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3. Diesel Engines Market Size & Share - Future Growth Expectations

The global diesel engines market size is expected to reach USD 78.8 billion by 2028 from an estimated USD 63.9 billion in 2023, at a CAGR of 4.3% during the forecast period. The major factors driving the growth of this market include the increased need for backup power production for power expansion, international marine freight transit improvement, and maritime tourism development.

The diesel engines market has grown significantly over time, influenced by several factors.

• Industrial and Commercial Applications
• Transportation Industry
• Fuel Efficiency and Cost Effectiveness
• Compliance with Emissions Regulations
• Emerging Economy
• Energy Security

To know about the assumptions considered for the study download the pdf brochure

Industrial and Commercial Applications:

• Diesel engines find extensive usage in the production of electricity, heavy-duty vehicles, construction equipment, agricultural machinery, and marine vessels. Global agricultural activities, building projects, and the expansion of infrastructure have all contributed to the steady increase in demand for these applications.

Transportation Industry:

• Diesel engines are still widely used in the transportation sector, especially in heavy-duty trucks, buses, and locomotives, despite the rise of alternative fuels and electric cars. They are the best options for long-distance travel and freight logistics due to their high torque output, longevity, and fuel efficiency—especially in areas with poor electrification infrastructure.

Fuel Efficiency and Cost Effectiveness:

• Diesel engines are recognized for their higher fuel efficiency in comparison to gasoline engines, which confers economic benefits on applications requiring high fuel consumption and extended operation hours. Diesel engines provide a long-term, cost-effective alternative in industries where fuel prices account for a large amount of operating expenses.

Compliance with Emissions Regulations:

• Strict global emissions laws have pushed technological developments in diesel engines to fulfill ever-tougher emission requirements for greenhouse gases (GHGs), nitrogen oxides (NOx), and particulate matter (PM). To lower emissions and enhance air quality, manufacturers have made investments in cutting-edge technologies like diesel particulate filters (DPF), exhaust gas recirculation (EGR), and selective catalytic reduction (SCR).

Emerging Economy:

• The demand for diesel-powered machinery and automobiles has increased due to the fast industrialization and urbanization of emerging economies, namely in Asia-Pacific, Latin America, and Africa. The market for diesel engines has grown as a result of these regions' growing transportation networks, building projects, and infrastructure development initiatives.

Energy Security:

• In areas where access to alternative fuels or energy grids is restricted, diesel engines offer a dependable means of power generation and transportation. Diesel generators and engines function as vital backup and primary power sources in distant locations, off-grid communities, and enterprises needing a constant supply of electricity. This ensures energy security and dependability.

The diesel engines market is expected to keep growing, especially in industries where diesel engines provide clear benefits in terms of strength, dependability, and efficiency. The diesel engine industry's ability to continue growing depends on its ability to innovate, adapt to changing regulations, and expand into new markets and applications.

Diesel Engines Market Share - Global Industry Landscape

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

• Caterpillar (US)
• Cummins (US)
• Volvo Penta (Sweden)
• Hyundai Heavy Industries (South Korea)
• MAN Energy Solutions (Germany)

These companies contribute the global diesel engines market, as do additional regional and specialty producers. Dynamics of market share can be impacted by a number of variables, including new product development, technology breakthroughs, legislative changes, and industry alliances.

Caterpillar (US)

• Caterpillar is a leading manufacturer of construction and mining natural gas engines, industrial gas turbines, and diesel-electric locomotives. The company helps customers toward sustainability by reducing the carbon impact. Caterpillar operates in Resource Industries, Construction Industries, Energy & Transportation, and Financial Products, including reciprocating engines, marine propulsion systems, gas turbines and turbine-related services, diesel-electric locomotives, and other rail-related products and services. The company manufactures energy & transportation products from manufacturing locations in Australia, Brazil, China, the Czech Republic, Germany, India, Italy, Mexico, Singapore, Sweden, the UK, and the US. The company has established numerous manufacturing facilities and subsidiaries in the Americas, Europe, the Middle East & Africa, and Asia Pacific.

Cummins (US)

• Cummins is a global provider of diesel engines and power generation equipment, such as standby and prime power generator sets, alternators, switchgear, and other components. The company operates through five business segments: Engine, Distribution, Components, Power Systems, and New Power. The company’s major engine manufacturing facilities are in Brazil, India, the US, Mexico, and the UK. The company has 500 wholly owned and independent distributor locations and over 9,000 dealers in more than 190 countries.

Volvo Penta (Sweden)

• Volvo Penta is a multinational manufacturing company that produces trucks, buses, construction equipment, marine and industrial engines, and aerospace components. The company's diesel engines are utilized in Volvo Trucks, Volvo Construction Equipment, Volvo Penta marine engines, and other applications.

Hyundai Heavy Industries (South Korea)

• Hyundai Heavy Industries Co., Ltd. is a known heavy machinery manufacturer worldwide. The company operates mainly through five business divisions: Shipbuilding, Offshore & Engineering, Industrial Plant, Engine & Machinery, and Others, and employs about 75,000 people worldwide. The Engine & Machinery division provides machine engine equipment, gas and diesel engines, industrial machinery, power plant equipment, and robot systems. The company offers products and solutions for marine, power generation, oil & gas, and process industries. The company has a strong presence in South Korea, the US, and India. Hyundai Heavy Industries operates an integrated automobile manufacturing facility in South Korea with an annual production capacity of 1.6 million units. Hyundai vehicles are sold through 5,000 dealerships and showrooms in 193 countries.

MAN Energy Solutions (Germany)

• MAN Energy Solutions, a subsidiary of Volkswagen Group, is a leading provider of large-bore diesel engines for marine propulsion, power generation, and industrial applications. The company's engines are used in ships, power plants, and offshore installations worldwide.

Related Reports:

Diesel Engines Market by Speed (Low, Medium, High), Power Rating (Below 0.5 MW, 0.5-1.0 MW, 1.1-2.0 MW, 2.1-5.0 MW, Above 5.0 MW), End User (Power Generation, Marine, Locomotive, Mining, Oil & Gas, Construction) & Region - Global Forecast to 2028