Servo Motors and Drives Market Size, Share, Growth, and Industry Analysis, By Type (Servo Motors and Servo Drives), By Application (Machine Tools, Packaging Applications, Textile, Electronic Equipment, Automotive and Others) and Regional Insights and Forecast to 2034

•   
•   
  

  Request a Free sample to learn more about this report

    

SERVO MOTORS AND DRIVES MARKET OVERVIEW

The global Servo Motors and Drives market size is USD 14.24 billion in 2025 and market is projected to touch USD 27.71 billion by 2034, exhibiting a CAGR of 7% during the forecast period from 2025 To 2034.

The United States Servo Motors and Drives market size is projected at USD 4.77 billion in 2025, the Europe Servo Motors and Drives market size is projected at USD 4.18 billion in 2025, and the China Servo Motors and Drives market size is projected at USD 3.50 billion in 2025.

Servo motor A servo motor is a rotary or linear engine that may be positioned in a highly accurate manner because it accepts control signals and acts by changing its position to suit the control signal. The servo drive however, is the element which reads the command signal of a controller, and amplifies it to give the correct voltages and currents to a motor in the correct direction to give the desired movement.

KEY FINDINGS

COVID-19 IMPACT

Servo Motors and Drives Industry Had a negative Effect Due to Supply Chain Disruptions during COVID-19 Pandemic

The global COVID-19 pandemic has been unprecedented and staggering, with the market experiencing higher-than-anticipated demand across all regions compared to pre-pandemic levels. The sudden market growth reflected by the rise in CAGR is attributable to market’s growth and demand returning to pre-pandemic levels.

The need of the vaccines and therapeutics during the pandemic led to the reduction of the time frame in drug development. The boom reduced the threshold of preclinical and clinical toxicology testing since the pharmaceutical industries were under pressure to conduct the safety profile of the new drugs.

LATEST TRENDS

Integration of IoT and Industry 4.0 to Propel Market Growth

The introduction of IoT and industry 4.0 is having an important effect in changing the servo motors and drives environment. The new development is that smart servos are being equipped with integrated sensors and communication ports that make real-time monitoring, diagnostics and predictive maintenance a possibility. These are the functions that save on downtimes, maximize performance and improve energy efficiency.

• According to the International Electrotechnical Commission (IEC), from 1 July 2021, three-phase motors from 0.75 kW to 1000 kW must meet at least IE3 efficiency.

• United Nations U4E guidelines project that improving the energy efficiency of motors could reduce industrial motor energy usage by 20%–30% globally.

•   
•   
  

  Request a Free sample to learn more about this report

    

SERVO MOTORS AND DRIVES MARKET SEGMENTATION

By Type

Based on type the market can be categorized into Servo Motors and Servo Drives.

• Servo Motors- Servo motors can be divided into three categories namely: AC servo motors, DC servo motors and brushless DC (BLDC) servo motors.

• Servo Drives- Servo drives refer to control systems used to control servo motors movement. These may also be divided into, analog servo drive, digital servo drive and network servo drive.

By Application

Based on application the market can be categorized into Machine Tools, Packaging Applications, Textile, Electronic Equipment, Automotive and Others.

• Machine Tools- Machine tools applications are almost impossible without servo motors and drives since these applications are required to control their position, speed and torque.

• Packaging Applications- The servo motors and drives are applied in packaging industries to track the movement of the conveyors, labelers, the form-fill-seal machines, and the robotic arms.

• Textile- The textile industry has found servo motors and drives useful in knitting, weaving, spinning and dyeing machines.

• Electronic Equipment- The servo motors and drives find extensive usage in electronics manufacturing in PCB assembly where they are incorporated in PCB assembly line, Pick and place machines, semiconductor fabrication process.

• Automotive- Robots in the auto industry are commonly equipped with servo motors and drives in use in robotic welding, painting lines and robotizing body assembly lines, as well as bumper transfer applications.

MARKET DYNAMICS

Driving Factors

Rising Demand for Automation Across Industries to Drive Market Advancement

One of the key driving factors in the Servo Motors and Drives market growth is Rising Demand for Automation Across Industries. One of the main drivers is growing automation of the manufacturing, packaging, automotive, and electronics industries. In the era of efficiency, where firms want to increase their productivity, precision and regularity, servo motors and drive types are useful in automation systems, as these have the best accuracy and reaction time.

• According to the U.S. Department of Energy (DOE), electric motors, including servo motors, are responsible for 68% of electricity consumption in the industrial sector in the U.S., highlighting the increasing reliance on motorized automation in factories.

• As per the International Federation of Robotics (IFR), there are over 3.9 million industrial robots operating worldwide as of 2023, a large proportion of which use servo drives for motion control, underscoring their growing integration in robotics.

Growth in Industrial Robots and Smart Factories to Expand the Market

As the manufacturing world undergoes radical change with the advent of Industry 4.0, the call of having smart, flexible, as well as interconnected machines has increased. Industrial robots and applications running on a smart factory can saw no industrial application without servo systems as they enable constrained motion control and feedback. The trend is noticeable especially in the advanced economies as well as in the fast-industrializing economies where the efforts to develop smart manufacturing are gaining momentum.

Restraining Factors

High Initial Investment Cost Poses Potential Impediments to Market Growth

High initial cost of servo motors and drives is one of the major obstacles of adoption. The systems are costly compared to the traditional motors because of complex design, performance features, and controls. This cost might be prohibitive to the small and medium sized enterprises (SMEs) when the latter is not immediate.

• According to the U.S. Department of Energy’s Motor Systems Market Assessment, around 23% of small and medium enterprises (SMEs) report difficulty in retrofitting advanced motor and drive systems due to skill and configuration constraints.

• Data from the U.S. Advanced Manufacturing Office (AMO) indicates that installing high-efficiency motor-drive systems such as servo motors may cost 20%–30% more upfront compared to conventional motors, limiting adoption in cost-sensitive sector.

Industrial Automation and Industry 4.0 to Create Opportunity for the Product in the Market

Opportunity

The increasing trend of automation and intelligent manufacturing is a huge cause of opportunity. Industries are heading towards Industry 4.0 and there is growing additional requirement of precise control, real-time control, fine-tuning and Intelligent Motion. Servo motors or drives, measured in their accuracy and sensitivity, are essential to CNC machines, lines of robot technology, and conveyor systems.

• According to the International Electrotechnical Commission (IEC), motors within the 0.75 kW to 375 kW range are now subject to mandatory IE3 or higher efficiency standards in over 30 countries, encouraging industries to upgrade to high-efficiency servo systems.

• As per the Ministry of Heavy Industries (India), the National Programme on Advanced Manufacturing Technologies supports automation implementation across 10,000+ MSMEs, driving opportunities for servo motors in industrial retrofits.

Complexity of Integration with Legacy Systems Could Be a Potential Challenge for Consumers

Challenge

Most industrial activities use older technology which is not readily adjustable to current servo motors and drives. Since the addition of new servo systems may require retrofitting, writing custom interfaces and updating software, costs may increase and projects may be delayed. This is a disadvantage since it restricts use especially in industries that have a long equipment lifecycle (e.g. manufacturing or utilities).

• As per the IEA’s 4E Electric Motor Systems Annex, there are 15+ different national standards for energy efficiency (IE ratings), causing challenges for global servo motor manufacturers in ensuring product compliance across markets.

• According to the United Nations United for Efficiency (U4E), more than 40% of small industrial operators in low-income countries lack awareness of high-efficiency drive systems like servo motors, slowing adoption despite energy-saving potential.

•   
•   
  Request a Free sample to learn more about this report

    

SERVO MOTORS AND DRIVES MARKET REGIONAL INSIGHTS

• North America

North America in the United States Servo motors and Drives market, is an old yet developed and sophisticated market that has high demand of industries such as aerospace, defense, medical devices and packaging. Investments in automation especially in the United States are to enhance the productivity and eliminate the reliance on labor.

• Europe

Europe also holds a considerable share in the global servo motors and drives market, fueled by a strong industrial base and initiatives for energy efficiency and automation in countries such as Germany, Italy, and France. The region benefits from advanced manufacturing practices, widespread adoption of Industry 4.0, and a growing emphasis on precision engineering.

• Asia

Asia Pacific has emerged as the most dominant region in the Servo Motors and Drives market share due to a convergence of factors that propel its leadership in this dynamic industry. Asia Pacific region leads which is attributed to the high level of rapid industrialization, automation in the manufacturing sector, the robust demand in the automotive, electronic, and robotics industry.

KEY INDUSTRY PLAYERS

Key Players Transforming the Servo Motors and Drives Landscape through Innovation and Global Strategy

Key enterprise players are shaping the Servo Motors and Drives marketplace through strategic innovation and marketplace growth.

• GSK Electric Co., Ltd.: According to the China Association of Automation (CAA), GSK holds over 15% market share in the servo motor sector within China as of 2024, making it one of the largest domestic manufacturers.

• Mitsubishi Electric Corporation: According to the Japan Electrical Manufacturers' Association (JEMA), Mitsubishi Electric has produced over 500,000 servo motors annually since 2021.

Siemens AG, Rockwell Automation, Mitsubishi Electric Corporation, ABB Ltd., and Yaskawa Electric Corporation are key players in the markets of Servo Motors and Drives and are keen on innovation and strategic partnerships to make their presence felt in the markets.

List Of Servo Motors and Drives Companies

• GSK
• ABB
• Mitsubishi
• Rockwell
• Siemens
• Parker Hannifin
• Yasukawa
• Yokogawa
• Hitachi
• Kollmorgen
• Delta
• Emerson
• LS Mecapion
• Infranor
• HNC
• Schneider
• Panasonic
• Moog
• Oriental Motor
• Fanuc
• Beckhoff
• SANYO DENKI
• Toshiba
• Inovance
• Lenze
• Teco
• Tamagawa
• Rexroth (Bosch)

INDUSTRIAL DEVELOPMENT

Oct 2023: Kollmorgen introduced that explosion-proof Goldline EBH 480 Vac servo motor has been ATEX certified and listed to IECEx/cETLus.

REPORT COVERAGE

The study encompasses a comprehensive SWOT analysis and provides insights into future developments within the market. It examines various factors that contribute to the growth of the market, exploring a wide range of market categories and potential applications that may impact its trajectory in the coming years. The analysis takes into account both current trends and historical turning points, providing a holistic understanding of the market's components and identifying potential areas for growth.

The research report delves into market segmentation, utilizing both qualitative and quantitative research methods to provide a thorough analysis. It also evaluates the impact of financial and strategic perspectives on the market. Furthermore, the report presents national and regional assessments, considering the dominant forces of supply and demand that influence market growth. The competitive landscape is meticulously detailed, including market shares of significant competitors. The report incorporates novel research methodologies and player strategies tailored for the anticipated time frame. Overall, it offers valuable and comprehensive insights into the market dynamics in a formal and easily understandable manner.