Diesel Power Engine Market Size
| Study Period | 2020 - 2029 |
| Base Year For Estimation | 2023 |
| CAGR | 4.40 % |
| Fastest Growing Market | Asia Pacific |
| Largest Market | Asia Pacific |
| Market Concentration | Medium |
Major Players
*Disclaimer: Major Players sorted in no particular order |
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Diesel Power Engine Market Analysis
The Diesel Power Engine Market size is expected to grow from USD 8.50 billion by the end of this year to USD 10.54 billion after five years, at a CAGR of 4.40% during the forecast period.
- Over the medium period, factors such as the demand for reliable electricity and the development of commercial and industrial infrastructures are driving the diesel power engine market.
- On the other hand, the abundance of natural gas, coupled with its environmental soundness, has led to an increasing shift towards natural gas engines as an alternative to diesel engines in various end user industries and is expected to restrain the growth of the diesel engine market during the forecast period.
- Nevertheless, rising electrification projects in Africa, such as Western Africa Regional Off-Grid Electrification Project, present immense opportunities for the diesel power engine market players in the coming years.
- Asia-Pacific is expected to be the largest and fastest-growing market, with the majority of the demand coming from countries like India, China, etc.
Diesel Power Engine Market Trends
The Industrial Segment to Dominate the Market
- Diesel power generation is most appropriate as a standby source for the industrial sector. Generally, the industrial sector consumes more power for its business operations. A diesel power engine offers better reliability and enhances the quality of the power supply.
- The electricity demand is growing across the world. Rapid industrial expansions and commercial infrastructure development are increasing the utilisation of diesel power engines. Significant industries which rely heavily on the power generated from diesel engines are the construction sector, manufacturing, health care, oil and gas, telecommunication and data centres, etc.
- Diesel generators are equipped with advanced technologies for continuously monitoring electric current and automatically start when there are power distortions and failures and revert to switch-off mode when the power comes back.
- The diesel engine's low volatility rate makes it the finest option in mining fields. Especially in mining fields, heavy-duty activities need a perfect power source and backup. Hence mining industries rely on the diesel power engine for better durability. Also, the healthcare segment uses sensitive equipment such as oxygen ventilators, infusion pumps, ECG machines, and defibrillators to treat patients. There is a need for a quality power supply to avoid interruptions. Diesel power engines are hospitals' most reliable backup power sources for uninterrupted power.
- In the construction sector, projects often stall due to power failures. Constant power interruptions result in delayed project execution, which leads to financial loss. There is a need for a diesel power engine to ensure safety and better power supply on construction sites.
- Disruptions of power in the manufacturing industry lead to low-volume production and result in the offering of low-standard products. When a blackout occurs in manufacturing divisions, they generally affect all the processes. Hence, the production units rely on the diesel power engine to avoid such failures, which acts as the best power source.
- The iron and steel industry also uses diesel power engines as backup power in case of power requirements or power shutdown. According to the World Steel Association, as of December 2022, China upholds the world leader in crude steel production, with 77.9 million metric tonnes produced, a 10% decrease from the previous year. India, Japan, the United States, and Russia trail far behind.
- Therefore, based on the abovementioned factors, the industrial segment will dominate the diesel power engine market during the forecast period.
Asia-Pacific to Dominate the Market
- The increasing infrastructural developments and electricity demand in Asia-Pacific, with the huge increase in average energy consumption rate and GDP growth rate, is expected to promulgate the diesel power engine market.
- The massive increase in power consumption in developing countries, such as China and India, with inadequate power infrastructure, is likely to make steady power supply a serious challenge. Thus, the demand for steady power boosts the sales of generators in several sectors, especially the industrial and commercial segments in the region.
- With increasing infrastructure projects, widening power demand-supply gap, expansion of manufacturing facilities across the nation, and rising commercial office spaces, China is leading the diesel power engine market.
- The diesel power engine also finds a huge space in the heavy-duty land-based transportation sector. The transportation sector is growing rapidly year-on-year owing to multiple factors, such as the increase in e-commerce, industrialization, etc. This application segment is rapidly growing in almost every country in the region.
- The Indian government is focusing on improving the economy through increased infrastructure spending, mainly on roads, railways, and metro rail. With a new metro rail policy on the anvil and every large city in India looking to construct a metro rail network, diesel power engines have immense growth opportunities in metro rail projects.
- On top of that, government regulations such as the ban on diesel-based vehicles older than 10 years in Delhi, India, are likely to aid in the growth of the market. Diesel-based vehicles are very lucrative in the Indian market owing to their higher fuel economy. This factor, coupled with shortened life of such vehicles by the government regulations, is likely to provide a boost to the market indirectly due to the higher turnaround of such vehicles.
- Moreover, the growing energy demands of the burgeoning manufacturing industry are expected to provide huge impetus to the generators business in the Asia-Pacific region. As a result, Asia-Pacific is expected to witness the fastest growth in the global diesel power engine market during the forecast period.
Diesel Power Engine Industry Overview
The diesel power engine market is moderately fragmented. Some of the key players in this market (in no particular order) include Caterpillar Inc., Cummins Inc., Kohler Co., Volvo AB, and Mitsubishi Heavy Industries Ltd.
Diesel Power Engine Market Leaders
Caterpillar Inc.
Cummins Inc.
Volvo AB
Kohler Co
Mitsubishi Heavy Industries, Ltd.
*Disclaimer: Major Players sorted in no particular order
Diesel Power Engine Market News
- March 2023: Wärtsilä released an updated version of the Wärtsilä 31 diesel engine that produces more power. The new diesel engine has a higher power-to-size ratio within the same physical footprint, resulting in a lower cost of ownership and maintenance charges. The Wärtsilä 31 is a medium-speed four-stroke marine engine with cylinder counts ranging from eight to sixteen.
- January 2022: Weichai Power Introduces the World's First Diesel Engine with a Base Engine Thermal Efficiency of 51.09% and Significant Hydrogen Energy Technology Advances.
Diesel Power Engine Market Report - Table of Contents
1. INTRODUCTION
1.1 Scope of the Study
1.2 Market Definition
1.3 Study Assumptions
2. RESEARCH METHODOLOGY
3. EXECUTIVE SUMMARY
4. MARKET OVERVIEW
4.1 Introduction
4.2 Market Size and Demand Forecast in USD, till 2028
4.3 Recent Trends and Developments
4.4 Government Policies and Regulations
4.5 Market Dynamics
4.5.1 Drivers
4.5.1.1 The Demand for Reliable Electricity
4.5.1.2 The Development of Commercial and Industrial Infrastructures
4.5.2 Restraints
4.5.2.1 The Abundance of Natural Gas, Coupled With Its Environmental Soundness
4.6 Supply Chain Analysis
4.7 Porter's Five Forces Analysis
4.7.1 Bargaining Power of Suppliers
4.7.2 Bargaining Power of Consumers
4.7.3 Threat of New Entrants
4.7.4 Threat of Substitutes Products and Services
4.7.5 Intensity of Competitive Rivalry
5. MARKET SEGMENTATION
5.1 End User
5.1.1 Industrial
5.1.2 Commercial
5.1.3 Residential
5.2 Application
5.2.1 Standby
5.2.2 Prime
5.2.3 Peak Shaving
5.3 Geography
5.3.1 North America
5.3.1.1 United States of America
5.3.1.2 Canada
5.3.1.3 Rest of the North America
5.3.2 Europe
5.3.2.1 United Kingdom
5.3.2.2 France
5.3.2.3 Germany
5.3.2.4 Italy
5.3.2.5 Rest of the Europe
5.3.3 Asia-Pacific
5.3.3.1 China
5.3.3.2 India
5.3.3.3 South Korea
5.3.3.4 Rest of the Asia-Pacific
5.3.4 South America
5.3.4.1 Brazil
5.3.4.2 Argentina
5.3.4.3 Rest of the South America
5.3.5 Middle-East and Africa
5.3.5.1 United Arab Emirates
5.3.5.2 Saudi Arabia
5.3.5.3 Iran
5.3.5.4 Rest of the Middle-East and Africa
6. COMPETITIVE LANDSCAPE
6.1 Mergers and Acquisitions, Joint Ventures, Collaborations, and Agreements
6.2 Strategies Adopted by Leading Players
6.3 Company Profiles
6.3.1 Caterpillar Inc.
6.3.2 Cummins Inc.
6.3.3 Kohler Co
6.3.4 Volvo AB
6.3.5 Mitsubishi Heavy Industries Ltd
6.3.6 Wartsila Oyj Abp
6.3.7 Hyundai Heavy Industries Co. Ltd
6.3.8 Man SE
6.3.9 Rolls-Royce Holding PLC
6.3.10 Doosan Corp.
- *List Not Exhaustive
7. MARKET OPPORTUNITIES AND FUTURE TRENDS
7.1 Rising Electrification Projects in Africa, Such as Western Africa Regional Off-Grid Electrification Project
Diesel Power Engine Industry Segmentation
A diesel power engine is an internal-combustion engine in which compressed air is heated to a high enough temperature to ignite diesel fuel pumped into the cylinder, where combustion and expansion operate a piston.
The diesel power engine market is segmented by end user, application, and geography. By end user, the market is segmented into industrial, commercial, and residential. By application, the market is segmented into standby, prime, and peak shaving. The report also covers the market size and forecasts for the diesel power engine market across major regions. For each segment, the market sizing and forecasts have been done based on revenue (USD).
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| Industrial | |
| Commercial | |
| Residential |
| Application | |
| Standby | |
| Prime | |
| Peak Shaving |
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Diesel Power Engine Market Research FAQs
What is the current Diesel Power Engine Market size?
The Diesel Power Engine Market is projected to register a CAGR of 4.40% during the forecast period (2024-2029)
Who are the key players in Diesel Power Engine Market?
Caterpillar Inc., Cummins Inc., Volvo AB, Kohler Co and Mitsubishi Heavy Industries, Ltd. are the major companies operating in the Diesel Power Engine Market.
Which is the fastest growing region in Diesel Power Engine Market?
Asia Pacific is estimated to grow at the highest CAGR over the forecast period (2024-2029).
Which region has the biggest share in Diesel Power Engine Market?
In 2024, the Asia Pacific accounts for the largest market share in Diesel Power Engine Market.
What years does this Diesel Power Engine Market cover?
The report covers the Diesel Power Engine Market historical market size for years: 2020, 2021, 2022 and 2023. The report also forecasts the Diesel Power Engine Market size for years: 2024, 2025, 2026, 2027, 2028 and 2029.
Diesel Power Engine Industry Report
Statistics for the 2024 Diesel Power Engine market share, size and revenue growth rate, created by Mordor Intelligence™ Industry Reports. Diesel Power Engine analysis includes a market forecast outlook to for 2024 to 2029 and historical overview. Get a sample of this industry analysis as a free report PDF download.
