The market analyst Global Industry Analysts (GIA) is predicting that the global market for electric motors will reach $62.3bn by 2017. It says that the market is characterised by cyclical demand, technological innovations, pricing pressures, and continued reductions in lead-time and manufacturing costs. Growth following the recession will also be driven by end-users spending more on innovative and specialised electric motors.

The 2007–2009 financial crisis hit the motors market hard as distributors reduced their inventories and OEM customers implemented extended shutdowns. Nevertheless, GIA expects demand for electric motors to experience healthy growth in the next few years as is already evident by a resurgence in growth during 2010 in most markets.

GIA predicts that high-efficiency motors will gain over standard motors. Although more expensive, their long-term “eco-benefits” tend to outweigh the initial upfront cost.

The trend to replacing gas turbines with electric motors in large industrial plants also bodes well for motors sales, GIA suggests. Benefits include lower maintenance costs, improved reliability, reduced emissions, higher operating speeds, easy installation, and lower noise and vibration.