The global bearing market size is estimated to touch USD 186.1 billion by 2025, registering a CAGR of 9.1% during 2014-2025 (Source: Grand View Research, Inc., Report).
Bearing Industry in India
The estimated consumption of anti-friction bearings in India is about Rs. 9500 to 10500 Cr. The comprehensive usage of bearing and its subsequent use in all equipment makes it a significant element of the manufacturing ecosystem. It can be segregated into
- Ball Bearing and
- Roller bearing assemblies of various designs.
The bearings’ demand is mainly derived from two main user segments:
- Automotive and
- Industrial sectors.
Indian automotive bearing market
The Indian automotive bearing market in 2019, was valued at INR 70 billion, and is estimated to reach INR 156.8 billion by 2024, registering a CAGR of ~18%, between 2020 and 2024 (Source: Businesswire).
The automobile sector was hit hard in fiscal 2020. Sales declined across vehicle segments,
owing to lower discretionary incomes and a general economic slowdown, followed by plant shut-downs due to the Covid-19 crisis. However, the Government’s Make in India initiative
is pushing the automotive component manufacturers.
The Commercial Vehicle (CV) market in India, a direct indicator of economic activity, is expected to experience a CAGR of 2.97% from 2018 to 2030 (Source: PR Newswire).
India is expected to emerge as a leader in the CV market with the Government initiatives, a strong supplier ecosystem, availability of raw materials and skilled human resources.
Industrial Bearing Market
The industrial segment is a major growth driver for the Indian economy. The Government endeavors to invigorate manufacturing and increase the sector’s contribution to GDP.
Indian Railways is working towards transforming the passenger experience. It is entering a high-speed era, reducing logistical costs and spearheading advanced manufacturing. Several upcoming Metro Rail projects across major cities have piloted many global players to invest and set up manufacturing in India.
Original Equipment Manufacturers (OEMs) in Bearing Industry
Original Equipment Manufacturers (OEMs) constitute a larger share of the market demand. The secondary sources i.e. After-market, make up for the rest.
Demand Driver for Bearing
The automotive sector constitutes a larger market demand share. But even then, the industrial bearings market is far more widespread with a higher number of applications. The usage of bearings is fairly diversified in the automotive sector. It is primarily led by the demand from
- Passenger Vehicles (PV),
- Commercial Vehicles(CV),
- Two-Wheelers (2W),
- Three-Wheelers (3W), and
- Tractors.
The demand for the industrial segment, is largely driven by general machines/motors, electrical equipment (fans/appliances) as well as heavy industries.
Opportunities in Indian Bearing Market
India is considered a lucrative destination because of its market size and a hub for exports, explaining Foreign Direct Investment’s (FDI) healthy growth recorded in the last five to six years.
FDI elevated from USD 190 billion between financial years 2009-10 and 2013-14 to USD 284 billion during financial years 2013-14 and 2018-19 (Source: Union Budget 2020). Also, the Government’s constant focus on the Make in India initiative, economic stimulus and policy support towards infrastructure, Power and Oil & Gas, Airports, Roads and Ports
will present a plethora of opportunities for the key industries powering the economy.
The bearing market’s growth is determined by various factors like surge in demand for PV, CV and 3W. It is also ascertained by elevation in the number of heavy, general and other industries and a larger demand from infrastructure growth, driving the market ahead. Bearings are extensively used in all the industries that require precision in dimension as a key to performance.
The increasing demand for precision bearing from aerospace and the corresponding industries is expected to aid revenue spikes. Further, the miniature bearings requirement in industrial robots will escalate the growth.
Additionally, technological evolution in office automation, medical equipment, and audiovisual equipment will fuel demand for these kind of products. The development of application-specific bearing is a factor enabling growth.
This, in turn, is encouraging manufacturers to offer customized bearings. Tailored bearings help meet specific requirements in various applications: weaving looms, agriculture machinery, vacuum pumps, and turbochargers, among others.
Bearings can be segregated into Ball Bearing and Roller bearing assemblies of various designs.
