February 09, 2021 06:58 ET | Source: Research and Markets Research and Markets

Dublin, Feb. 09, 2021 (GLOBE NEWSWIRE) -- The "Global Variable Frequency Drive (VFD) Market by Type (AC, DC, Servo), End-users (Industrial, Infrastructure, Oil & Gas, Power Generation), Application (Pumps, Fans, Compressors, Conveyors), Power Range, Voltage, and Region - Forecast to 2025" report has been added to ResearchAndMarkets.com's offering.

The global variable frequency drive market is projected to reach USD 24.3 billion by 2025 from an estimated USD 19.2 billion in 2020, at a CAGR of 4.8% during the forecast period.

This growth can be attributed to factors such as growing regulations towards energy efficiency, upgradation & modernization of aging infrastructure for safe & secure electrical distribution systems, and increasing rate of industrialization and urbanization. However, stagnant growth of the oil & gas industry and decrease in the exploration & production activity is hindering the growth of the variable frequency drive market.

The AC Drives segment, by type, is expected to be the largest market from 2020 to 2025

The AC Drives segment, by type, is estimated to be the largest and fastest growing segment during the forecast period. "AC" stands for alternating current. AC drives are also known as adjustable frequency drives, adjustable speed drives, and variable speed drives. They are electronic devices that convert a fixed frequency and voltage to an adjustable frequency and AC voltage source. AC drives are used to drive the AC motors, especially the three-phase induction motors, as these are predominant over other motors in a majority of the industries and are used in a wide range of application, which eventually is driving the market during the forecast period.

The medium voltage, by voltage, is expected to be the fastest market from 2020 to 2025

The medium voltage segment, by voltage, is the fastest growing segment during the forecast period. Medium voltage variable frequency drives account for a voltage range of more than 690 V. These are majorly used to minimize the operating and maintenance costs associated with relatively large rotating equipment, which can range in size from 200 Hp to 100,000 Hp. Medium voltage variable frequency drives are used for retrofit installations, and they also adapt to the motor speed to the actual need, thus optimizing energy consumption and reducing CO2 emissions leading to an increase in the demand for medium voltage variable frequency drives.

Asia Pacific: The largest variable frequency drive market

The Asia Pacific region is projected to be the largest variable frequency drives market by 2025. Countries such as China, India, Japan, and South Korea are among the major countries considered as the main manufacturing hubs for variable frequency drives. It is expected that this region will undergo rapid economic development and industrialization, which will further lead to an increase in power consumption. It is also expected that this region will experience a rise in the construction activities because of the growing population, increased industrialization, and expansion of the distribution networks in the developing countries. The renewable energy generation in countries such as China, South Korea, Japan, and India is taking place at a humongous rate. This needs to be incorporated in the existing national grid, leading to the introduction of additional electrical infrastructure, which will eventually drive the variable frequency drive market.

3 Executive Summary 3.1 Scenario Analysis 3.1.1 Optimistic Scenario 3.1.2 Realistic Scenario 3.1.3 Pessimistic Scenario 4 Premium Insights 4.1 Attractive Opportunities in Variable Frequency Drive Market 4.2 Variable Frequency Drive Market, by Region 4.3 Variable Frequency Drive Market, by Type 4.4 Variable Frequency Drive Market, by Voltage 4.5 Variable Frequency Drive Market, by Power Rating 4.6 Variable Frequency Drive Market, by Application 4.7 Variable Frequency Drive Market, by End-user 5 Market Overview 5.1 Introduction 5.2 COVID-19 Health Assessment 5.3 Road to Recovery 5.4 Market Dynamics 5.4.1 Drivers 5.4.1.1 High Demand in Wide Range of Industries such as Cement, Chemical, and Petrochemical, Mining, Oil & Gas, Pulp & Paper, Water & Wastewater 5.4.1.2 Growing Need for Increasing Energy Efficiency and Decreasing Energy Consumption 5.4.1.3 Supportive Regulatory Environment for Efficient and Effective Energy Utilization 5.4.2 Restraints 5.4.2.1 Stagnant Growth of Oil & Gas Industry and Decline in Exploration & Production Activities 5.4.3 Opportunities 5.4.3.1 Upgradation of Power Infrastructure Across the Globe 5.4.3.2 Industrial Internet of Things (IoT) Enables Analysis & Improves Application Remotely 5.4.4 Challenges 5.4.4.1 Availability of Low-Quality and Cheap Products in Gray Market 5.4.4.2 Negative Impact of COVID-19 Pandemic 5.5 YC-Shift 5.5.1 Revenue Shift & New Revenue Pockets for Variable Frequency Drive Manufacturers 5.6 Market Map 5.7 Trade Data Statistics 5.8 Value Chain Analysis 5.8.1 Raw Material Providers/Suppliers 5.8.2 Component Manufacturers 5.8.3 Assemblers/Manufacturers 5.8.4 Distributors/End-users and Post-Sales Services 5.9 Case Study Analysis 5.9.1 ABB's Variable Frequency Drive Success, 2018 5.9.1.1 Problem Statement 5.9.1.2 Possible Solution by ABB's Variable Frequency Drive 5.1 Technology Analysis 5.10.1 Technology Trends for Variable Frequency Drive 5.11 Regulatory Landscape 5.12 Innovations & Patent Registration 5.13 Porter's Five Forces Analysis 5.13.1 Threat of Substitutes 5.13.2 Bargaining Power of Suppliers 5.13.3 Bargaining Power of Buyers 5.13.4 Threat of New Entrants 5.13.5 Intensity of Competitive Rivalry 6 Impact of COVID-19 on Variable Frequency Drive Market, Scenario Analysis, by Region 6.1 Scenario Analysis 6.1.1 Optimistic Scenario 6.1.2 Realistic Scenario 6.1.3 Pessimistic Scenario 7 Variable Frequency Drive Market, by Type 7.1 Introduction 7.1.1 Impact of COVID-19 on Global Variable Frequency Drive Market 7.2 AC Drive 7.2.1 Growing Usage of AC Drives in Various Industries to Fuel Growth of Segment 7.3 DC Drive 7.3.1 Advantages such as High Efficiency and Low Cost to Propel Demand for DC Drives 7.4 Servo Drive 7.4.1 Advanced Technology to Incorporate Feedback from Motors to Boost Growth of Segment 8 Variable Frequency Drive Market, by Voltage 8.1 Introduction 8.1.1 Impact of COVID-19 on Global Variable Frequency Drive Market 8.2 Low Voltage 8.2.1 Growing Use of Variable Frequency Drives in Wide Range of Applications Boost Growth of Segment 8.3 Medium Voltage 8.3.1 Need to Reduce Operating Cost in Heavy Industries to Fuel Demand for Medium Voltage Variable Frequency Drives 9 Variable Frequency Drive Market, by Power Rating 9.1 Introduction 9.1.1 Impact of COVID-19 on Global Variable Frequency Drive Market 9.2 Micro Power Drive 9.2.1 Expanding Food & Beverage and Building Automation Industries to Drive Market Growth 9.3 Low Power Drive 9.3.1 Higher Energy Savings at Low Costs to Fuel Demand for Low Power Drives 9.4 Medium Power Drive 9.4.1 Growth of Food & Beverage Industry to Boost Demand for Medium Power Variable Frequency Drives 9.5 High Power Drive 9.5.1 Need for Reduction in Power Consumption to Boost Demand for High Power Variable Frequency Drives 10 Variable Frequency Drive Market, by Application 10.1 Introduction 10.1.1 Impact of COVID-19 on Global Variable Frequency Drive Market 10.2 Pumps 10.2.1 Growing Need to Reduce Carbon Emission in Factories to Drive Growth of Segment 10.3 Fans 10.3.1 Increasing Energy Prices to Fuel Growth of Fans Segment 10.4 Compressors 10.4.1 Growing Awareness Regarding Energy Saving and Increasing Implementation of Energy-Efficient Solutions to Boost Demand for Variable Frequency Drives 10.5 Conveyors 10.5.1 Reduction of Downtime to Boost Demand for Variable Frequency Drives 10.6 Others 10.6.1 Smooth Control Along with Energy Savings to Fuel Demand for Variable Frequency Drives 11 Variable Frequency Drive Market, by End-user 11.1 Introduction 11.1.1 Impact of COVID-19 on Global Variable Frequency Drive Market 11.2 Oil & Gas 11.2.1 Growing Usage of Motors on Large Scale in Oil & Gas Sector and Increasing Requirement of Energy Efficiency to Drive Growth of Segment 11.3 Industrial 11.3.1 Optimum Process Control and Reduction of Downtime are Factors Driving Demand for Variable Frequency Drives 11.4 Power 11.4.1 Growing Emphasis on Energy Efficiency to Growth of Segment 11.5 Infrastructure 11.5.1 Growing Opportunities for Energy Optimization to Drive Market Growth 12 Variable Frequency Drive Market, by Region 12.1 Introduction 12.2 Asia-Pacific 12.3 Europe 12.4 North America 12.5 South America 12.6 Middle East 12.7 Africa 13 Competitive Landscape 13.1 Overview 13.2 Market Share Analysis, 2019 13.3 Market Evaluation Framework 13.4 Variable Frequency Drive Revenue Analysis of Top 5 Market Players 13.5 Key Market Developments 13.5.1 Product Launches 13.5.2 Contracts & Agreements 13.5.3 Mergers & Acquisitions 13.5.4 Investments & Expansion 13.5.5 Partnerships 13.6 Company Evaluation Quadrant 13.6.1 Company Evaluation Quadrant Definitions and Methodology 13.6.2 Star 13.6.3 Emerging Leader 13.6.4 Pervasive 13.6.5 Emerging Company 13.7 Competitive Leadership Mapping of Start-Ups 13.7.1 Progressive Companies 13.7.2 Responsive Companies 13.7.3 Starting Blocks 13.7.4 Dynamic Companies 13.7.5 Product Footprint Analysis of Top Players 14 Company Profiles 14.1 ABB 14.2 Siemens 14.3 Schneider Electric 14.4 Danfoss 14.5 Rockwell Automation 14.6 Crompton Greaves Power and Industrial Solution 14.7 Eaton 14.8 Yaskawa 14.9 Fuji Electric 14.10 Hitachi 14.11 General Electric 14.12 WEG 14.13 NIDEC 14.14 TMEIC 14.15 SEW-Eurodrive 14.16 Delta Electronics 14.17 Honeywell International 14.18 Anaheim Automation 14.19 Parker Hannifin 14.20 Nord Drive Systems 14.21 Inovance Technology 14.22 Techsuppen 14.23 Shenzhen Gozuk 14.24 Maven Automation 14.25 Saksun Industries 14.26 A.S. Automation & Controls 15 Appendix 15.1 Insights of Industry Experts 15.2 Discussion Guide 15.3 Knowledge Store: The Subscription Portal 15.4 Available Customizations

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