Global Variable Frequency Drive Market 2016-2020
Outlook of the global variable frequency drives market
Technavio's market research analyst predicts the global variable frequency drives (VFD) market to grow steadily at a CAGR of nearly 8% by 2020. The need for manufacturers to optimize their manufacturing processes and cut operational costs by reducing energy consumption is the primary growth driver for this market. The prospects for growth in this market are impelled by the growing preference for electric motors in household appliances, automobiles, aerospace, industrial, and other transportation equipment over mechanical and hydraulic motors.
In terms of geography, the APAC region will be the largest market for VFDs during the predicted period. The growth of the chemical processing and manufacturing industries coupled with the significant growth of other industries like power, infrastructure, automobile production, and hydrocarbons will result in this region's impressive market share of more than 56% by 2020.
Product-based segmentation of the VFD market
The AC drives segment currently dominates the market and is envisaged to further enhance its hold over the market by 2020 owing to its extensive utilization in all types of industries and induction motors to achieve multiple speeds of operation. Moreover, its augmented usage in heavy industries, such as metals and mining, oil and gas, cement, paper, power generation, wind energy, water and wastewater, and marine, will result in its massive market share of more than 84% by 2020.
Segmentation by voltage type and analysis of the VFD market
In this market study, analysts estimate the low voltage VFD segment to account for more than 81% of the total market share by 2020. Since these drives have high flexibility, they can be configured to meet the precise requirements of industrial applications. Rapid development in the infrastructure and manufacturing sectors will lead to the healthy growth of this market segment during the predicted period.
Competitive landscape and key vendors
The global variable frequency drives market is highly fragmented because of the presence of numerous small and large suppliers. The providers in this market compete on the basis of price, quality, and value-added services to gain maximum market traction during the forecast period.
Key vendors in the market are -
Other prominent vendors in the market include American Electric Technologies, Amtech Electronics India, Emerson, Fuji Electric, Hiconics Drive Technology, Hitachi, Honeywell, Johnson Controls, Mitsubishi Electric, DELTA, and Schneider Electric.
Key questions answered in the report include
What will the market size and the growth rate be in 2020?
What are the key factors driving the global variable frequency drives market?
What are the key market trends impacting the growth of the variable frequency drives market?
What are the challenges to market growth?
Who are the key vendors in this market space?
What are the market opportunities and threats faced by the vendors in the global variable frequency drives market?
Trending factors influencing the market shares of the Americas, APAC, and EMEA?
What are the key outcomes of the five forces analysis of the variable frequency drives market?
Technavio also offers customization on reports based on specific client requirement.
Global AC Drives Market 2015-2019
Global DC Drives Market - Market Analysis 2015-2019
Global Electric Drives Market 2015-2019
Global Chain Drives Market 2015-2019
Technavio Announces the Publication of its Research Report – Global Variable Frequency Drives Market 2016-2020
Technavio recognizes the following companies as the key players in the Global Variable Frequency Drives Market: ABB, Siemens, Toshiba and Yaskawa
Other Prominent Vendors in the market are: American Electric Technologies, Amtech Electronics India, Emerson, Fuji Electric, Hiconics Drive Technology, Hitachi, Honeywell, Johnson Controls, Mitsubishi Electric, DELTA, and Schneider Electric.
Commenting on the report, an analyst from Technavio’s team said: “Low power rating drives of less than 1 MW are slowly gaining popularity in the market. Technological advances have enabled end-users to manufacture and provide compact and energy-efficient devices that use low power rating drives. Also, the rising demand for HVAC systems has intensified the need for such drives. These drives are used for motors with low power ratings and are widely used in applications such as cranes, hoists, fan applications, and lower capacity pumps, thus steadily fueling the growth of global VFD market.”
According to the report, VFDs are increasingly being applied in HVAC systems as energy management tools. VFDs act as energy-saving devices in fans, pumps, air handling units, and chillers. They are increasingly used in equipment having variable load applications. Typically, energy savings vary from 30% to 50% when using a VFD.
Further, the report states that the substantial initial investment required to enter the market restricts the overall growth of the market.
ABB, Siemens, Toshiba, Yaskawa, Electric Technologies, Amtech Electronics India, Emerson, Fuji Electric, Hiconics Drive Technology, Hitachi, Honeywell, Johnson Controls, Mitsubishi Electric, DELTA, and Schneider Electric.
Learn how to effectively navigate the market research process to help guide your organization on the journey to success.Download eBook