Energy Efficient Motor Market Projected to Grow at a CAGR of 9.5 and Generate a Revenue of $119,052.6 Million by 2032

Download Sample   Reports Overview

The global energy efficient motor market size is predicted to be valued at $119,052.6 million by 2032, surging from $48,530.0 million in 2022, at a noteworthy CAGR of 9.5%.

Impact Analysis of COVID-19 on the Energy Efficient Motor Market

The COVID-19 pandemic has had a significant impact on the energy efficient motor market. With the global emphasis on sustainability and energy conservation, industries increasingly sought energy-efficient solutions. As remote work and supply chain disruptions became common, manufacturers realized the importance of efficient motor systems to reduce energy consumption and operating costs. This led to an increase in demand for energy-efficient motor, prompting both established companies and new entrants to innovate and expand their offerings. In addition, there was a growing focus on incorporating smart and IoT-enabled features to enhance monitoring and control, reflecting the evolving market dynamics.

In the post-COVID-19 period, the energy efficient motor market saw the demand as industries prioritized energy conservation and sustainability. Remote work emphasized the need for efficient operations. Manufacturers innovated new energy efficient motors, while new players entered in market, intensifying competition. Integration of smart technologies also gained prominence, underscoring the market's adaptability and resilience in a changing landscape.

Global Energy Efficient Motor Market Analysis

Governments of various countries can develop energy efficiency programs that provide resources and support services to organizations and people interested in using energy-efficient technology. Furthermore, these programs provide advice on choosing the best possible motor for a certain application, which could indicate energy-saving potential and provide financing options to help with the initial costs of new equipment. Therefore, the government's continued efforts to promote the usage and understanding of energy-efficient motors is expected to contribute to market growth during the forecast period. In addition, increasing energy prices and the need for energy conservation are major drivers of the energy efficient motor market. Energy-efficient motors offer reduced energy consumption, resulting in lower operating costs for industries, commercial buildings, and households. These are the major factors anticipated to boost the energy efficient motor market share during the forecast timeframe.

Energy-efficient motors often require certification and testing, higher-quality components, advanced manufacturing procedures, and more testing to ensure their efficacy. This can lead to greater manufacturing costs for producers and higher prices for end users. Energy-efficient motors are generally costly than ordinary motors. Furthermore, some purchasers may be uninformed about the benefits of energy-efficient motors, and as a result, they may be resistant to pay higher rates for a technology that they do not completely comprehend. Therefore, the cost of energy-efficient motor is anticipated to hinder energy efficient motors market growth expansion in the upcoming years.

The leading players in the market are competing with diverse innovative offerings to remain competitive in the market. The leading players operating in the market are adopting various strategies such as product innovation and R&D investment in order to cater demand coming from the different industries. This presents an opportunity for the energy efficient motor market to grow and innovate. For Instance, in March 2023, Rockwell Automation signed an agreement with Energy Drive, an energy-efficiency specialist. These companies would collaborate on initiatives under this agreement such that the ensuing energy savings would balance any systems and technology investments required to advance the sustainability solutions.

Global Energy Efficient Motor Market, Segmentation

The energy efficient motor market is segmented on the basis of type, product type, application, end user, and region.

Type:

The type segment is classified into super premium-IE4, premium-IE3, high-IE2, and standard-IE1. Among these, the premium-IE3 sub-segment is expected to be fastest growing during the forecast period. The energy-efficient motor market, particularly the premium-IE3 segment, is witnessing substantial growth due to several driving factors. These motors offer enhanced energy efficiency, reduced operational costs, and environmental benefits, making them attractive for industries focusing on sustainability and cost savings. Stricter regulations on energy efficiency and increasing awareness of environmental concerns are compelling industries to adopt IE3 motors. Moreover, the potential for long-term savings, lower maintenance costs, and the ability to meet corporate sustainability goals are propelling the demand for premium-IE3 motors, solidifying their position as a preferred choice in the energy efficient motor market growth.

Product Type:

The product type segment is further classified into AC motor and DC motor. Among these, the DC motor sub-segment is projected to witness the highest CAGR in the upcoming years. This is due to the fact that DC motors, with their quicker response times and more consistent torque and speed levels, are perfectly suited for usage in vacuums, fabrication and manufacturing equipment, elevators, and material handling equipment. They also have lower installation and upkeep requirements, more starting power and torque, faster acceleration and deceleration response times, and a wider range of voltage possibilities. All these factors are projected to drive the segment growth during the forecast period.

Application:

The application segment is further classified into pumps, fans, compressed air, refrigeration, material handling, and material processing. Among these, the fans sub-segment is predicted to have the fastest growth during the forecast period. The increasing awareness regarding environmental sustainability and stringent energy efficiency regulations has compelled industries and consumers to adopt more efficient motor technologies for fans. These motors not only reduce electricity consumption but also minimize greenhouse gas emissions. The rising energy costs have prompted businesses and individuals to seek energy-saving solutions, making energy-efficient motors an attractive choice. The advancements in motor design and technology have led to more efficient and reliable options, enticing consumers with improved performance and reduced maintenance costs. All these factors are predicted to drive the segment growth during the forecast period.

End User:

The end user segment is further classified into industrial, commercial, residential, agriculture sector, and others. Among these, the industrial sub-segment is predicted to have the fastest growth during the forecast period. The robust growth of energy-efficient motors can be attributed to their extensive utilization in industrial applications. As industries increasingly embrace automation, the demand for these motors increases. Energy-efficient motors play a pivotal role in enabling industries to curtail their electricity consumption, resulting in substantial cost savings. Furthermore, the government's dedicated efforts to curtail power usage within the industrial sector further boosts this segment expansion, aligning with the overarching goal of promoting energy efficiency and sustainability.

Region:

The energy efficient motor market share in Asia-Pacific is projected to show the fastest growth during the forecast period. The regional growth is attributable to various Asia-Pacific countries establishing minimum energy performance standards or labeling programs for electric motors, increasing demand for energy-efficient motors. Asia-Pacific is the world's most populous region and is on target to become the world's greatest energy consumer. Rising energy prices in the region have raised concerns about energy efficiency, and several measures taken by Departments of Energy (DOE) in various APAC countries are encouraging industries to switch to high-efficiency motors (HEMs) that consume less power, resulting in the growth of the energy-efficient motor market in this region.

Key Players in the Global Energy Efficient Motor Market

Some of the companies operating in the energy efficient motor market are ABB Ltd, Crompton Greaves, General Electric, Honeywell International, Inc., Kirlosakar Electric Company, Ltd, Microchip Technology, Inc., Magneteck, Inc., Johnson Controls Inc., Simens AG, and Weg S.A.