PUBLISHER: Allied Market Research | PRODUCT CODE: 1179795
PUBLISHER: Allied Market Research | PRODUCT CODE: 1179795
The global variable frequency drive market size was valued at $20.6 billion in 2021, and projected to reach $33.6 billion by 2031, with a CAGR of 5.1% from 2022 to 2031.
Variable Frequency Drives (VFDs) are electronic devices that control the speed of alternating current motors. Variable Frequency Drives (VFDs) are widely used in high-voltage alternating current devices in a variety of sectors. Optimization of cost, reduction of total cost of ownership, and conservation of energy have always been a cornerstone of industry participants. These parameters need to be considered when operating with heavy loads. Therefore, the global variable frequency drive market registered volume sales exceeding 32 million units in 2020. Variable frequency drives have been consistently improving system reliability and performance for the past 40 years. They are projected to continue to impact industrial growth during the forecast period.
Variable frequency drives are increasingly integrated in Industry 4.0, specifically across critical environments across industrial internet of things (IIoT). Variable speed drives equipped with embedded logic as onboard programmable logic controllers are becoming increasingly mainstream as factories increasingly embrace automation. IIoT benefits accrued from the application of variable frequency drive include enhanced remote access. Technicians can monitor project and equipment conditions from anywhere, with workers receiving alerts more quickly, which enable them to correct anomalies in a timely manner. It also enables predictive maintenance and real-time monitoring. Prominent manufacturers increase research and development to roll out smart variable frequency drive owing to these developments. An example is of Applied Machine & Motion Control (AMMC) which markets the Yaskawa Microdrive collections J1000 and V1000 respectively. Such developments are expected to play vital role in the variable frequency drive market growth.
The surge in the explosion with regards to construction and automotive sectors in the developing countries of Asia-Pacific region will increase the margin profits earned by the market players. In addition, Germany and the U.S. are also expected to yield immense opportunities due to the presence of increased demand for products from automotive sectors.
The variable frequency drive market is segmented on the basis of by type, voltage type, power rating, application, end use and region. On the basis of type, it is categorized into AC drive, DC drive, and servo drive. On the basis of voltage type, the market is bifurcated into low and medium. On the basis of power rating, the market is classified into micro, low, medium, and high. On the basis of application, the market is divided into pumps, conveyors, fans, compressors, and others. In addition, on the basis of end use, the global variable frequency drive market is segmented into oil & gas, industrial, power, and infrastructure.
On the basis of region, the market is studied across North America, Europe, Asia-Pacific, and LAMEA. In the present days, Asia-Pacific accounts for the largest share of the market, followed by North America and Europe.
The major companies profiled in this report include ABB, Siemens, Danfoss, Schneider Electric, General Electric, Hitachi, Honeywell Intenational, Nord Drive Systems, Techsuppen, CG Power, Saksun Industries, A.S. Automation, Parker Hannfin, Sew-Eurodrive, Rockwell Automation, Fuji Electric, and Delta Electronics. Additional growth strategies such as expansion of production capacities, acquisition, partnership and research & innovation in the detection technologies have led to attain key developments in the global variable frequency drive market trends.
Impact of COVID-19 on Global Variable Frequency Drive Market
The global COVID-19 pandemic has negative impact on the variable frequency drive market. This market has experienced lower than anticipated demand across all regions compared to pre-pandemic levels. Variable frequency drive is mostly dependent on the demand for electric motor. The production of electric motor witnessed a significant negative near-term impact of the COVID-19 pandemic due to supply chain disruptions. Industry players anticipate delivery and construction slowdowns, either due to the shutdown of industrial operations to curb the spread of the virus or because the workers have tested positive. Many components and parts used in the manufacturing of electric motors are procured from China, the U.S., and some European countries. The decline in manufacturing activities in China and the U.S. has hampered the production of variable frequency drives in the past 2 years.
Post pandemic, the market is expected to recover due to eased lockdown restrictions in most nations. Furthermore, the governments of various countries across the globe have issued policies regarding sustainable development in coming years which is projected to have positive impact on the market. The presence of investment in the sustainable oil & gas production plant facilities in the developing countries such as India and China due to low availability of fossil fuel resources lead to surge in the market growth after the pandemic.
Key Benefits For Stakeholders
By Application
By End use
By Type
By Voltage type
By Power rating
By Region