Research and Markets: Slew of Potent Challenges Confront South African Gearboxes and Geared Motors Manufacturers

DUBLIN, Ireland--(Business Wire)--
Research and Markets
(http://www.researchandmarkets.com/research/3c3354/south_african_gear) has
announced the addition of Frost & Sullivan's new report "South African Gearboxes
and Geared Motors Market" to their offering.

This research service examines the South African gearboxes and geared motors
market over the period, 2004 - 2014. The product segments studied are Helical,
Planetary and Worm. Within each of the three sections, Helical, Planetary and
Worm, gearboxes and geared motors will be analyzed together. The end user
segments under analysis in this research service are: metals & mining, power,
petrochemicals & chemicals, food & beverage, industrial oem applications and
others (including pulp & paper and water & wastewater).

Continued End-user Demand to Sustain Market Growth in Troubled Times

The South African gearboxes and geared motors market is a largely mature market
that will experience greater industry consolidation within the coming years due
to the tough operating conditions that are slowly emerging. The four largest
manufacturers control more than three quarters of the total market revenues. In
this environment, smaller manufacturers have to specialise or compete intensely
for the remainder of the market. This drives down prices significantly at the
lower end of the market and damages the longevity of smaller manufacturers.

Despite these challenges, the market continues to remain optimistic. Gearboxes
and geared motors are present over several end-user sectors. "Through design and
application, these motors tend to exhibit high, regular replacement rates,"
states the analyst of this research. "This feature, along with the robustness of
this market's largest end-user sector, the metals, minerals and mining sector,
will at least maintain market revenues over the next few years." Manufacturers
will have to align their products with a more comprehensive service offering in
order to maximise revenues and entrench their businesses as the South African
operating environment for producers deteriorates.

Slew of Potent Challenges Confront South African Gearboxes and Geared Motors
Manufacturers

Alternative technologies emerging in the South African electric motors market as
well as the mounting market pressures faced by importers and domestic
manufacturers of gearboxes and geared motors form the restraining crux of this
market. "The emergence of digital networks and the ever-increasing adoption of
highly automated systems stifle market expansion," states the analyst. "Many of
the applications that were traditionally best suited for a gearbox and geared
motor are now best carried out by a variable speed drive with an electric
motor." This electric motor solution is cheaper and more energy efficient.
Gearboxes and geared motors are inherently far less efficient.

Industry consolidation within the gearboxes and geared motors market is
extremely probably through either strategic partnerships or mergers and
acquisitions. Manufacturers will have struggle to achieve internal growth rates
of the past and will have to embark on cost-cutting and various other productive
improvements in order to maintain, or even expand, market share in a highly,
mature and saturated market. Moreover, the lack of significant technological
advances in this market decreases its comparative competitiveness relative to
the substitute technologies present within the electric motors market. This is
another challenge that market participants will have to gear up to face.

Key Topics Covered:

1. Executive Summary

2. Introduction

3. Forecasts for the Total Gearboxes and Geared Motors Market

4. Forecasts for the Gearboxes and Geared Motors Market

5. Strategic Recommendations and Conclusions

6. About Frost & Sullivan

For more information visit
http://www.researchandmarkets.com/research/3c3354/south_african_gear

Research and Markets
Laura Wood
Senior Manager
press@researchandmarkets.com
Fax from USA: 646-607-1907
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