Motor Control Centers Market Trends

Growth Drivers

• Increasing Demand for Automation: The growing demand for automation in various industries, including manufacturing, oil and gas, and mining, is expected to drive the demand for motor control centers. Automation helps to improve productivity, efficiency, and safety, which can lead to increased profitability. According to a report, global sales of industrial robots reached 373,000 units in the year 2020, up 12% from the previous year.
• Focus on Energy Efficiency: The need for energy-efficient solutions is also driving growth in the motor control centers market. Motor control centers help to optimize energy consumption by controlling the speed and torque of electric motors. According to the International Energy Agency, global electricity demand is expected to grow by 4% in the year 2021, with renewable energy sources accounting for almost 90% of the increase.
• Increasing Emphasis on Safety: Safety is a top priority in industrial and commercial settings, and motor control centers help to ensure that motors are operated safely and efficiently. The increasing emphasis on safety is expected to drive demand for motor control centers that are designed to meet the latest safety standards. According to a report, workplace fatalities in the United States increased by 2% in the year 2019 to 5,333 deaths.
• Ongoing Urbanization Around the World - Rising income levels and increasing demand for power nationwide contribute to increased demand for motor control centers. In today's world, 56% of the population lives in urban areas, which is driving the demand for electricity across the globe. The urban population is expected to double by 2050, with almost 7 in 10 people living in cities.
• Rise in Research Spending – Growth in the global market during the forecast period can be further attributed to increased investment in research and development activities to continuously find more viable solutions for motor control centers. Research reports show that global R&D spending has more than tripled in real terms since 2000, rising from about USD 680 billion to more than USD 2.5 trillion in the year 2019.

Challenges

• High initial cost: Motor control centers can be expensive to install and maintain, particularly for small and medium-sized businesses. This can make it difficult for companies to justify the initial investment, particularly if they do not have the budget or expertise to manage the installation and ongoing maintenance of the equipment.
• Increasing competition
• Technological complexity