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Low Voltage Drives Market in APAC to exceed $12 Bn by 2030

  • Published Date: October 11, 2022

Asia Pacific Low Voltage Drives Market size is set to surpass USD 12 billion by 2030, according to a new research report by Global Market Insights Inc.

Increased spending on infrastructure across emerging Asian countries is a major factor fueling market trends. Citing an instance, Asian Development Bank (ADB) provided close to USD 22.8 billion as financial investments in 2021 across various territories and sectors within the region. Additionally, the ongoing expansion of the manufacturing sector will bolster the adoption of electrical components such as low voltage drives.

Investments in HVAC systems to promote usage of 22 kW - < 75 kW LV drives

Asia Pacific low voltage drives market value from the 22 kW - < 75 kW capacity segment accounted for USD 720 million in 2021. There has been a significant rise in the installation of HVAC systems across region. According to the International Energy Agency (IEA), the total number of air-conditioners in the Southeast Asian region could rise to 300 million units by 2040. Since components like low voltage drives are critical in HVAC units, rapid industrial expansion along with the establishment of new manufacturing facilities will strengthen product requirement.

High energy efficiency of AC low voltage drives to foster product usage in cooling

AC low voltage drives market in APAC is predicted to register more than 5% growth rate between 2022 and 2030. One of the factors bolstering the usage of these drives is their energy efficiency. AC drives enable speed regulation and acceleration of the electric motors used for cooling applications, with the help of parallelly functioning unit components including circuit, rectifier unit and inverter unit. High energy efficiency, increased power factor, and reduced requirement of start-up current will accelerate the demand for AC low voltage drives.

Clean energy regulations will boost demand for standard LV drives technology

APAC low voltage drives market share from the standard technology segment is expected to record a CAGR of over 4% through 2030. This growth is attributed to the implementation of stringent legislative norms to increase the usage of clean energy. Citing an instance, in May 2022, the Ministry of Energy and Mineral Resources (ESDM) of Indonesia has proposed to make 100 percent renewable energy part of its energy mix by 2060 via the National Grand Energy Strategy (GSEN). The declaration of such initiatives is creating strong potential for the installation of energy-efficient electrical components such as standard low voltage drives across various applications.

Browse key industry insights spread across 690 pages with 886 market data tables & 34 figures & charts from the report, “Asia Pacific Low Voltage Drives Market Size By Power Range (Micro, Low), By Capacity (< 2.2 kW, 2.2 kW - < 7.5 kW, 7.5 kW - < 22 kW, 22 kW - < 75 kW, ≥ 75 kW - <110 kW, ≥ 110 kW - < 500 kW, ≥ 500 kW), By Drive (AC {Efficiency Class [IE1, IE2, IE3, IE4]}, DC, Servo), By Technology (Standard, Regenerative), By System (Open Loop, Closed Loop), By Application (Pump, Fan, Conveyor, Compressor, Extruder), By End-Use (Oil & Gas, Power Generation, Food Processing, Automotive, Mining & Metals, Pulp & Paper, Textile, Marine), COVID-19 Impact Analysis, Country Outlook, Application Potential, Competitive Market Share & Forecast, 2022 – 2030”, in detail along with the table of contents:

Growing use of pumps in commercial & industrial operations to transform industry outlook

The pump application segment in Asia Pacific low voltage drives market is poised to showcase substantial growth during the forecast period. Many emerging Asian countries are using pumps for various commercial and industrial applications, with the support of initiatives implemented by their governments. For instance, the Indonesian Ministry of Public Works collaborated with a pump manufacturer to provide a solar-powered water pumping system to a local community. This water pump resolved the urgent water shortage issue of the Kahiyangan community based in Pulau Tomia.

Expanding F&B sector to influence regional industry forecast in China

China LV drives Market is slated to observe 3% gains through 2030. Favorable regulatory initiatives to improve industrial establishments are driving regional industry trends. Furthermore, significant expansion of the food & beverage sector has increased product adoption. According to the state council of China, the total sales volume of beverage products was recorded at over 183 million tons in 2021, indicating a yearly rise of approximately 12% between 2020 and 2021. Support from the government for upgrading or replacing existing inefficient technologies will further promote low voltage drive production in the country.

Strategic product launches from key players to propel industry dynamics

Major companies operating in the low voltage drives market in Asia Pacific are Siemens, ABB, Danfoss, Schneider Electric, Rockwell Automation, Inc., GE, Honeywell International, Inc., Invertek Drives Far East Pte Ltd, and Nidec Corporation. These leaders are launching innovative products to reinforce their product offerings.

Authors: Ankit Gupta, Divyendu Sharma