Power transmission gearbox market to grow with CAGR of 5 per cent by 2036
January 3, 2024 2:50 pm
January 3, 2024 2:50 pm
The average global household power demand will rise by 75 per cent between 2021 and 2050, driven by the increasing economies of developing countries.
According to a recent study by Research Nester, the global power transmission gearbox market size is expected to cross USD46 Billion by 2036 and is projected to expand at a CAGR of over 5 percent from 2024 to 2036. This overview explores the market dynamics, growth factors, challenges, and key trends, delving into market segmentation and regional insights while highlighting the transformative influence of automation and digital technology.
The global power transmission gearbox market
The global power transmission gearbox market is estimated to grow majorly due to the rising manufacturing output from several industries. This will increase the demand for heavy machinery and equipment, indirectly increasing the demand for power transmission gearboxes. According to the United Nations Industrial Development Organisation, in the second quarter of 2021, industrialised countries reported yearly output growth of 19.2 per cent. Moreover, regionally, the US manufacturing industry performed well last year, with America’s growth rate reaching 6.9 percent in 2022, up from 3.3 per cent in 2021.
The power transmission gearbox facilitates the transmission of energy and the smooth running of the machines. Besides this, the rising demand for power is also expected to drive the market growth of power transmission gearboxes. Building energy demand is expected to climb by 15 per cent by 2050. The average global household power demand will rise by 75 per cent between 2021 and 2050, driven by the increasing economies of developing countries. This will also increase the line for successful power transmission and distribution worldwide, hence contributing to the market growth of power transmission gearboxes.
Growth and challenges
Some of the major growth factors and challenges associated with the growth of the global power transmission gearbox market are mentioned.
Challenges: Hydraulic transmission, direct drives, and variable frequency drives are some of the direct competitors of power transmission gearboxes and hamper the market expansion. Moreover, the advent of electric vehicles would reduce the usage of power transmission gearboxes, also hampering the global market size. Electric vehicles mainly rely on direct drive systems, which directly connect to motors, further restricting the market growth.
Market segmentation and trends
The global power transmission gearbox market is segmented for the end user into energy, automotive, mining, aerospace, marine, and chemical. The automotive segment will garner the highest revenue by the end of 2036 by growing at a significant CAGR over the forecast period. The rising production of energy-efficient automobiles is expected to grow the segment.
By region, the market in Europe is projected to hold a majority of the share by the end of 2036 amongst the markets in all the other areas. The market’s growth can be attributed to the number of businesses engaged in chemical, machinery, automotive, and food processing. All these sectors rely heavily on heavy machinery and equipment and thus increase the need for transmitting power through power transmission gearboxes.
Furthermore, the growing emphasis of industries on automation and the adoption of digital technology, such as IoT and robotics, is further expected to boost the demand for power transmission gearboxes.
Authored by Shalini Nagar, Junior Content Writer – Research Nester