Asia Pacific Variable Frequency Drive Market size is estimated to rise substantially from 2021 to 2027, on account of increasing optimized energy solutions demand along with stringent energy efficiency standards. Variable Frequency Drive (VFD) is used in electro-mechanical units to monitor & control the AC speed and motor torque by variations of motor input frequency and voltage. Increasing electricity capacity addition along with growing infrastructural spending will propel the industry growth.
COVID-19 has hindered various manufacturing operations across several industries. The variable frequency drive industry has witnessed a decline in product demand owing to supply chain disruptions and declining consumer investments. However, government initiatives with the easing of lockdown protocols to infuse liquidity in the economy have enhanced the industry scenario. Moreover, the growing demand for energy-efficient electrical equipment along with increasing regulatory norms will boost the market demand.
The flourishing real estate sector in line with rising investments toward industrialization and urbanization will augment the medium VFD market. Favorable government measures toward the expansion of Electrical Vehicle (EV) coverage coupled with growing effective EV accessories demand will further stimulate the market trends. In addition, ongoing infrastructural spending combined with increasing technological enhancements will foster the industry outlook.
The DC-based variable frequency drive market will show tremendous growth through 2027, due to rising electricity demand and growing consumer disposable income. The ability to provide higher efficiency, cost-effectiveness, operator-friendly, and easy implementation will propel the market revenue. Moreover, accelerating investments in the manufacturing sector including mine winders, printing presses, rolling mills, textile mills, and several more will boost the industry demand.
The evaporator-based variable frequency drive market in Asia Pacific will grow at a significant CAGR till 2027, owing to minimal voltage fluctuations along with enhanced overall system performance & reduced operational costs. For instance, China has one of the world's highest per capita water consumptions of 430 cubic meters and utilizes evaporates across various industrial processes, thereby driving product adoption. Advanced energy savings followed by a wide range of operations, high efficiency, and smooth speed controls will further stimulate the product penetration.
The Japan variable frequency drive market will gain remarkable momentum during the forecast timeline, attributed to the growing focus toward infrastructural development accompanied by increased Foreign Direct Investments (FDIs) across the industrial & manufacturing sectors. In addition, proactive government support toward the development of value-addition industries will complement the industry outlook. Moreover, escalating energy prices along with rising preferences for energy-efficient solutions across energy-intensive industries for production costs optimization will positively impact the market size.
Prominent industry players include Johnson Controls, Honeywell, ABB, Emerson Electric, Siemens, Schneider Electric, CG Power and Industrial Solutions Limited, Mitsubishi Electric Corporation, Eaton, Fuji Electric, Rockwell Automation, WEG, YASKAWA ELECTRIC CORPORATION, Hiconics Eco-energy Technology, Danfoss, and Hitachi Hi-Rel Power Electronics Private Limited. Continuous research and innovation for design optimization coupled with improved system models will stimulate the industry presence of various players.