Electric Motor Market Set to Triple by 2032

Core Insights - The global electric motor market is projected to reach $373.9 billion by 2032, nearly tripling from $142.1 billion in 2020 [1] - The market is expected to grow at a Compound Annual Growth Rate (CAGR) of 9.5% from 2023 to 2032, driven by a structural shift towards energy efficiency and decarbonization [2] Market Dynamics - Electric motor systems account for approximately 53% of global electricity use, with increasing regulatory pressure leading to upgrades in the industrial sector [3] - The transition to high-efficiency motors is being driven by the need to meet Net Zero targets, resulting in a replacement cycle of aging induction motors [4] Financial Considerations - The high initial cost of advanced motors is a primary restraint on market growth, favoring large industrial players over smaller companies [5] Sector-Specific Growth - The automobile-traction motor segment is projected to grow at a CAGR of 14.8% through 2032, reflecting a significant shift towards electric vehicles [6] - This transition is reshaping the supply chain for materials such as copper, rare earth magnets, and steel laminations [6] Environmental Impact - The shift towards traction motors is not just a consumer trend but an industrial imperative aimed at reducing carbon emissions [7]