Affordable, energy-efficient drives are the need of the hour, study finds
Mountain View, CA – Heightened investment in automation technologies across end-user industries will propel the global drives market, according to a new study from Frost & Sullivan. Due to the rising need for operational excellence and process automation, the replacement market, in particular, will witness particularly strong growth.
While demand in the United States will be fuelled by the resurgence of the chemical industry, globally, investment in the water and wastewater industry and increased interest in mining will have a positive effect on the drives market.
Recent analysis from Frost & Sullivan, 2014 Global Drives Factbook, finds that the market earned revenues of approximately $11 billion in 2014 and is estimated to reach almost $17 billion in 2019. The study covers low- and medium-voltage drives.
“Countries such as India, Brazil, Mexico, Russia and Indonesia are likely to boost the overall adoption levels of drives,” said Frost & Sullivan Industrial Automation & Process Control senior consultant Michael Rasche. “As the demand for cost-effective machinery manufactured in these countries is anticipated to rise during the forecast period, the need for drives will also intensify.”
However, economic uncertainties in regions like Europe will reduce the uptake of drives. Sluggish growth in China will also have a negative impact on the market in the short term. This, along with pricing pressures from low-cost participants, will stifle the speed of market development.
“Nevertheless, the need for energy efficiency will bring opportunities to drive manufacturers,” noted Rasche. “With end-user industries having to abide by strict energy-efficiency standards, they are increasingly looking for drives that have the desired performance specifications but are reasonably priced.”
2014 Global Drives Factbook is part of the Power Transmission Growth Partnership Service program. Frost & Sullivan’s related studies include: Analysis of the North American Low Voltage (LV) Motors Market, Global Welding Robotics Fact Book, Strategic Analysis of the Global Industrial Bearings and Couplings Market, and Analysis of the Global Motor Control Centers Market.