U.S. Generator Sets Market Size - By Fuel (Diesel, Gas, Hybrid & Others), By End Use (Residential, Commercial, Industrial), By Application (Standby, Peak Shaving, Prime/Continuous), Power Rating & Forecast, 2024-2032

U.S. Generator Sets Market Size

U.S. Generator Sets Market size was valued at USD 8.1 billion in 2023 and is estimated to grow at a CAGR of 7.1% between 2024 and 2032. Increasing number of extreme weather-related events and natural disasters led to a heightened awareness of the importance of reliable backup power solutions. In addition, stringent environmental regulations, and emissions standards along with development of efficient generator sets has influenced the demand for these units across the country.
 

The paradigm shift towards cleaner and more sustainable energy solutions in line with ongoing improvements in generator efficiency, emission reduction, and automation has augmented the product penetration. Rapid integration of IoT technologies including predictive maintenance, diagnostics, and remote monitoring coupled with growing industrial and construction activities will foster the industry landscape. Moreover, the expansion of residential, commercial, and industrial establishment in line with rising demand for uninterruptible power supply will further drive the business outlook.
 

COVID- 19 Impact

The COVID-19 pandemic had a significant impact on U.S. generator sets market. The pandemic disrupted global supply chains, causing interruptions in the production and distribution of generator sets. Factory closures, transportation restrictions, and reduced workforce availability led to delays in sourcing components and parts required for manufacturing. The lockdowns and restrictions imposed to control the spread of the virus led to decreased demand for generator sets in sectors such as hospitality, retail, and commercial real estate. Furthermore, changes in energy consumption patterns due to lockdowns and shifting business operations influenced the need for backup power solutions. Fluctuations in energy demand prompted adjustments in the deployment of generator sets.
 

U.S. Generator Sets Market Analysis

U.S. market size for generator sets was exceeded USD 7.5 billion in 2022, driven by adoption of digital technologies for remote monitoring and real-time diagnostics. Growing expansion of data centers, critical infrastructure, and healthcare activities in conjunction with the flexibility and cost-effectiveness of renting service will positively influence the market share. Increasing investments in technological advancements including integration of smart technologies in line with focus on research and development activities will foster U.S. generator sets market outlook.
 

The diesel gensets market revenue is likely to cross USD 3 billion by 2032, on account of reliable and uninterrupted power supply and cost-effective solutions. These diesel powered gensets are influenced by trends towards efficiency, emissions compliance, hybridization, remote monitoring, and alternative fuel systems. These gensets can operate at varying loads and are adaptable to changing power demands, which is an essential for businesses with fluctuating energy requirements. However, these gensets provide power rapidly in emergency situations, making them ideal for applications that require immediate power during grid failures.
 

The > 750 kVA capacity of generator sets market accounted for USD 800 million in 2022, attributed to the escalating demand for electricity in manufacturing facilities and large-scale commercial establishments. These high-capacity units are essential to meet the power requirements of energy-intensive operations. Additionally, rising demand for advanced and smart technological solutions coupled with increasing concern for secure operations in remote areas, which in turn will further stimulate the U.S. generator sets market size. Growing adoption of smart technologies along with regulatory standards regarding backup power solutions in critical sectors are driving the demand for generator sets.
 

The commercial gensets industry is set to observe 7.4% growth rate till 2032, owing to low volatility rates, capacity, and high durability. Increasing focus on continuous power supply, maintain operation during grid failures, and unforeseen disruptions are the key factors, which in turn will lead the demand for generator sets. Growing investment by the commercial enterprises in generator sets to ensure seamless digital operations, support remote work infrastructure, and maintain data center uptime will sway the U.S. generator sets market outlook. Moreover, integration of digital technologies and power supply during peak load demand will complement to the adoption of these gensets.
 

The standby generator sets market valuation is predicted to surpass USD 10 billion by 2032, on account of uninterrupted power supply and scalability, and emission control technologies. The escalating strain on utility power supply, coupled with heightened severity of weather-related disruptions, and a growing consumer preference for reliable backup power solutions, will contribute to the adoption of these generator sets. Ongoing government mandates toward the emission reduction along with development of advanced emission control technologies will proliferate the product deployment.
 

U.S. Generator Sets Market Share

Key companies operating in the U.S. generator sets market include :

• Kohler Co
• Yamaha Motor Co.Ltd.
• Generac Power System Inc
• Sterling & Wilson Pvt. Ltd
• HIMOINSA
• Caterpillar
• Atlas Copco AB
• J C Bamford Excavators Ltd.
• Rolls-Royce plc
• Deere & Company
• Mitsubishi Heavy Industries, Ltd.
• Wärtsilä
• Rapid Power Generation,Ltd.
• Siemens Energy
• American Honda Motor Co.
• Cummins
•  Briggs & Stratton
• Kirloskar.
   

U.S. Generator Sets Industry News

• In June 2023, Cummins introduced the Onan C-Power QSB7E generator, at Seawork Exhibition, for the commercial marine industry. This versatile product comes in open or enclosed units and is available in both 50 & 60 Hz models, boasting an impressive output of up to 195 kWe. The QSB7E generator offers ten power nodes, providing additional advantages such as easy maintenance with single-side service access and the flexibility to insert the water-cooled exhaust in either forward or rear-facing configurations, maximizing the use of available space.
   
• In March 2023, Rolls-Royce secured a supply contract for an additional four MTU naval generators for the USS Congress, the second ship in the U.S. Navy's Guided-Missile Frigate program. To support this program and manufacture the gensets in the U.S., Rolls-Royce has made investments at its production facilities in Mankato (Minn) and Aiken (S.C). The strategic investment included facility improvements as well as upgrade of the assembly, testing, and handling equipment.
   

This U.S. generator sets market research report includes in-depth coverage of the industry with estimates & forecast in terms of “Units” & “USD” from 2019 to 2032 for the following segments:

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By Power Rating

• ≤ 50 kVA
• > 50 kVA - 125 kVA
• > 125 kVA - 200 kVA
• > 200 kVA - 330 kVA
• > 330 kVA - 750 kVA
• > 750 kVA

By Fuel

• Diesel
• Gas
• Hybrid & others

By End Use

• Residential
• Commercial
  • Telecom
  • Healthcare
  • Data Centers
  • Educational Institutions
  • Government Centers
  • Hospitality
  • Retail Sales
  • Real Estate
  • Commercial Complex
  • Infrastructure
  • Others
• Industrial
  • Oil & Gas
  • Manufacturing
  • Construction
  • Electric Utilities
  • Mining
  • Transportation & Logistics
  • Others

By Application

• Standby
• Peak Shaving
• Prime/Continuous