Asia Pacific Electric Motor Market Size, Share & Industry Analysis, By Motor Type (AC Motors, DC Motors, and Hermetic Motors), By Power Output (Fractional Horsepower (Up to 1HP) and Integral Horsepower (Above 1HP)), By Voltage (Up to 1 kV, 1kV-6.6 kV, and Above 6.6 kV), By Application (Industrial Machinery, Motor Vehicles, HVAC Equipment, Electrical Appliances, and Others), By End-User (Industrial, Commercial, Agriculture, Residential, and Transportation), and, By Regional Forecast, 2025-2032

The Asia Pacific electric motor market size was valued at USD 59.03 billion in 2024. The market is projected to grow from USD 63.34 billion in 2025 to USD 108.37 billion by 2032, exhibiting a CAGR of 7.97% during the forecast period.

An electric motor is a device that converts electrical energy into mechanical energy. It operates on the principle of electromagnetism, utilizing the interaction between magnetic fields and electric current to produce rotational motion. These motors are widely used in various applications, from industrial machinery to household appliances and automotive, offering an efficient and versatile means of power conversion. The demand for electric motors is rising owing to their growing adoption in the industrial and automobile sectors.

MARKET DYNAMICS

MARKET DRIVERS

Increasing Adoption in Industrial and Automobile Sectors to Aid Market Growth

Rapidly increasing energy demand across emerging economies, coupled with the modernization of industrial infrastructure, will boost the adoption of electric motors across the globe. In the industrial sector, they are being increasingly utilized due to their better efficiency and reliability as compared to the traditional combustion engines. Industries ranging from manufacturing to agriculture are transitioning toward these motors to power various machinery and equipment. The need for greater energy efficiency and sustainability in industrial operations is driving this shift. For example, companies are replacing outdated hydraulic and pneumatic systems with electric motors to improve productivity and reduce operating overheads.

Moreover, the automation trend in industries is further boosting the demand for electric motors as they are essential components in automated systems. The automotive industry is witnessing a rapid adoption of electric motors as automakers are embracing Electric Vehicles (EVs) to meet stricter emission regulations and consumer demand for eco-friendly transportation solutions. The advancements in battery technology and development of charging infrastructure have made EVs more viable and appealing to consumers.

According to the IEA, the Electric Vehicle (EV) sales will reach 14 million in 2023, thereby increasing the demand for electric motors, which are an essential component of EV propulsion systems. As EVs capture a larger share of the automotive market (this share is expected to rise to 18% in 2023), the demand for electric motors intensifies. This growth is driven by environmental concerns and regulatory pressure, prompting automakers to invest heavily in electric drivetrain technologies. As a result, the electric motor market will expand, with increased production volumes and technological advancements creating growth opportunities for industry players.

Increase in Demand for Energy-Efficient Motors Will Fuel Market

Governments worldwide are implementing policies to reduce greenhouse gas emissions and combat climate change. As a result, industries are under pressure to minimize their carbon footprint and adopt energy-efficient technologies. Electric motors, being more efficient than their combustion engine counterparts, play a crucial role in achieving these sustainability goals. Government initiatives and regulations will further catalyze the adoption of energy-efficient electric motors. Many countries have implemented energy efficiency standards and labeling programs for these motors to encourage manufacturers and consumers to choose more efficient models. For instance, the European Union's Ecodesign Directive sets minimum energy performance standards for various products, including electric motors, to promote energy efficiency and reduce environmental impact. Similarly, programs like ENERGY STAR in the U.S. provide consumers with information on energy-efficient products, encouraging them to make environmentally conscious purchasing decisions.

In June 2023, the Department of Energy (DOE) released a direct final rule in the Federal Register regarding energy conservation standards for electric motors. According to the Energy Policy and Conservation Act (EPCA), the DOE is mandated to periodically determine the feasibility and economics of implementing more stringent standards that would result in substantial energy savings.

MARKET RESTRAINTS

Volatility in Raw Material Prices to Hamper Market Growth

Electric motors comprise steel bars, permanent magnets, copper wires, and precision thin metals, such as specialty alloys. These materials are majorly manufactured in China; owing to this, the price of the product is totally controlled by the suppliers in China. The resulting price fluctuations have to be borne by other manufacturers and suppliers in the market. For instance, when suppliers and manufacturers face variations in the prices of copper wires and rare-earth permanent magnets during the production processes, they are unable to pass the price change to the end-user. The industry's reliance on specific raw materials, such as rare earth metals, such as neodymium and dysprosium, further increases the impact of price fluctuations. These metals are crucial for producing high-performance magnets used in electric motors. Any disruption in the supply of rare earth metals can lead to supply shortages and price volatility, affecting the overall cost structure of electric motor production. When raw material prices increase, manufacturers may be forced to raise the prices of electric motors to maintain their profitability. Higher prices can dampen consumer demand, especially in price-sensitive markets, thereby slowing market growth. Conversely, decreases in raw material prices may enable manufacturers to lower prices or invest in product innovation, stimulating Asia Pacific electric motor market growth.

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MARKET OPPORTUNITIES

Rising Product Demand For HVAC Applications to Augment Market Dynamics

As more people migrate to cities, the demand for residential, commercial, and industrial buildings equipped with HVAC systems increases. These systems are essential for maintaining indoor air quality, comfort, and temperature control in buildings to positively contribute to occupant health, productivity, and well-being. As urbanization continues unabated, particularly in emerging economies, the demand for HVAC systems and, by extension, electric motors used in these systems is expected to rise significantly. Various regional governments and organizations have also introduced favorable laws to encourage the installation of energy-efficient products in various infrastructures, complementing the industry outlook. These regulations are implemented to rationalize the energy consumption by electrical equipment in different sectors and curb the overall carbon emissions generated by several devices.

MARKET CHALLENGES

Micro-economic Factors to Challenge Market Growth

Growth in the adoption of electric motors comes with the influence of several factors. These factors also act as challenges if they don’t meet the requirements of business. Factors, such as manufacturing costs, competition, regulatory compliance, and technological advancements are creating challenges to the growth of the electric motor market. In addition, the shortage of components that are required to build these motors becomes a hurdle to meeting the product demand. These challenges can be sorted in the coming years owing to the growing demand for electrical equipment.

ASIA PACIFIC ELECTRIC MOTOR MARKET TRENDS

Growing Demand for Electric Vehicles to Support Market Growth

An electric motor plays a crucial role in modern vehicle trends that enhance the reliability and efficiency of electric vehicles. The growing demand for electric vehicles in several commercial and industrial sectors is backing the electric motor market growth. In addition, manufacturers are working on advanced technologies to boost the market’s growth.

For instance, in October 2024, the Xiaomi SU7 Ultra with HyperEngine V8s electric motors will debut on October 29^th. The product comes with triple electric motors and can achieve speed from 0-100 kmph time in just 1.97 seconds.

Impact of COVID-19

Industrial Shutdowns Impacted Market Growth

The COVID-19 pandemic continued to spread rapidly around the world. Almost every country reported infected cases and was at different stages of the pandemic. Some countries, such as China and India were effective in initial containment and implementing additional measures to address the situation. Some nations appeared to be at the peak of the outbreak and were urgently increasing the capacity of their health systems.

The impact of COVID-19 on the electric motor market was moderate as it hampered the consumption in many end-use industries. This is owing to supply chain disruption of services, technology and hindrance in activities globally. Due to the lack of professionals who are skilled in using the technology, the pandemic significantly impacted the market’s growth. As a result of the shutdown of manufacturing units around the world, the revenue of the market also decreased. However, as electric motors are crucial components in wide range of applications such as Industrial Machinery, HVAC Equipment, Electrical Appliances, etc., the adverse effect on market was reduced as the demand for electric motors continued.

SEGMENTATION ANALYSIS

By Motor Type

AC Electric Motor Dominates Market Due to Its Demand in Multiple Applications

Based on motor type, the market is segmented into AC motors, DC motors, and hermetic motors.

The AC motor segment dominated the market owing to its high efficiency, which makes it suitable for various applications. These motors are ideal for applications where a constant speed is required, like in lathe machines and centrifugal pumps. They are also used in a wide range of equipment, such as fans, blowers, conveyors, and lifts.

DC motors are one of the fastest-growing segments. They offer precise speed control, are suitable for applications requiring variable speeds, and provide better starting torque, making them ideal for products, such as presses and elevators.

By Power Output

Fractional Horsepower Dominates Market Driven by Supportive Policies

Based on power output, the market is bifurcated into fractional horsepower (up to 1HP) and integral horsepower (above 1HP).

The fractional horsepower (up to 1HP) segment is propelling the market’s growth. This segment is expected to continue to grow due to supportive government policies and regulations, increasing investments by leading automotive OEMs, and decreasing prices of batteries.

Integral horsepower is the fastest-growing segment owing to its efficiency and versatility.

By Voltage

Upto 1kV to Dominate Market Owing to Multiple Applications

Based on voltage, the Asia Pacific electric motor market is categorized into up to 1 kV, 1 kV-6.6 kV, and above 6.6 kV.

The up to 1 kV segment is anticipated to lead the market, capturing the largest share. The segment’s dominance is owing to the increasing use of electric motors operating at voltages below 1 kV in residential, commercial, and light industrial applications. These motors power a wide array of equipment, including household appliances, HVAC systems, and small machinery.

The 1 kV-6.6 kV segment is expected to maintain its second-largest market share as motors operating within this voltage range are widely used in medium to large-scale industrial applications, where higher power output is required.

By Application

Motor Vehicles Application Segment Dominates Market Owing to Growing Demand for Electric Motors

Based on application, the market is segmented into industrial machinery, motor vehicles, HVAC equipment, electrical appliances, and others.

Motor vehicle is the dominating segment owing to the growing demand for electic vehicles. For instance, in 2023, India led in electric vehicle sales with over 4% growth amid a global slowdown.

Industrial machinery is one of the fastest growing segments owing to the expansion of the manufacturing and other sectors.

Electrical appliances are the second-fastest growing segment due to the adoption of technologically advanced electrical equipment.

By End-User

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Transportation Segment Leads Market Growth Owing to Recent Developments

The market by end-user is segregated into industrial, commercial, residential, agriculture, and transportation.

The transportation segment is dominating the Asia Pacific electric motor market share. This is owing to the growing demand for EVs in developing countries, such as China and India.

Industrial is the fastest growing segment. This is owing to the expansion of the industrial sector as industries in India are growing rapidly every year.

The agriculture sector is also influencing the product’s demand, boosting the sales of electric motors. Supportive policies and government initiatives for the growth of the agriculture industry are some of the major factors driving the adoption of electric motors

ASIA PACIFIC ELECTRIC MOTOR MARKET REGIONAL OUTLOOK

The Asia Pacific electric motor market is driven by rapid urbanization and industrialization. Heavy consumption of electricity during industrialization is backing the growth of electric motors. China is leading the regional market owing to its manufacturing dominance and strong supply chain. This is due to the focus on electric vehicles and the development of energy-efficiency products on a domestic level.

In November 2024, WEG S.A. revealed a capital investment of around USD 62 million to enhance production capabilities at its facility in Rugao, China., with an aim satisfy rising market demand and strengthen the company's footprint in the area. The plan consists of constructing factory for the manufacturing of high-voltage electric motors.

COMPETITIVE LANDSCAPE

Key Industry Players

Strong Product Portfolio of Industry Players to Influence Electric Motor Market

The Asia Pacific electric motor market is highly fragmented and has witnessed several local and global participants. Currently, ABB is anticipated to lead the industry with its long-standing presence and robust product offerings for a wide range of industries. The company is focusing on implementing various automation technologies to expand its product reach. For instance, in February 2024, ABB achieved another world first for its IE5 SynRM (synchronous reluctance motor) series with the launch of a new version that combines the benefits of ultra-premium energy efficiency with highly effective liquid cooling. The new design is expected to set a new benchmark for high power output and reliability in a compact footprint.

List of Key Asia Pacific Electric Motor Companies Profiled

• ABB (Switzerland)


• AMETEK (U.S.)


• Johnson Electric (Hong Kong)


• Siemens (Germany)


• Rockwell Automation (U.S.)


• General Electric (U.S.)


• Nidec Motor Corporation (Japan)


• WEG (Brazil)


• Toshiba Corporation (Japan)


• Hitachi (Japan)


• Mitsubishi Heavy Industries (Japan)


• Mitsuba (Japan)


• DENSO (Japan)

KEY INDUSTRY DEVELOPMENTS

• In February 2024, ABB achieved a world first for its IE5 SynRM (synchronous reluctance motor) series with the launch of a new version that combines the benefits of ultra-premium energy efficiency with highly effective liquid cooling. The new design sets a new benchmark for high power output and reliability in a compact footprint.


• In February 2024, AIR, creator of eVTOLs for the consumer market, announced its partnership with Nidec Motor Corporation, a leading manufacturer of commercial and industrial appliance motors and controls. The aim of the partnership is to develop a motor for the production model of AIR’s two-seater eVTOL (electric vertical takeoff and landing) aircraft, AIR ONE. The two companies will design and develop a motor specifically for mid-sized eVTOL aircraft, ultimately filling a void in the burgeoning AAM (Advanced Air Mobility) industry.


• In September 2023, Johnson Electric became the preferred software vendor for inspection and Quality Control (QC) using Augmented AI technology. Johnson Electric manufactures over 3 million micro-motors and motion-related components each day on 1,500 production lines in 17 countries spanning four continents.


• In May 2023, The Board of Directors of Siemens Limited approved the sale of low-voltage and geared motors businesses to Siemens Large Drives India Pvt. Ltd., a Siemens AG subsidiary, for USD 22,000 million.


• In November 2023, Lilium partnered with industrial leader DENSO to ramp up the production of the Lilium jet’s innovative electric engine. DENSO was already delivering the electric motor as part of its alliance with Lilium’s tier-one e-motor supplier, Honeywell.

REPORT COVERAGE

The report provides a detailed analysis of the market and focuses on key aspects, such as leading companies, product/service process, competitive landscape, and leading source of electric motors. Besides, it offers insights into the market trends and highlights key industry developments. In addition to the factors mentioned above, the report encompasses several factors that have contributed to the growth of the market in recent years.

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