Enjoy complimentary customisation on priority with our Enterprise License!
The Diesel Engines Market for Non-Automotive Applications Market size is forecast to increase by USD 13.87 billion at a CAGR of 3.55% between 2022 and 2027. The growth of the market is driven by several factors, including the momentum gained by diesel engine technology due to technological advances. Diesel continues to be the leading fuel type in generators, ensuring reliability and efficiency across various industries. Moreover, the increase in seaborne trade further fuels the demand for diesel engines in marine applications. These factors collectively contribute to the growth and dominance of diesel engines in non-automotive sectors worldwide. This market report also includes an in-depth analysis of drivers, trends, and challenges.
Market Forecast 2023-2027
To learn more about this report, Request Free Sample
The market is driven by its igniting power, widely used in various sectors. They employ technologies like exhaust gas recirculation (EGR) and selective catalyst reduction (SCR) to reduce emissions. They power the internal combustion powerplant, crucial for freight trucks and locomotives. These engines offer high torque and fuel efficiency, making them ideal for heavy-duty applications. In industries like construction, agriculture, marine, and power generation, diesel engines play a vital role, providing reliable power solutions for non-automotive needs.
The market is experiencing significant growth due to the increasing demand for efficient power solutions in various industries. Diesel engine technology is widely used in non-automotive applications such as power backup equipment, marine, construction, agriculture, and shipbuilding industry. The operational efficiency makes them an ideal choice for end-users seeking to minimize fuel consumption and reduce carbon footprint. In the power backup equipment sector, they offer reliability and robustness, making them a preferred choice for critical power applications. In the marine industry, they are extensively used for propulsion and auxiliary power requirements. In construction and agriculture, they power heavy machinery and equipment. In the shipbuilding industry, they are used for propulsion and power generation. Urbanization and industrialization have led to an increased demand in various applications. The power cycle of diesel engines offers high thermal efficiency, making them a preferred choice for industries seeking to minimize fuel costs and improve operational efficiency. Their use in non-automotive applications is expected to continue growing due to their fuel economy and efficiency advantages over gasoline-powered equipment. Our researchers studied the data for years, with 2022 as the base year and 2023 as the estimated year, and presented the key drivers, trends, and challenges for the market.
The global market for generators is dominated by diesel as a fuel type. They hold a substantial market share in non-automotive applications, particularly in industries with a focus on fuel efficiency. Notable sectors include cargo ships, ferries, offshore platforms, and mining operations. Modifications have enhanced their performance in extreme conditions, enabling them to excel in heavy machinery applications such as excavators, mining equipment, and agricultural machinery. Tractors, combines, and irrigation pumps contribute to increased agricultural productivity and food demand. Emissions control systems and environmental regulations drive the adoption of sustainable solutions in diesel-powered machinery. Developing economies and rapid industrialization fuel the growth of this market, with key applications including power and mobility for factories, construction sites, infrastructure development projects, and off-road vehicles. High torque output and hauling capacity make diesel engines ideal for powering stationary machinery like pumps and compressors.
Without many complications, market players can replace their current diesel engines with dual-fuel natural gas engines. In the industrial sector, they play a significant role in powering various applications, including cargo ships, ferries, offshore platforms, mining operations, heavy machinery, agricultural machinery such as tractors, combines, and irrigation pumps, and drilling equipment. The demand for diesel-powered machinery arises from their ability to operate efficiently in extreme conditions and excavate materials with high torque output. The growth of industries, food demand, and rapid industrialization in developing economies have fueled the market's expansion. However, they have some disadvantages, such as lower power density delivery compared to spark-ignited engines. To achieve equal power, a larger engine is required, leading to a higher cost. Spark-ignited engines also have different cam timings, resulting in higher exhaust gas temperatures and increased valve seat wear rates when using dry gas fuel. Despite these challenges, the market for diesel engines in non-automotive applications continues to grow due to the need for power and mobility in various industries, such as mining, construction, and agriculture.
Emissions control systems and environmental regulations are driving the adoption of sustainable solutions, making it with improved fuel efficiency and lower emissions increasingly popular. Diesel-powered machinery is essential for industries that require high towing capacity, range, and powering stationary machinery like pumps and compressors. Applications include power generation, infrastructure development projects, and off-road vehicles. The market's growth is further fueled by the increasing demand for energy in factories and construction sites.
Due to strict emission rules, demand for alternative fuels like gas which has a relatively clean and eco-friendly combustion is increasing. They play a significant role in powering various non-automotive applications, including cargo ships, ferries, offshore platforms, mining operations, heavy machinery, agricultural machinery such as tractors, combines, and irrigation pumps. These engines are preferred due to their high torque output and ability to haul heavy loads in extreme conditions. However, the use of diesel engines comes with environmental concerns, particularly the production of nitrogen oxides (NOx), carbon monoxide (CO), hydrocarbons (HC), and particulate matter (PM). NOx emissions have gained increased attention due to their link to cancer-related illnesses and premature deaths.
According to the Environmental Protection Agency (EPA), reducing NOx emissions could prevent 12,000 premature deaths and 8,900 hospitalizations by 2030. The growth of industries in emerging economies and rapid industrialization in developing economies have led to an increase in the demand for diesel-powered machinery. Emissions control systems and environmental regulations are driving the adoption of sustainable solutions to mitigate the environmental impact. Applications include power and mobility for excavators, mining industries, off-road vehicles, and powering stationary machinery like pumps and compressors.
The market for non-automotive applications is characterized by high demand due to the advantages these engines offer over their gasoline counterparts. They are known for their superior torque production, making them a preferred choice for heavy-duty applications such as trucks and buses. In industrial equipment, diesel engines provide reliability and durability, simplified design, and adaptability to various applications. They are widely used in industries for machinery, roads, buildings, and critical infrastructure projects. They are also the preferred choice in the transportation sector for commercial vehicles and diesel-powered vehicles, which move goods and passengers. In the marine industry, its expansive vessels like cargo ships, cruise liners, ferries, and fishing boats. Diesel generators are a crucial backup power source for data centers, hospitals, remote locations, and the grid. They offer quick response time and uninterrupted power supply, making them essential in critical sectors. The compact size of diesel generators and their ability to operate in various conditions adds to their versatility. Despite their advantages, diesel engines do have a carbon footprint and produce carbon dioxide emissions. However, their fuel efficiency and the potential for reducing emissions through technological advancements make them a viable option for many non-automotive applications.
The multi-cylinder segment will account for a major share of the market's growth during the forecast period. A multi-cylinder diesel engine means that it has more than one cylinder. There are 4 cycles to each cylinder in the multifuel diesel engine: intake, compression, work, and exhaust. In the employment cycle, there is simply a single cycle of work. The other three cycles are auxiliary cycles that create conditions for work cycles.
Get a Customised Report as per your requirements for FREE!
The multi-cylinder segment was valued at USD 41.72 billion in 2017 and continued to grow until 2021. Multi-cylinder diesel engines are commonly used in a wide range of non-automotive applications due to their durability, fuel efficiency, and torque output. This category is suited to powering a variety of machines and equipment in all sectors, as stated above, on the basis of its reliability, fuel efficiency, and durability. Hence, such factors are expected to contribute to the growth of the market in focus during the forecast period.
A single-cylinder diesel engine is an internal combustion engine that converts thermal energy into mechanical energy when oil, gasoline, or other fuel is combined with hot air. It was invented to harness the energy that can be produced from gas. The sole cylinder is a vital element of the diesel engine that produces power. Generators and some machine tools used for carpentry or gardening are primarily equipped with single-cylinder diesel engines. Many industries rely on diesel engine-powered equipment and machinery to run their businesses, making the engine one of the greatest technological inventions. They come in different types, brands, and sizes, but they are all electric devices. Single-cylinder diesel engines are versatile in terms of application, usage, and efficiency. It is dominating the market focus since it is widely used and preferred by consumers. Such factors are anticipated to contribute to the growth of the segment and the market in focus during the forecast period.
Based on the analysis, the market has been segmented into marine, construction, agriculture, and generators. The marine segment will account for the largest share of this segment. The increasing production in the shipbuilding industry globally will have a positive impact on related products. The marine segment is followed by the construction segment, owing to increasing urbanization and industrialization across the globe. The diesel engine market is mainly dependent on the shipbuilding industry. As a consequence, the increased production of the shipbuilding sector worldwide will affect its products which are reliant on it. New orders and replacements of old ships have led to growth in the shipbuilding sector. The industry is dominated by players from APAC countries like China, Japan, and South Korea.
The basic applications of construction equipment involve the construction and mining industries, with the mining industry controlling two-thirds of the business revenue, leaving the construction industry with one-third of the total business revenue. Significant demand is expected to be generated in the forecast period as large economies increasingly focus on infrastructure development. In addition, diesel engine and generator demand in the region will grow due to increasing sales of building equipment in important markets like China, the United Arab Emirates, Japan, and India. Moreover, the government of the different countries announced the relaxation in the restrictions of lockdown, and construction activities across the region have gained pace, which further raised the demands. Such factors are expected to contribute to the growth of the market in focus during the forecast period.
For more insights on the market share of various regions View PDF Sample now!
APAC is estimated to contribute 56% to the growth by 2027. Technavio’s analysts have elaborately explained the regional trends, drivers, and challenges that are expected to shape the market during the forecast period.
The market is witnessing a surge due to the increased need for these engines in construction activities in APAC. They are a preferred choice for heavy-duty applications in sectors such as transportation, commercial vehicles, and industrial equipment. In contrast to their gasoline counterparts, diesel engines offer higher torque production and are more reliable and durable. Construction equipment, including excavators, cranes, and wheel loaders, relies on diesel engines for their power. China, Japan, and India are key markets for diesel engines due to their extensive construction industries and urbanization efforts. The Chinese government's initiatives to boost the economy and Japan's focus on infrastructure development are expected to drive the demand.
They are also used in marine vessels, compact generators, and as a backup power source for critical sectors such as data centers, hospitals, and remote locations. Their simplified design, adaptability, and versatility make them a popular choice for heavy-duty applications. However, their carbon footprint and carbon dioxide emissions are concerns that are being addressed through technological advancements. Diesel-powered vehicles, including trucks and buses, are essential for moving goods and passengers. Diesel generators provide quick response time and uninterrupted power supply, making them crucial for critical infrastructure projects and commercial establishments. The transportation sector's reliance on diesel engines for moving goods and passengers is expected to remain high during the forecast period.
Companies are implementing various strategies, such as strategic alliances, partnerships, mergers and acquisitions, geographical expansion, and product/service launches, to enhance their presence in the market.
AB Volvo - The company offers diesel-engines for non-automotive applications such as Volvo Penta D13-IPS.
Caterpillar Inc. - The company offers diesel-engines for non-automotive applications such as C 0.5 industrial diesel-engines.
We also have detailed analyses of the market’s competitive landscape and offer information on 20 market companies, including:
Anglo Belgian Corp., Cummins Inc., DEUTZ AG, Daihatsu Diesel Mfg. Co. Ltd., Fairbanks Morse LLC, IHI Corp., Isuzu Motors Ltd., Iveco Group N.V, J C Bamford Excavators Ltd., CNPC Jichai Power Co. Ltd., Kirloskar Oil Engines Ltd., Kohler Co., Kubota Corp., Liebherr International Deutschland GmbH, MAN Truck and Bus SE, Mitsubishi Heavy Industries Ltd., Wartsila Corp., and Yanmar Holdings Co. Ltd.
Technavio report provides an in-depth analysis of the market and its players through combined qualitative and quantitative data. The analysis classifies companies into categories based on their business approaches, including pure-play, category-focused, industry-focused, and diversified. companies are specially categorized into dominant, leading, strong, tentative, and weak, based on their quantitative data analysis.
Diesel engines have been gaining significant traction in various non-automotive applications due to their high efficiency and power density. The market is driven by the increasing demand for power generation, particularly in the oil and gas industry. Diesel engines are widely used in power generation applications due to their ability to operate continuously and provide a reliable power source. Another major application of diesel engines in the non-automotive sector is in the construction industry. They are used to power heavy machinery such as excavators, bulldozers, and cranes. The growing construction industry, especially in developing countries, is expected to boost the demand in this sector. They are also used in marine applications, particularly for propelling ships and powering onboard systems.
The increasing demand for maritime transportation and the need for fuel-efficient engines are expected to drive the growth of the market in this sector. Furthermore, diesel engines are used in various other non-automotive applications such as in the agriculture industry for powering irrigation pumps and in the mining industry for powering mining equipment. The growing demand for food production and mineral resources is expected to fuel the demand in these sectors. In conclusion, the market is expected to grow significantly due to the increasing demand for power generation, construction, marine, agriculture, and mining applications. The high efficiency and power density of diesel engines make them an ideal choice for various non-automotive applications.
The market forecast report provides comprehensive data (region-wise segment analysis), with forecasts and estimates in USD Billion for the period 2023 to 2027, as well as historical data from 2017 to 2021 for the following segments.
Market Scope |
|
Report Coverage |
Details |
Page number |
176 |
Base year |
2022 |
Historic period |
2017-2021 |
Forecast period |
2023-2027 |
Growth momentum & CAGR |
Accelerate at a CAGR of 3.55% |
Market growth 2023-2027 |
USD 13.87 billion |
Market structure |
Fragmented |
YoY growth 2022-2023(%) |
3.2 |
Regional analysis |
APAC, North America, Europe, Middle East and Africa, and South America |
Performing market contribution |
APAC at 56% |
Key countries |
US, China, South Korea, Japan, and India |
Competitive landscape |
Leading companies, Market Positioning of companies, Competitive Strategies, and Industry Risks |
Key companies profiled |
AB Volvo, Anglo Belgian Corp., Caterpillar Inc., Cummins Inc., DEUTZ AG, Daihatsu Diesel Mfg. Co. Ltd., Fairbanks Morse LLC, IHI Corp., Isuzu Motors Ltd., Iveco Group N.V, J C Bamford Excavators Ltd., CNPC Jichai Power Co. Ltd., Kirloskar Oil Engines Ltd., Kohler Co., Kubota Corp., Liebherr International Deutschland GmbH, MAN Truck and Bus SE, Mitsubishi Heavy Industries Ltd., Wartsila Corp., and Yanmar Holdings Co. Ltd. |
Market dynamics |
Parent market analysis, Market growth inducers and obstacles, Fast-growing and slow-growing segment analysis, COVID-19 impact and recovery analysis and future consumer dynamics, and Market condition analysis for the forecast period. |
Customization purview |
If our market report has not included the data that you are looking for, you can reach out to our analysts and get segments customized. |
We can help! Our analysts can customize this market research report to meet your requirements. Get in touch
1 Executive Summary
2 Market Landscape
3 Market Sizing
4 Historic Market Size
5 Five Forces Analysis
6 Market Segmentation by Type
7 Market Segmentation by End-user
8 Customer Landscape
9 Geographic Landscape
10 Drivers, Challenges, and Trends
11 Vendor Landscape
12 Vendor Analysis
13 Appendix
Get lifetime access to our
Technavio Insights
Cookie Policy
The Site uses cookies to record users' preferences in relation to the functionality of accessibility. We, our Affiliates, and our Vendors may store and access cookies on a device, and process personal data including unique identifiers sent by a device, to personalise content, tailor, and report on advertising and to analyse our traffic. By clicking “I’m fine with this”, you are allowing the use of these cookies. Please refer to the help guide of your browser for further information on cookies, including how to disable them. Review our Privacy & Cookie Notice.