Low Voltage Drives Market Size & Share, by Type (AC Drives, DC Drives, Servo Drives); End-user (Automotive, Oil & Gas, Chemical & Petrochemical, F&B, Water & Wastewater, Power Generation, Metal & Mining, Pulp & Paper, HVAC, Discrete Industries) - Global Supply & Demand Analysis, Growth Forecasts, Statistics Report 2023-2035

  • Report ID: 4742
  • Published Date: Mar 20, 2023
  • Report Format: PDF, PPT

Global Market Size, Forecast, and Trend Highlights Over 2023-2035

Low Voltage Drives Market size is poised to cross USD 30 Billion by the end of 2035, growing at a CAGR of 5% during the forecast period, i.e., 2023-2035. In the year 2022, the industry size of low voltage drives was over USD 18 Billion. The growth of the market can be attributed to growing urbanization which has further estimated to boost the investment in construction activities. For instance, India's construction industry got FDI worth about USD 15 billion for infrastructure projects and approximately USD 24 billion for building development between April 2000 and September 2020. Hence, owing to the growing investment the spending on low voltage drives is anticipated to grow, since they are known to be the expensive alternative. However, using low voltage drives is one of the attractive solutions which makes them more preferable in construction activities.

Additionally, to increase the efficiency and dependability of the electrical supply, private and governmental investors are funding for the development of smart infrastructure. To guarantee that the proper voltage level is maintained, voltage drives are integrated into the power generators used in smart grids. Among the main causes promoting the deployment of power electronic components such as low voltage drives are the expanding deregulation of the energy industry, the emergence of micro grids, and distributed energy. Hence, the growing trend of smart cities is estimated to boost the market growth over the forecast period. Moreover, the business environment would be aided by strict government regulations supporting a sustainable environment and an increase in end user attention on highly efficient units.


Low-Voltage-Drives-Market
Get more information on this report: Request Free Sample PDF

Low Voltage Drives Sector: Growth Drivers and Challenges

Growth Drivers

  • Growth in Waste Water - About 379 billion m3 of municipal wastewater are produced worldwide each year. Production of wastewater is anticipated to rise by about 23% by 2030 and by approximately 50% by 2050. Wastewater is referred to as water that has been utilized for a purpose for which it is no longer useful, and its treatment has gained significant attention owing to environmental and public health concerns. Hence, the demand for low voltage drivers is estimated to increase. The major factor influencing the usage of low voltage drivers in waste water treatment is that it gives better control over process and also reduce the labor.
  • Growing Demand for Energy - World energy demand increased by about 3% in 2018; if the trends continue, global energy consumption would increase by a further approximately 29% by 2040 to about 739 million terajoules. Hence, the demand for low voltage drives is estimated to increase. Moreover, low voltage drives are known for efficiently saving energy. Saving energy is the most effective method of meeting growing demand. Hence, using low voltage drives cut down the energy consumption, and it is expected to boost the market’s growth in the upcoming years.
  • Rising Production of Plastic - The anticipated global plastics output for 2021 was about 389 million metric tons, an increase of 4% year.
  • Surge in Demand for Electric Vehicles - Despite supply chain snags and the ongoing Covid-19 outbreak, electric car sales hit a record high in 2021 throughout the main auto markets. Sales nearly doubled to more 5 million across the globe, representing a sales share of approximately 8%, compared to 2020, increasing the total number of electric vehicles on the road to about 15 million.
  • Upsurge in Extraction of Oil - In 2021, there were about 90 million barrels of oil produced day globally. With approximately 94 million barrels produced, oil production in 2019 reached a record high.

Challenges

  • High Cost of Low Voltage Drives – Even, though the low voltage drives are known to be the most efficient than all other substitutes, its price stands as a biggest restraint for the growth of the market. Hence, large number of manufacturers prefer substitute for the same. Moreover, the shortage of semiconductor also led an increase in price of low voltage drives all around the globe. Moreover, drives manufacturers were forced to use the black market since some semiconductor components went from being to about USD 3 to approximately USD 39 in price in 2022. The result was extremely volatile prices.
  • Interruptions in Supply Chain Logistics
  • Growing Restriction of Government for International Trade

Low Voltage Drives Market: Key Insights

Base Year

2022

Forecast Year

2023-2035

CAGR

5%

Base Year Market Size (2022)

USD 18 Billion

Forecast Year Market Size (2035)

USD 30 Billion

Regional Scope

  • North America (U.S., and Canada)
  • Latin America (Mexico, Argentina, Rest of Latin America)
  • Asia-Pacific (Japan, China, India, Indonesia, Malaysia, Australia, Rest of Asia-Pacific)
  • Europe (U.K., Germany, France, Italy, Spain, Russia, NORDIC, Rest of Europe)
  • Middle East and Africa (Israel, GCC North Africa, South Africa, Rest of the Middle East and Africa)
Get more information on this report: Request Free Sample PDF

Low Voltage Drives Segmentation

The global low voltage drives market is segmented and analyzed for demand and supply by end-user industry into automotive, oil & gas, chemicals & petrochemicals, F&B, water & wastewater, power generation, metal & mining, pulp & paper, HVAC, and discrete industries. Out of which, the automotive segment is anticipated to garner the highest revenue by the end of 2035. The growth of the segment can be attributed to growing automotive production, along with growing energy consumption in manufacturing. Around 79 million automobiles were produced globally in 2021. Comparing this number to the prior year, a rise of about 2% may be calculated. In addition, the government's increasing focus on promoting e-mobility vehicles, which could be used in challenging environments and have high shock and vibration tolerances, has expanded market penetration. However, the easiest approach to increase the power of electric drives is to increase voltage, which is in line with consumer expectations for more from electric vehicles. By doing so, the electrical safety issue is only made worse. Hence, the importance for low voltage drives in automotive sector is growing.

The global low voltage drives market is also segmented and analyzed for demand and supply by type into AC drives, DC drives, and serve drives. Amongst which, the AC drives segment is anticipated to grow significantly over the forecast period, backed by its ability to consume less energy. Lower energy use translates into lower productivity costs. Low voltage AC drives assist in achieving high frequency and higher machinery performance at low voltage since industry uses energy-intensive gear. This feature broadens the range of industrial equipment and machinery to which it could be applied. Particularly in the mining industry, AC drives make the machinery more environmentally friendly owing to their energy efficiency. Moreover, the fact that the speed could be changed depending on the situation is another crucial element. This is crucial in every industry, despite it's particularly crucial in the drilling-intensive construction, gas, and oil industries, as well as the mining sector. As a result of the energy use being significantly changed according to speed, hydraulic and pneumatic drilling systems are being replaced.

Our in-depth analysis of the global low voltage drives market includes the following segments.

              By Type

  • AC Drives
  • DC Drives
  • Servo Drives

          By End-User Industry

  • Automotive
  • Oil & Gas
  • Chemicals & Petrochemical
  • F&B
  • Water & Wastewater
  • Power Generation
  • Metal & Mining
  • Pulp & Paper
  • HVAC
  • Discrete Industries

Want to customize this research report as per your requirements? Our research team will cover the information you require to help you take effective business decisions.

Customize this Report

Low Voltage Drives Industry - Regional Synopsis

Asia Pacific Market Forecast

The Asia Pacific low voltage drives market, amongst the market in all the other regions, is projected to hold the largest market share by the end of 2035, backed by growing population which is further boosting the demand for power generation infrastructure, along with growing investment in construction projects. Since 2000, about 2 billion people in developing Asia have acquired access to electricity, with approximately 98% of the region having access in 2020 as opposed to about 67% in 2000. Two-thirds of this improvement was made in India, where the ambitious Saubhagya scheme, according to the government, connected more than 98% of the country's citizens in 2019. Moreover, by emphasizing 24/7 supplies, the government is now aiming to increase the quality of access. Additionally, the industrialization sector's expanding investments and the booming real estate industry would improve the market growth. Further, many government initiatives to increase the availability of electrical cars (EVs) would increase demand for EV accessories and fuel market growth.

North America Market Forecast

 

The North America low voltage drives market, amongst the market in all the other regions, is projected to grow with the highest CAGR during the forecast period. The growth of the market in this region can be attributed to growing demand for electric vehicles in this region. Moreover, the adoption of robots is extensively growing in the various industries in North America. Additionally, the large number of key players are focusing more on advancing the technology which would further increase the demand for low voltage drives in this region. Also, the expanding use of dependable units in the oil & gas, food processing, and power generation sectors would improve the overall business environment. Moreover, the market dynamics would be enhanced by the ongoing expansion of energy capacity as well as increased infrastructure investments by new firms and governmental entities in this region. Also, the market would be boosted by expanding electricity consumption in emerging nations such as US, along with increased energy storage capacity.

Europe Market Forecast

Additionally, the market in Europe region is also estimated growth significantly over the forecast period, backed by growing electricity consumption in this region. Moreover, in all end-user sectors, power consumption accounts for a significant portion of costs. Hence, this factor is also estimated boost the market growth in this region. Moreover, the region's market growth in the region could be linked to increased spending on sustainable and clean technologies for power production in the region, such as wind and solar. A key element that is estimated to boost the use of renewable energy sources in electricity production facilities is the implementation of tight regulations to limit GHG emissions from power generation facilities.

Research Nester
Low-Voltage-Drives-Market-size
Get more information on this report: Request Free Sample PDF

Companies Dominating the Low Voltage Drives Landscape

top-features-companies
    • Schneider Electric
      • Company Overview
      • Business Strategy
      • Key Product Offerings
      • Financial Performance
      • Key Performance Indicators
      • Risk Analysis
      • Recent Development
      • Regional Presence
      • SWOT Analysis
    • Rockwell Automation, Inc.
    • General Electric
    • Hitachi Hi-Rel Power Electronics Private Limited
    • Honeywell International, Inc.
    • Eaton
    • Emerson Electric Co.
    • CG Power & Industrial Solutions, Ltd.
    • Johnson Controls
    • Invertek Drives Far East Pte Ltd

In the News

  • For condition-based monitoring of rotating equipment such pumps, motors, compressors, fans, blowers, and gearboxes, Honeywell International, Inc., has released the Versatilis Transmitters. In order to give intelligence that could increase safety, availability, and dependability across industries, Honeywell Versatilis Transmitters provide pertinent measurements of rotating equipment. A versatile device based on the low power, long range LoRaWAN protocol is the Honeywell Versatilis Transmitter. Manufacturers could deploy at scale with less capital and running expense owing to low power consumption and simple installation.

  • To assist industrial operators in the international IEC markets increase their output, safety, and energy performance, Rockwell Automation, Inc. added two extra PowerFlex variable frequency drives (VFDs) to the CENTERLINE 2500 low-voltage motor control centres (MCCs).

Author Credits:  Rushikesh, Richa Gupta


  • Report ID: 4742
  • Published Date: Mar 20, 2023
  • Report Format: PDF, PPT

Frequently Asked Questions (FAQ)

The major factors driving the growth of the market are growth in waste water, growing demand for energy, rising production of plastic, and others.

The market is anticipated to attain a CAGR of 5% over the forecast period, i.e., 2023-2035.

High cost of low voltage drives, interruptions in supply chain logistics, and growing restriction of government for international trade are estimated to be the growth hindering factors for the market expansion.

The market in the Asia Pacific region is projected to hold the largest market share by the end of 2035 and provide more business opportunities in the future.

The major players in the market are Schneider Electric, Rockwell Automation, Inc., General Electric, Hitachi Hi-Rel Power Electronics Private Limited, and more.

The company profiles are selected based on the revenues generated from the product segment, the geographical presence of the company which determines the revenue generating capacity as well as the new products being launched into the market by the company.

The market is segmented by type, end-user industry and by region.

The automotive segment is anticipated to garner the largest market size by the end of 2035 and display significant growth opportunities.
Low Voltage Drives Market Report Scope
logo
  GET A FREE SAMPLE

FREE Sample Copy includes market overview, growth trends, statistical charts & tables, forecast estimates, and much more.

 Request Free Sample Copy

Have questions before ordering this report?

Inquiry Before Buying