As per a study by Fact MR, the global large generators market is foresighted to grow at 5% CAGR over the forecast period 2021 to 2031. Quick start technology and improved fuel efficiency of large generators make them popular in mining industry. Surging demand of large generators in telecommunication industry is driven by its high power production capabilities and free from electric grid features, says in press release.
Impact of covid
According to a study by Fact MR, 2020 was not a favorable year for large generator market. A decline in demand of generators was experienced in North America due to COVID-19 pandemic. Large generator market slumped by 6.9% CAGR in 2020 due to closure of trading routes, lockdown restrictions and stoppage of transportation. A slow recovery can be expected from 2021 with relaxation in lockdown and resuming of normal trading activities.
Key market drivers
- China owned more than 50% of global large generator market share in 2020 and is forecast to continue exhibiting high demand through the forecast period.
- The U.S. is expected to experience significant growth during the forecast period owing to presence of market leaders, developed mining infrastructure, and abundance of raw material in the country.
- The compulsion of having two large generators in sea vessel by international maritime regulations is the key market drivers.
- Large generations are finding their use in information technology sector in the form of power back up solutions and as a means to power the cooling system, boosting the market demand.
- Establishment of new airports in emerging economies will require power back-up options, creating novel growth opportunities for large generators market.
Prominent drivers
- Increasing industrialization especially in emerging economies will facilitate the rapid market growth.
- High utility of large generators in locations with no sustainable grid infrastructure will boost the market demand.
- Rapid infrastructure development activities especially in mining sector and in remote locations will elevate the market growth.
Factors restraining the growth
- Large generators have very low fuel efficiency and violate emission norms, thus restraining the market growth.
- Large generators being very unstable in terms of operating capabilities is also restricting the adoption of the products.
- High maintenance and operating cost of large generators are limiting the market growth.
Leading market players
Leading players operating in large generators market profiled by Fact.MR are Siemens Energy, Cummins, Kirloskar Oil Engines Limited, Mitsubishi Heavy Industries Limited, Wartsila Corporation and others.
The main area of focus among the market players is forming alliance with regional distribution partners to consolidate their supply chain. They are also participating in strategic merger and acquisition for new product development. The use of organic and inorganic techniques to increase market penetration is prevalent among the leading market players.
Valuable Insights on large generators market
The study reveals growth projections on in large generators market on the basis of capacity (1-2 MW, 2-5 MW, 5-10 MW, 10-20 MW, 20-50 MW, Above 50 MW), fuel type (diesel, gas), end user (power & utility, oil & gas, marine, airports, construction & mining, manufacturing, it & telecom, others), across regions (North America, Latin America, Europe, South Asia and Oceania, East Asia, MEA).
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Source: prnewswire.com
