Generator Sets Market Size, Share & Trends Analysis Report By Fuel Type, By Power Rating (Low Power, Medium Power, High Power), By Application (Residential, Commercial, Industrial), By Region, and Segment Forecasts, 2023 - 2030

Report Overview

The Generator Sets Market was valued at 24.85 Billion in 2022 and expected to grow at CAGR of 8.12% over forecast period.

Rapid industrialization, urbanization, and the development of commercial hubs all contribute to an increase in energy demand. Generator sets are required for factories, business institutions, and construction sites to meet their power requirements and sustain productivity. With the rising frequency and severity of natural catastrophes, extreme weather events, and aging power infrastructure, backup power solutions to maintain key operations during power outages and grid instabilities are in high demand. Generator sets provide dependable and immediate power, making them a popular choice for businesses and industries seeking to maintain uninterrupted operations.

Generator sets became vital for generating electricity to serve diverse operations such as mining, oil and gas exploration, and telecommunications in remote or off-grid locations when connectivity to the main power grid is limited or nonexistent.

Power Rating Outlook

Based on Offering, the Generator Sets Market is segmented into Low Power, Medium Power, and High Power. Medium segment accounted for largest share in 2022. Generators with medium power ratings are often employed in industries, commercial enterprises, and manufacturing facilities. As global industrialization and commercialization advance, there is a growing need for dependable power sources to meet rising energy demand. Rapid urbanization drives the development of new infrastructure, such as shopping malls, hotels, hospitals, and office complexes. Because these facilities demand a consistent and continuous power supply, medium power rating generators are necessary for backup and standby power solutions.

Several factors influence the high power rating portion of the generator industry, which typically ranges from several megawatts to several hundred megawatts. High-capacity generators are frequently employed in utility-scale power generation plants such as thermal power plants, natural gas power plants, and nuclear power plants. The growing global demand for electricity stimulates the development and expansion of large power plants, which increases the demand for high-capacity generators.

Application Outlook

Based on Application, Generator Sets Market is segmented into residential, commercial, and industrial. Commercial segment accounted for largest share in 2022. Power outages are unaffordable for offices, retail enterprises, restaurants, and hotels since they have a direct impact on business operations. During power outages, generators offer backup power, ensuring service continuity and preventing revenue losses. Commercial generator demand is driven by the need for dependable power supply to assure company continuity, meet regulatory requirements, and improve emergency preparedness. The market for commercial generators is predicted to increase to meet the diversified power needs of business premises as commercial activities continue to expand and industries evolve.

Industries rely significantly on a consistent and dependable power supply to keep operations running smoothly. During grid outages, blackouts, or power fluctuations, generators serve as backup power sources, ensuring that vital processes and equipment continue to operate uninterrupted. Mining, oil and gas exploration, and construction all demand self-sufficient power solutions since they operate in remote or off-grid places. Generators provide critical electricity to industrial activities in such places.

Regional Outlook

Asia Pacific is emerged as leading market for Generator Sets Market in 2022. The Asia Pacific area has seen substantial expansion in the generators market as a result of numerous factors influencing the region's desire for reliable power solutions. The Asia Pacific region is rapidly industrializing and urbanizing, resulting in rising energy demand. Generators are required by industries, commercial enterprises, and infrastructure projects to ensure continuous power supply for their operations.

North America is expected to be the second-most prominent area in terms of Generator Sets Market share. Several factors influence the North American generators industry, including the region's desire for dependable power solutions. North America's electrical infrastructure is aging, increasing the danger of power outages and grid instability. Generators provide backup power solutions to businesses, industries, and vital infrastructure in order to keep operations running during power outages. The rise of digitalization and cloud computing has raised demand in North America for data centers. Generators serve as backup power sources to ensure data integrity and operational continuity in data centers that demand dependable and continuous power supply.

Generator Sets Market Report Scope

Global Generator Sets Market, Report Segmentation

Generator Sets Market, By Power Rating

• Low Power
• Medium Power
• High Power

Generator Sets Market, By Application

• Residential
• Commercial
• Industrial

Generator Sets Market, Regional Outlook

• North America
• U.S.
• Canada
• Mexico

Europe

• Germany
• UK
• Spain
• Russia
• France
• Italy

Asia Pacific

• China
• Japan
• India
• South Korea
• Australia

CSA

• Brazil
• Argentina

MEA

• UAE
• Saudi Arabia
• South Africa