Alternator Market - Forecasts from 2023 to 2028

The global alternator market is expected to grow at a CAGR of 5.81% during the forecast period

An alternator is an electromechanical device that converts mechanical energy into electrical energy and it works on the principle of electromagnetic induction. Different types of alternators include salient pole types and cylindrical pole types which find their applicability in the automotive, marine, oil & gas, and mining sectors as they provide a reliable source of electrical power for various equipment and systems. The increased automotive and oil & gas production along with the rise in marine vessel manufacturing is driving the global alternator industry growth.

Market Drivers

Bolstering Automotive Production

Alternators are essential for vehicles as they provide electrical power to various systems and accessories. There is a higher need for alternators to support the electrical requirements of the vehicles with more cars being manufactured. Additionally, advancements in automotive technology, such as the integration of more electrical components and the growing popularity of electric and hybrid vehicles, further contribute to. the global alternator market growth. According to the International Organization of Motor Vehicle Manufacturers (OICA) in 2022, global car production increased around 6% in 2022 compared to the previous year.

Rise in Marine Vessel Production

There is an increased need for electrical power in vessels as marine activities expand, such as commercial shipping, offshore exploration, fishing, and leisure boating. Alternators play a critical role in supplying electricity for various marine systems, including propulsion, navigation, communication, lighting, refrigeration, and entertainment. The rise in vessel manufacturing propels the expansion of the global alternator market. According to the Food and Agriculture Organization, Africa's fleet and fishing vessels had increased compared to other countries and it comprised 23.5% of the world’s fishing vessels.

Increased Oil & Gas Production

Alternators provide reliable and continuous electrical power for essential equipment, machinery, and systems involved in exploration, drilling, pumping, and processing activities. The increased oil & gas production is expected to drive the global alternator market growth. According to the U.S. Energy Information Administration report in 2023, the OPEC crude oil production reached 37.66 million barrels per day in September 2023.

Asia-Pacific region is anticipated to witness a notable CAGR

The Asia-Pacific will account for a significant share of the global alternator market due to the growing marine activities, oil & gas, and EV production. In 2021, for instance, under the 14th Five-Year Plan (2021-2025) the Chinese government implemented strategies like summarizing and analyzing the regulations to improve marine equipment production. Similarly, in December 2022, Mahindra & Mahindra planned to invest Rs 10,000 crore (US$ 1.2 billion) in an EV manufacturing plant in Pune, India. These developments drive the demand for alternators in Asia Pacific.

Market Developments

• In April 2023: American Power Systems launched "lower turn-on RPM alternators" which allowed end-users to begin charging even at low or idling speeds and were ideal for use in vehicles with onboard lithium battery bank systems like yachts, work trucks, and sailboats.
• In August 2022: Prestolite Electric introduced the "IdlePro Extreme™ M-Series alternators" to boost performance and protection against dust and particle infiltration in mining applications. Such products drive the alternator industry growth.
• In 2022: Dragonfly Energy acquired Wakespeed Offshore, an alternator regulator supplier to offer complete alternator-connected systems to RV consumers and manufacturers.
• In January 2022: Chengdu Huachuan Electric Parts Co., Ltd. acquired the type 3 alternator business of Denso Corporation to strengthen their product line in China in the priority fields.
• In September 2020: DENSO launched "PowerEdge Heavy-duty J180 Mount Alternator" which expanded coverage of DENSO's high-performance PE starters and alternators to more than 90% of all Class 8 trucks on the road today.

Company Products

• Traction alternator WGX series: This product by ABB is a three-phase alternator with compact size, high speed, and traction which can be used for generators and locomotives.
• RF2 AC 2: This product produced by RFL Alternators is a permanent magnet alternator series that is ideal for portable, industrial applications where minimal size and weight are required. he innovative permanent magnet alternators incorporate a fully embedded rotor design and are powered by strong rare earth Neodymium magnets.

Segmentation

By Type

• Salient Pole Type
• Cylindrical Pole Type

By Voltage

• Low
• Medium
• High

By End-User

• Automotive
• Marine
• Oil & Gas
• Mining
• Others

By Geography

• North America
• USA
• Canada
• Mexico
• South America
• Brazil
• Argentina
• Others
• Europe
• Germany
• UK
• France
• Spain
• Others
• Middle East and Africa
• Saudi Arabia
• UAE
• Others
• Asia Pacific
• China
• Japan
• South Korea
• India
• Australia
• Other