Precision Gearbox Market Analysis Report By Product, By Application, By Region And Segment Forecasts From 2019 To 2025

Industry Insights

The precision gearbox market size across the globe was valued at USD 1.6 billion in 2018. It is projected to witness a 7.4% CAGR over the forecasted years, 2019 to 2025. Surging the need for automation of manufacturing processes, increasing product demand, and the need for improvement of efficiency and productivity of machines is anticipated to contribute majorly towards the market growth of precision gearboxes across the globe.

Such gearboxes are designed to cater to operations wherein high accuracy and precision are needed. Thus, they are manufactured with high tolerances and thus offer an efficiency of more than 90%. Also, their characteristics like less noisy operations and compact size make them more useful than the conventional gearboxes. Thus, they are widely used in machine tools, robots, food& beverages producing machinery, and material handling equipment.  

In 2018, the U.S. held a dominant market share across North America. The product segment of planetary gearbox generated the highest revenue across the U.S. and is expected to continue its dominance in the upcoming years. While, the segment of right angle gearbox is anticipated to register the highest CAGR over the forecasted years, 2019 to 2025.

But, the development of several direct drives and systems is acting as an alternative to such gear drives. Such drives can transmit power directly to the application site without loss or any other component like chain, gear, pulley, or belt. Also, reduced noise reduction and a rise in energy savings on their usage are projected to hinder the market growth across the globe.

Product Insights

The global precision gearbox market can be segmented into a parallel, right angle, and planetary based on the product type. In 2018, the segment of planetary gearbox held the largest share across the global market. This can be attributed to their features like higher efficiency and compact design. Also, even distribution of load along all gears is projected to propel their demand across the globe.

The parallel segment is projected to witness the fastest growth in the upcoming years. These gears include input and output shafts in parallel positions. Their demand is driven on account of salient features like ease of mounting and a wide range of applications across the material handling sector.

Application Insights

The global market can be classified into machine tools, military & aerospace, material handling, medical, robotics, packaging, food, beverage, tobacco, and others. In 2018, the segment of robotics held the largest share across the global market. This can be associated with the rising usage of robots across many industries like automotive, electronics, electrical, and metals. Moreover, benefits like enhanced operational speed and efficiency, reduced labor costs, and low waste and scrap generation are expected to trigger the growth of this segment.

The segment of packaging is projected to witness the fastest growth from 2019 to 2025. This can be attributed to the increasing usage of gearboxes for the manufacturing of primary, secondary & tertiary packaging machines. As these machines require more precision and power transmission capacity, the demand for precision gearboxes is anticipated to upsurge.

Regional Insights

In 2018, Asia Pacific accounted for the largest share of around 35.5% across the global market. This can be associated with the rising investments across the automation sector and the rising number of manufacturing facilities across this region. Also, the surging adoption of several types of equipment like machine tools, packaging machines, and material handling solutions is projected to drive the market growth for precision gearboxes.

North America is projected to witness a 6.1% CAGR from 2019 to 2025 across the global market. The increasing number of industries like aerospace, food and beverages, and pharmaceuticals is projected to propel the demand for precision gearboxes. Moreover, huge investments for the development of defense and military sectors coupled with rising usage of robotics in many industrial applications are projected to drive the market growth across this region.

COVID-19 Impact Insights

The global market is impacted on a large scale due to the ongoing COVID-19 crisis. Abrupt disruption in the supply chain of raw materials and stagnancy in production are acting as major hindrances. Also, the imposition of lockdown in many countries, restrictions over international trade and cargo transport coupled with lack of skilled workforce is expected to obstruct the market growth over the forecasted period. Moreover, several key players are focusing on repair and maintenance rather than purchasing new machines and products for increasing their operational capacities. But, such conditions are anticipated to open up the avenue for many local players, thereby facilitating the growth of the regional and after-sales market.

Precision Gearbox Market Share Insights

The key players in the market are WITTENSTEIN SE, BonfiglioliRiduttoriS.p.A., Siemens AG, Neugart GmbH, Dana Incorporated, and Rexnord Corporation. These players are constantly engaged in product development and innovation to gain a competitive advantage over other players. They are also offering customized gearboxes along with the standard ones for widening their product portfolio and boosting their client’s base.

Several strategies like expansions, acquisitions, and mergers are being undertaken by these players to widen their geographical reach. For example, BonfiglioliRiduttoriS.p.A had opened a manufacturing facility in India in 2018 under the name of Bonfiglioli Transmission Private Limited to cater to rising demand across the APAC region.

Report Scope

Segments Covered in the Report

This report forecasts revenue growth at the global, regional, and country levels and provides an analysis of the latest industry trends from 2014 to 2025 in each of the sub-segments. For the purpose of this study, Million Insights has segmented the global Precision gearbox market on the basis of product, application, and region:

• Product Outlook (Revenue, USD Million, 2014 - 2025)
    • Parallel
    • Right Angle
    • Planetary

• Application Outlook (Revenue, USD Million, 2014 - 2025)
    • Military & Aerospace
    • Food, Beverage, & Tobacco
    • Machine Tools
    • Material Handling
    • Packaging
    • Robotics
    • Medical
    • Others

• Regional Outlook (Revenue, USD Million, 2014 - 2025)
    • North America
        • The U.S.
        • Canada
        • Mexico
    • Europe
        • Germany
        • The U.K.
        • France
        • Italy
        • Russia
    • the Asia Pacific
        • China
        • Japan
        • India
        • South Korea
        • Australia
    • Central & South America
        • Brazil
        • Argentina
    • Middle East & Africa
        • Saudi Arabia
        • UAE