accelerated changes in logistics, emphasizing the importance of resilient supply chains and driving the adoption of advanced AC motors.
• The Russia-Ukraine war significantly disrupted the Industrial Motors Market due to supply chain interruptions, heightened geopolitical tensions, and trade restrictions. Increased uncertainty led to fluctuating prices, limited access to raw materials, and challenges in manufacturing, impacting the market's stability and growth prospects.

Key Takeaways:

• Fastest Growth of North America Region : Geographically, in the global Industrial Motor market share, North America is analyzed to grow with the highest CAGR of 5.5% during the forecast period 2024-2030. The increasing adoption of industrial motors in power generation, aerospace, automotive and chemical industries is analyzed to expand Industrial Motor Market in this region. USA, Canada and Mexico are the top contributors in industrial motor market growth in this region. Moreover, a rising number of government incentives to encourage use of energy efficient industrial motors for safeguarding the environment from carbon emissions is expected to drive the market growth. For instance, USA has planned to increase carbon-free power generation from 27% to 35% of total by 2025, thus increasing the scope of adoption of energy efficient motors among industries.  

• AC Motors to Register the Fastest Growth : In the Industrial Motor Market analysis, the AC motors segment is estimated to grow with the highest CAGR of 4.5% during the forecast period. These motors are the major type of industrial motors used in industrial applications like used in conveyors, cranes, pumps, elevators, compressors, drilling machines, oil extracting mills and others. Asynchronous motors have lot of advantages such as less cost, easy to maintain, efficiency in partial-load operation and others. Owing to its advantages, the adoption rate is higher among industries, thus supporting the growth of the Industrial Motor Market. In June 2023, ABB Ltd. developed the new generation AMI 5800 NEMA modular induction motor to offer exceptional energy efficiency and reliability in demanding such as pumps, compressors and conveyors.

• Oil & Gas is Leading the Market : According to the Industrial Motor Market forecast, the Oil & Gas held the largest market valuation of 23% in 2023. The growth of industrial motors in the Oil & Gas industry is majorly driven by rising investment for the expansion id Oil & Gas production owing to the rising energy demands. The government of India invested $2.86 billion in upstream oil & gas production to double natural gas production to 60 cm and drill more than 120 exploration wells in 2022.

• Growing demand for industrial motors in the Automotive and Oil and Gas industries will positively impact the market growth : Increasing demand for industrial motors in the Automotive and Oil and Gas industries will positively impact the market growth. Rising investments for the expansion of oil and gas production across the world owing to the rising energy demands also triggers the growth of the market. In 2022,  the Government of India invested $2.86 billion in the upstream oil and gas production to double natural gas production to 60 bcm and drill more than 120 exploration wells. These major investments tend to bring significant growth in the demand of industrial motors for Upstream Oil and Gas industry, further driving its market growth during the forecast period.

• Growth of Chemicals & Petrochemicals industries leading to the adoption of industrial motors is analyzed to drive the market growth in the forecast period : The Industrial Motors Market is set to expand owing to the escalating Chemicals & Petrochemicals industries. As these sectors burgeon, there's a heightened demand for motors, driven by factors such as automation, machinery modernization, and energy efficiency initiatives. Rising production levels, stringent regulations mandating energy-efficient equipment, and technological advancements amplifying motor performance are pivotal growth catalysts. With the Chemicals & Petrochemicals sectors requiring robust motor systems for various applications, this surge in demand is projected to propel the Industrial Motors Market in the forecast period.

• High Cost of Raw Materials to Manufacture Industrial Motors Can Hamper the Market Growth : High cost of raw materials to manufacture industrial motors can act as a major challenge restraining the growth of Industrial Motor Market. The cost of raw material such as metals which includes steel, aluminium and insulation materials are quite expensive. Moreover, these industrial motors consume more electricity which results into rise of cost per unit. Furthermore, availability of low-quality industrial motors is another factor that can hamper the market growth. Leading industrial motor manufacturing companies are facing intense competition from local motor manufacturers supplying inexpensive and low-quality AC and DC Motors to tap local markets, thus competing strongly with the global suppliers in the respective markets. Owing to the above-mentioned factors, use of energy efficient industrial motor will be significantly impacted, thus hampering its market growth.

Key Market Players:

Product/Service launches, approvals, patents and events, acquisitions, partnerships and collaborations are key strategies adopted by players in the Industrial Motor Market. The top 10 companies in this industry are listed below:

1. ABB Ltd
2. Bosch Electric
3. Nidec Corporation
4. Regal Rexnord
5. Franklin Electric Company Inc.
6. Teco electric & machinery co. ltd.
7. Johnson Electric
8. Woolong (General Electric Company)
9. Vybronics
10. Mabuchi Motor Co., Ltd.
11. Bonfiglioli Group
12. Siemens AG
13. General Electric
14. Toshiba Corporation
15. Rockwell Automation Inc

Scope of the Report: