PUBLISHER: The Business Research Company | PRODUCT CODE: 1429777
PUBLISHER: The Business Research Company | PRODUCT CODE: 1429777
A diesel generator functions by utilizing a diesel engine to generate electrical energy through an electric generator. Primarily, it serves as a backup power source during electric shutdowns or emergencies. Diesel generators commonly use liquid fuel or natural gas as their primary fuel sources.
The key types of diesel generators include small, medium, and large variants. Small diesel generators, ranging from 0 to 75 kVA, are typically portable and often air-cooled. They serve as backup power solutions for mobile applications such as mining sites, farming operations, and professional contractor needs. Diesel generators come in both stationary and portable forms, offering power ratings below 75kVA, between 75-375kVA, 375-750kVA, and above 750kVA. They are extensively utilized for standby backup power, peak shaving, and continuous load applications across industrial, commercial, and residential sectors.
The diesel generator market research report is one of a series of new reports from The Business Research Company that provides diesel generator market statistics, including diesel generator industry global market size, regional shares, competitors with a diesel generator market share, detailed diesel generator market segments, market trends and opportunities, and any further data you may need to thrive in the diesel generator industry. This diesel generator market research report delivers a complete perspective of everything you need, with an in-depth analysis of the current and future scenario of the industry.
The diesel generator market size has grown strongly in recent years. It will grow from $19.48 billion in 2023 to $20.87 billion in 2024 at a compound annual growth rate (CAGR) of 7.1%. The expansion observed in the historical period can be attributed to several factors, including robust economic growth in emerging markets, rapid industrialization, an increase in energy demand and consumption, and a heightened focus on electricity generation using fossil fuel energy sources.
The diesel generator market size is expected to see strong growth in the next few years. It will grow to $27.17 billion in 2028 at a compound annual growth rate (CAGR) of 6.8%. Forecasted growth is linked to expanding construction and manufacturing industries, alongside the remote work trend. Key forecasted trends include enhancing diesel generator efficiency, rental solutions, hybridization, compact/mobile designs, and integrating advanced technologies such as remote monitoring, predictive maintenance, and data analytics.
The growth of the diesel generator market is anticipated to be driven significantly by the expansion of the construction industry in the forecast period. With construction projects on the rise, the need for reliable power sources becomes paramount to sustain operations at various stages of development. Diesel generators play a crucial role as backup power solutions, ensuring uninterrupted functionality in construction sites where grid power may be unreliable or unavailable. As of August 2023, the U.S. Census Bureau reported a construction expenditure of $1,938.4 billion, marking a 3.5% increase from the estimated $1,873.2 billion in June 2022. Moreover, Oxford Economics projects global construction output to grow from $9.7 trillion in 2022 to $13.9 trillion by 2037. Hence, the expanding construction industry is poised to be a key factor propelling the diesel generator market's growth.
The ongoing remote work revolution is expected to be a significant driver for the diesel generator market in the forecast period. The surge in remote working, accelerated by the COVID-19 pandemic, has led businesses to seek reliable backup power solutions to ensure continuous operations, especially in regions with unreliable grid power. This increased reliance on backup power sources, such as diesel generators, aims to maintain productivity during power outages, contributing to heightened market demand. As of June 2023, Forbes reported that 12.7% of full-time employees were engaged in remote work, with an additional 28.2% adopting a hybrid work approach. Projections for 2025 suggest that approximately 32.6 million American professionals, constituting around 22% of the workforce, will be involved in remote work. Consequently, the remote work revolution is expected to drive the growth of the diesel generator market in the coming years.
The diesel generator market is witnessing a significant trend driven by technological advancements. Leading companies in the market are dedicated to enhancing their market position by providing diesel generators that incorporate cutting-edge technologies. This includes the implementation of next-generation features in diesel generator technologies, such as noise reduction, emissions control systems, modifications to combustion chambers, advanced power output capabilities, and offsite monitoring systems. These technological innovations aim to meet industry demands for maximum output while minimizing environmental impacts. For example, in August 2021, Cummins India Limited introduced the QSK60 G23, a 2500-2750 kVA Diesel Generator set made in India. This integrated power solution focuses on increased power density, reduced downtime, lower ownership costs, and reliable performance, all with a minimized carbon footprint. Such diesel generators are tailored for industry segments such as data centers and large-scale infrastructure projects in India with growing power requirements, such as airports and commercial realty.
Digital technologies are playing a pivotal role in advancing the diesel generator market. Manufacturers are actively investing in research and development to create sophisticated diesel generators that integrate digital advancements, including remote monitoring, predictive maintenance, and data analytics. These features contribute to the optimization of fuel efficiency and overall performance. For instance, in October 2021, Generac Mobile Products Srl launched the MDE330 and MDE570 diesel generators, emphasizing user-friendliness and ease of maintenance. The MDE330 is equipped with a 9.3L Perkins Tier 4 Final-certified engine, while the MDE570 features an 18.1L Perkins Tier 4 Final-certified engine. Both models incorporate Perkins Exhaust Temperature Management (ETM) load management technology to prevent wet stacking. These generators are designed with accessible removable doors for simplified servicing, and their robust steel construction ensures versatile operation across various applications and weather conditions.
In March 2022, UK-based DTGen, specializing in diesel and gas generators, disclosed its acquisition of Power Electrics Generators (PEG) for an undisclosed sum. This acquisition involves DTGen obtaining PEG's sales and projects division, intending to bolster its capacity and proficiency while achieving nationwide coverage across the UK. The deal includes locations in the Midlands, Scotland, and southern regions. Power Electrics Generators, also UK-based, offers a variety of diesel generators, fuel and control systems, along with services encompassing diesel generator sales, hire, parts, and service provisions.
Major companies operating in the diesel generator market report are Mitsubishi Heavy Industries Ltd., Caterpillar Inc., Cummins Inc., Rolls-Royce Holdings PLC, Generac Holdings Inc., Aggreko, Atlas Copco AB, Yanmar Co. Ltd., Wartsila Corporation, Doosan Portable Power, Wuxi Huayou Power Equipment Co. Ltd., GIANT Power OEM Co. Ltd., Detra (HK) International, Jiangsu Dohigh Generator Trading Co. Ltd., Shangyu Diesel Engine Co. Ltd., Yanmar Holdings Co. Ltd., Kubota Corporation, Honda India Power Products Limited, Enrogen, Excel Power Ltd., JS Power, German Generator GmbH, Fischer Panda GmbH, Energy XPRT, Andoria-Mot Ltd., Dfme Sp. Z O. O, Poland Generators Manufacturers, Kohler Co, Powerhouse Diesel Generators Inc., Smith's Diesel and Power Systems, BC Diesel Generators, GAL Power Systems, MWM Motors Diesel Inc., Tupy S.A, Soenergy Sistemas Int De Energia, Geraforte Grupos Geradores LTDA, Jubaili Bros, Ultimate Power Solution Fzc, AQT Generators, Ade Power, Algen Power Generation, Mikano International Limited
Asia-Pacific was the largest region in the diesel generator market in 2023. The regions covered in the diesel generator market report are Asia-Pacific, Western Europe, Eastern Europe, North America, South America, Middle East, Africa.
The countries covered in the diesel generator market report are Australia, Brazil, China, France, Germany, India, Indonesia, Japan, Russia, South Korea, UK, USA, Italy, Spain, Canada.
The diesel generator market consists of sales of portable generators, inverter generators, and standby generators. Values in this market are 'factory gate' values, that is the value of goods sold by the manufacturers or creators of the goods, whether to other entities (including downstream manufacturers, wholesalers, distributors, and retailers) or directly to end customers. The value of goods in this market includes related services sold by the creators of the goods.
The market value is defined as the revenues that enterprises gain from the sale of goods and/or services within the specified market and geography through sales, grants, or donations in terms of the currency (in USD unless otherwise specified).
The revenues for a specified geography are consumption values that are revenues generated by organizations in the specified geography within the market, irrespective of where they are produced. It does not include revenues from resales along the supply chain, either further along the supply chain or as part of other products.
Diesel Generator Global Market Report 2024 from The Business Research Company provides strategists, marketers and senior management with the critical information they need to assess the market.
This report focuses on diesel generator market which is experiencing strong growth. The report gives a guide to the trends which will be shaping the market over the next ten years and beyond.
Where is the largest and fastest growing market for diesel generator? How does the market relate to the overall economy, demography and other similar markets? What forces will shape the market going forward? The diesel generator market global report from the Business Research Company answers all these questions and many more.
The report covers market characteristics, size and growth, segmentation, regional and country breakdowns, competitive landscape, market shares, trends and strategies for this market. It traces the market's historic and forecast market growth by geography.
The impact of sanctions, supply chain disruptions, and altered demand for goods and services due to the Russian Ukraine war, impacting various macro-economic factors and parameters in the Eastern European region and its subsequent effect on global markets.
The impact of higher inflation in many countries and the resulting spike in interest rates.
The continued but declining impact of covid 19 on supply chains and consumption patterns.