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Electric Motor, Generator & Transformer Manufacturing in Germany - Market Research Report (2014-2029)

Chris Merklein Chris Merklein Frankfurt, Germany Last Updated: July 2024 WZ C27.11DE

Revenue

€14.8bn

2024

€14.8bn

Past 5-Year Growth

Profit

€XXX.Xm

Employees

43,537

Businesses

272

Wages

€X.Xbn

Electric Motor, Generator & Transformer Manufacturing in Germany industry analysis

The industry for the manufacture of generators, transformers and electric motors has developed negatively since 2019, with industry turnover falling by an average of 1.9% per year. 2019 and 2020 saw significant declines in turnover. The reasons for this included increasing international competition and the coronavirus crisis. Chinese producers have been able to catch up in recent years and assume a leading role in the manufacture of generators, transformers and electric motors. The production volume of the manufacturing industry in Germany already decreased in 2019 and fell sharply in 2020 as a result of the coronavirus crisis. This reduced demand for industry products and led to a significant slump in sales. In the current year, industry turnover is expected to fall by 3.2% to €14.8 billion.Foreign manufacturers active on the German market are putting pressure on industry players. However, demand from important sales markets is likely to recover in the current year. One indicator of growing domestic demand is the increase in production volume. The consumer climate is likely to improve and have a positive impact on demand for industry products. The trend towards electromobility is also providing positive impetus, as the growing popularity of electric cars, e-bikes, e-scooters and similar vehicles is increasing demand for electric motors. All companies are incentivised to invest in better energy efficiency, as this allows them to protect the environment and reduce their costs at the same time. This development benefits sales of modern, energy-efficient electric motors. In the current year, the rising effective exchange rate and increasing import figures are likely to have a negative impact on sales for domestic manufacturers of generators, transformers and electric motors. Furthermore, the weak economic development and the resulting decline in negative production volumes are likely to have a negative impact on industry sales.The negative trend in the industry in recent years is expected to reverse over the next five years. IBISWorld expects a slight increase in turnover of 0.9% per year on average until 2029. In 2029, total sales are expected to reach 15.5 billion euros. The energy transition and electromobility will remain the most important topics for the industry in the coming years. As part of the energy transition, the electricity grid will need to be modernised and expanded. The demand for transformers is increasing as numerous new substations need to be built in order to better distribute the power output. The increasing automation of the industry and the use of intelligent and efficient drives also offer the industry the opportunity for sales growth, while foreign competition is limiting the sales of domestic manufacturers.

Trends and Insights

  • Research and development play an important role in the industry. To survive in the global market, manufacturers must produce innovative, highly efficient generators, transformers and electric motors.
  • The energy transition is fuelling demand for new products. Modern transformers are needed to generate energy using renewable energy sources and to modernise electricity distribution.
  • The largest share of industry players is based in the Süd region, where many customers from the mechanical engineering and automotive industries are located.
  • The strong competition among German industry players is forcing companies to invest large sums in research and development. The resulting technological edge in turn improves their position on the international market.

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  • Market estimates from 2014-2029
  • Critical performance data and rankings
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Industry Statistics and Trends

Market size and recent performance (2014-2029)

Industry revenue has declined at a CAGR of 1.9 % over the past five years, to reach an estimated €14.8bn in 2024.

Trends and Insights

The coronavirus crisis caused a sharp drop in sales

  • In 2020, turnover fell by 29.8%. Demand for generators, transformers and electric motors plummeted as production volumes were significantly reduced as a result of the coronavirus crisis. Automotive manufacturers in particular cut back their production. Orders were also cancelled or postponed in the electricity sectors.
  • Additional trends and insights available with purchase
Electric Motor, Generator & Transformer Manufacturing in Germany
Revenue (2014-2029)
IBISWorld Logo Source: IBISWorld

Industry outlook (2024-2029)

Market size is projected to grow over the next five years.

Trends and Insights

The energy transition offers manufacturers of transformers, generators and electric motors sales opportunities

  • The energy transition describes the process of promoting and expanding sustainable energy generation technologies, such as solar thermal energy or wind power. This also requires new technologies and processes in the field of transformers.

Biggest companies in the Electric Motor, Generator & Transformer Manufacturing in Germany

Company
Market Share (%)
2024
Revenue (€m)
2024
Robert Bosch GmbH
1,555.1
Siemens AG
1,296.5
ABB AG
846.0

To view the market share and analysis for all 6 top companies in this industry, view purchase options.

Products & Services Segmentation

Electric Motor, Generator & Transformer Manufacturing in Germany
Products & Services
IBISWorld Logo Source: IBISWorld

Industry revenue is measured across several distinct product and services lines, including Multiphase AC motors, Transformers and Direct current motors and generators. Multiphase AC motors is the largest segment of the Electric Motor, Generator & Transformer Manufacturing in Germany.

Trends and Insights

The trend towards electromobility is increasing the demand for electric motors

  • Multiphase AC motors are electric motors that utilise a three-phase AC voltage to generate electricity. A distinction is made between synchronous machines and asynchronous machines. Synchronous machines are mainly used in industry, but are also used as drives for large vehicles such as ships and trains. Asynchronous machines are much smaller and are installed in smaller machines, making them widely used.
  • More insights available in the full report

Table of Contents

About this industry

Industry definition

The industry of manufacturing generators, transformers and electric motors includes the development and production of electric drive units. The manufacture of drive units for tools and means of transport is also part of the industry's activities. The industry does not include the manufacture of electronic transformers and switches or the production of starter motors and generators for piston combustion engines.

What's included in this industry?

Multiphase AC motorsTransformersDirect current motors and generatorsElectric motors under 37.5 wattsGenerating setsParts and other products

Companies

Robert Bosch GmbHSiemens AGABB AG

Purchase this report to view all 6 major companies in this industry.

Related Terms

SYNCHRONOUS ENGINEASYNCHRONOUS ENGINETRANSFORMATOR

Industry Code

WZ 2008

WZ 27.11 - Electric Motor, Generator & Transformer Manufacturing in Germany

Performance

Get an indication of the industry's health through historical, current and forward-looking trends in the performance indicators that make or break businesses.

Analyst insights

Research and development play an important role in the industry. To survive in the global market, manufacturers must produce innovative, highly efficient generators, transfor...

In this chapter (4)

  • Current Performance
  • Outlook
  • Volatility
  • Life Cycle

Key metrics

  • Annual Revenue, Recent Growth, Forecast, Revenue Volatility
  • Number of Employees, Recent Growth, Forecast, Employees per Business, Revenue per Employee
  • Number of Businesses, Recent Growth, Forecast, Employees per Business, Revenue per Business
  • Total Profit, Profit Margin, Profit per Business

Charts

  • Revenue, including historical (2014-2023) and forecast (2024-2029)
  • Employees, including historical (2014-2023) and forecast (2024-2029)
  • Businesses, including historical (2014-2023) and forecast (2024-2029)
  • Profit, including historical (2014-2024)
  • Industry Volatility vs. Revenue Growth
  • Industry Life Cycle

Detailed analysis

  • Trends in supply, demand and current events that are driving current industry performance
  • Expected trends, economic factors and ongoing events that drive the industry's outlook
  • Key success factors for businesses to overcome volatility
  • How contribution to GDP, industry saturation, innovation, consolidation, and technology and systems influence the industry's life cycle phase.

Products and Markets

Learn about an industry's products and services, markets and trends in international trade.

Analyst insight

The energy transition is fuelling demand for new products. Modern transformers are needed to generate energy using renewable energy sources and to modernise electricity distr...

In this chapter

  • Products & Services
  • Major Markets
  • International Trade

Key metrics

  • Largest market segment and value in 2024
  • Product innovation level
  • Total imports, level and trend
  • Total exports, level and trend
  • Trade Balance

Charts

  • Products & services segmentation in 2024
  • Major market segmentation in 2024
  • International trade, including imports by country and exports by country

Detailed analysis

  • Trends impacting the recent performance of the industry's various segments
  • Innovations in the industry's product or service offering, specialization or delivery method
  • Key factors that successful businesses consider in their offerings
  • Buying segments and key trends influencing demand for industry products and services
  • Recent trends in import and export volumes, country of origin or destination, and expected future trends

Geographic Breakdown

Discover where business activity is most concentrated in an industry and the factors driving these trends to find opportunities and conduct regional benchmarking.

Analyst insights

The largest share of industry players is based in the Süd region, where many customers from the mechanical engineering and automotive industries are located.

In this chapter (1)

  • Business Locations

Charts

  • Share of revenue, establishment, wages and employment in each region
  • Share of population compared to establishments in each region in 2024

Tables

  • Number and share of establishments in each region in 2024
  • Number and share of revenue each region accounts for in 2024
  • Number and share of wages each region accounts for in 2024
  • Number and share of employees in each region in 2024

Detailed analysis

  • Geographic spread of the industry across Europe, and trends associated with changes in the business landscape
  • Key success factors for businesses to use location to their advantage

Competitive Forces

Get data and insights on what's driving competition in an industry and the challenges industry operators and new entrants may face, with analysis built around Porter's Five Forces framework.

Analyst insights

The strong competition among German industry players is forcing companies to invest large sums in research and development. The resulting technological edge in turn improves ...

In this chapter (4)

  • Concentration
  • Barriers to Entry
  • Substitutes
  • Buyer & Supplier Analysis

Key metrics

  • Industry concentration level
  • Industry competition level and trend
  • Barriers to entry level and trend
  • Substitutes level and trend
  • Buyer power level and trend
  • Supplier power level and trend

Charts

  • Market share concentration among the top 4 suppliers from 2019-2024
  • Supply chain including upstream supplying industries and downstream buying industries, flow chart

Detailed analysis

  • Factors impacting the industry’s level of concentration, such as business distribution, new entrants, or merger and acquisition activity.
  • Key success factors for businesses to manage the competitive environment of the industry.
  • Challenges that potential industry entrants face such as legal, start-up costs, differentiation, labor/capital intensity and capital expenses.
  • Key success factors for potential entrants to overcome barriers to entry.
  • Competitive threats from potential substitutes for the industry’s own products and services.
  • Key success factors for how successful businesses can compete with substitutes.
  • Advantages that buyers have to keep favorable purchasing conditions.
  • Advantages that suppliers have to maintain favorable selling conditions.
  • Key success factors for how businesses can navigate buyer and supplier power.

Companies

Learn about the performance of the top companies in the industry.

Analyst insights

Bosch uses its generators and electric motors in its own products. The company uses most of its products for the tools and household appliances it manufactures itself.

In this chapter

  • Market Share Concentration
  • Companies
  • Company Spotlights

Charts

  • Industry market share by company in 2020 through 2024
  • Major companies in the industry, including market share, revenue, profit and profit margin in 2024
  • Overview of Robert Bosch GmbH's performance by revenue, market share and profit margin from 2018 through 2024
  • Overview of Siemens AG's performance by revenue, market share and profit margin from 2018 through 2024
  • Overview of ABB AG's performance by revenue, market share and profit margin from 2018 through 2024
  • Overview of revenue, market share and profit margin trend for 3 additional companies

Detailed analysis

  • Description and key data for Robert Bosch GmbH, and factors influencing its performance in the industry
  • Description and key data for Siemens AG, and factors influencing its performance in the industry
  • Description and key data for ABB AG, and factors influencing its performance in the industry
  • Description, key data and performance trends for 3 additional companies

External Environment

Understand the demographic, economic and regulatory factors that shape how businesses in an industry perform.   

Analyst insights

The new EU Code Design Directive has tightened the requirements for electric motors. This promotes the development of new, more efficient electric motors and transformers.

In this chapter

  • External Drivers
  • Regulation & Policy
  • Assistance

Key metrics

  • Regulation & policy level and trend
  • Assistance level and trend

Charts

  • Regulation & Policy historical data and forecast (2014-2029) 
  • Assistance historical data and forecast (2014-2029) 

Detailed analysis

  • Demographic and macroeconomic factors influencing the industry, including Regulation & Policy and Assistance
  • Major types of regulations, regulatory bodies, industry standards or specific regulations impacting requirements for industry operators
  • Key governmental and non-governmental groups or policies that may provide some relief for industry operators.

Financial Benchmarks

View average costs for industry operators and compare financial data against an industry's financial benchmarks over time. 

Analyst insights

The strong competition limits the profit margin. Chinese manufacturers in particular can produce more cheaply and offer their goods at lower prices, which means that German m...

In this chapter

  • Cost Structure
  • Financial Ratios
  • Key Ratios

Key metrics

  • Profit margin, and how it compares to the sector-wide margin
  • Average wages, and how it compares to the sector-wide average wage
  • Largest cost component as a percentage of revenue
  • Industry average ratios for days' receivables, industry coverage and debt-to-net-worth ratio

Charts

  • Average industry operating costs as a share of revenue, including purchases, wages, depreciation, utilities, rent, other costs and profit in 2024
  • Average sector operating costs as a share of revenue, including purchases, wages, depreciation, utilities, rent, other costs and profit in 2024
  • Investment vs. share of economy

Data tables

  • Cash Flow & Debt Service Ratios (2014-2029)
  • Revenue per Employee (2014-2029)
  • Revenue per Enterprise (2014-2029)
  • Employees per Establishment (2014-2029)
  • Employees per Enterprise (2014-2029)
  • Average Wage (2014-2029)
  • Wages/Revenue (2014-2029)
  • Establishments per Enterprise (2014-2029)
  • IVA/Revenue (2014-2029)
  • Imports/Demand (2014-2029)
  • Exports/Revenue (2014-2029)

Detailed analysis

  • Trends in the cost component for industry operators and their impact on industry costs and profitability 

Key Statistics

Industry Data

Data Tables

Including values and annual change:

  • Revenue (2014-2029)
  • IVA (2014-2029)
  • Establishments (2014-2029)
  • Enterprises (2014-2029)
  • Employment (2014-2029)
  • Exports (2014-2029)
  • Imports (2014-2029)
  • Wages (2014-2029)

Top Questions Answered

Unlock comprehensive answers and precise data upon purchase. View purchase options.

What is the market size of the Electric Motor, Generator & Transformer Manufacturing industry in Germany in 2024?

The market size of the Electric Motor, Generator & Transformer Manufacturing industry in Germany is €14.8bn in 2024.

How many businesses are there in the Electric Motor, Generator & Transformer Manufacturing in Germany industry in 2024?

There are 272 businesses in the Electric Motor, Generator & Transformer Manufacturing industry in Germany, which has declined at a CAGR of 3.0 % between 2019 and 2024.

Has the Electric Motor, Generator & Transformer Manufacturing industry in Germany grown or declined over the past 5 years?

The market size of the Electric Motor, Generator & Transformer Manufacturing industry in Germany has been declining at a CAGR of 1.9 % between 2019 and 2024.

What is the forecast growth of the Electric Motor, Generator & Transformer Manufacturing industry in Germany over the next 5 years?

Over the next five years, the Electric Motor, Generator & Transformer Manufacturing industry in Germany is expected to grow.

What are the biggest companies in the Electric Motor, Generator & Transformer Manufacturing market in Germany?

The biggest companies operating in the Electric Motor, Generator & Transformer Manufacturing market in Germany are Robert Bosch GmbH, Siemens AG and ABB AG

What does the Electric Motor, Generator & Transformer Manufacturing in Germany include?

Multiphase AC motors and Transformers are part of the Electric Motor, Generator & Transformer Manufacturing industry.

Which companies have the highest market share in the Electric Motor, Generator & Transformer Manufacturing in Germany?

The company holding the most market share in Germany is Robert Bosch GmbH.

How competitive is the Electric Motor, Generator & Transformer Manufacturing industry in Germany?

The level of competition is high and increasing in the Electric Motor, Generator & Transformer Manufacturing industry in Germany.

Related Industries

Widen your competitive advantage with related industries

Competitors

  • Engine & Turbine Manufacturing in Germany

Complementors

  • Electronic Component Manufacturing in Germany
  • Battery & Accumulator Manufacturing in Germany
  • Bearing & Gear Manufacturing in Germany
  • Motor Vehicle Parts & Accessories Manufacturing in Germany

International industries

  • Global Automobile Engine & Parts Manufacturing
  • Electrical Equipment Manufacturing in the US
  • Electrical Equipment Manufacturing in Canada
  • Power Automation Products and Other Electrical Equipment Manufacturing in Australia
  • Electric Motor, Generator & Transformer Manufacturing in the UK

View all industries in Germany

Methodology

How are IBISWorld reports created?

IBISWorld has been a leading provider of trusted industry research for over 50 years to the most successful companies worldwide. With offices in Australia, the United States, the United Kingdom, Germany and China, we are proud to have local teams of analysts that conduct research, data analysis and forecasting to produce data-driven industry reports.

Our analysts start with official, verified and publicly available sources of data to build the most accurate picture of each industry. Analysts then leverage their expertise and knowledge of the local markets to synthesize trends into digestible content for IBISWorld readers. Finally, each report is reviewed by one of IBISWorld’s editors, who provide quality assurance to ensure accuracy and readability.

IBISWorld relies on human-verified data and human-written analysis to compile each standard industry report. We do not use generative AI tools to write insights, although members can choose to leverage AI-based tools within the platform to generate additional analysis formats.

What data sources do IBISWorld analysts use?

Each industry report incorporates data and research from government databases, industry-specific sources, industry contacts, and our own proprietary database of statistics and analysis to provide balanced, independent and accurate insights.

Key data sources in Germany include:

  • German Federal Statistics Office (Destatis)
  • European Statistics Office (Eurostat)
  • United Nations Comtrade

Analysts also use industry specific sources to complement catch-all sources, although their perspective may focus on a particular organization or representative body, rather than a clear overview of all industry operations. However, when balanced against other perspectives, industry-specific sources provide insights into industry trends.

These sources include:

  • Industry and trade associations
  • Industry federations or regulators
  • Major industry players annual or quarterly filings

Finally, IBISWorld’s global data scientists maintain a proprietary database of macroeconomic and demand drivers, which our analysts use to help inform industry data and trends. They also maintain a database of statistics and analysis on thousands of industries, which has been built over our more than 50-year history and offers comprehensive insights into long-term trends.

How does IBISWorld forecast its data?

IBISWorld’s analysts and data scientists use the sources above to create forecasts for our proprietary datasets and industry statistics. Depending on the dataset, they may use regression analysis, multivariate analysis, time-series analysis or exponential smoothing techniques to project future data for the industry or driver. Additionally, analysts will leverage their local knowledge of industry operating and regulatory conditions to impart their best judgment on the forecast model.

IBISWorld prides itself on being a trusted, independent source of data, with over 50 years of experience building and maintaining rich datasets and forecasting tools. We are proud to be the keystone source of industry information for thousands of companies across the world.

Learn more about our methodology and data sourcing on the Help Center.