According to a study conducted by Research Dive, the global induction motor market forecast size is expected to reach$31,627.5 million by the end of 2026, registering 12.1% CAGR over the forecast period.
The cost of induction motor is very low this is majorly due to the absence of commutators, brushes and slip rings. In addition, induction motor can be operated in explosive ares where there are high chances of short circuits and polluted areas as these motor do not have brushes, which make them unique and cannot cause sparks. These factors are anticipated to drive the induction motor market during the forecast period.
The key factor hampering the growth of the induction motor market is the difficulty in controlling the speed of the induction motor. However, to control the speed in fine application consumers are preferring DC motor instead of induction motor.
The global induction motor market wasdivided on the basis of type into single phase and three phase. Among these, the single-phase induction motor accounted for the highest market value and is projected to reach $16,688.9 million by 2026 growing at a CAGR of 11.8% during the forecast period. However, the three-phase induction motor is anticipated to boost the induction motor market during the forecast period accounting for $14,938.6 million in 2026 growing at a CAGR of 12.5%. This dominance is mainly as the demand for three-phase induction motor is rising majorly in automation and industrialization globally along with the growing dependability of three-phase induction motor when compared to single phase induction motor.
On the basis of application, the global induction motor market is categorized into commercial, residential, and industrial. Among these, the market for industrial segment is anticipated to boost the global induction motor market by 2026 accounting for $10,826.4 million; the growth is majorly due to the rising industrial sector across developing countries. In addition, the shift towards industrial automation, coupled with the rising consumer confidence & promising investment plans triggers demand for the induction motor in industrial application.
The global induction motor market has been classified regionally into North America, Europe, Asia-Pacific, and LAMEA. The Asia-Pacific region held the largest market value in 2018 accounting for $3,802.8 million and is anticipated to reach $9,678.0 million by 2026, growing at a CAGR of 12.4% during the forecast period. Asia-Pacific region is anticipated to continue its dominance in terms of revenue during the projected time frame; this dominance is majorly due to the growing industrial sectors in this region, significantly in developing countries such as India, China, and South Korea. The market for North America region is anticipated to grow at a swift rate during the projected time frame. North America market is predicted to reach $9,259.7 million by 2026, growing at a CAGR of 12.7%.
Top gaining participants of global induction motor market are Baldor Electric Company, Siemens AG, Schneider Electric SE, Emerson Electric Company, ABB Ltd, Regal Beloit Corporation, Kirloskar Electric Company, and Marathon Electric among others. These key participants are concentrating on product improvements, mergers & acquisitions, collaborations and new product launches to gain majority of the market share in the overall Induction Motor industry.
Porter’s Five Forces Analysis for Induction Motor Market:
1. Bargaining Power of Suppliers: The key players present in this market are very huge and the demand for the Induction motor is also high, and thus the supplier’s power is high.
The bargaining power of suppliers is High.
2. Bargaining Power of Consumers: The number of consumers is very high.
The bargaining power of consumers is High.
3. Threat of New Entrants: The threat for new entrants is medium, and the key factors that need to be considered are:
Lack of geographical presence of the key players in the developing and underdeveloped nations The initial investment to start a semiconductors company is moderate. The threat of new entrants is Medium.
4. Threat of Substitutes: There are no alternatives for Induction Motor, and thus the threat of substitute low.
The threat of substitutes is Low.
5. Competitive Rivalry in the Industry:
This market includes many market participants. These key players are following similar strategies for the improvement of technologies.
The competitive rivalry in the industry is High.