Asia-Pacific Induction Motor Market Size

Asia Pacific Induction Motor Market Analysis

The Asia Pacific induction motor market is expected to register a CAGR of 4.2% over the forecast period (2022-2027). Induction motors are mostly used in machinery, as they are beneficial and powerful compared to conventional motors. Unique robustness makes it a suitable choice for automotive and manufacturing applications, as it requires less maintenance. The ability of these motors to work under varying climatic conditions is another factor driving their demand.

• The increasing demand for electrical energy to sustain global development requires consistent heavy investments in power supply generation that have driven the application of induction motors in the electricity sector.
• Moreover, the growing urbanization in emerging economies such as India and China has increased the demand for washing machine, refrigerator, HVAC, pumps, and other applications in which induction motor has a key role in their functioning. For instance, Japanese major player Daikin has announced that it has finished the purchase agreement for a 75-acre plant at Sri City (Andhra Pradesh) with an investment of 1,000 Crore to set up a large air-conditioner manufacturing plant, which will come up in phases.
• The industrial sector in Asia-Pacific is likely to grow as a result of several initiatives by the government, such as 'Make in China 2025' and 'Make in India,' which will boost the demand for induction motors, thereby driving the growth in the region.
• The growth in industrialization and commercialization creates more automation opportunities across the region. Also, households have grown exponentially over the last two decades. The United Nations expects that urbanization in Asia will reach 64.1% by 2050. Such factors are further expected to drive demand in several sectors like manufacturing, and power generation, where induction motor finds its application on a large scale. However, introducing alternatives for induction motors is the major restraining factor for the market's growth.
• Several leading fast-moving electrical goods (FMEG) companies are introducing new products that use induction motors for the product's function. For instance, in March 2022, Havells India Limited announced the launch of a new range of technologically advanced fans equipped with ECOACTIV super-efficient BLDC and induction motors.
• The Covid-19 pandemic has negatively impacted the region's market growth due to the stoppage of manufacturing industry operations. On the demand side, containment measures and economic disruptions related to covid-19 have led down production and mobility in the region, producing a significant drop in demand for induction motors.