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3. Energy Efficient Motor Market Size & Share - Future Growth Expectations

The global energy efficient motor market size is projected to reach USD 59.3 billion by 2028 from an estimated USD 41.7 billion in 2023, at a CAGR of 7.3% during the forecast period. The major factors driving the growth of this market include the adoption of energy efficient motors include stringent government policies with the goal of achieving high efficiencies in appliances, equipments in various sectors so to move towards decarbonization.

The energy efficient motor market has been experiencing significant growth due to several key factors.

• Energy Efficiency Regulations and Standards
• Growing Energy Costs
• Initiatives for Environmental Sustainability
• Industry 4.0 and Industrial Automation
• Integration of Renewable Energy
• Building Energy Management Systems (BEMS)

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Energy Efficiency Regulations and Standards:

• Governments and regulatory agencies around the world have imposed strict energy efficiency standards and restrictions, which have pushed the market adoption of energy-efficient motors. These rules require the use of motors with greater efficiency ratings in a variety of applications, such as premium efficiency (IE3) and super premium efficiency (IE4) motors, which will accelerate market growth.

Growing Energy Costs:

• Industries have been encouraged to invest in energy-efficient technologies, such as motors, as a result of rising energy costs and the growing emphasis on cutting operating expenses. Energy-efficient motors save a significant amount of energy and money over the course of its lifetime by using less electricity to achieve the same level of performance as normal motors.

Initiatives for Environmental Sustainability:

• Companies are prioritizing sustainability in their operations as a result of increased awareness of environmental challenges, such as carbon emissions and climate change. By consuming less energy, energy-efficient motors contribute to the reduction of greenhouse gas emissions and are in line with company sustainability objectives and environmental impact mitigation programs.

Industry 4.0 and Industrial Automation:

• Energy-efficient motor adoption has been made easier by the Industry 4.0 paradigm's use of digitalization and automation technologies. The need for energy-efficient motor solutions is fueled by factors such as variable frequency drives (VFDs), motor control systems, and predictive maintenance programs that maximize motor performance, reduce energy waste, and lengthen equipment lifespan.

Integration of Renewable Energy:

• As renewable energy sources like solar and wind power grow, they must be converted into electricity and used to power associated machinery. This needs the development of efficient motor technologies. Energy-efficient motors facilitate the shift to a cleaner and more sustainable energy mix by playing a critical role in the generation, transmission, and distribution of renewable energy.

Building Energy Management Systems (BEMS):

• Energy-efficient motors are essential parts of building energy management systems (BEMS), which are used to improve energy use in both residential and commercial buildings. Energy-efficient motors in smart HVAC systems, pumps, fans, and other building services equipment increase interior comfort, lower energy costs, and improve building energy efficiency.

The energy efficient motor market is projected to increase significantly as industries place a higher priority on operational effectiveness, environmental stewardship, and energy saving. Energy-efficient motor technology will be adopted in a variety of applications thanks to ongoing innovation, encouraging legislation, and market incentives, which will assist both sustainable development and energy security.

Energy Efficient Motor Market Share - Global Industry Landscape

The energy efficient motor market is characterized by the presence of several key players competing for market share. Some of the leading companies in the energy efficient motor industry include:

• Regal Rexnord Corporation (US)
• ABB (Switzerland)
• Siemens (Germany)
• Nidec Corporation (Japan)

In order to meet the increasing demand for energy savings and sustainability across a range of industries, these businesses, together with other specialist motor manufacturers and suppliers, compete in the worldwide energy-efficient motor market by providing a variety of products, technologies, and services. Market share in the energy-efficient motor sector may change as businesses innovate, broaden the range of products they offer, and cater to new consumer demands and market trends.

Regal Rexnord Corporation (US)

• Regal Rexnord Corporation is a company that provides energy efficient motors, with efficiency levels ranging from IE1 to IE5 for a wide range of sectors, such as industrial, residential, commercial, and automotive. In recent years, the company has been focusing on expanding its portfolio of energy-efficient motors. The company has been investing in research and development to design and manufacture high-performance motors that meet the energy efficiency standards set by various regulatory bodies around across the world.

ABB (Switzerland)

• ABB is a company that provides a range of International Electrotechnical Commission (IEC) standard motors that are designed to meet the high-performance and efficiency requirements of a wide range of applications. ABB invests heavily in research and development in a bid to continuously improve and innovate its energy-efficient motion control offerings to meet the changing needs of its customers. Its latest launch, M3BP motors, are a series of premium efficiency motors for use in the food and beverage, pulp and paper, and water and wastewater industries.

Siemens (Germany)

• Siemens is a leading provider of products and solutions for power generation, transmission, and distribution. The company offers energy-efficient motors for various applications, including industrial automation, HVAC systems, and transportation, leveraging its expertise in motor design and control.

Nidec Corporation (Japan)

• Nidec is a Japanese multinational company that produces electric motors, drives, and related products. The company offers a range of energy-efficient motors, including brushless DC motors, permanent magnet motors, and variable speed motors, for industrial and automotive applications.

Related Reports:

Energy Efficient Motor Market by Efficiency Level (IE1, IE2, IE3, IE4, and IE5), Type(AC, DC), Power Output Rating (< 1 kW, 1 - 2.2 kW, 2.2 - 375 kW, and > 375 kW), Application (HVAC, Fans, Pumps, Compressors), End User Region - Global Forecast to 2028