Market Size of Asia-Pacific Alternating Current (AC) Drive Industry
| Study Period | 2019 - 2029 |
| Base Year For Estimation | 2023 |
| Forecast Data Period | 2024 - 2029 |
| Historical Data Period | 2019 - 2022 |
| CAGR | 6.50 % |
| Market Concentration | Medium |
Major Players
*Disclaimer: Major Players sorted in no particular order |
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APAC Alternating Current (AC) Drive Market Analysis
Asia-Pacific Alternating Current (AC) Drive Market is expected to register a CAGR of over 6.5% during the forecast period (2022 - 2027). Many factors influence the Asia pacific AC drives the market, including urbanization, industrialization, and the ever-increasing demand for energy. Other market influences include rising electricity prices and energy efficiency regulations. AC drives have the potential to reduce energy consumption while also providing a higher return on investment and efficiency.
- Utilities and governments of Asia-Pacific encourage industries and households to use less energy by implementing energy-saving techniques. By increasing the efficiency of machines that use AC power, AC drives provide the ideal solution for energy savings. AC drives save between 25% and 70% of the energy used by motors.
- AC drives low production costs, combined with an increase in electricity prices, which has boosted their sales. Manufacturers worldwide prefer these drives for motor-driven equipment because they use less electricity, require less maintenance, and are simple.
- China has emerged as one of the world's largest manufacturing hubs, making it a significant market for AC drives. Similarly, initiatives such as 'Make in India' are expected to further propel India's industrial manufacturing and processing sectors, positioning the country as one of the most promising markets for AC drives.
- Furthermore, the Covid-19 pandemic significantly impacted the oil and gas industry. For example, Australia's thriving LNG industry has stalled due to a drop in oil prices caused by the COVID-19 pandemic. The collapsed oil price and geopolitical price war have delayed more than USD 80 billion in investment decisions.
- The COVID-19 outbreak has greatly reduced the demand for low voltage AC drives. Many manufacturers of these products have completely or partially shut down their plants due to government-imposed lockdowns to slow the spread of the pandemic. As a result of the COVID-19 pandemic, low demand for industrial products weighs on the Asia-Pacific AC Drive Market.
