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Air Insulated Switchgear Market size worth $18 Bn by 2032

  • Published Date: March 6, 2023

Air Insulated Switchgear Market size is set to surpass USD 18 billion by 2032, according to a new research report by Global Market Insights Inc.

The report reveals that the peak load demand and electrification programs will fuel air-insulated switchgear development. Citing an instance, in June 2022, the Ivorian government inked deals with the EU and the French Development Agency to provide over USD 7.3 million in funding to finance a rural area electrification project. Despite the economic recovery from the COVID-19 crisis, smart grid investment must also be more than double by 2030 to reach the 2050 Net Zero Emission target. Since such factors may lead to an increased interest in smart grid development, the usage of air insulated switchgear in power distribution facilities and substations is likely to rise.

In addition, governments are undertaking favorable regulatory measures for uninterrupted electricity delivery. These initiatives, alongside the expansion of micro-grid networks and rising renewable energy integration, will create lucrative growth opportunities for air-insulated switchgear manufacturers. However, slow-paced technological innovation may restrict the installation of advanced power transmission modules. Furthermore, regulatory and geopolitical constraints may hamper industry development to some extent.

Expansion of large-scale industries & manufacturing facilities drives use of air-insulated HV switchgear

In terms of voltage, the air insulated switchgear market from high (> 36 kV) segment will amass considerable gains during the forecast period, on account of the expansion of large-scale industries and manufacturing facilities. Over the years, there has been a strong focus on boosting the reliability and safety of large electric grid networks. Several investor-owned utility companies have also reported a record addition of power transmission and distribution in-services, spurring high-voltage air-insulated switchgear production.

High spending on residential infrastructure to impel air-insulated switchgear adoption

Residential air insulated switchgear market is slated to depict over 9% gains through 2032, considering the rising private and public funding schemes for real estate development. For instance, in April 2022, Tata Housing announced plans to invest over USD 145 million to acquire land and develop housing projects over the next two years. Moreover, government initiatives geared toward the modernization of electrical networks will escalate the usage of air-insulated switchgear components for residential power distribution.

Browse key industry insights spread across 300 pages with 487 market data tables & 26 figures & charts from the report, “Air Insulated Switchgear Market Size By Voltage (Medium {> 3 kV to ≤ 36 kV}, High {> 36 kV}), By Application (Residential, Commercial & Industrial, Utility), COVID-19 Impact Analysis, Regional Outlook, Growth Potential, Competitive Market Share & Forecast, 2023 – 2032”, in detail along with the table of contents:

Reliance on clean energy & grid expansion projects to bolster air-insulated switchgear sales in Europe

Europe air insulated switchgear market is poised to register more than 8% CAGR between 2023 and 2032, as a result of the introduction of favorable electricity regulations. European states have also set renewable energy targets to curb carbon dioxide emission rates. The report claims that the preference for energy-efficient technologies and the emphasis on the refurbishment of existing grid infrastructure will further contribute to regional industry growth.

Middle East and Africa air insulated switchgear market revenue is predicted to record nearly USD 1 billion by 2032, considering the high investment in power transmission systems. To cite an instance, in 2022, the Dubai Electricity and Water Authority commissioned 17 electricity transmission substations at a cost of USD 871 million. Countries including the UAE have also been undertaking key measures to foster the adoption of clean energy for electricity generation. These initiatives will augment the use of air-insulated switchgear to protect grid-connected renewable energy systems across the region.

Product range expansions to emerge as key growth strategy for industry players

Key participants operating in the global air insulated switchgear market are Eaton, Toshiba Corporation, Lucy Group Ltd., S&C Electric Company, Shanghai Delixi Group Co., Ltd., Beijing Sojo Electric Company Limited, Chint Group, alfanar Group, Schneider Electric, ABB, Hitachi Energy Ltd., Mitsubishi Heavy Industries, Ltd., General Electric, and Siemens. These firms are incorporating strategies such as product range expansions to expand their customer base and business footprint in the industry.

Authors: Ankit Gupta, Riya Gupta