May 25, 2024

Electric Motor Market Growth Accelerated by Increasing Adoption of Electric Vehicles

Electric motors find extensive applications across industries such as industrial machinery, household appliances, HVAC equipment, and automobiles. Their simplistic design offers advantages such as high energy-efficiency, low maintenance, compact size, and precise controllability. In the automotive sector, electric motors are gaining significant traction as an alternative to conventional internal combustion engines.

The global Electric Motor Market is estimated to be valued at US$ 144.44 Bn in 2024 and is expected to exhibit a CAGR of 10% over the forecast period 2023 to 2030, as highlighted in a new report published by Coherent Market Insights.

Market key trends:
Several governments across the globe are implementing stringent emission norms and offering subsidies on electric vehicles to curb pollution levels from gasoline/diesel vehicles. This has encouraged major automotive companies to invest heavily in the development of electric powertrains based on electric motors. Additionally, depleting fossil fuel reserves and fluctuating crude oil prices are compelling consumers to opt for eco-friendly electric vehicles. As electric motors are a critical component of electric vehicles, their growing demand is positively impacting the market growth. With stringent regulations and rising environmental concerns, the adoption of electric vehicles is expected to gain significant momentum during the forecast period, thereby accelerating the demand for electric motors.

Segment Analysis
The global electric motor market is dominated by AC motors segment. AC motors held around 85% share of the overall market in 2023 due to extensive usage in industrial machinery, HVAC equipment, home appliances and other applications. DC motors segment accounted for the remaining share and is primarily used in electric vehicles where efficient torque generation at lower rpm is required. Within AC motors, induction motors lead with around 60% share owing to their rugged construction, maintenance-free operations and cost effectiveness compared to synchronous motors.

Key Takeaways
The Global Electric Motor Market Size is expected to witness high growth. Growing industrialization and automation across developed and developing nations along with rising sales of household appliances will majorly drive the electric motor demand. Additionally, burgeoning electric vehicle industry is pushing the need for efficient motors.

Regional analysis: Asia Pacific currently holds the largest share of over 40% in the global electric motor market and is expected to maintain its dominance during the forecast period. Rapid industrialization and infrastructure development activities in China, India, Japan and other ASEAN countries are the key factors for the region’s leadership. North America and Europe are other major markets spurred by ongoing investments in smart grids, renewable energy integration and upgrading of industrial facilities.

Key players operating in the electric motor market are Leidos Holdings Inc., SAAB AB, Nuctech Company Limited, Thales Group, OSI Systems Inc., Leonardo SpA, Smiths Group PLC, Elbit Systems Ltd., Kongsberg Gruppen ASA, Airbus SE, Westminster Group PLC, BAE Systems PLC, and Terma AS. Leidos Holdings and SAAB dominate the airport passenger screening systems segment whereas Nuctech, OSI Systems and Smiths Group lead the cargo and baggage inspection systems category.

Note:
1. Source: Coherent Market Insights, Public sources, Desk research
2. We have leveraged AI tools to mine information and compile it