Frost & Sullivan: Need to Reduce Energy Costs and Promote Energy Efficiency Drives the European Low Voltage AC IHP Motors Market

LONDON, July 12, 2010 - Industrial growth, new technologies and the need for automation are key
factors that determine the demand for electric motors in Europe. Vital
industries, such as metals and mining, life sciences and power generation,
among many, require energy-efficient products to reduce carbon emissions and
conserve energy, thereby driving the European low voltage (LV) alternating
current (AC) integral horsepower (IHP) motors market.

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New analysis from Frost & Sullivan (www.motors.frost.com),
European Low Voltage AC IHP Motors Market, finds that the market earned
revenues of $2,273.3 million in 2009 and estimates this to reach $3,046.1
million in 2016. The end users covered in this research service include
chemicals and petrochemicals, oil and gas, power generation and utilities,
water and wastewater, pulp, paper and packaging, heating, ventilation and air
conditioning (HVAC), automotive, transportation and shipbuilding industry,
food and beverage and others.

"The European manufacturing sector is increasingly becoming conscious
about energy consumption," says Frost & Sullivan Program Manager - Abhishek
Gokhale. "Energy efficiency programs and policy interventions are expected to
increase the uptake of new LV AC IHP motors."

Following the introduction of new energy classes (IE classification) and
stringent market regulations, the motors market will witness an increase in
the number of adoptions of innovative energy-efficient motors. Compliance
with energy regulations and soaring energy costs will facilitate the recovery
of the market, leading to sustainable growth in the future.

However, price plays a dominant role, hindering manufacturer ability to
evaluate product development capabilities as compared to customer price
expectations. The pricing of motors has become the decisive factor for
customers in selecting a supplier.

Greater focus on the renewable energy sector and effective after-sales
service network are the keys for growth in the European LV AC IHP motors
market. Competitive prices and value-addition to justify pricing will help to
differentiate from the competitors.

"Flexible manufacturing practices will help the European LV motor
manufacturers to stay operationally efficient and have a firm control over
operational costs," concludes Mr Gokhale. "This would help them sustain their
profit margins in the short-term despite the declining demand."

If you would like to obtain a complimentary Executive Summary of this
study, please send an e-mail to Joanna Lewandowska, Corporate Communications,
at joanna.lewandowska@frost.com, with your full name, company name, title,
telephone number, company e-mail address, company website, city, state and
country.

European Low Voltage AC IHP Motors Market is part of the Power
Transmission Growth Partnership Services programme, which also includes
research in the following markets: European Medium Voltage AC IHP Motors
Market, Indian Integral Horse Power Motors Market, North American Alternating
Current Integral Horse Power Low Voltage Motors Market, North American
Alternating Current Integral Horse Power Medium Voltage Motors Market, and
South African Fractional Horsepower Motors Market. All research services
included in subscriptions provide detailed market opportunities and industry
trends that have been evaluated following extensive interviews with market
participants.

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           European Low Voltage AC IHP Motors Market
                            M4CB

    Contact:
    Joanna Lewandowska
    Corporate Communications - Europe
    P: +48-22-390-41-46
    E: joanna.lewandowska@frost.com

www.frost.com

Joanna Lewandowska, Frost & Sullivan, Corporate Communications - Europe, +48-22-390-41-46, joanna.lewandowska at frost.com