Market outlook of the commercial AC market
Technavio’s research analyst predicts the global commercial air conditioning market to grow steadily at a CAGR of 9% during the forecast period. The rise in construction in the commercial sector, especially in developing countries like India, China, and Indonesia, is fueling the demand for commercial air conditioning units. There has been a surge in the construction of commercial buildings such as data centers, offices, and hotels in these countries.
The need to minimize operational costs and environmental impact is the key factor driving the demand for energy-efficient ACs. With rising need to conserve energy, many countries are implementing initiatives such as the use of energy-efficient ACs to reduce energy consumption. Numerous governments worldwide are developing new standards and regulatory norms for the companies to develop their products. Usually, ACs account for 60%-70% of the total energy cost of a building. The use of an energy-efficient ACs can cut this cost by nearly 30%.
Product segmentation and analysis of the commercial AC market
- Unducted standard split
- Ducted standard split
- US ducted split
The unducted standard split segment dominates the market, as these ACs provide flexibility to end-users. This type of unducted split AC can cool or heat each room individually. The demand for such ACs is arising from revamping requirements and new constructions, including data centers. Unducted standard split ACs are expected to retain its market leadership until the end of the forecast period.
Geographical segmentation and analysis of the commercial AC market
Overview of the global cryogenic equipment market
Market research analysts at Technavio have predicted that the global cryogenic equipment market will grow moderately during the predicted period and will post a CAGR around 6% by 2020. Technological advancements and innovations have a great impact in the life sciences sector, especially, in the areas such as immunotherapy, vaccinations, regenerative medicines, and biopharmaceuticals. These areas require cryogenic temperatures for storage, preservation, and treatment applications. For instance, in immunotherapies such as T-cell therapy, the T-cells are extracted from the patient’s blood and are genetically engineered to produce special receptors that are infused into the patient. These cells then multiply and with the guidance of an engineered receptor, destroy cancer cells. Cryogenic equipment is required in the storage and activation of T-cells. Additionally, cryogenic cooling systems such as cryogenic freezers are required for the storage of bone marrow, stem cells, cord blood, human tissues, and also for other highly sensitive pharmaceutical and biological applications.
The development of HTS (high-temperature superconductor) power cables is another major factor that will drive the demand for cryogenic equipment. These HTS cables have high transfer efficiency and will witness an increase in their demand from the power sector for the upgradation of transmission and distribution networks all around the globe.
Market outlook of the air compressor market in the oil and gas industry
Technavio’s research analyst predicts the global air compressor market in the oil and gas industry to grow steadily at a CAGR of about 7% during the forecast period. Air compressors form an integral part of various applications in this industry, which ranges from the extraction of crude oil to its transfer through refineries until it reaches the end customers.
Compressed air is widely used in sweetening of gasoline, oxidation of sour water, catalyst regeneration, and for removal of sulfur. Crude oil and natural gas production processes need to be contaminant-free, which is primarily served by oil-free air compressors. China and the Middle East are seeing increased oil and gas production activities and are prospective markets for air compressors. Several manufacturers are trying to design and develop next-generation air compressors consisting of a variable speed drive. This will help in reducing energy consumption by more than 35% when compared to fixed speed air compressors.
Product segmentation and analysis of the air compressor market in oil and gas industry
- Positive displacement (PD)
The PD air compressor segment dominated the global air compressor market in the oil and gas industry during 2015. PD air compressors can be of different types such as rotary and reciprocating. The estimated market share for rotary air compressors is more than 50% in the overall PD air compressor market. PD air compressors are capable of operating in high-pressure applications; hence, there has been high demand for these compressors in the oil and gas industry.
Geographical segmentation and analysis of the air compressor market in oil and gas industry
Market outlook of the diesel engine market
Technavio’s research analyst predicts the global diesel engine market to grow steadily at a CAGR of 9% during the forecast period. The market growth is dependent on the growth of the automotive industry globally. A diesel engine is employed in passenger, heavy-duty, and commercial vehicles. Due to its better operational efficiency in terms of mileage, a diesel engine is preferred over the petrol engine for commercial purposes.
The market has been seeing a broad range of product enhancements and developments to comply with the standards and regulations of various regions such as Euro VI in Europe. One such development is the incorporation of exhaust after-treatment technology with the diesel engine. This technology enables low emissions from diesel engines and increases their efficiency and is likely to see increased market penetration in the coming years. Such product developments are expected to aid the market growth in the next four years.
End-user segmentation and analysis of the diesel engine market
The on-road segment comprises light, medium, and heavy trucks, whereas the off-road segment consists of agriculture equipment, industrial/construction equipment, and marine applications. The on-road segment dominated the market in 2015. This dominance is expected to continue until the end of the forecast period owing to the growing demand for diesel-powered passenger cars.
Geographical segmentation and analysis of the diesel engine market
APAC accounted for the highest market share in 2015. The demand for diesel engines is expected to rise owing to the high growth of the automotive industry and the
Market outlook of the compressor market
Technavio’s research analyst predicts the global compressor market to grow steadily at a CAGR of about 7% during the forecast period. Compressors form an integral part of various applications in the oil and gas and manufacturing industries. The oil and gas industry is generating tremendous demand for air compressors, especially in the Middle Eastern countries and China, which is hugely responsible for the growth of the market. Compressed air finds various applications in this industry, including sweetening of gasoline, oxidation of sour water, and catalyst regeneration. Wastewater treatment plants require compressors for agitation to keep solids in suspension, drive the pumps to move the material, and supply oxygen as a measure to support the processing bacteria. As a result, an increase in the number of such plants is expected to fuel the demand for air compressors
Technological innovations are anticipated to drive the market growth in the next four year. Several manufacturers are trying to design and develop next-generation air compressors that comprise a variable speed drive. For instance, Atlas Copco launched the GA VSD+ compressor in 2013. It was a grand success among all the end-users as it not only aided in enhancing customer productivity but also benefitted the environment. It helps in substantial reduction in energy consumption of up to 35% when compared to fixed speed air compressors.
End-user segmentation and analysis of the global compressor market
- Oil and gas
The oil and gas end-user segment dominated the global compressor market during 2015. The global upstream oil and gas industry makes investments worth around $10 billion to $14 billion each year on valve applications. Compressors are vividly used in
Global outlook of the submarine power cable market
Technavio’s market research analysts have predicted that the global submarine power cable market will grow steadily at a moderate CAGR of almost 6% by 2020. The rising global demand for renewable energy generation has resulted in a considerable increase in the number of offshore wind farms. Submarine power cables play a vital role in transporting the generated power from these wind farms onshore. The increasing implementation of renewable energy sources like tidal turbine and wave energy and offshore wind energy by developed countries, such as the US, Germany, and France will augment the demand for submarine power cables. Although the requirement of high capital hinders the adoption of offshore renewable energy sources, the increase in R&D activities will lead to the development of innovative and affordable technologies, which, in turn, will induce more countries to adopt offshore renewable power generation practices.
Energy projects have the need to transfer high loads of electricity from power generation units to load centers, therefore significant losses while transmitting power over AC lines becomes inevitable. Due to their lightweight nature and dimensions, HVDC power cables are preferred over AC power cables in the recent years and have proved to be a viable option for long distance and high-voltage power transmission. The construction of renewable energy sources will lead to the rise in demand for HVDC cables, which will be one of the major factors to gain traction in the submarine power cable market.
Competitive landscape and key vendors
The market is cost-driven and appears to be mature. Submarine power cable