The U.S. diesel genset market is witnessing strong growth, on account of the expansion in the construction sector, as well as the rise in the instances of power cuts, which are together creating a demand for continuous power supply at commercial and residential facilities. Owing to such factors, the U.S. diesel genset market is expected to value $3,797.6 million by 2030, growing with a CAGR of 7.2% during the forecast period (2020–2030).
The coronavirus pandemic has created an adverse impact on the U.S. diesel genset market, with the shutting down of large-scale manufacturing and commercial units. In addition, new facilities, which were to come up in the first half of 2020, have postponed plans to begin operations, while several businesses have witnessed recession, thereby impacting the demand for diesel generators in the country.
Backup Power Bifurcation To Retain Its Dominance throughout Forecast Period
The U.S. diesel genset market is bifurcated into prime power and backup power, on the basis of power requirement. Of these, the backup power category held larger volume and revenue shares in 2019, and the trend is likely to continue in the coming years. This is majorly ascribed to the increase in the requirement for backup power, in order to continue operations without hindrance, in industrial and commercial facilities, such as retail outlets, commercial complexes, hospitals, and manufacturing plants. With the increasing need for continuous electricity supply, the sale of diesel generators is expected to increase in the coming time.
Based on power rating, the market is categorized into 7–14 kilovolt-Amperes (kVA), 15–24 kVA, 25–44 kVA, 45–69 kVA, 70–99 kVA, 100–149 kVA, 150–199 kVA, 200–299 kVA, 300–399 kVA, 400–499 kVA, and above 500 kVA. Among these, the 7–14 kVA-rated diesel generators held the largest market share in 2019. This is attributed to the suitability of 7–14 kVA gensets for residential apartments, as well as commercial spaces (including retail shops).
Further, the market has been divided into residential, commercial, and industrial, on the basis of application. The commercial sector held the largest share in 2019, and the trend is likely to continue during the forecast period, on account of the increasing requirement for continuous power in case of power cuts, particularly at construction sites, telecom facilities, offices, manufacturing units, and commercial complexes. With the rising construction of commercial facilities in the country, the demand for diesel genset is expected to increase in the coming years.
Product Launch Being Adopted as Key Strategic Measure
Players operating in the U.S. diesel genset market are heavily involved in the launch of new products, in order to gain an upper hand over their competitors. For instance, in June 2018, Cummins Inc. launched a new diesel-powered genset series, the QSG12, designed for a wide variety of settings, including hospitals, manufacturing plants, and commercial facilities. The C450 D5 model can run parallelly with other gensets and the grid, as per requirement.
Browse report overview with detailed TOC on "U.S. Diesel Genset Market Research Report: By Power Requirement (Prime Power, Backup Power), Mobility (Stationary, Portable), Power Rating (7–14 kVA, 15–24 kVA, 25–44 kVA, 45–69 kVA, 70–99 kVA, 100–149 kVA, 150–199 kVA, 200–299 kVA, 300–399 kVA, 400–499 kVA, Above 500 kVA), Application (Commercial, Industrial, Residential) - Industry Analysis and Demand Forecast to 2030" at:https://www.psmarketresearch.com/market-analysis/us-diesel-genset-market
In addition, in April 2018, Rolls-Royce plc introduced the 615 kW–1,250 kW Series 2000 MTU Onsite Energy diesel genset product line for the North American market, thereby expanding its high-power-range product portfolio. The new generators are designed to provide customers with additional reliability and cost-efficiency.
Key players operating in the industry include SouthWest Products Corporation, Atlas Copco AB, Caterpillar Inc., Kohler Co., General Electric Company, Cummins Inc., Denyo Co. Ltd., Generac Holdings Inc., American Honda Motor Co. Inc., and AB Volvo.