Impact of COVID-19 on the Global Variable Frequency Drive Market
The spread of the COVID-19 pandemic has adversely impacted the global variable frequency drives market owing to the full or partial lockdowns imposed in the majority of the countries across the globe since Q1 of 2020. Variable frequency drives are key components in electromechanical drive systems used across numerous industrial verticals. They are also called adjustable frequency drives or variable speed drives. They are installed in electromechanical drive systems to control AC motor speeds and torque by adjusting input voltage and frequency as per user requirements. These drives are used across industrial infrastructures with AC and DC electric motors. Variable frequency drives find usage in fans, compressors, and conveyors, among other applications, and improve performance and energy savings.
The rising preference for variable frequency drives is likely to further fuel market growth over the projected timeframe. Future investments in the construction and manufacturing sectors in emerging countries are expected to provide growth opportunities for the suppliers of variable frequency drives. The demand for such products has been hampered temporarily in recent months owing to the shutting down of businesses globally. However, it is expected to recover in the coming months and grow significantly in the long term.
Global Investment in Energy (2017-2020)
Government authorities in several countries have implemented supportive policies for relief against COVID-19 pandemic that will support the growth of the variable frequency drives market over the projected timeframe. The increasing demand for energy-efficient heating and cooling technologies in the industrial sector has propelled the growth of the variable frequency drives market. The rising infrastructural developments are also expected to escalate the use of variable frequency drives, particularly in industrial areas.
Consumer preferences play a vital role in generating demand for the products, owing to their high usage across various industry verticals, including oil & gas, and power generation. According to the MRF analysis, the global market is expected to witness slow growth in the coming year, which is likely to affect the demand for variable frequency drives across the globe. Industry participants are expected to enhance their production capacities with the stabilizing market scenario over the projected timeframe. The market is expected to recover in Q1 of 2021.
Source: Primary Experts, Secondary Sources, and MRFR Analysis