Current Transducer Market size is anticipated to gain momentum over 2021-2027 on account of the shifting consumer preference towards green products. The increasing emphasis on low carbon emissions and sustainable energy has led to the rise in private as well as government R&D investments. Higher adoption in long-distance transfers for enhancing the signal will boost the market progression.
In addition, the growing incursion of automotive electronic control systems and the higher demand for Hall Effect current sensors will add to the product demand. For instance, Infineon, in May 2019, introduced XENSIV™ TLI4971, its family of current sensors, comprising precise and stable coreless Hall sensors for industrial applications.
Based on technology, the current transducer market is classified into open loop and closed loop. Out of these, market demand of the closed-loop current transducer could contribute to market expansion through 2027 driven by the rising technological advancements. These transducers are increasingly employed to offer higher noise immunity and accuracy. They are also utilized to measure a continuous current that is equal to or less than the nominal current. Soaring adoption in consumer electronics, medical, and the defense sector along with the higher penetration in robotics will put strong impetus to the industry growth.
On the basis of application, the converter & inverter segment is likely to emerge as a profitable avenue for the current transducer market. This can be attributed to the increasing deployment of renewable technology. The product assists in governing the response of the RCM (residual current monitoring) system as well as the accuracy of the current output waveform in PV inverters. The rising penetration of closed-loop transducers to offer high response time and linearity will further enhance the segment growth.
In terms of end-use, the current transducer industry is segmented into telecommunications, renewables, commercial, industrial, residential, transportation, and automotive. The demand for the product in renewables will grow on account of the surge in the number of alternative energy programs in various parts of the world. The paradigm shift towards renewable energy, mainly across the oil-based countries of Middle East will drive the market expansion.
The automotive sector will also see higher installation of current transducers on account of the rising adoption of electric vehicles worldwide. According to estimates by IEA (International Energy Agency), the global sales of electric cars surpassed the 2018 count, recording over 2.1 million in 2019. The increasing need for fully programmable and integrated sensors in vehicles is another impact rendering factor for the market growth.
Regionally, Asia Pacific current transducer market is set to attain traction owing to the surging obligation for control & protecting systems. The rapidly expanding population and increasing household incomes have triggered the rising penetration of consumer electronics in the region. The rising need for industrial automation and the mount in the number of smart cities will also accelerate the regional market proliferation.
Global participants in the current transducer industry include Melexis (Xtrion N.V.), Phoenix Contact, Honeywell, NK Technologies, Allegro, Veris, Infineon, and LEM.
These firms are constantly indulging in inorganic strategic moves, such as investments, capacity expansions, and new product launches, alongside collaborative measures like partnerships, and acquisitions to cater to the rising electricity demand while sustaining the growing competition.
For instance, in June 2021, Melexis, announced the launch of its next-generation current sensors that offer uses in automotive power-conversion applications. These sensors provide increased resolution, integrated over-current detection circuitry, and optional 3.3V or 5V operation.
The global economy was tremendously hit by the ongoing coronavirus crisis considering the regulation of the social distancing and lockdown policies, which gave rise to a spread of dramatic business changes. Demand for current transducer also witnessed sluggish growth considering the stalled activities in the commercial, automotive, transportation and various other industrial verticals. However, the market share saw considerable growth in the residential and medical sector to cater to the increasing electricity demand.