Industrial Motors Market Size

Industrial Motors Market Analysis

The Industrial Motors Market size is estimated at USD 21.29 billion in 2024, and is expected to reach USD 28.17 billion by 2029, growing at a CAGR of 4.77% during the forecast period (2024-2029).

The expanding footprint of the industrial sector across developing regions, along with the growing penetration of advanced machinery and automation, supports the studied market's growth.

• Motors are the significant driving force of industrial production. The new and advanced approaches for designing and developing industrial motors include factors like alignment, motor monitoring, connections, testing, and saving costs and time while improving safety and security. Energy-saving motors and intelligent drives also boost efficiency and performance while facilitating troubleshooting.
• The growing focus on Industry 4.0 primarily drives the market for industrial motors. Industrial automation drives the manufacturing sector toward more productivity in several regions, expecting to show strong demand. According to Industrial Energy Accelerator, nearly 70% of all electrical energy consumed by several industries is used by the millions of electrical motors installed globally. Such trends drive the demand for innovations in industrial motor technology to make them energy efficient.
• The industry players also focus on expanding their manufacturing operations, further supporting the market growth. For instance, in July 2022, Mitsubishi Electric Corporation revealed that it would fund the construction of a new factory in India by investing roughly JPY 3.1 billion (USD 20753139), or EUR 21.8 million (USD 23078570), in its subsidiary Mitsubishi Electric India Pvt. Ltd. The new facility, whose activities are scheduled to begin in December 2023, will likely produce inverters and other factory automation (FA) control system goods, enhancing the company's capacity to satisfy India's booming demand. Such an instance will create a favorable outlook for the growth of the studied market in the region.
• In Industrial applications, AC motors are generally more reliable with low maintenance requirements, and the bearing life frequently limits the service life of AC motors. Since the motors do not need commutators, brushes, or slip rings, they don't have parts that wear out regularly. This factor makes the motors ideal for applications that are not easily accessible, continuously available to operate, or will work without supervision for long periods. Furthermore, one critical trend in the market is the development of high power-to-weight ratio industrial motors. Several manufacturers are developing electric motors with a high power-to-weight ratio, as large electric motors have portability and high energy consumption issues.
• However, factors such as the higher installation and maintenance cost of industrial motors challenge the growth of the studied market, especially in developing markets, wherein price sensitivity is higher.
• The impact of macroeconomic factors is also on the higher side in the studied market, as investments in the industrial sector are largely influenced by factors such as the market demand for manufactured products, the general economic condition of the region, and the geopolitical situation. Hence, during the forecast period, these factors are anticipated to continue to play a pivotal role in determining the growth trajectory of the studied market.