Industrial Gearbox Market

Rising robotization to boost the market growth

Rapid industrialization in developed and developing nations is driving the growth and development of the global market. The expansion of the automobile industry is paving a new way for the market growth. As per the Mechanical Engineering Industry Association, the market revenue for comprehensive mechanical technology and digitalization industrial gearbox in Germany was roughly $16.35 billion in 2017. Thus, the rising robotization is boosting the growth of the global market.

Further, rapid utilization of industry 4.0 combined with various technologies such as the internet of things and artificial intelligence. In addition, the growing favorable government regulations in favor of noise pollution support the growth of the market for industrial gearbox. Furthermore, the growth of the global market is also driven by the growing construction and building activities.

Additionally, the rising usage of automation technologies in the manufacturing industry is one of the most important drivers, influencing heavy growth within the market in the coming years. The need for automation is growing in prominence across various regions due to increasing labor costs and manufacturing overcapacity. The market is expected to register considerable gains due to the increasing adoption of in-built robots with high sophistication. For instance, in 2021, according to the robotic survey, robots are presently used as an integral part of 44.9 % of the respondents' assembly and manufacturing facilities, according to the poll.

More specifically, 34.9 % of those with robots utilize collaborative robots (cobots), whereas 65.1 % use only industrial robots. The automotive sector is expected to contribute significantly to the market growth due to its continuous evolution in various regions, especially across emerging economies such as Japan, China, and India, enhancing the industrial gearbox market CAGR across the globe in recent years.

However, the rising investments aimed at furthering various sectors, such as wind power and other renewable power generation, are likely to affect the growth of the industrial gearbox market revenue positively.

The Global Industrial Gearbox Market Industry experiences a notable surge in demand for automation across various sectors, including manufacturing and logistics. As industries increasingly adopt automated systems to enhance efficiency and productivity, the need for reliable gearboxes becomes paramount. For instance, the integration of robotics in manufacturing processes necessitates advanced gearbox solutions to ensure smooth operation. This trend is expected to contribute significantly to the market's growth, with projections indicating a market value of 31.2 USD Billion in 2024 and a potential increase to 49.0 USD Billion by 2035, reflecting a compound annual growth rate (CAGR) of 4.18% from 2025 to 2035.

The Global Industrial Gearbox Market Industry is characterized by various trends and projections that indicate its future trajectory. The market is expected to reach a valuation of 31.2 USD Billion in 2024, with a projected growth to 49.0 USD Billion by 2035. This growth reflects a compound annual growth rate (CAGR) of 4.18% from 2025 to 2035. Key trends influencing this market include the increasing adoption of automation, advancements in gearbox technology, and the expansion of industrial infrastructure. These trends suggest a robust outlook for the gearbox market, driven by the evolving needs of industries and the continuous pursuit of operational efficiency.

The Global Industrial Gearbox Market Industry is poised to benefit from the expanding renewable energy sector, particularly in wind and solar power generation. Wind turbines, which rely heavily on gearboxes for efficient energy conversion, are becoming increasingly prevalent worldwide. As countries strive to meet renewable energy targets, the demand for specialized gearboxes designed for these applications is likely to rise. For example, the installation of new wind farms necessitates advanced gearbox technologies to optimize performance and reliability. This shift towards renewable energy sources not only supports environmental sustainability but also drives the growth of the gearbox market, aligning with global energy trends.

The Global Industrial Gearbox Market Industry is witnessing a heightened focus on energy efficiency as industries seek to reduce operational costs and minimize environmental impact. Gearboxes play a vital role in energy consumption, and advancements in gearbox technology are enabling manufacturers to produce more energy-efficient solutions. For instance, the development of high-efficiency gearboxes can lead to substantial energy savings in various applications, from manufacturing to transportation. This emphasis on energy efficiency aligns with global sustainability goals and regulatory requirements, further driving the demand for innovative gearbox solutions. As industries prioritize energy conservation, the gearbox market is likely to experience sustained growth.

The Global Industrial Gearbox Market Industry is significantly influenced by the expansion of industrial infrastructure in emerging economies. As countries invest in infrastructure development, the demand for industrial machinery and equipment, including gearboxes, is expected to rise. For example, the construction of new factories and manufacturing plants necessitates the installation of various machinery that relies on gearboxes for optimal performance. This trend is particularly evident in regions experiencing rapid industrialization, where the need for reliable and efficient gearbox solutions becomes critical. Consequently, the expansion of industrial infrastructure serves as a key driver for the growth of the gearbox market on a global scale.

Technological advancements play a crucial role in shaping the Global Industrial Gearbox Market Industry. Innovations in materials, manufacturing processes, and design methodologies are leading to the development of more efficient and durable gearboxes. For instance, the introduction of lightweight materials and advanced lubrication systems enhances performance and reduces maintenance costs. Moreover, the integration of smart technologies, such as IoT and predictive maintenance, allows for real-time monitoring and optimization of gearbox performance. These advancements not only improve operational efficiency but also cater to the evolving needs of industries, thereby driving market growth and ensuring competitiveness in a rapidly changing landscape.

By Region, the study provides market insights into North America, Europe, Asia-Pacific and Rest of the World. Asia-Pacific industrial gearbox market accounted for USD 11.88 billion in 2021 and is expected to exhibit a significant CAGR growth during the study period. This is owing to the increasing demand for industrial gearbox in various applications like manufacturing, power, etc. China has been an essential factor in the growth of the manufacturing sector worldwide. The country is the leader in the steel, chemical, power, and cement industries and is one of the top players in the petrochemical and refining industries.

Further, the major countries studied in the market report are: The U.S, Canada, Germany, France, UK, Italy, Spain, China, Japan, India, Australia, South Korea, and Brazil.

Figure 3: Industrial Gearbox Market Share By Region 2021 (%)

Source: Secondary Research, Primary Research, Market Research Future Database and Analyst Review

North America industrial gearbox market accounts for the second-largest market share due to the rise of the industrial gearbox market in the region is boosted by the region's developing manufacturing sector and the presence of significant market players functioning in the industry. Moreover, US industrial gearbox market held the largest market share, and the Canada industrial gearbox market was the fastest-growing market in the North America region.

The Europe industrial gearbox market is expected to grow at the fastest CAGR from 2022 to 2030. This is due to the growing demand for energy, rapid industrialization and urbanization, and rising infrastructural development initiatives boosting the region's growth. Further, the Germany industrial gearbox market held the largest market share, and the UK industrial gearbox market was the fastest-growing market in the European region.

Major market players are spending a lot of money on R&D to increase their product lines, which will assist the market to grow even more. Market participants are also taking various strategic initiatives to grow their worldwide footprint, with key market developments such as new product launches, mergers and acquisitions, contractual agreements, increased investments, and collaboration with other organizations. Competitors in the industrial gearbox industry must provide cost-effective items to enhance and survive in an increasingly competitive and growing market environment.

One of the primary business strategies manufacturers adopt in the global industrial gearbox industry to benefit clients and expand the market sector is manufacturing locally to reduce operating costs. The industrial gearbox market major player such as David Brown (UK), Kumera Corporation (Finland), Parsons Peebles LTD (UK), Sumitomo Heavy Industries Ltd (Japan), and others are working on expanding the market demand by investing in research and development activities.

RNWBL is a high-growth technology company focused on lowering the cost of renewable energy and accelerating the energy transition. With a portfolio of best-in-class organizations, RNWBL is focused on providing field services and technology to the wind, solar, and broader renewables industry. In March 2022, RNWBL, LLC, a US-based technology company, acquired Gearbox Express for an undisclosed amount. Through this acquisition, RNWBL is focused on providing field services and technology to the wind, solar and broader renewables industry. Gearbox Express is a US-based manufacturer that provides remanufactured industrial gearbox, main shafts, parts, and other services.

Also, Siemens Limited is a technology company focused on industry, infrastructure, digital transformation, transport, and transmission and generation of electrical power. It is the flagship listed enterprise of Siemens AG in India. The company's business structure is well-oriented in meeting the needs of the industry in improving efficiency, quality, flexibility and speed. With its wide-ranging portfolio, market-oriented organization structure, global technology leadership and strong local competence, the company are in a good position to partner with the country in sustainable growth.

In December 2021, Siemens Smart Infrastructure signed an agreement to acquire digital twin software for buildings from EcoDomus, a US-based company. The move helps Siemens Smart Infrastructure expand its digital building portfolio, including its cloud-based building operations twin software and its flagship building management platform Desigo CC.