Europe Commercial Switchgear Market Size - By Voltage, By Current, By Insulation, Analysis, Share, & Forecast, 2025 - 2034

Europe Commercial Switchgear Market Size

The Europe commercial switchgear market was valued at USD 3.6 billion in 2024 and is estimated to reach the value of USD 7.7 billion by 2034, growing at a CAGR of 7.7% from 2025 to 2034. Europe is witnessing rapid urbanization, leading to a surge in commercial buildings including offices, shopping malls, hotels, and data centers. The rising need for safe and reliable power distribution in these buildings has increased demand for switchgear solutions.
 

Numerous countries in Europe are putting resources toward enhancing their outdated power infrastructure. A major grid operator, TenneT, amplified its investment endeavors in the first half of 2024, spending, USD 4.6 billion, a 30% growth in comparison to the previous year’s quarter. Governments and utilities are upgrading obsolete switchgear with digital and smart green systems that improves grid resilience and operational efficiency.
 

The policies of the European Union regarding energy use and carbon emissions are straining the commercial sector to adopt sustainable and low-impact switchgear. Vacuum and SF? free switchgear are becoming more popular because of their environmental viability. Countries are paying a lot of attention to the deployment of clean energy which in turn increases the demand for commercial switchgear within Europe. Germany planned to add 70 GW of offshore wind power by 2045 and granted several offshore wind initiatives in July 2024.
 

Europe has embraced the use of renewable energy resources, with commercial buildings incorporating more solar and wind energy systems. These changes require new types of switchgear to optimally control grid interfacing and energy variation management. France’s solar energy market experienced further expansion in 2024, achieving a total installed capacity of 23.7 GW by the end of September, out of which 22.9 GW was in mainland France, having 3.5 GW added in the first nine months of the year.
 

The digital economy and its dependency on cloud computing have greatly evolved the development of data centers in Europe. These facilities offer pivotal infrastructural support for companies, facilitating efficient and effective data storage, processing, and retrieval services. The growing popularity of e-commerce, AI, IoT, as well as fintech have spurred the need for high-performance data centers, thereby propelling the demand for sophisticated switchgear systems.
 

Europe Commercial Switchgear Market Trends

• The market of commercial switchgear is changing swiftly because of developments in smart grid systems, digitalization, and sustainability efforts. Energy-efficient, smaller and intelligent switchgear is in greater demand due to the safety, reliability, and an environmental compliance focus in commercial buildings, data centers, and industries.
   
• Europe is focusing on renewable energy for the electricity generation to reduced carbon emissions. Renewables accounted for a historic 50% of all power generation in the EU in the first half of 2024. This number will further increase due to endorsement of European government for clean energy use. Therefore, the demand for commercial switchgear will significantly increase in coming years.
   
• A fundamental market trend is the growing implementation of digital switchgear due to the integration of IoT, AI-induced automation, and real-time monitoring. These systems facilitate remote control and predictive maintenance, minimizing downtime and maximizing performance. Furthermore, data analytics related to energy management enables commercial structures to optimize power consumption, which results in significant savings.
   
• The growing use of solar and wind energy in commercial establishments requires more switchgear that integrates with renewables. In 2024, Europe added 16.4 GW of new wind power capacity, of which onshore wind constituted 84%, while EU-27 added 12.9 GW, predominantly onshore. There is a need for effective solutions in switchgear technology due to increasing deployment of solar and wind energy which are resource dependent and decentralized.
   
• The increase in environmental restrictions has led to a movement from SF? gas-insulated switchgear (GIS) to more environmentally friendly options. SF? is being replaced with solid-state switchgear, vacuum circuit breakers (VCB), and air-insulated switchgear (AIS) which have lower carbon emission levels. Europe and North America are the forerunners of this change by adopting policies for low-carbon electrical frameworks aimed at accelerating the use of green switchgear technologies.
   

Europe Commercial Switchgear Market Analysis

• The Europe commercial switchgear industry generated revenue of USD 3.3 billion, USD 3.3 billion, and USD 3.6 billion for the years 2022, 2023, and 2024 respectively. Growth in the market is primarily driven by the adoption of smart and digital switchgear in commercial places including offices, shopping malls, hospitals, data centers, and hotels. Organizations are implementing advanced switchgear systems that provide true power management through real-time monitoring, automation, and IoT interfacing, resulting in reduced energy waste and improved system reliability.
   
• The low voltage segment of Europe commercial switchgear market is expected to reach USD 4 billion in by 2034. This is due to the increasing use of electric vehicles (EVs) and EV charging stations in commercial areas. In January 2024, Europe saw the registration of 198,993 new plug-in electric cars. This figure is set to increase in the coming decades and is expected to significantly grow the switchgear market.
   
• The increasing adoption of smart building technologies is fueling demand for digital and intelligent switchgear in the low voltage segment. Modern commercial buildings are integrating IoT-enabled switchgear to enable real-time energy monitoring, automation, and robotics systems. According to recent estimates from the International Federation of Robotics (IFR), Germany has the third most robot density in the world (338 units per 10,000 workers) after Singapore and South Korea. These figures also indicate that the demand for the switchgear will be higher in coming years.
   
• Medium voltage segment is anticipated to cross USD 2.1 billion by 2034. The digitally interconnected switchgear systems assist companies optimize operational performance, conserve energy, and enhance power reliability. France achieved a benchmark in electricity production in 2024 for the last 5 years. France's electricity generation reached a 5-year high, with nuclear and renewable sources accounting for 95% of the power mix, resulting in a record low carbon intensity and record electricity exports.
   
• European countries are placing greater attention on cybersecure and automated switchgear systems along with other power infrastructure upgrades to ensure grid reliability and avoid power outages. The development of smart grids, digital energy management systems, and IoT devices are accelerating the need for LV switchgear with AI capabilities, digital controls, and remote surveillance systems. The growth of multifunctional IoT devices is enhancing the effectiveness, safety, adaptability, and responsiveness of commercial power distribution.
   

• The AC segment is set to grow at a CAGR of more than 7.6% through 2034 and is expected to continue since the AC power remains the primary choice for global electricity transmission and distribution due to its efficient long-distance transmission capabilities In 2024, European electricity infrastructure disclosed that it will identify infrastructure gaps from a pan-European perspective and assesses infrastructure projects. The portfolio consists of 176 transmission projects and 33 storage projects.
   
• AC power is the primary form of electricity used in commercial buildings and industrial applications due to its ability to efficiently transmit power over long distances with minimal losses. European electrical grids are predominantly AC-based, making AC switchgear essential for power distribution, voltage regulation, and grid stability. Unlike DC systems, which require additional conversion infrastructure, AC systems integrate seamlessly with existing electrical networks, ensuring cost-effective and reliable power management.
   
• Europe’s commitment to renewable energy expansion has increased the adoption of solar and wind power, both of which are commonly converted into AC electricity for commercial usage. In 2024, Europe installed 16.4 GW of new wind power capacity, with onshore wind accounting for 84% of the total installations. To ensure smooth integration of renewable energy into commercial power grids, AC switchgear is critical in balancing load fluctuations, preventing voltage instability, and enabling bidirectional power flow between the grid and energy storage systems.
   
• The DC segment of Europe commercial switchgear market is likely to exceed USD 1 billion by 2034 owing to the increasing adoption of renewable energy, energy storage systems, electric vehicle (EV) infrastructure, and data centers. The growing emphasis on energy efficiency, decarbonization, and advanced power management is further accelerating the demand for DC switchgear solutions in commercial applications.
   
• The countries in the Europe are also focusing relentlessly on the carbon reduction, growing the demand for the commercial switchgears across the Europe. In 2024, Italy's carbon emissions saw a slight increase, with total CO2 emissions reaching 322,948,740 tons, a 0.68% increase from 2021, and 5.41 tons per capita. While Italy aims for carbon neutrality by 2050, it's also on track to reach its 2030 targets for emissions reductions and energy efficiency.
   

• The UK commercial switchgear market in 2022, 2023 and 2024 was valued at USD 501.6 million, USD 548.4 million and USD 599 million respectively. The UK is one of Europe's largest data center hubs, driven by the growing demand for cloud computing, AI, and 5G infrastructure. In 2024, the UK Government is paying special attention to the rollout of 5G and fiber optic networks. It has launched the Open Networks Programme, an investment of nearly USD 400 million into the diversification and expansion of the country’s current 5G and 4G networks.
   
• Additionally, by the end of 2024, Germany had achieved a high level of 5G coverage, with 92% of the population receiving 5G coverage from at least one network operator. Similarly, In 2024, Italy saw significant advancements in 5G, with investments driving network expansion and the development of 5G-enabled technologies like 5G-powered TV, and 5G fixed wireless access (FWA). These number indicates that the demand for the commercial switchgear will be increasing in the coming years.
   
• As data centers continue to expand across Europe, particularly in major hubs like London, Frankfurt, Amsterdam, Paris, and Dublin, the need for uninterrupted and high-reliability power distribution has become paramount. Data centers house mission-critical IT infrastructure that demands continuous power availability to prevent downtime, which can lead to significant financial losses and operational disruptions. As a result, the demand for advanced switchgear solutions, particularly in the low and medium-voltage segments, is growing rapidly.
   
• Countries including France and Italy also has been upgrading its power infrastructure to support the increasing energy demands of commercial establishments, office buildings, retail complexes, and industrial parks. The replacement of aging switchgear with modern, energy-efficient alternatives has contributed to the market’s consistent expansion. Additionally, new construction projects have spurred demand for low and medium-voltage switchgear solutions, further driving market growth.
   
• With the European Countries’ focus on energy efficiency and grid modernization, there has been an increasing shift toward digital switchgear equipped with remote monitoring, automation, and predictive maintenance capabilities. Businesses are prioritizing cybersecure and AI-integrated switchgear solutions to enhance grid reliability, reduce power losses, and prevent outages in commercial buildings. The rising adoption of IoT-enabled switchgear has significantly contributed to the market’s value growth between 2022 and 2024.
   

Europe Commercial Switchgear Market Share

Top 4 companies including General Electric, Siemens, ABB, Schneider Electric hold more than 40% market around the world. The major companies consistently work on new products and solutions which makes them a crucial part of the industry globally. These companies place a low focus on investment, especially on research and development. Besides, these companies apply different methods of market development in order to obtain considerable shares in the industry.
 

Europe Commercial Switchgear Market Companies

• In December 2024, Hitachi Energy is investing approximately USD 47 million to expand its Europe commercial products factory in Brno, Czech Republic, marking a significant step in its global strategy to support the clean energy transition. Set to be completed by the end of 2025, the expansion will increase the factory’s production capacity by over 40% and create up to 200 new jobs.
   
• In April 2024, Digital Realty and Schneider Electric partnered with an organization to launch a circular economy initiative at the Paris 5 data center. The goal of this initiative is to extend the lifespan of critical systems at PAR5, including Schneider Electric's LV and MV electrical equipment, UPS units, and switchgear.
   

Major players operating in the Europe commercial switchgear market are:

• ABB
• CG Power and Industrial Solutions
• CHINT Group
• Eaton
• Fuji Electric
• General Electric
• HD Hyundai Electric
• Hitachi
• Hyosung Heavy Industries
• Mitsubishi Electric
• Nuventuras
• Orecco Electric
• Ormazabal
• Schneider Electric
• SGC Switchgear Company
• Siemens
• Toshiba
   

Europe Commercial Switchgear Industry News

• In October 2024, the government of the UK has secured more than USD 31.39 billion in private investments for innovative energy projects. It states that these investments will lead to the creation of thousands of jobs in the green energy sector. The investments, confirmed by a roster of private investors, are set to catalyze growth in the clean energy sector throughout the UK.
   
• In November 2024, EDP Renewables has started construction of its first large-scale renewable energy project in Germany, realizing the company’s ambition to develop clean energy in the country. The Ketzin project, located in the state of Brandenburg, west of Berlin, has been developed in collaboration with Kronos Solar EDPR, a German company specializing in solar development acquired by EDP in 2022. Kronos Solar’s consolidated experience has allowed EDP to build a strong pipeline of solar projects that will begin to materialize in the coming years.
   
• In June 2024, Siemens Smart Infrastructure is making an additional investment in its Frankfurt site. Coinciding with the inauguration of a new high-speed warehouse and expanded production area at its switchgear plant in Frankfurt-Fechenheim, Siemens has announced an additional investment in the site. The acquisition of a 3.5-hectare site with existing buildings in Frankfurt’s Ostend district will provide Siemens with additional capacity to ensure a secure energy transformation. Production in the new buildings is expected to start at the start of 2025.
   
• In April 2024, Hitachi Energy today revealed investments of over USD 1.5 billion to ramp up its global transformer manufacturing capacity to keep pace with the growing demand and support the long-term plans and electrification efforts. The investments will gradually expand the company's global transformer capacity by 2027 and are in addition to the USD 3 billion already announced to progress on the electrification of the energy system driven by the energy transition.
   

This Europe commercial switchgear market research report includes in-depth coverage of the industry with estimates & forecast in terms of “USD Million” and “’000 Units” from 2021 to 2034, for the following segments:

Click here to Buy Section of this Report

Market, By Voltage

• Low
• Medium
• High

Market, By Current

• AC
• DC

Market, By Insulation

• Air
• Gas
• Vacuum
• Others

The above information has been provided for the following countries:

• UK
• France
• Germany
• Italy
• Russia
• Spain