“The gas engines market is projected to grow at a CAGR of 4.1% from 2022 to 2027”
The gas engines market is projected to reach USD 5.8 billion by 2027 from an estimated USD 4.8 billion in 2022, at a CAGR of 4.1% during the forecast period. The global gas engines market is driven by the rising demand for clean and efficient power generation technology, increase in the use of distributed power generation systems, and stricter emission regulations. The increasing inclination towards gas-fired power plants, and adoption of natural gas as a transition fuel are expected to offer lucrative opportunities for the gas engines market during the forecast period.
“The natural gas segment, by fuel type, is expected to be the largest market from 2022 to 2027”
The fuel type segment is categorized into natural gas, special gas, and others. The natural gas segment held the largest share of the gas engines market. Natural gas is most used in gas engines for electricity generation as it burns cleaner and has low carbon emission compared to other types of fuels. It also emits low nitrogen oxide, sulfur dioxide, and particulate matter. The US, Russia, the UK, France, Germany, China and Canada are strengthening their natural gas distribution network, which is expected to create a demand for gas engines. Utilities are the largest end users of natural gas-fueled engines, which use them for power generation. The other major applications of natural gas engines include industrial and commercial cogeneration and mechanical drive. The expected in price of natural gas price and improving gas distribution network may drive the growth of the natural gas segment of the gas engines market.
“The above 15 MW segment, by power output, is expected to be the largest market from 2022 to 2027”
The above 15 MW segment held the largest market share of the gas engines market in 2021. The above 15 MW gas engines are mainly used for base load power generation applications. These engines are used by utilities as a power plant to feed the grid and are primarily implemented in island-type configurations to supplement major power plants. The slumping and fluctuating natural gas prices, availability of renewable fuel sources, and improved gas distribution network are expected to drive the growth of the above 15 MW segment during the forecast period.
“Asia Pacific: The largest region in the gas engines market”
Asia Pacific is expected to dominate the global gas engines market between 2022–2027. The growth of the regional market is driven by the increasing demand for efficient and clean power generation technologies, and the replacement of aging power generation infrastructure and conversion of coal-based power plants to gas based ones. Asia Pacific is experiencing rapid economic growth, and to meet its energy demand while adhering to decarbonization plans, it is witnessing a spike in investments in hydrogen as well as other cleaner fuels for power generation.
Breakdown of Primaries:
In-depth interviews have been conducted with various key industry participants, subject-matter experts, C-level executives of key market players, and industry consultants, among other experts, to obtain and verify critical qualitative and quantitative information, as well as to assess future market prospects. The distribution of primary interviews is as follows:
- By Company Type: Tier 1- 35%, Tier 2- 40%, and Tier 3-25%
- By Designation: C-Level- 35%, D-Level- 25%, and Others- 40%
- By Region: Asia Pacific– 55%, North America – 20%,Europe – 12%,Middle East&Africa – 8%, and South America– 5%
Note: “Others” include sales managers, engineers, and regional managers
The tiers of the companies are defined based on their total revenue as of 2021: Tier 1: >USD 1 billion, Tier 2: USD 500 million–1 billion, and Tier 3: < USD 500 million
The gas engines market is dominated by a few major players that have a wide regional presence. The leading players in the gas enginesmarket are Caterpillar (US), Wärtsilä (Finland), Rolls-Royce Holdings (UK), Volkswagen (MAN Energy Solutions) (Germany), Siemens Energy (Germany), INNIO (Austria), Cummins (US), Mitsubishi Heavy Industries, Ltd. (Japan), Kawasaki Heavy Industries, Ltd. (Japan), Ningbo C.S.I Power & Machinery Group Co., Ltd. (China), IHI Power Systems (Japan), JFE Engineering Corporation (Japan), Liebherr (Germany), Hyundai Heavy Industries Co., Ltd. (South Kore), Jinan Lvneng Power Machinery Equipment Co., Ltd. (China), R Schmitt Enertec (Germany), CNPC Jichai Power Complex (China), Fairbanks Morse (US), Googol Engine Tech (US), Baudouin (France), and others.
Study Coverage:
The report defines, describes, and forecasts the gas engines market, by fuel type, power output, application, end-user industry, and region. It also offers a detailed qualitative and quantitative analysis of the market. The report provides a comprehensive review of the major market drivers, restraints, opportunities, and challenges. It also covers various important aspects of the market, which include the analysis of the competitive landscape, market dynamics, market estimates in terms of value, and future trends in the gas engines market.
Key Benefits of Buying the Report
- The report identifies and addresses the key markets for gas engines operations and services, which would help gas engines manufacturers review the growth in demand.
- The report helps system providers understand the pulse of the market and provides insights into drivers, restraints, opportunities, and challenges.
- The report will help key players understand the strategies of their competitors better and help them in making better strategic decisions.
