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The global hermetic motor market size was valued at USD 17.10 billion in 2024. The market is projected to grow from USD 18.37 billion in 2025 to USD 31.53 billion by 2032, exhibiting a CAGR of 8.02% during the forecast period. Asia Pacific dominated the hermetic motor market with a share of 32.63% in 2024, and robust demand for HVAC and refrigeration systems in the region.
A hermetic motor is a motor sealed within a refrigerant atmosphere inside a chiller. The motor and compressor are contained within a single, welded casing, airtight, eliminating the need for shaft seals and refrigerant leakage. It is widely used in the HVAC system and refrigerator applications. Expansion in the commercial and residential sectors will boost the demand for these motors as advancements in cooling technologies are taking place rapidly due to climate change.
Emerson is one of the leading technology-driven manufacturers of different types of motors. The company focuses on the advancements in sustainable solutions to minimize carbon emissions by providing efficient products. For example, in November 2024, Emerson Debuts CO2 Controlling unit to ‘Make Working with CO2 Easier’. The project will take five years to deploy the operations in the U.S.
Advancements in Modern Household Appliances to Fuel Market Growth
Modern household appliances have grown significantly in recent years, driven by rising global demand. Advanced technology associated with the new products boosts the hermetic motor market share. Moreover, governments push towards energy-efficient products to influence growth. For instance, in January 2024, the Department for Promotion of Industry and Internal Trade (DPIIT) eased the quality control order for Air Conditioners (ACs) and related components to permit the comfort of doing business.
High Manufacturing Costs and Raw Material Price Instability to Hinder Market Growth
The fluctuation in the prices of raw materials is considered a significant challenge for the market. The price of raw materials such as copper, aluminum, and steel is one of the essential bases for manufacturing operations. Hence, price fluctuation due to supply and demand disruption can hinder market growth for these motors. Moreover, the high manufacturing cost of the hermetic motor delays the growth of the global market.
Government Regulations and Incentives Promoting Energy Efficiency Products to Boost Market Growth
Several government bodies focus on environmental regulation to create a sustainable future with zero carbon emissions. This is through the combination of policy frameworks, international collaborations, and domestic initiatives, surrounding areas like renewable energy, high-efficiency products, and ecosystem protection, with goals like accomplishing net-zero emissions and adjusting to climate impacts. For instance, in February 2025, the Tamil Nadu Chief Minister announced that the government would launch a climate change policy entirely for educational purposes and develop ecology clubs in all schools statewide.
Integration of AI and Miniaturization of Devices to Boost Market Growth
The hermetic motor market is experiencing significant growth, driven by increasing demand in various sectors such as HVAC, refrigeration, and electric vehicles. Key trends include the integration of IoT and AI for enhanced monitoring and efficiency, a shift toward miniaturization, and the adoption of eco-friendly refrigerants.
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Fractional Horsepower (Upto 1HP) is Dominating Due to its Wide Applications
The market by power output covers fractional horsepower (Upto 1HP) and integral horsepower (Above 1HP).
Fractional horsepower (Upto 1HP) is the dominating segment driven by household appliances in emerging countries such as China, Germany, India, South Korea, and others. Moreover, industrial operations, such as refrigeration, cold chain technology, and food preservation, are driving the demand for this segment.
The integral horsepower (Above 1HP) segment is the fastest-growing segment due to its rising industrial applications. Growing food processing and temperature-maintained rooms need refrigeration and HVAC products, boosting these motors globally.
Upto 1kV Segment Dominates Owing to Expansion of HVAC systems
The market by voltage is segmented into upto 1kV, 1kV-6.6kV, and above 6.6kV.
Rising demand for HVAC & refrigeration systems drives demand for upto 1kV hermetic motors and thus is expected to dominate the market. Residential and commercial air conditioning systems rely on low-voltage hermetic motors to ensure efficient cooling, low noise, and energy savings. Further, the expansion of cold storage facilities and food processing plants is increasing demand for these motors in refrigeration compressors.
The demand for hermetic motors above 6.6kV is primarily driven by their use in heavy-duty industrial applications requiring high power and reliability, such as in large-scale manufacturing, mining, and oil and gas exploration. These motors are also crucial for utility infrastructure and are found in applications such as pumps, fans, compressors, conveyors, and crushers. Hermetic motors, also known as sealed motors, are designed to operate in environments where exposure to dust, moisture, or other contaminants is a concern.
High Product Application in EV and Powertrains Leads to Motor Vehicle Segment’s Dominance
The market by application is segmented into industrial machinery, motor vehicles, HVAC equipment, electrical appliances, and others.
The motor vehicle segment is currently the dominant application for hermetic motors, largely driven by the increasing adoption of electric vehicles. As the hermetic motors are essential components in electric powertrains.
However, the industrial machinery segment is also a significant market, with increasing automation and the need for energy-efficient motors boosting demand. Hermetic motors are widely used in air conditioners, refrigeration units, and heat pumps. These motors operate sealed within the refrigerant environment, preventing leakage of refrigerants and enhancing the overall energy efficiency of the system. With rising demand for energy-efficient cooling systems in commercial buildings and residential homes, the use of these motors is rapidly expanding.
These motors are primarily used in industrial machinery which is expected to witness significant growth. They are fully enclosed, which makes them ideal for industrial machinery in chemical processing, oil & gas, and others. The motor design ensures that the fluid, gases, or chemicals do not leak or come in contact with the motor’s internals, preventing cross-contamination.
Residential Sector is anticipated to lead the Market Owing to Rapid Urbanization
The market by end-user is divided into residential, commercial, industrial, agriculture, and transportation. The commercial sector is expected to dominate owing to the increasing urbanization and population’s driving demand for home air conditioning, heat pumps, and refrigeration appliances. The rise in middle-class disposable income in regions such as the Asia Pacific is boosting sales of energy-efficient home appliances, such as refrigerators, air conditioners, and others, that employ hermetic motors.
The industrial segment is expected to grow at a significant rate as hermetic motors are crucial in various industrial processes, including chemical and petrochemical industries, where they are used in pumps for transferring fluids and gases. The expanding cold chain industry also witnesses the increasing need for HVAC systems. Hermetic motors, known for their sealed design and reliability in challenging environments, are essential in various industrial processes.
The market has been studied geographically across five main regions: North America, Europe, Asia Pacific, Latin America, and the Middle East & Africa.
Asia Pacific Hermetic Motor Market Size, 2024 (USD Billion)
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The North American market is expected to grow at a considerable rate owing to the growing demand for energy-efficient HVAC (Heating, Ventilation, and Air Conditioning) and refrigeration systems is a major driver of the Hermetic motor market in North America. The rapid growth of residential and commercial buildings, particularly in the U.S. and Canada, is driving high demand for efficient air-conditioning and refrigeration systems.
Europe is projected to experience exponential growth during the forecast period. Europe is leading the global transition toward sustainability and energy-efficient technologies, which is directly impacting the adoption of the hermetic motors market. Regulations such as the EcoDesign Directive (ErP Directive 2009/125/EC) mandate improved efficiency in electric motors and refrigeration compressors, driving demand for high-performance hermetic motors. Further, the EU Green Deal aims for net-zero emissions by 2050, accelerating the adoption of energy-efficient systems in HVAC, refrigeration, and industrial processes.
Asia Pacific's hermetic motor market growth is expected to dominate the market due to robust urbanization, industrial growth, and increasing demand for HVAC and refrigeration systems. The region is experiencing considerable urbanization, leading to a surge in residential and commercial projects that necessitate the need for HVAC and cooling systems. China, India, and Southeast Asia are witnessing rapid urbanization and economic growth, directly impacting demand for air-conditioning systems in the residential sector.
Latin America has showcased expansions in many sectors in the last few years. This is driven by the adoption of energy-efficient products in multiple applications. Further, progress in low energy consumption is driven by electrification in the power sector. Moreover, emerging countries such as Brazil & Mexico are focusing on low carbon emissions to deliver sustainable solutions to regional growth.
The Middle East & Africa are progressively showing interest in HVAC products due to the region's climate change activities. Developing countries such as the UAE, Saudi Arabia, Qatar, and others from the Middle East are showcasing the need for HVAC systems in residential and commercial places. Hence, the growing demand for these products is driving the hermetic motors as they are one of the essential components of the whole HVAC system.
Rising Adoption of Hermetic Motors to Boost Global Market
Leading players such as AMETEK, Rockwell Automation, Regal Rexnord, and others offer advanced hermetic motors for heating, ventilation, and air-conditioning systems applications. For instance, Regal Rexnord offers GENTEQ HERMETIC, designed for residential and commercial air conditioning and refrigeration compressor OEMs. Thus, the rising adoption of HVAC systems is assisting market players to expand their business prospects.
The report provides a detailed analysis of the market and focuses on key aspects such as leading companies, product, process, and competitive landscape. Besides, the report offers insights into the market trends and highlights key industry developments. In addition to the factors above, the report encompasses several factors that have contributed to the market's growth in recent years.
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ATTRIBUTE |
DETAILS |
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Study Period |
2019-2032 |
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Base Year |
2024 |
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Estimated Year |
2025 |
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Forecast Period |
2025-2032 |
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Historical Period |
2019-2023 |
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Growth Rate |
CAGR of 8.02% from 2025 to 2032 |
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Unit |
Value (USD Billion) |
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Segmentation |
By Power Output
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By Voltage
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By Application
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By End-User
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By Geography
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As per the Fortune Business Insights study, the market size was USD 17.10 billion in 2024.
In 2024, the market value stood at USD 5.58 billion.
The market is expected to exhibit a CAGR of 8.02% during the forecast period of 2025-2032.
The residential segment led the market by end-user.
Government regulations and incentives promoting energy efficiency products boost the market growth.
Some of the top major players in the market are AMETEK, Rockwell Automation, and Regal Rexnord.
7. Which region held the largest share of the market?
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