France Genset Market Projected To Grow At A CAGR Of 2.93% During The Forecast Period 2020 To 2025

Rapid Industrialization and increasing and for continuous power supply in various industry verticals is anticipated to drive the France Genset Market during the forecast period 2020 - 2025. The market for France Genset Market is estimated to reach $ 680.81 mn in 2025 and is analyzed to grow at a CAGR of 2.93% during forecast period 2020-2025.

Rising demand for continuous and reliable power supply and growing demand for hybrid diesel gensets are some of the main driving factors for the genset industry. Growing number of power outages and power failures are also creating a huge demand for power backup devices, of which genset is a part, especially in developing countries. 

Global France Genset Market by power is dominated by 100 – 350 kVA which is growing at the highest CAGR of 4.01% during the forecast period 2020 – 2025. 100-350KVA power rating Genset is deployed in the emergency standby, industrial, mining, construction, solar backup and many other applications. The growing government initiatives with significant investments in the renewable energy generation in France is set to boost the demand for Genset with power rating 100-350KVA. In April, 2020, over 135MW of solar projects have been announced for the development, therefore the significant procurement of the high power Genset is set to boost the demand. In March 2019, an eco-friendly data center has been announced to be built in France with an investment of $804.49 to be estimated to finish by 2023. As data centers handle large amount of data the power supply has to be uninterrupted to avoid any loss of data.

Manufacturing is analyzed to be the dominant industry with a share of 18% in 2019 owing to the presence and growth of the industries including automotive, food and beverage, pharmaceutical, textile and other manufacturing. In January 2020, Coca-Cola and Coca-Cola European Partners (CCEP) have announced to invest approximately $1.1bn in France over the next five years. These investments are significantly set to contribute to the manufacturing sector, thereby impacting on the procurement of Genset for backup power applications. The growing developments owing to the adoption of industrial automation, block chain is set to boost the data centers growth therefore are analyzed to grow at highest growth rate of 4.32% during the forecast period 2020-2025. Data centers provide the quick access to companies, hence the growth rate is significantly high. They consume a considerable amount of energy and they are maintained at a sustainable temperature to avoid heating up of the servers due to heavy traffic. Hence the Genset are significantly deployed in these for immediate backup power. In May 2019, Equinix has announced its data centers expansion with an investment of $2bn. The expansion includes construction of data centers in France, Spain, Australia and so on.

Large portion of the France’s population live in urban areas. Hence the significant deployment of the Genset in the urban areas for uninterrupted power supply in residential as well as offices is set to boost the market growth rate. As industrial sector is one of the major sector with major food and beverage, machinery, chemical and others contributing to the GDP, the significant deployment of the Genset in these sector is also set to impact the market growth rate. In April 2020, Kobelco construction machinery has announced to expand its France network. Therefore the growing expansions alongside the significant deployment of Genset in the construction sector for construction machinery is analyzed to boost the market growth rate during the forecast period 2020-2025. 

The rising demand for the uninterrupted power supply is majorly due to the growing demand from the advanced technologies such as automation, connectivity solutions, cloud computing requiring data centers and so on that require uninterrupted power supply. In January 2020, Beeks Financial group has announced to open a data center in Paris, France. Hence the requirement of uninterrupted power supply for these data centers in the cooling systems, working of servers and so on is significantly high as they deal with high amount of data and any glitch in data could create a huge loss.

In September 2018, the French government announced to invest $15.5bn in the high speed rail network. Hence the requirement of continuous power supply in these sectors alongside the growing expansions is set to boost the France Genset market during the forecast period 2020-2025.

Owing to the increased demand from the cloud computing, Microsoft has announced to open four data centers in France in 2018. Hence the growing development of data centers alongside the significant requirement of the continuous power supply to avoid any data loss and other complications is set to boost the market growth rate during the forecast period 2020-2025.

The major companies in the France Genset Market include Caterpillar Inc., Kohler Power (Kohler-SDMO), Mitsubishi Heavy Industries, Cummins, Atlas Copco, Yanmar Corp., Wartsila Group and Doosan Group. In 2018, Toyota has announced that it would spend around $344.78M in the expansion of its factory in the France. Adding to this, the significant shift towards the electric vehicles which has resulted in the new manufacturing facilities of the electric vehicles, thereby boosting the manufacturing sector in turn impacting the Genset market.

The growing government involvement in the development of the residential sector is certainly impacting the market growth rate. The French government has announced to spend around $11.45bn for the real estate and residential every year. The significant deployment of portable Genset in the independent houses alongside the deployment of stationary Genset in the large apartments and the gated communities for the uninterrupted power supply is set to impact the market growth rate during the forecast period 2020-2025. As Paris is the financial center of European Union, it attracts many investments for the development of the enterprises, thereby escalating the growth rate of the market. In 2018, Paris has raised a venture capital of $4.12bn. Adding to this, the rising number of startups is set to be a major factor boosting the market growth rate. As stated by the government of France, the country saw a record number of 691,000 start-ups in 2018, buoyed by a 28% increase in micro-enterprises. The mobility services are the major sectors that require continuous power supply, the rising expansions and investments in the sector is certainly boosting the market growth rate during the forecast period 2020-2025.