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Analysis of Potential Impact of COVID-19 on Generator Sales Market

The global generator sales market is expected to register a healthy growth in the near future. The growth in demand for power amidst woeful supply in emerging nations is expected to drive the market. The global generator sales market depicts an extremely competitive and fragmented landscape. According to a transparency market research report, the competition is expected to increase as renewable energy and rising diesel prices make way for diversification and technological advances. Some key players in the global generator sales market are Caterpillar Inc., Cummins Inc., Himoinsa S.L., Generac Holdings Inc., KOEL Green, AKSA Power Generation, Aggreko PLC, Atlas Copco AB, Kohler Co.

Generators are widely used for supplying uninterrupted and reliable power to manufacturing plants and various other commercial establishments. Additionally, the generator sales market also witnessed major growth due low diesel prices, driving efficient use of these systems. Additionally, new energy generation mediums like solar, wind, and biodiesel are expected to boost the market growth in the near future. Research in sustainable energy with focus on storage of energy represents a major opportunity for growth for key players in the generator sales market.

The global generator sales market was evaluated at $24 bn in 2017. It is expected to register a robust growth in the near future, at 5% CAGR during 2018-2026. Among the various types of fuels in the market, the natural gas is expected to register the highest growth in the near future. Natural gas is expected to create several new opportunities for growth in the market due to low VOCs emission, low price, and high level of pollution of diesel generators. The highly flammable nature of natural gas can limit the expansion of the generator sales market. Moreover, the global generator sales market in Middle East & Africa is expected to witness substantial growth.

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Diesel Fuel to Fire up the Generator Sales Market 

The natural gas is expected to create significant opportunities in the generator sales market. However, based on fuel type, diesel generators are expected to lead growth during the forecast period. Diesel generators are easy to maintain with low operation costs, wide availability of technology, and low prices of diesel. However, rising prices of diesel are expected to limit the growth of the generator sales market in the near future. Additionally, the growing regulations regarding pollution can be also be threat to the growth of diesel generators. However, regions like Asia Pacific are witnessing a high demand for diesel generators due to essential needs of 24/7 electricity supply. Countries like Vietnam, China, India, and Indonesia are becoming a hub of manufacturing activity. This activity and lack of widespread reliable electric supply in the region are expected to drive up the demand for generator sales market in the near future.

Prevalence of Rental Equipment to Aid Growth of the Generator Sales Market 

Diesel generators is a long term investment for commercial establishment and experience low adoption in residential and housing societies. The diesel generators are in heavy demand in manufacturing, oil exploration, and telecom applications. However, rental diesel generators present a significant opportunity for startups, small businesses, and housing complexes for special occasions. The prevalence of rental equipment considerably brings down investment and eliminates operational costs in most cases. The portable generators in small varieties are expected to drive significant growth for the generator sales market in the near future.

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The study presented here is based on a Transparency Market Research report titled “Generator Sales (Up to 20 kVA) Market (Power Rating – Up to 5 kVA, 5 to 10 kVA, 10 to 15 kVA, and 15 to 20 kVA; Fuel Type – Gasoline, Diesel, Natural Gas, and LPG; Generator Type – Stationary and Portable; End-user: Residential, Commercial, Industrial, and Telecom) – Global Industry Analysis, Size, Share, Growth, Trends, and Forecast 2017 – 2025.”

The global generator sales market is segmented based on:

Power Rating

Fuel Type

Generator Type

End-user

Region

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