The air cooled generators market size has grown strongly in recent years. It will grow from $4.34 billion in 2025 to $4.63 billion in 2026 at a compound annual growth rate (CAGR) of 6.8%. The growth in the historic period can be attributed to power supply instability, growth of residential construction, demand for emergency power backup, expansion of small scale industries, rise in outdoor power usage.
The air cooled generators market size is expected to see strong growth in the next few years. It will grow to $5.96 billion in 2030 at a compound annual growth rate (CAGR) of 6.5%. The growth in the forecast period can be attributed to increase in extreme weather events, growth of distributed power systems, rising residential power backup adoption, demand for portable generators, expansion of industrial backup power needs. Major trends in the forecast period include rising demand for reliable backup power solutions, growing adoption of portable power generators, expansion of residential standby power systems, increasing preference for low maintenance generators, use in remote and off grid power applications.
The rising demand for electricity is expected to drive the growth of the air-cooled generator market in the coming years. The increasing adoption of electric vehicles, digital devices, and smart home technologies is fueling higher electricity consumption. Additionally, expanding industrial activities and population growth contribute to elevated energy requirements across multiple sectors. Air-cooled generators play a critical role in meeting electricity demand by providing reliable backup power, supporting remote locations, reducing peak loads, and offering temporary power solutions for construction sites and events. For example, in July 2024, the International Energy Agency (IEA), a France-based autonomous intergovernmental organization, reported that global electricity demand is projected to rise by approximately 4% in 2024, compared to a 2.5% growth forecast for 2023. Consequently, the increasing electricity demand is propelling the growth of the air-cooled generator market.
Key companies in the air-cooled generator market are focusing on advanced cooling technologies with enhanced airflow designs, such as two-stage air coolers, to improve cooling efficiency and prevent overheating under high-demand conditions. A two-stage air cooler is a generator cooling system designed to optimize the performance of the engine or other critical components by improving the efficiency of heat dissipation. For instance, in August 2023, Mitsubishi Heavy Industries Engine & Turbocharger Ltd., a Japan-based engine and turbocharger manufacturer, launched the MGS3100R generator, a 3,000 kVA generator set for commercial and mission-critical applications. This model features the newly developed S16R2-PTAWT-CR engine with a two-stage air cooler and a space-efficient design, optimizing performance and installation. It meets stringent emergency power supply standards and aims to enhance disaster resilience and business continuity across various industries.
In May 2024, DEUTZ AG, a Germany-based manufacturing company, acquired Blue Star Power Systems for an undisclosed sum. Through this acquisition, DEUTZ AG aims to expand its portfolio in decentralized energy solutions by integrating Blue Star Power Systems’ modular power systems, enabling more flexible, sustainable, and efficient electricity generation for industrial, commercial, and off-grid applications. Blue Star Power Systems Inc. is a US-based company specializing in decentralized and modular power generation technologies.
Major companies operating in the air cooled generators market are Generac Holdings Inc., Kohler Co., Cummins Inc., Honda Power Equipment, Yamaha Motor Co. Ltd., Briggs & Stratton Corporation, Kubota Corporation, Yanmar Co. Ltd., Pramac S.p.A., Himoinsa S.L., Atlas Copco AB, Caterpillar Inc., Mitsubishi Heavy Industries Ltd., Makita Corporation, Multiquip Inc., Taylor Power Systems Inc., Hipower Systems, Deutz AG, Doosan Corporation, Aksa Energy.
Asia-Pacific was the largest region in the air cooled generators market in 2025 and is expected to be the fastest-growing region in the forecast period. The regions covered in the air cooled generators market report are Asia-Pacific, South East Asia, Western Europe, Eastern Europe, North America, South America, Middle East, Africa. The countries covered in the air cooled generators market report are Australia, Brazil, China, France, Germany, India, Indonesia, Japan, Taiwan, Russia, South Korea, UK, USA, Canada, Italy, Spain.
The air cooled generator market consists of sales of 2-pole air-cooled generators, 4-pole air-cooled generators, and generator accessories. Values in this market are ‘factory gate’ values, that is, the value of goods sold by the manufacturers or creators of the goods, whether to other entities (including downstream manufacturers, wholesalers, distributors, and retailers) or directly to end customers. The value of goods in this market includes related services sold by the creators of the goods.
The market value is defined as the revenues that enterprises gain from the sale of goods and/or services within the specified market and geography through sales, grants, or donations in terms of the currency (in USD unless otherwise specified).
The revenues for a specified geography are consumption values that are revenues generated by organizations in the specified geography within the market, irrespective of where they are produced. It does not include revenues from resales along the supply chain, either further along the supply chain or as part of other products.
This product will be delivered within 1-3 business days.
The air cooled generators market size is expected to see strong growth in the next few years. It will grow to $5.96 billion in 2030 at a compound annual growth rate (CAGR) of 6.5%. The growth in the forecast period can be attributed to increase in extreme weather events, growth of distributed power systems, rising residential power backup adoption, demand for portable generators, expansion of industrial backup power needs. Major trends in the forecast period include rising demand for reliable backup power solutions, growing adoption of portable power generators, expansion of residential standby power systems, increasing preference for low maintenance generators, use in remote and off grid power applications.
The rising demand for electricity is expected to drive the growth of the air-cooled generator market in the coming years. The increasing adoption of electric vehicles, digital devices, and smart home technologies is fueling higher electricity consumption. Additionally, expanding industrial activities and population growth contribute to elevated energy requirements across multiple sectors. Air-cooled generators play a critical role in meeting electricity demand by providing reliable backup power, supporting remote locations, reducing peak loads, and offering temporary power solutions for construction sites and events. For example, in July 2024, the International Energy Agency (IEA), a France-based autonomous intergovernmental organization, reported that global electricity demand is projected to rise by approximately 4% in 2024, compared to a 2.5% growth forecast for 2023. Consequently, the increasing electricity demand is propelling the growth of the air-cooled generator market.
Key companies in the air-cooled generator market are focusing on advanced cooling technologies with enhanced airflow designs, such as two-stage air coolers, to improve cooling efficiency and prevent overheating under high-demand conditions. A two-stage air cooler is a generator cooling system designed to optimize the performance of the engine or other critical components by improving the efficiency of heat dissipation. For instance, in August 2023, Mitsubishi Heavy Industries Engine & Turbocharger Ltd., a Japan-based engine and turbocharger manufacturer, launched the MGS3100R generator, a 3,000 kVA generator set for commercial and mission-critical applications. This model features the newly developed S16R2-PTAWT-CR engine with a two-stage air cooler and a space-efficient design, optimizing performance and installation. It meets stringent emergency power supply standards and aims to enhance disaster resilience and business continuity across various industries.
In May 2024, DEUTZ AG, a Germany-based manufacturing company, acquired Blue Star Power Systems for an undisclosed sum. Through this acquisition, DEUTZ AG aims to expand its portfolio in decentralized energy solutions by integrating Blue Star Power Systems’ modular power systems, enabling more flexible, sustainable, and efficient electricity generation for industrial, commercial, and off-grid applications. Blue Star Power Systems Inc. is a US-based company specializing in decentralized and modular power generation technologies.
Major companies operating in the air cooled generators market are Generac Holdings Inc., Kohler Co., Cummins Inc., Honda Power Equipment, Yamaha Motor Co. Ltd., Briggs & Stratton Corporation, Kubota Corporation, Yanmar Co. Ltd., Pramac S.p.A., Himoinsa S.L., Atlas Copco AB, Caterpillar Inc., Mitsubishi Heavy Industries Ltd., Makita Corporation, Multiquip Inc., Taylor Power Systems Inc., Hipower Systems, Deutz AG, Doosan Corporation, Aksa Energy.
Asia-Pacific was the largest region in the air cooled generators market in 2025 and is expected to be the fastest-growing region in the forecast period. The regions covered in the air cooled generators market report are Asia-Pacific, South East Asia, Western Europe, Eastern Europe, North America, South America, Middle East, Africa. The countries covered in the air cooled generators market report are Australia, Brazil, China, France, Germany, India, Indonesia, Japan, Taiwan, Russia, South Korea, UK, USA, Canada, Italy, Spain.
The air cooled generator market consists of sales of 2-pole air-cooled generators, 4-pole air-cooled generators, and generator accessories. Values in this market are ‘factory gate’ values, that is, the value of goods sold by the manufacturers or creators of the goods, whether to other entities (including downstream manufacturers, wholesalers, distributors, and retailers) or directly to end customers. The value of goods in this market includes related services sold by the creators of the goods.
The market value is defined as the revenues that enterprises gain from the sale of goods and/or services within the specified market and geography through sales, grants, or donations in terms of the currency (in USD unless otherwise specified).
The revenues for a specified geography are consumption values that are revenues generated by organizations in the specified geography within the market, irrespective of where they are produced. It does not include revenues from resales along the supply chain, either further along the supply chain or as part of other products.
This product will be delivered within 1-3 business days.
Table of Contents
1. Executive Summary
2. Air Cooled Generators Market Characteristics
3. Air Cooled Generators Market Supply Chain Analysis
4. Global Air Cooled Generators Market Trends and Strategies
5. Air Cooled Generators Market Analysis of End Use Industries
7. Global Air Cooled Generators Strategic Analysis Framework, Current Market Size, Market Comparisons and Growth Rate Analysis
8. Global Air Cooled Generators Total Addressable Market (TAM) Analysis for the Market
9. Air Cooled Generators Market Segmentation
10. Air Cooled Generators Market Regional and Country Analysis
11. Asia-Pacific Air Cooled Generators Market
12. China Air Cooled Generators Market
13. India Air Cooled Generators Market
14. Japan Air Cooled Generators Market
15. Australia Air Cooled Generators Market
16. Indonesia Air Cooled Generators Market
17. South Korea Air Cooled Generators Market
18. Taiwan Air Cooled Generators Market
19. South East Asia Air Cooled Generators Market
20. Western Europe Air Cooled Generators Market
21. UK Air Cooled Generators Market
22. Germany Air Cooled Generators Market
23. France Air Cooled Generators Market
24. Italy Air Cooled Generators Market
25. Spain Air Cooled Generators Market
26. Eastern Europe Air Cooled Generators Market
27. Russia Air Cooled Generators Market
28. North America Air Cooled Generators Market
29. USA Air Cooled Generators Market
30. Canada Air Cooled Generators Market
31. South America Air Cooled Generators Market
32. Brazil Air Cooled Generators Market
33. Middle East Air Cooled Generators Market
34. Africa Air Cooled Generators Market
36. Air Cooled Generators Market Competitive Landscape and Company Profiles
37. Air Cooled Generators Market Other Major and Innovative Companies
40. Air Cooled Generators Market High Potential Countries, Segments and Strategies
41. Appendix
Executive Summary
Air Cooled Generators Market Global Report 2026 provides strategists, marketers and senior management with the critical information they need to assess the market.This report focuses air cooled generators market which is experiencing strong growth. The report gives a guide to the trends which will be shaping the market over the next ten years and beyond.
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Description
Where is the largest and fastest growing market for air cooled generators? How does the market relate to the overall economy, demography and other similar markets? What forces will shape the market going forward, including technological disruption, regulatory shifts, and changing consumer preferences? The air cooled generators market global report answers all these questions and many more.The report covers market characteristics, size and growth, segmentation, regional and country breakdowns, total addressable market (TAM), market attractiveness score (MAS), competitive landscape, market shares, company scoring matrix, trends and strategies for this market. It traces the market’s historic and forecast market growth by geography.
- The market characteristics section of the report defines and explains the market. This section also examines key products and services offered in the market, evaluates brand-level differentiation, compares product features, and highlights major innovation and product development trends.
- The supply chain analysis section provides an overview of the entire value chain, including key raw materials, resources, and supplier analysis. It also provides a list competitor at each level of the supply chain.
- The updated trends and strategies section analyses the shape of the market as it evolves and highlights emerging technology trends such as digital transformation, automation, sustainability initiatives, and AI-driven innovation. It suggests how companies can leverage these advancements to strengthen their market position and achieve competitive differentiation.
- The regulatory and investment landscape section provides an overview of the key regulatory frameworks, regularity bodies, associations, and government policies influencing the market. It also examines major investment flows, incentives, and funding trends shaping industry growth and innovation.
- The market size section gives the market size ($b) covering both the historic growth of the market, and forecasting its development.
- The forecasts are made after considering the major factors currently impacting the market. These include the technological advancements such as AI and automation, Russia-Ukraine war, trade tariffs (government-imposed import/export duties), elevated inflation and interest rates.
- The total addressable market (TAM) analysis section defines and estimates the market potential compares it with the current market size, and provides strategic insights and growth opportunities based on this evaluation.
- The market attractiveness scoring section evaluates the market based on a quantitative scoring framework that considers growth potential, competitive dynamics, strategic fit, and risk profile. It also provides interpretive insights and strategic implications for decision-makers.
- Market segmentations break down the market into sub markets.
- The regional and country breakdowns section gives an analysis of the market in each geography and the size of the market by geography and compares their historic and forecast growth.
- Expanded geographical coverage includes Taiwan and Southeast Asia, reflecting recent supply chain realignments and manufacturing shifts in the region. This section analyzes how these markets are becoming increasingly important hubs in the global value chain.
- The competitive landscape chapter gives a description of the competitive nature of the market, market shares, and a description of the leading companies. Key financial deals which have shaped the market in recent years are identified.
- The company scoring matrix section evaluates and ranks leading companies based on a multi-parameter framework that includes market share or revenues, product innovation, and brand recognition.
Report Scope
Markets Covered:
1) By Type: Portable; Stationary2) By System: Enclosed System; Open Ventilated System
3) By End User: Residential; Other End Users
Subsegments:
1) By Portable Air-Cooled Generators: Inverter Generators; Conventional Portable Generators; Dual Fuel Generators2) By Stationary Air-Cooled Generators: Standby Generators; Prime Power Generators; Industrial Generators
Companies Mentioned: Generac Holdings Inc.; Kohler Co.; Cummins Inc.; Honda Power Equipment; Yamaha Motor Co. Ltd.; Briggs & Stratton Corporation; Kubota Corporation; Yanmar Co. Ltd.; Pramac S.p.a.; Himoinsa S.L.; Atlas Copco AB; Caterpillar Inc.; Mitsubishi Heavy Industries Ltd.; Makita Corporation; Multiquip Inc.; Taylor Power Systems Inc.; Hipower Systems; Deutz AG; Doosan Corporation; Aksa Energy
Countries: Australia; Brazil; China; France; Germany; India; Indonesia; Japan; Taiwan; Russia; South Korea; UK; USA; Canada; Italy; Spain.
Regions: Asia-Pacific; South East Asia; Western Europe; Eastern Europe; North America; South America; Middle East; Africa
Time Series: Five years historic and ten years forecast.
Data: Ratios of market size and growth to related markets, GDP proportions, expenditure per capita.
Data Segmentation: Country and regional historic and forecast data, market share of competitors, market segments.
Sourcing and Referencing: Data and analysis throughout the report is sourced using end notes.
Delivery Format: Word, PDF or Interactive Report + Excel Dashboard
Added Benefits:
- Bi-Annual Data Update
- Customisation
- Expert Consultant Support
Companies Mentioned
The companies featured in this Air Cooled Generators market report include:- Generac Holdings Inc.
- Kohler Co.
- Cummins Inc.
- Honda Power Equipment
- Yamaha Motor Co. Ltd.
- Briggs & Stratton Corporation
- Kubota Corporation
- Yanmar Co. Ltd.
- Pramac S.p.A.
- Himoinsa S.L.
- Atlas Copco AB
- Caterpillar Inc.
- Mitsubishi Heavy Industries Ltd.
- Makita Corporation
- Multiquip Inc.
- Taylor Power Systems Inc.
- Hipower Systems
- Deutz AG
- Doosan Corporation
- Aksa Energy
Table Information
| Report Attribute | Details |
|---|---|
| No. of Pages | 250 |
| Published | January 2026 |
| Forecast Period | 2026 - 2030 |
| Estimated Market Value ( USD | $ 4.63 Billion |
| Forecasted Market Value ( USD | $ 5.96 Billion |
| Compound Annual Growth Rate | 6.5% |
| Regions Covered | Global |
| No. of Companies Mentioned | 21 |
