Global Diesel Generator Market – Size, Share and Forecast (2019-2026)

SKU: DEU15 | Published On: 2019-04-09 | Available Formats

Diesel Generator Market

The Global Diesel Generator Market is valued at $17.39 Billion in 2018 and is expected to grow at a CAGR of 5.23% over the forecast period to reach a $XX Billion by 2026.


A diesel generator is a combination of a diesel motor with an electric generator (regularly an alternator) to produce electrical energy. A diesel compression-ignition engine is usually designed to run on diesel fuel, but some types are adapted for other liquid fuels or natural gas. It is utilized for producing power to give persistent power supply during power interruptions. It is generally utilized as a reserve gadget during power outages or at spots with no connection to a power network. The expanding utilization of the diesel generators which can offer a hand extra in home applications, in which it will deliver energy for sump pumps, lighting, specific required applications like climate control systems (ACs), refrigerators, and medical equipment is foreseen to make plentiful open doors in not so distant future.


Key Points

  • Rise in demand of diesel generators in end-use sectors and occurrences of power grid failure and energy deficiency are the key drivers for the market growth globally. The demand for electricity has risen exponentially, owing to rapid industrialization and increasing per capita electric power consumption.
  • The Threat of substitution from battery storage systems is the major restraint that hindering the growth of the market.
  • The Residential Diesel Generator market is valued at $3.01 Billion in 2018 and is estimated to grow at a CAGR of XX% over the forecast period to reach a US$ XX Billion by 2026
  • The Standby Power Diesel Generator market segment held 66.17% of the global diesel generator market in 2018 and is expected to increase by XX% by 2026.
  • Europe, especially Western Europe, is a mature market for stationary diesel generators. China held 56.83% of the Asia-Pacific diesel generator market in 2018 and is expected to increase by XX% by 2026, followed by India at 14.53%.



Diesel Generator Market Dynamics

The rise in demand for diesel generators in end-use sectors and occurrences of power grid failure and energy deficiency are the key drivers for the market growth globally. The growth prospects of the diesel generator market are thus highly influenced by the rise in product demand in associated sectors, ensuring new opportunities for business expansion and market growth to significant market players. For instance, a data center, part of the telecommunications industry, requires power to run IT infrastructural equipment such as network and communication equipment, desktops, servers, EAPBX, lighting, air conditioners, security systems, CCTV surveillance, fire alarms, UPS, and other critical devices. A critical requirement of data center buildings is the electricity supply. Thus in case of power outages, the standby diesel generators are an affordable as well as viable uninterrupted power backup option for the smooth functioning of the systems.


The growing rate of urbanization and shift in consumer spending pattern towards integrated consumer electronic goods have resulted in frequent power grid failure and shortage in supply of electricity for critical and emergency applications in hospitals, communication services, and emergency call centers. As such, it is vital to provide options for power backup and uninterrupted supply so that primary operations do not face challenges. The diesel generators are thus adopted on an extensive scale, owing to the long service life of the generators in comparison to other alternatives and low operational noise.

The threat of substitution from battery storage systems is the major restraint that hindering the growth of the market. The wide-scale adoption of battery storage systems, especially in remote areas which do not have access to power grids, acts as a barrier to the installation of diesel engines. The operation of diesel generators at low load and fractional capacity causes considerable damage to the equipment, shortening the intervals between maintenance work and increasing expenses as a result. As such, the advent of low-cost alternatives and gradual upgradation of substitutes severely hamper the growth prospects of the market. The battery systems, combined with solar or wind power, provide independence from rising diesel costs, handle demand during peak hours without diesel fuel consumption, reduces energy wastage through performance optimization, while also storing excess energy for later use.


Diesel Generator Market Segmentation Analysis

Based on portability, the global market for diesel generators is segmented as portable and stationary. On the basis of power rating, the market is categorized into 0-100 kVA, 101-350 kVA, 350-1000 kVA and Above 1000 kVA.

Depending on end-user, the market is classified into residential, commercial and infrastructure. The Residential Diesel Generator market is valued at $3.01 Billion in 2018 and is estimated to grow at a CAGR of XX% over the forecast period to reach a US$ XX Billion by 2026. The rapid global rate of urbanization and increasing consumer spending power have shifted the market dynamics in favor of diesel generators, as awareness concerning enhanced performance while ensuring low operational costs are poised to ensure rising product demand during the forecast period.

The disruption in regular power supply and continued growth in sales of consumer electronic goods have ensured high installation of diesel generators, as development in infrastructural capabilities has made it mandatory to provide uninterrupted power supply to residential buildings. For instance, on June 04, 2018, Generac Holdings Inc., manufacturer of affordable home standby generators and power generation equipment, announced the acquisition of Selmec Equipos Industriales, S.A. de C.V. and its wholly-owned subsidiaries from Enesa Energia, S.A. de C.V. and Enesa, S.A. de C.V.


On the basis of operations, the market is divided into standby power, peak savings and continuous power. The standby power diesel generator market is valued at $11.51 Billion in 2018 and is estimated to grow at a CAGR of XX% over the forecast period to reach a US$ XX Billion by 2026. The Standby Power Diesel Generator market segment held 66.17% of the global diesel generator market in 2018 and is expected to increase by XX% by 2026. The standby power diesel generators are used for the purpose of emergency power backup for a short duration of time, with no overload capabilities built into the generator units. The companies recognize the steady growth rate of standby power diesel generator market and thus focus on new product launch as a means to increase company revenue through rise in product sales revenue. For instance, on March 06, 2017, Caterpillar Inc. launched a new standby power node for the Cat® 3512C diesel generator set that offers industry-leading power density. Rated at 1,750 kW for 60 Hz standby applications, the Cat 3512C generator set offers reliable backup power from an optimally sized engine and a reduced overall footprint that delivers numerous benefits, including lower overall site preparation, transportation, installation and maintenance costs, as well as reduced fuel consumption and lower emissions.


Diesel Generator Market Geographical Analysis

The global diesel generator market is segmented into North America, Europe, Asia Pacific, South America and Middle East & Africa.

The Asia Pacific diesel generator market is valued at US$ 4.61 Billion in 2018 and is estimated to grow at a CAGR of XX% over the forecast period to reach a US$ XX Billion by 2026. China held 56.83% of the Asia-Pacific diesel generator market share in 2018 and is expected to increase by XX% by 2026, followed by India at 14.53% of the Asia Pacific market share in 2018. In the Asia-Pacific region, the demand for electricity has risen exponentially, owing to rapid industrialization and increasing per capita electric power consumption. The rapid growth in industry, infrastructure, telecommunication, and the information technology sector is expected to escalate the demand for diesel generators in the region over the forecast period. The market has been witnessing increasing production of a diesel generator with improved engine life and other features such as synchronization with the grid, remote monitoring and control, and automated data analysis.

The Europe diesel generator market is valued at $4.13 Billion in 2018 and is estimated to grow at a CAGR of XX% over the forecast period to reach a US$ XX Billion by 2026. Germany held 26.50% of the Europe diesel generator market in 2018 and is expected to increase by XX% by 2026. Europe, especially Western Europe, is a mature market for stationary diesel generators. The UK government agreed to grant millions of dollars in subsidies for diesel generators in 2015, to meet the energy crunch that the country is expected to face in the coming years. Currently, the UK is facing a serious gap in the demand and supply of electric power that is estimated to be about 5%. Closing down of old coal-fired power plants without replacing them with new, efficient, power generating units have led to the dearth in power supply.

UAE, imported generator units worth 137,930,281 euros from Europe, according to the UN Comtrade Database.


Diesel Generator Market Competitive Analysis

Some of the major players are Caterpillar Inc, Cummins Inc, Kohler Co, Mitsubishi Heavy Industries, Ltd, Kirloskar Oil Engines Limited (KOEL) (Kirloskar Group), Wärtsilä Finland Oy, AKSA Power Generation, Yanmar Co., Ltd, Generac Holdings Inc., Mahindra Powerol Ltd.

The global diesel generator market is highly competitive, with the presence of key market players boasting of an extended global distribution network on a large scale. As such, it is vital for companies to launch new products in an attempt to capture substantial market share, strengthening global business position in the process.

On February 08, 2019, Kirloskar Oil Engine Ltd introduced its latest product range of technologically advanced intelligent DG (diesel generators) in Delhi. The range is called the i-Green series.

On November, 2018 Cummins Inc. introduced the new QSG12 50Hz diesel generator series which offers optimum performance, reliability and versatility for stationary standby and prime power applications.

On November 20, 2018, MHI Engine System Philippines, Inc. (MHIES-P), a company operated in the Philippines by Mitsubishi Heavy Industries Engine & Turbocharger, Ltd. (MHIET), a Group member of Mitsubishi Heavy Industries, Ltd. (MHI), has delivered two MGS (Mitsubishi Generator Series) diesel generator sets to SM Center Ormoc, a commercial facility newly opened in the city of Ormoc on the west coast of the Philippines' Leyte Island.


Why Purchase the Report?

• Visualize the composition of the Diesel Generator Market across each indication, in terms of type and treatment options, highlighting the key commercial assets and players.

• Identify commercial opportunities in Diesel Generator Market by analyzing trends and co-development deals.

• Excel data sheet with thousands of data points of the Diesel Generator Market - level 4/5 segmentation.

• PDF report with the most relevant analysis cogently put together after exhaustive qualitative interviews and in-depth market study.

• Product mapping in excel for the key products of all major market players


Target Audience:

• Equipment Suppliers/ Buyers

• Service Providers/ Buyers

• Industry Investors/Investment Bankers

• Education & Research Institutes

• Research Professionals

• Emerging Companies

• Manufacturers


Section 1. Global Diesel Generator Market Methodology and Scope

1.1 Research Methodology

1.2 Research Objective and Scope of the Report

Section 2 Global Diesel Generator Market – Market Definition and Overview

Section 3 Global Diesel Generator Market – Executive Summary

3.1 Market Snippet by Portability

3.2 Market Snippet by End User

3.3 Market Snippet by Power Rating

3.4 Market Snippet by Operations

3.5 Market Snippet by Region

Section 4 Global Diesel Generator Market – Market Dynamics

4.1 Market Impacting Factors

4.1.1 Drivers

4.1.1.1 Rise in demand of diesel generators in end-use sectors

4.1.1.2 Occurrences of power grid failure and energy deficiency

4.1.2 Restraints

4.1.2.1 Threat of substitution from battery storage systems

4.1.3 Opportunity

4.1.3.1 Power distribution in developing countries and remote areas

4.1.4 Impact Analysis

Section 5 Global Diesel Generator Market – Industry Analysis

5.1 Porter's Five Forces Analysis

5.2 Supply Chain Analysis

5.3 Pricing Analysis

5.4 Regulatory Analysis

5.5 Patent Analysis

Section 6 Global Diesel Generator Market – By Portability

6.1 Portable

6.2 Stationary

Section 7 Global Diesel Generator Market – By End User

7.1 Residential

7.2 Commercial

7.3 Industrial

Section 8 Global Diesel Generator Market – By Power Rating

8.1 0-100 kVA

8.2 101-350 kVA

8.3 350-1000 kVA

8.4 Above 1000 kVA

Section 9 Global Diesel Generator Market – By Operations

9.1 Standby Power

9.2 Peak Savings

9.3 Continuous Power

Section 10 Global Diesel Generator Market – By Region

10.1 North America

10.1.1 U.S.

10.1.2 Canada

10.1.3 Mexico

10.2 Europe

10.2.1 Germany

10.2.2 U.K.

10.2.3 France

10.2.4 Italy

10.2.5 Spain

10.2.6 Rest of Europe

10.3 South America

10.3.1 Brazil

10.3.2 Argentina

10.3.3 Rest of South America

10.4 Asia Pacific

10.4.1 China

10.4.2 India

10.4.3 Japan

10.4.4 Australia

10.4.5 Rest of Asia Pacific

10.5 Middle East & Africa

Section 11 Global Market – Competitive Landscape

11.1 Competitive Scenario

11.2 Competitor Diesel Generator Strategy Analysis

11.3 Comparative Product Portfolio Analysis

11.4 Market Positioning/Share Analysis

11.5 Mergers and Acquisitions Analysis

Section 12 Company Profiles

12.1 Caterpillar Inc*

12.2 Cummins Inc

12.3 Kohler Co

12.4 Mitsubishi Heavy Industries, Ltd

12.5 Kirloskar Oil Engines Limited (KOEL) (Kirloskar Group)

12.6 Wärtsilä Finland Oy

12.7 AKSA Power Generation

12.8 Yanmar Co., Ltd

12.9 Generac Holdings Inc.

12.10 Mahindra Powerol Ltd

Section 13 Global Diesel Generator Market – Premium Insights

Section 14 Global Diesel Generator Market – DataM

14.1 Appendix

14.2 About Us and Services

14.3 Contact Us

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