Market Size of Generator Sets Industry
| Study Period | 2019 - 2029 |
| Base Year For Estimation | 2023 |
| CAGR | > 6.50 % |
| Fastest Growing Market | Asia Pacific |
| Largest Market | Asia Pacific |
| Market Concentration | Low |
Major Players.webp){kind=logo}
*Disclaimer: Major Players sorted in no particular order |
Need a report that reflects how COVID-19 has impacted this market and its growth?
Generator Sets Market Analysis
The generator sets market is expected to register a CAGR of more than 6.5% during the forecast period.
The outbreak of COVID-19 had a negative effect on the market. Currently, the market has rebounded to pre-pandemic levels.
- Factors such as the ever-increasing demand for power, the lack of reliable grid infrastructure, the need for emergency backup power solutions, and the demand for steady power supply are driving the generator set market. Moreover, the growing energy demands from the burgeoning manufacturing industry are expected to provide greater market opportunities for generators.
- However, factors such as high installation and operating costs, consumer preference for eco-friendly alternatives (like solar, fuel cells, etc.), and overcapacity are restraining the market's growth during the forecast period.
- The commercial and industrial sectors of emerging economies, the residential sector of developed economies, and the increasing need for power in defense operations are expected to create significant opportunities for market participants in the near future.
Asia-Pacific accounted for the largest share of the market in 2022, with the majority of the demand coming from countries such as China and India.
Generator Sets Industry Segmentation
Typically, a generator set consists of an engine and a generator that are mounted as a single piece. The main purpose of the set is to use the electrical generator to transform mechanical energy into electrical energy. Generator sets are frequently employed in places where electrical power is unavailable or has been disrupted since they can run on a number of fuel sources. They come in a variety of sizes, from tiny hand-operated units to bigger sets that are mounted in trailers, buildings, or even cars.
The generator sets market is segmented by capacity, end-user, fuel type, application, and geography. By capacity, the market is segmented into three categories: below 75 kVA, 75-350 kVA, and above 350 kVA. By end-user, the market is segmented into residential, commercial, and industrial. By fuel type, the market is segmented into gas, diesel, and others. By application, the market is segmented into standby backup power, prime/continuous power, and peak shaving power. The report also covers the market size and forecasts for the generator sets market across major regions. For each segment, market sizing and forecasts have been done based on revenue (USD billion).
| Capacity | |
| Below 75 kVA | |
| 75-350 kVA | |
| Above 350 kVA |
| End-User | |
| Residential | |
| Commercial | |
| Industrial |
| Fuel Type | |
| Gas | |
| Diesel | |
| Other Fuel Types |
| Application | |
| Standby Backup Power | |
| Prime/Continuous Power | |
| Peak Shaving Power |
| Geography | |
| North America | |
| Europe | |
| Asia-Pacific | |
| South America | |
| Middle-East and Africa |
Generator Sets Market Size Summary
The generator sets market is poised for significant growth, driven by the increasing demand for reliable power sources amid inadequate grid infrastructure and the necessity for emergency backup solutions. The resurgence of the market post-COVID-19 highlights its resilience, with the manufacturing sector's energy demands further propelling market opportunities. However, challenges such as high installation costs, a shift towards eco-friendly energy alternatives, and market overcapacity pose constraints. The commercial and industrial sectors in emerging economies, alongside the residential sector in developed regions and defense operations, are anticipated to offer substantial growth prospects for market players.
Asia-Pacific is the dominant region in the generator sets market, with China and India leading due to infrastructure expansion and rising power demands. The demand for small-capacity generators is particularly strong in developing regions, driven by the need for backup power in areas with unreliable electricity access. Government initiatives in India and China, such as smart cities and green building projects, are expected to boost the demand for portable generators. The market's fragmentation is evident with key players like Caterpillar Inc., Cummins Inc., and Generac Holdings Inc. actively innovating to meet evolving market needs.
Generator Sets Market Size - Table of Contents
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1. MARKET OVERVIEW
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1.1 Introduction
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1.2 Market Size and Demand Forecast in USD billion, till 2028
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1.3 Recent Trends and Developments
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1.4 Government Policies and Regulations
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1.5 Market Dynamics
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1.5.1 Drivers
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1.5.2 Restraints
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1.6 Supply Chain Analysis
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1.7 Porter's Five Forces Analysis
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1.7.1 Bargaining Power of Suppliers
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1.7.2 Bargaining Power of Consumers
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1.7.3 Threat of New Entrants
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1.7.4 Threat of Substitute Products and Services
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1.7.5 Intensity of Competitive Rivalry
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2. MARKET SEGMENTATION
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2.1 Capacity
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2.1.1 Below 75 kVA
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2.1.2 75-350 kVA
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2.1.3 Above 350 kVA
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2.2 End-User
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2.2.1 Residential
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2.2.2 Commercial
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2.2.3 Industrial
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2.3 Fuel Type
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2.3.1 Gas
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2.3.2 Diesel
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2.3.3 Other Fuel Types
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2.4 Application
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2.4.1 Standby Backup Power
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2.4.2 Prime/Continuous Power
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2.4.3 Peak Shaving Power
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2.5 Geography
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2.5.1 North America
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2.5.2 Europe
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2.5.3 Asia-Pacific
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2.5.4 South America
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2.5.5 Middle-East and Africa
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Generator Sets Market Size FAQs
What is the current Generator Sets Market size?
The Generator Sets Market is projected to register a CAGR of greater than 6.5% during the forecast period (2024-2029)
Who are the key players in Generator Sets Market?
Cummins Inc. , Generac Holdings Inc., Wartsila Corporation, Caterpillar Inc. and Kohler Co. are the major companies operating in the Generator Sets Market.
