AC sector continues to drive motor control market

AC sector continues to drive motor control market

AC sector continues to drive motor control market

The European motor control and drives market has been growing at a compound annual growth rate of 5 per cent since 1993 to reach its current level of $3.7 billion.

More than one in ten integral hp electrical motors are now connected to an electrical drive.

MarketLine International's new report, European Motor Controls & Electrical Drives, forecasts that this trend is set to continue, with this figure increasing to one in five by 2001, driving healthy rates of growth in the market. Key findings from the report include:

• •

  The European market for motor controls and drives will grow to US$4.5 billion by the year 2001.

• •

  The AC sector is the main area of growth, fuelled by technological advances and lower prices.

The European market for motor controls and drives will grow to US$4.5 billion by the year 2001

Currently valued at US$3.7 billion, MarketLine forecasts good levels of growth for the European motor control and drives market which is set to reach US$4.5 billion (at 1996 prices) by the year 2001 (see Figure 2).

Figure 2 European motor controls and drives market forecast 1996-2001

The total European market will also be boosted by a growing contribution to demand from Eastern European countries in economic transition and also from countries with less developed industrial economies, for example, Greece, Portugal and Ireland.

The growth in demand for motor control comes from a number of factors:

• •

  Increased investment by the manufacturing and distribution industries.

• •

  The greater proportionate use of electrical motors and automated controls.

• •

  More sophisticated HVAC controls in buildings, generating growth in demand from the tertiary construction sector.

• •

  Increased requirements resulting from electrical machine safety legislation.

• •

  The continuing substitution of mechanical drive systems for electrical drives.

• •

  The substitution of traditional products for higher priced new products offering performance advantages.

The market leader across Europe in AC variable speed drives is ABB, with Siemens in second place.

The DC drives market has a stronger national basis with motor manufacturers in each country being well positioned, but ABB, Schneider, Eurotherm, Rockwell, and Emerson have strong shares in most countries.

The AC sector is the main area of growth, fuelled by technological advances and lower prices

The AC sector is the main area of growth in the motor control and electrical drive markets, owing to two main factors:

(1) The technology of AC drives has improved dramatically over a short space of time.

(2) Lower prices and improved performance means that AC drives now compare favourably with DC alternatives.

Improvements in power semiconductors, microprocessors, and in basic motor theory have all contributed to this market development in the AC sector, with manufacturers also focusing on specification, compact size, and technical support. Added-value extras include: the availability of communications buses, diagnostics, simplicity of programming, low energy consumption, in-build PID and other control functions.

Direct torque control introduced by ABB in 1996 is the most recent innovation in the continuing competition in technical specifications.

The market is also boosted by the improved price/performance ratio of AC products, as product prices are declining in real terms as a result of competition and lower manufacturing and component costs. This is particularly apparent in the lower range products, for example in the small drives market where strong price competition has resulted in fractional kW drives being priced at US$300.

However, the rapid improvements in technology in the upper end of the market have increased development costs, and indeed product costs as the absence of a standard industrial network forces manufacturers to offer a multiplicity of communication options.

European Motor Controls & Drives is available from MarketLine International at a cost of US$1,250.

For further information contact MarketLine International, 16 Connaught Street, London W2 2AF. Tel: 0171 624 2200; Fax: 0171 372 0130.