Five major trends fostering North America switchgear market outlook over 2019–2025
Since the global electricity industry switched to the AC system from the DC system for power distribution and transmission, the switchgear market has been the mainstay of the global power distribution industry. The use and importance of switchgear has grown across the globe owing to the shift to AC power supply, leading to the growth of switchgear market. Going forward, introduction of new facilities by key market players is expected to boost the switchgear market share.
Request a sample of this research report @ https://www.gminsights.com/request-sample/detail/3241
Citing an example, in April of 2020, Meiden America Inc., a subsidiary of the Japan-based Meidensha Corp., reportedly announced that it is expanding production of its high-voltage vacuum circuit breakers, where its Fountain Inn would facility be its first production base in North America.
As per a research report by Global Market Insights, Inc., North America switchgear market is estimated to surpass a $25 billion valuation by 2025.
Rising expenditure toward electrical infrastructure development in compliance with government measures towards the expansion of power grids across rural areas will augment the North America switchgear industry share. Additionally, significant growth in consumption of electricity and the rising concern toward the advancement of current grid infrastructure will fuel the market landscape.
Below is a brief overview of key trends that are stimulating the market growth:
Rising demand for HV & MV
High voltage and medium voltage switchgear market is projected to witness substantial growth owing to rampant industrial and commercial developments. Developments of T&D networks coupled with extensive product applications throughout distribution networks will further boost the North America switchgear industry.
Increasing adoption of vacuum isolated switchgear
In terms of insulation, vacuum insulated switchgear will foresee considerable growth due to adaptable frequency variations as well as an ability to withstanding high impulse voltage. Ease of actuation in combination with pollution and noise free operation will further drive the product deployment across North America.
Growing product demand across residential & commercial sector
In terms of applications, the residential and commercial applications accounted for around 20% of the switchgear market share of North America. Sustainable infrastructure development supported by favorable government policies and the expansion of urban areas will push the market outlook in coming years. Moreover, development of smart control networking backed by incorporation of distributed generation sources will further augment the product deployment.
Growing demand for indoor systems
Indoor switchgear market is projected to grow at a rate of 5% by the end of the analysis period. Booming real estate sector due to the growing public and private investments will foster the market scenario. Furthermore, rising space restrictions and increasing inclination toward power distribution infrastructure that are energy efficient will further stimulate the product deployment.
In addition, indoor switchgears are more preferred in comparison to outdoor systems due to the benefits they offer. Indoor switchgears are considered to be safer and more reliable, have low operating costs, are less prone to environmental conditions, are more durable and easier to maintain, and occupy less space than the outdoor systems. All the above-mentioned features will further stimulate the demand for indoor systems in coming timeframe.
Shifting industry landscape
Increasing focus toward packaged switchgear technology coupled with custom-built product specifications for flexible applications have established a competitive industrial outlook. Effective technological, and engineering support that falls line with faster lead time will further fuel the switchgear market in North America.
Notable players covering the major share of the market consist of GE, Larson & Turbo, Fuji Electric, Eaton, Toshiba, Hubbell, Mitsubishi Electric Systems, BHEL, Hyosung, Meidensha Corporation, Crompton Greaves, Powell Industries, Schneider Electric, Rittal, Ormazabal, ABB, Hitachi Ltd., Siemens AG, Iljin Electric, and Lucy Electric among others. Overall, the market is likely to grow significantly owing to substantial growth in consumption of electricity and construction of new production facilities to cated this rising demand.
