Electrical energy is converted into mechanical energy by the electric motor. The rotor, bearings, stator, air gap, windings, and commutator are among the components.
Covid-19 Impact & Market Status
Supply chains will have the most immediate impact on electric motors that have already been contracted or are now being manufactured. Industry executives expect delivery and construction delays, either because countries have shut down industries to halt the spread of the coronavirus or because workers have tested positive for the virus. China, the United States, and some regions of Europe provide many of the components and parts used in the production of electric motors. Manufacturing interruptions in China and the US could result in a significant reduction in the electric motor industry over the next year or two.
Many countries' currencies have declined as a result of the COVID-19 outbreak. Supply and demand are out of whack, resulting in financial losses for component/parts makers. The majority of key components used in electric motor manufacture are purchased in US dollars, resulting in higher component costs.
The industrial industry has been badly hit by the global lockdown in terms of production output and supply operations, as well as a slowdown in demand and order intake from clients. The regional authorities are allowing the return of industrial production activity in the following financial quarters of the initial pandemic epidemic. Within the next three to four quarters, the electric motors industry is predicted to recoup in growth.
Despite the difficult circumstances, the economy is steadily improving. Furthermore, following COVID-19, an increase in new product developments has expanded the use of robots and digitally operated machineries, which is increasing demand for electric motors. Despite the challenging circumstances, economies are gradually recovering. As supply and distribution networks rebuild, company activity have begun to develop slowly and steadily. Given this, the epidemic is unlikely to be contained.
The transportation category held the largest share
Based on application, the transportation category held the greatest share of the electric motor market in 2020. This is mostly due to the rising acceptance of electric vehicles (EVs) as a result of government-funded subsidies and environmental benefits, as well as the rising demand for motor vehicles, which has resulted in the adoption of electric motors.
The AC motor category is expected to grow at the fastest rate
Based on type, the AC motor is predicted to grow the fastest in the electric motor market during the forecast period. This is partly due to AC motors' ability to operate at higher voltages while also being energy efficient and having better torque and speed. In addition, AC motors are easier to repair and use less cable. Furthermore, these motors are becoming more widely employed in the production of automobiles, as well as in the increased usage of energy-efficient motors in industrial applications.
The Asia-Pacific market would grow at the fastest rate
During the projected period, the APAC electric motor market is expected to grow at the quickest rate. This is due to the fact that developing countries such as China, India, Bangladesh, and Indonesia have a huge number of manufacturing facilities in the region. Furthermore, key players are investing in untapped areas in the region as part of their business strategy, which is adding to regional market growth.
Increasing Electric Motor Compliance for Energy-Efficient Motors
The growing requirement for high-power-consumption businesses to minimize their energy usage is predicted to drive demand for energy-efficient electric motors around the world. Electric motors account for over 70% of total energy consumption in the industrial industry, with compressors consuming the most electricity, and electric motors consuming half of all energy spent. As a result, companies are using more energy-efficient electric motors to cut operational costs. As a result, rising compliance for energy-efficient electric motors is propelling the global electric motor market forward.
Electric Vehicles are becoming more popular
Electric car demand has exploded in recent years, with the electric motor being one of the most important components of these vehicles. According to the International Energy Agency (IEA), approximately 3.24 million electric automobiles were sold worldwide in 2020, up from 2.1 million in 2019. However, according to the BNEF Electric Vehicle Outlook 2020 research, EVs' proportion of worldwide sales remained relatively steady in 2020, at around 3%, but will continue to rise, reaching 7% in 2023, with sales of around 5.4 million. As a result, the electric motor market is predicted to rise throughout the forecast period, owing to rising acceptance and sales of EVs.
AC motors are an excellent choice for robotic system manufacturers due to factors such as angular motions, torque requirements, acceleration, speed, and control.
Electric Motor market is projected to grow from USD 113.14 billion in 2021 to USD 181.89 billion by 2028 at a CAGR of 7.0% during 2021-2028. Customers' growing awareness of green automobiles has been a major driving force in the market. A growing number of government incentives to stimulate the sale of green vehicles in order to protect the environment from carbon emissions are also projected to boost the market.
Electric motors have seen significant technological improvements in recent years, as a result of which their demand is increasing. Furthermore, the introduction of better insulation materials has enhanced operational efficiency and product life, resulting in market growth. Because of an increase in automotive manufacturing over the forecast period, the market is expected to grow at a significant rate.
Different types of DC motors include shunt, series, permanent magnets, and others, whereas synchronous machines, reluctance motors, and others are different types of AC motors. Electric motors are extensively used in OEM products, such as pumps, conveyor systems, compressors, fans, and industrial machinery. The combination of electronic hardware and sensors can be used to create AC and DC motors that offer predictive maintenance and save downtime during maintenance.
The expansion of the electric motor market is fueled by an increase in demand for greater machine control in the automotive industry, owing to the high efficiency of AC synchronous motors. Regulations such as the Minimum Energy Performance Standards (MEPS) are driving the global market for energy efficient electric motors.
The principal consumers of fractional horsepower (FHP) motors are material handling systems, resulting in rising demand around the world. Furthermore, motors ranging from 21 to 60 volts are projected to be in high demand in the HVAC sector in the next years due to heat dissipation.
Industrial motors with high power ratings, on the other hand, produce significant vibration, strain, and temperature during operation, which could have a significant impact on electronic components and cause them to malfunction. Furthermore, during the projection period, the electric motor market is likely to be hampered by a lack of knowledge of the benefits associated with smart motors among small and medium business owners for various applications.
Ametek Incorporation, Siemens AG, Baldor Electric Incorporation, Allied Motion Technologies Inc., ARC Systems Incorporation, Asmo Corporation Limited, Brook Crompton UK Limited, Franklin Electric Cooperative Incorporation, Rockwell Automation Incorporation, and Johnson Electric Holdings Limited are among the major players in the global electric motor market.
Latest Innovations in the Electric Motor Market: a Snapshot
- In March 2020, Wolong Electric, a Wolong subsidiary, paid USD 160 million for GE's small industrial motors division. This acquisition is intended to assist Wolong in gaining market share leadership.
- Nidec Corporation unveiled two new traction motor systems, the 200 kW Ni200Ex and the 50 kW Ni50Ex, in February 2020, based on the company's original 150 kW E-Axle.
- WEG established a low voltage electric motor facility in Hosur, India, in October 2019. The new 13,000-square-meter factory has the capacity to produce 250,000 electric motors annually.
- In May 2019, Allied Motion Technologies introduced the EnduraMax 75i Series, a brushless DC motor with an integrated all-digital drive. AGV vehicle traction or steering, medical patient-handling devices, rotary/linear actuators, pumps, mobile HVAC blowers, and material handling systems all use the EnduraMax 75i Series brushless DC motor.
- In January 2018, TECO Westinghouse (Canada), a TECO Electric & Machinery firm, formed a new distribution partnership with Westech Industrial. TECO Westinghouse (Canada) is anticipated to benefit from this new relationship by gaining access to previously untapped markets in Canada.
Electric Motor Market Scope
|Forecast Unit||Value (USD)|
|Revenue forecast in 2028||USD 113.14 billion in 2021 to USD 181.89 billion|
|Growth Rate||CAGR of 7.0% during 2021-2028|
|Segment Covered||Motor Type, Power Output, Application Regions|
|Regions Covered||North America, Europe, Asia Pacific, Latin America, Middle East & Africa|
|Key Players Profiled||Ametek Incorporation, Siemens AG, Baldor Electric Incorporation, Allied Motion Technologies Inc., ARC Systems Incorporation, Asmo Corporation Limited, Brook Crompton UK Limited, Franklin Electric Cooperative Incorporation, Rockwell Automation Incorporation, and Johnson Electric Holdings Limited are among the major players in the global electric motor market.|
Key Segments of the Electric Motor Market
- Motor Type Outlook (Revenue, USD Billion, 2016 - 2028)
- AC Motor
- Synchronous AC Motor
- Induction AC Motor
- DC Motor
- Brushed DC Motor
- Brushless DC Motor
- Hermetic Motor
- Power Output Outlook (Revenue, USD Billion, 2016 - 2028)
- Integral HP Output
- Fractional HP Output
- Application Outlook (Revenue, USD Billion, 2016 - 2028)
- Industrial Machinery
- Motor Vehicles
- HVAC Equipment
- Aerospace & Transportation
- Household Appliances
- Regional Outlook (Revenue, USD Billion, 2016 - 2028)
- North America
- Asia Pacific
- Latin America
- Middle East & Africa