Variable Frequency Drive Market: High Absolute Dollar Opportunity to be Witnessed in 2027 over 2026 Owing to Fresh Investments in Power and Automotive Industry: North America Industry Analysis and Opportunity Assessment, 2017–2027

  • Published: 2017-05-03
  • Report Code: REP-NA-3651

An Incisive, In-depth Analysis on the North America Variable Frequency Drive Market

This study offers a comprehensive, 360 degree analysis on the North America Variable Frequency Drive market, bringing to fore insights that can help stakeholders identify the opportunities as well as challenges. It tracks the global North America Variable Frequency Drive market across key regions, and offers in-depth commentary and accurate quantitative insights. The study also includes incisive competitive landscape analysis, and provides key recommendations to market players on winning imperatives and successful strategies.

U.S. variable frequency drive market revenue is anticipated to expand at a moderate CAGR over the period 2017–2027

Variable frequency drive sales value and volume consumption in the U.S. is projected to expand at the highest CAGR over the forecast period. In 2016, the U.S. variable frequency drive market was valued at more than US$ 3,300 Mn and has been estimated to increase to a little more than US$ 3,500 Mn by 2017 end, reflecting a Y-o-Y growth rate of 5.9%. The U.S. country market is anticipated to create incremental dollar opportunity of close to US$ 3,000 Mn between 2016 and 2027 in the North America variable frequency drive market. In terms of market value, the Canada variable frequency drive market was valued at US$ 911.8 Mn in 2016 and has been estimated to increase to more than US$ 950 Mn by 2017 end, reflecting a Y-o-Y growth rate of 5.2%. Revenue contribution from the variable frequency drive market in Canada is expected to increase at a CAGR of 4.8% over the forecast period. The Canada market is anticipated to create incremental dollar opportunity of more than US$ 600 Mn between 2016 and 2027 in the North America variable frequency drive market.

north america variable frequency drive market

Upsurge in energy prices and technological advancements in variable frequency drives are anticipated to fuel revenue growth of the variable frequency drive market in U.S. and Canada

Escalating energy prices has created the need for energy-efficient motor control systems. With the aim of reducing energy consumption, process engineers and other executives managing the operation department are increasingly inclined towards deployment of variable frequency drives. It acts as a substitute to throttling devices such as valves and dampers and fixed speed controllers. This factor is expected to boost the growth of the variable frequency drive market in the U.S and Canada. The emergence of new application areas coupled with advantages such as the low operational cost of systems with a deployment of variable frequency drives are factors expected to create favourable opportunities for variable frequency drives vendors in Canada and the U.S.

Motors, when connected to variable frequency drives, receive power that comprises changeable carrier frequency, fundamental frequency, and very rapid voltage buildup. These factors can result in a negative impact, especially when existing motors are retrofitted with such drives. Currently, leading variable frequency drive manufacturers are introducing general purpose variable frequency drives with the added advantage of deployment compatibility with existing motors. This, in turn, is fuelling the growth of the variable frequency drive market in North America.

With a decreasing price of variable frequency drives, the relevant application areas are broadening. End users in North America are aware of the numerous advantages offered by variable frequency drives and are inclined towards deployment of such drives for indoor applications as well. For instance, adoption of variable frequency drives to reduce the energy consumption of swimming pool filtration and pumping systems is gaining traction in matured markets. Variable frequency drives, when installed along with a flow-meter, ensure appropriate water volume and eliminate energy wastage due to worst-case design philosophy. All these positive aspects are driving the U.S and Canada variable frequency drive market.

High deployment costs associated with medium voltage variable frequency drives is predicted to hamper the growth of the North America variable frequency drive market

Although prices of variable frequency drives have declined over the last decade, medium voltage variable frequency drives come with a high price tag. For typical applications in the industrial sector, the deployment of medium voltage variable frequency drives is expected to increase during the forecast period. However, high initial costs associated with medium voltage variable frequency drives is hampering the growth of the market.  

In a new publication titled “Variable Frequency Drive Market: North America Industry Analysis and Opportunity Assessment, 2017–2027,” Future Market Insights examines technological advancements in the North America variable frequency drive market over a 10 year forecast period. We have observed that new generation power semiconductors insulated gate bipolar transistors (IGBTs) are able to function at higher switching frequencies, resulting in fewer power losses and reduced heat within the drive. Further, our analysts have noted that in the present generation of VFDs, internal line reactor is replaced with built-in DC link choke. DC link choke has the additional advantage of a lower voltage drop than the equivalent AC line reactor, translating into overall increased efficiency of the drive. According to our analysts, advancements in capacitor technology is enabling the enhancement of net energy savings. Technological innovation in newly designed capacitors ensures 80% less power loss than capacitors based on older technologies. 

Report Description

The report commences with an overview of the North America variable frequency drive market in terms of value. In addition, this section includes an analysis of key trends, drivers and restraints from the supply, demand and economy side, which are influencing the North America variable frequency drive market. Impact analysis of key growth drivers and restraints, based on the weighted average model is included in this report to facilitate clients with crystal clear decision-making insights. A detailed analysis has been provided for every segment in terms of market size analysis for variable frequency drives in the North America region. The section provides a detailed analysis covering key trends, absolute dollar opportunity and BPS analysis. The report provides a market outlook for 2017–2027 and sets the forecast within the context of the North America variable frequency drive market, including latest technological developments as well as offerings in the market. This study discusses key trends within countries contributing to the development of the market. 

In the final section of the report, we include a competitive landscape to provide clients with a dashboard view, based on categories of providers in the value chain, presence in the variable frequency drive portfolio and key differentiators. This section is primarily designed to provide clients with an objective and detailed comparative assessment of key providers specific to a market segment in the variable frequency drive market value chain and the potential players for the same. Report audiences can gain segment-specific vendor insights to identify and evaluate key competitors based on the in-depth assessment of capabilities and success in the marketplace. Detailed profiles of providers are also included in the scope of the report to evaluate their long-term and short-term strategies, key offerings and recent developments in the North America variable frequency drive market.

Market Segmentation

By Country

By Drive Type

By Voltage Range

By Application Type

By End-Use Application

By End-Use Industry

  • U.S.

  • Canada

  • AC Drive

  • DC Drive

  • Servo Drive

  • Low Voltage Range

  • Medium Voltage Range

  • Standard

  • Regenerative

  • Pump

  • Fan

  • Compressor

  • Conveyor

  • HVAC

  • Others

  • Oil & Gas

  • Food Processing

  • Automotive

  • Mining & Metals

  • Pulp and Papers

  • Other


Research Methodology

The forecast presented here assesses the total revenue by value across the market. In order to offer an accurate forecast, we have started by sizing the current market, which forms the basis of how the North America variable frequency drive market will develop in the future. Given the characteristics of the market, we have triangulated the outcome of different types of analyses based on the technology trends. Another key feature of this report is the analysis of all key segments in terms of absolute dollar opportunity. This is traditionally overlooked while forecasting the market. However, absolute dollar opportunity is critical in assessing the level of opportunity that a provider can look to achieve, as well as to identify potential resources from a sales and delivery perspective in the North America variable frequency drive market. We have not considered the yearly change in inflation rate while forecasting market numbers. Top-down approach has been used to assess market numbers for each product category, while bottom-up approach has been used to counter-validate the estimated market numbers.

North America Variable Frequency Drive Market Reports - Table of Contents

North America Variable Frequency Drive Market Reports - List of Tables

Table 1: North America Variable Frequency Drive Market Value (US$ Mn) and Absolute $ Opportunity, By Country, 2016–2027

Table 2: North America Variable Frequency Drive Market Volume (‘000 Unit) and Absolute Unit Opportunity, By Country, 2016–2027

Table 3: North America Variable Frequency Drive Market Value (US$ Mn) and Absolute $ Opportunity Forecast, By Drive Type, 2016–2027

Table 4: North America Variable Frequency Drive Market Volume ('000 Unit) and Absolute Unit Opportunity Forecast, By Drive Type, 2016–2027

Table 5: North America Variable Frequency Drive Market Value (US$ Mn) and Absolute $ Opportunity Forecast, By Voltage Range, 2016–2027

Table 6: North America Variable Frequency Drive Market Volume ('000 Unit) and Absolute Unit Opportunity Forecast, By Voltage Range, 2016–2027

Table 7: North America Variable Frequency Drive Market Value (US$ Mn) and Absolute $ Opportunity Forecast, By Application Type, 2016–2027

Table 8: North America Variable Frequency Drive Market Volume (‘000 Units) and Absolute Unit Opportunity Forecast, By Application Type, 2016–2027 

Table 9: North America Variable Frequency Drive Market Value (US$ Mn) and Absolute $ Opportunity Forecast End-use Application, 2016–2027 

Table 10: North America Variable Frequency Drive Market Volume ('000 Unit) and Absolute Unit Opportunity Forecast, By End-use Application, 2016–2027

Table 11: North America Variable Frequency Drive Market Value (US$ Mn) and Absolute $ Opportunity Forecast, By End-use Industry, 2016–2027

Table 12: North America Variable Frequency Drive Market Volume ('000 Unit) and Absolute Unit Opportunity Forecast, By End-use Industry, 2016–2027

North America Variable Frequency Drive Market Reports - List of Figures

Figure 1: North America Variable Frequency Drive Market Value (US$ Mn) Forecast, 2017–2027 & Y-o-Y Growth, 2017–2027 

Figure 2: North America Variable Frequency Drive Market Absolute $ Opportunity, 2017–2027

Figure 3: North America Variable Frequency Drive Market Volume ('000 Unit) Forecast, 2017–2027 & Y-o-Y Growth, 2017–2027 

Figure 04: North America Variable Frequency Drive Market Value Share, By Country, 2016 & 2027

Figure 05: North America Variable Frequency Drive Market Volume Share, By Country, 2016 & 2027 

Figure 6: North America Variable Frequency Drive Market Value (US$ Mn) Forecast, By U.S., 2016–2027 & Y-o-Y Growth, 2017–2027

Figure 7: North America Variable Frequency Drive Market Volume ('000 Unit) Forecast, By U.S., 2016–2027 & Y-o-Y Growth, 2017–2027

Figure 8: North America Variable Frequency Drive Market Value 2016–2027 (US$ Mn) Forecast, By Canada, & Y-o-Y Growth, 2017–2027

Figure 9: North America Variable Frequency Drive Market Volume ('000 Unit)  Forecast, By Canada, 2016–2027 & Y-o-Y Growth, 2017–2027

Figure 10: North America Variable Frequency Drive Market Value Attractiveness, By Country, 2017–2027

Figure 11: North America Variable Frequency Drive Market Volume Attractiveness, By Country, 2017–2027 

Figure 12: North America Variable Frequency Drive Market Value Share, By Drive Type, 2016 & 2027

Figure 13: North America Variable Frequency Drive Market Volume Share, By Drive Type, 2016 & 2027 

Figure 14: North America Variable Frequency Drive Market Value (US$ Mn) Forecast, By AC Drive Segment, 2016–2027 & Y-o-Y Growth, 2017–2027

Figure 15: North America Variable Frequency Drive Market Volume ('000 Unit) Forecast, By AC Drive Segment, 2016–2027 & Y-o-Y Growth, 2017–2027

Figure 16: North America Variable Frequency Drive Market Value (US$ Mn) Forecast, By DC Drive Segment, 2016–2027 & Y-o-Y Growth, 2017–2027

Figure 17: North America Variable Frequency Drive Market Volume ('000 Unit) Forecast, By DC Drive Segment, 2016–2027 & Y-o-Y Growth, 2017–2027

Figure 18: North America Variable Frequency Drive Market Value (US$ Mn) Forecast, By Servo Drive Segment, 2016–2027 & Y-o-Y Growth, 2017–2027

Figure 19: North America Variable Frequency Drive Market Volume ('000 Unit) Forecast, By Servo Drive Segment, 2016–2027 & Y-o-Y Growth, 2017–2027

Figure 20: North America Variable Frequency Drive Market Value Attractiveness, By Drive Type, 2017–2027

Figure 21: North America Variable Frequency Drive Market Volume Attractiveness, By Drive Type, 2017–2027 

Figure 22: North America Variable Frequency Drive Market Value Share, By Voltage Range, 2016 & 2027

Figure 23: North America Variable Frequency Drive Market Volume Share, By Voltage Range, 2016 & 2027 

Figure 24: North America Variable Frequency Drive Market Value (US$ Mn) Forecast, By Low Voltage Range Segment, 2016–2027 & Y-o-Y Growth, 2017–2027

Figure 25: North America Variable Frequency Drive Market Volume ('000 Unit) Forecast, By Low Voltage Range Segment, 2016–2027 & Y-o-Y Growth, 2017–2027

Figure 26: North America Variable Frequency Drive Market Value (US$ Mn) Forecast, By Medium Voltage Range Segment, 2016–2027 & Y-o-Y Growth, 2017–2027

Figure 27: North America Variable Frequency Drive Market Volume ('000 Unit) Forecast, By Medium Voltage Range Segment, 2016–2027 & Y-o-Y Growth, 2017–2027

Figure 28: North America Variable Frequency Drive Market Value Attractiveness, By Voltage Range, 2017–2027

Figure 29: North America Variable Frequency Drive Market Volume Attractiveness, By Voltage Range, 2017–2027 

Figure 30: North America Variable Frequency Drive Market Value Share, By Application Type, 2016 & 2027

Figure 31: North America Variable Frequency Drive Market Volume Share, By Application Type, 2016 & 2027 

Figure 32: North America Variable Frequency Drive Market Value (US$ Mn) Forecast, By Standard Segment, 2016–2027 & Y-o-Y Growth, 2017–2027

Figure 33: North America Variable Frequency Drive Market Volume ('000 Unit)  Forecast, By Standard Segment, 2016–2027 & Y-o-Y Growth, 2017–2027

Figure 34: North America Variable Frequency Drive Market Value (US$ Mn) Forecast, By Regenerative Segment, 2016–2027 & Y-o-Y Growth, 2017–2027

Figure 35: North America Variable Frequency Drive Market Volume ('000 Unit)  Forecast, By Regenerative Segment, 2016–2027 & Y-o-Y Growth, 2017–2027

Figure 36: North America Variable Frequency Drive Market Value Attractiveness, By Application Type, 2017–2027

Figure 37: North America Variable Frequency Drive Market Volume Attractiveness, By Application Type, 2017–2027 

Figure 38: North America Variable Frequency Drive Market Value Share, By End-use Application, 2016 & 2027

Figure 39: North America Variable Frequency Drive Market Volume Share, By End-use Application, 2016 & 2027 

Figure 40: North America Variable Frequency Drive Market Value (US$ Mn)  Forecast, By Pump Segment, 2016–2027 & Y-o-Y Growth, 2017–2027

Figure 41: North America Variable Frequency Drive Market Volume ('000 Unit)  Forecast, By Pump Segment, 2016–2027 & Y-o-Y Growth, 2017–2027

Figure 42: North America Variable Frequency Drive Market Value (US$ Mn) Forecast, By Fan Segment, 2016–2027 & Y-o-Y Growth, 2017–2027

Figure 43: North America Variable Frequency Drive Market Volume ('000 Unit)  Forecast, By Fan Segment, 2016–2027 & Y-o-Y Growth, 2017–2027

Figure 44: North America Variable Frequency Drive Market Value (US$ Mn)  Forecast, By Compressor Segment, 2016–2027 & Y-o-Y Growth, 2017–2027

Figure 45: North America Variable Frequency Drive Market Volume ('000 Unit)  Forecast, By Compressor Segment, 2016–2027 & Y-o-Y Growth, 2017–2027

Figure 46: North America Variable Frequency Drive Market Value (US$ Mn) Forecast, By Conveyor Segment, 2016–2027 & Y-o-Y Growth, 2017–2027

Figure 47: North America Variable Frequency Drive Market Volume ('000 Unit) Forecast, By Conveyor Segment, 2016–2027 & Y-o-Y Growth, 2017–2027

Figure 48: North America Variable Frequency Drive Market Value (US$ Mn) Forecast, By HVAC Segment, 2016–2027 & Y-o-Y Growth, 2017–2027

Figure 49: North America Variable Frequency Drive Market Volume ('000 Unit) Forecast, By HVAC Segment, 2016–2027 & Y-o-Y Growth, 2017–2027

Figure 50: North America Variable Frequency Drive Market Value (US$ Mn) Forecast, By Others Segment, 2016–2027 & Y-o-Y Growth, 2017–2027

Figure 51: North America Variable Frequency Drive Market Volume ('000 Unit) Forecast, By Others Segment, 2016–2027 & Y-o-Y Growth, 2017–2027

Figure 52: North America Variable Frequency Drive Market Value Attractiveness, By End-use Application, 2017–2027

Figure 53: North America Variable Frequency Drive Market Volume Attractiveness, By End-use Application, 2016–2027 

Figure 54: North America Variable Frequency Drive Market Value Share, By End-use Industry, 2016 & 2027

Figure 55: North America Variable Frequency Drive Market Volume Share, By End-use Industry, 2016 & 2027 

Figure 56: North America Variable Frequency Drive Market Value (US$ Mn) Forecast, By Oil & Gas Segment, 2016–2027 & Y-o-Y Growth, 2017–2027

Figure 57: North America Variable Frequency Drive Market Volume ('000 Unit) Forecast, By Oil & Gas Segment, 2016–2027 & Y-o-Y Growth, 2017–2027

Figure 58: North America Variable Frequency Drive Market Value (US$ Mn) Forecast, By Food Processing Segment, 2016–2027 & Y-o-Y Growth, 2017–2027

Figure 59: North America Variable Frequency Drive Market Volume ('000 Unit) Forecast, By Food Processing Segment, 2016–2027 & Y-o-Y Growth, 2017–2027

Figure 60: North America Variable Frequency Drive Market Value (US$ Mn) Forecast, By Automotive Segment, 2016–2027 & Y-o-Y Growth, 2017–2027

Figure 61: North America Variable Frequency Drive Market Volume ('000 Unit) Forecast, By Automotive Segment, 2016–2027 & Y-o-Y Growth, 2017–2027

Figure 62: North America Variable Frequency Drive Market Value (US$ Mn) Forecast, By Mining & Metals Segment, 2016–2027 & Y-o-Y Growth, 2017–2027

Figure 63: North America Variable Frequency Drive Market Volume ('000 Unit) Forecast, By Mining & Metals Segment, 2016–2027 & Y-o-Y Growth, 2017–2027

Figure 64: North America Variable Frequency Drive Market Value (US$ Mn) Forecast, By Pulp & Papers Segment, 2016–2027 & Y-o-Y Growth, 2017–2027

Figure 65: North America Variable Frequency Drive Market Volume ('000 Unit) Forecast, By Pulp & Papers Segment, 2016–2027 & Y-o-Y Growth, 2017–2027

Figure 66: North America Variable Frequency Drive Market Value (US$ Mn) Forecast, By Others Segment, 2016–2027 & Y-o-Y Growth, 2017–2027

Figure 67: North America Variable Frequency Drive Market Volume ('000 Unit) Forecast, By Others Segment, 2016–2027 & Y-o-Y Growth, 2017–2027

Figure 68: North America Variable Frequency Drive Market Value Attractiveness, By End-use Industry, 2016–2027

Figure 69: North America Variable Frequency Drive Market Volume Attractiveness, By End-use Industry, 2016–2027

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