North America Low Voltage Induction Motors Market Size & Share Analysis
The North American low-voltage induction motors market was valued at USD 3.87 billion in the previous year. It is expected to register a CAGR of 3.31%, reaching USD 4.58 billion during the forecast period.
New York, Aug. 29, 2023 (GLOBE NEWSWIRE) -- Reportlinker.com announces the release of the report "North America Low Voltage Induction Motors Market Size & Share Analysis - Growth Trends & Forecasts (2023 - 2028)" - https://www.reportlinker.com/p06487559/?utm_source=GNW Key HighlightsInduction motors constitute the primary power source in the industrial production system. The growing focus on Industry 4.0 primarily drives the market for induction motors. Industrial automation drives the manufacturing sector toward more efficient productivity in North America, which is expected to show strong growth during the forecast period. According to ABB Ltd’s report on "The Future is Energy Efficient,"global energy usage is expected to grow by 50% by 2050. Electric motors use around 70% of the energy consumed by industry, and more than 300 million industrial motor-driven systems are in operation.Similarly, electric motor systems play a crucial role in reducing CO2 emissions and reducing waste. Government investments and efforts to reduce CO2 emissions may create opportunities for more-efficient electric motors. Motors are critical to almost every industry and are responsible for driving core industrial processes and auxiliary systems, such as compressed air generation, ventilation, and water pumping. ?Manufacturers in the food industry are increasingly adopting automation to meet the guidelines and regulations set by industry associations to maintain the quality of products offered. Industrial motors are also used in other major industries, such as power generation, oil and gas, mining, and manufacturing.The increase in the prices of copper, aluminum, and copper wires is expected to hinder market growth by increasing production costs. Increased prices of metals are likely to increase the cost of copper rotors and stators. In addition, the US trade restrictions on Russia are expected to hamper the market’s growth as it is one of the largest exporters of copper wires to the United States. Furthermore, external factors like mine closings, labor disputes, and speculation are further expected to fuel the price increases for significant metals utilized in the mass production of induction motors.Mexico is one of the largest importers of natural gas and one of the largest gasoline buyers. Therefore it was impacted by the Russia-Ukraine war. The Ukraine crisis significantly impacted Mexican energy policies and practices, and the government plans to increase electricity production with water by increasing the total capacity of hydroelectric plants. The increase in hydroelectric plants to the total capacity will contribute to Mexico’s climate policies and commitments and affect Mexico’s efforts to reduce emissions. The increasing capacity of hydroelectric plants is expected to create the demand for induction motors for power generation.North America Low Voltage Induction Motors Market TrendsOil and Gas to be the Largest End-user IndustryLow voltage induction motors are expected to gain significant popularity in the oil and gas industry as they are significantly used to drive pumps, compressors, and turbines along with their usage to extract, process, and transport oil and gas from wells to refineries to consumers. Additionally, in refineries, low-voltage induction motors are used to drive pumps, compressors, and agitators. They are utilized for refining crude oil into various products, such as gasoline, diesel, jet fuel, and many others.Moreover, low voltage induction motor might be utilized for powering a pump that moves liquids through distillation columns or catalytic crackers, to drive a compressor that surges the pressure of gases for further processing or separation, and to run an agitator that mixes liquids or solids in reactors or tanks.Furthermore, these motors’ power is used to support the extraction, processing, storage, and transportation of products such as crude oil, petroleum, and natural gas. Specifically, low-voltage induction motors power the drilling process by providing an energy source for the rig’s draw works and other machinery. They provide power for many applications throughout onshore and offshore drilling operations and drive fluid-control equipment such as pumps, fans, and compressors used by the oil and gas industry.Electric motors play a key role in the upstream side of the oil and gas industry and are widely used to drive equipment, such as pump and compressor systems. They may have a dramatic impact on energy consumption. Additionally, with the need to limit CO2 emissions and new environmental regulations coming into force in recent years, oil and gas businesses are becoming more aware of the importance of choosing energy-efficient motors. Because energy consumption accounts for 96% of the total life cycle cost of a motor, paying extra for a premium efficiency motor will result in a return on investment over its lifespan. This has significantly led to the rising importance of low-voltage induction motors.The United States is the world’s major producer of oil and natural gas. For instance, according to EIA, the production of crude oil is expected to reach 30.01 quadrillion Btu by 2030. Additionally, Texas (United States) produces the country’s major share of crude oil and is expected to hold a significant demand for production equipment.The United States Expected to Hold Significant Market ShareThe United States has one of the largest manufacturing industries in the world, and the sector is also a significant contributor to the country’s economic growth. For instance, according to the National Institute of Standards and Technology (NIST), in 2021, manufacturing contributed USD 2.3 trillion to the country’s GDP amounting to 12.0% of the total US GDP.The US manufacturers are among the leading adopters of Industry 4.0. Investments in advanced technologies, like big data and analytics, the Internet of Things (IoT), robotics, cloud computing, etc., are rising at a rapid pace in the region. For instance, as per the findings of a new study from Conexus, Indiana, published in December 2021, the number of advanced manufacturers in Indiana, United States, that adopted or grown next-generation technologies had doubled since the previous year.Conexus partnered with the Indiana University Kelley School of Business Center for Excellence in Manufacturing to survey around 140 companies. As per the organization, over 40% of the respondents implemented Industry 4.0 technology, including cloud computing, IoT, and artificial intelligence (AI). The growing implementation of Industry 4.0 in the country is expected to boost the adoption of electric motors significantly.Growing investments in the region by major players in the market are also indicative of the growth potential in the country. For instance, in April 2023, ABB announced that it was committed to growing in the United States, and this would be reached by investing in its electrification and automation businesses that meet increased demand. The company announced plans to invest USD 170 million in several US projects, including a greenfield drives and services facility in New Berlin, Wisconsin.The United States is the world’s major producer of oil and natural gas. According to the Council on Foreign Relations, the United States now produces around 75% of its crude oil and 90% of its natural gas supply domestically. By 2021, the country was producing nearly eleven million barrels of crude oil per day and about one hundred billion cubic feet of gas per day. AC induction motors are widely used in the oil and gas industry because of their simplicity, reliability, and low cost. According to Baker Hughes, the number of oil and gas rigs operating in the country increased from 610 in January 2022 to 771 by January 2023.North America Low Voltage Induction Motors Industry OverviewThe North American low voltage induction motors market is moderately fragmented, with the presence of major players like Nidec Corporation, ABB Ltd, Siemens AG, Toshiba Industrial Corporation (Toshiba Corporation), and Shanghai Electrical Machinery Group Co. Ltd (Shanghai Electric). Players in the market are adopting strategies, such as partnerships and acquisitions, to enhance their product offerings and gain sustainable competitive advantage.May 2023 - ABB announced that it is stepping up its growth strategy in the United States by investing around USD 170 million in manufacturing, innovation, and distribution operations to meet the rising demand for electrification and automation products and to support the current clean energy transition and reshoring trends.November 2022 - Siemens announced its intention to separate its motor and drive business into an independent entity. The new motor and drives business would amalgamate five current Siemens businesses/divisions: Large drives, Sykatec, Weiss Spindeltechnologies, and the low voltage motors and geared motor divisions from Siemens Digital Industries.Additional Benefits:The market estimate (ME) sheet in Excel format3 months of analyst supportRead the full report: https://www.reportlinker.com/p06487559/?utm_source=GNWAbout ReportlinkerReportLinker is an award-winning market research solution. Reportlinker finds and organizes the latest industry data so you get all the market research you need - instantly, in one place.__________________________Key HighlightsAdditional Benefits: