The air circuit breaker market is poised for substantial expansion, with its market size projected to grow from approximately USD 3.2 billion in 2023 to around USD 4.1 billion by 2028, reflecting a compound annual growth rate (CAGR) of 5.0% during the forecast period spanning from 2023 to 2028. This growth is underpinned by several driving factors. Notably, there are increasing investments in power generation, with a particular focus on renewable energy sources. Additionally, there is a rising global demand for a reliable and secure power supply, prompting enhancements and expansions of transmission and distribution networks. Moreover, the railway sector is experiencing heightened investment activities, further bolstering the air circuit breaker market's growth.
The air blast circuit breaker segment is expected to hold the largest share of the air circuit breaker market, by type, during the forecast period.
During the projected timeframe, Air blast circuit breakers dominate the air circuit breaker market due to their aptness for ensuring the stability and dependability of electrical grids amid escalating demand, particularly in urban and industrial zones. Although they may entail higher initial expenses compared to some alternatives, their proven longevity and reliability often translate into lower overall ownership costs over extended periods. These circuit breakers adhere to industry standards and safety regulations in many regions, bolstering their standing as a trusted choice for electrical safeguarding. With a history of successful deployment in high voltage and mission-critical scenarios, air blast circuit breakers maintain their enduring preference in the market.
Residential: The largest-growing segment of the air circuit breaker market
The residential segment is expected to exhibit the highest growth rate in the air circuit breaker market from 2023 to 2028, based on its application. The residential segment's dominance in the air circuit breaker market can be attributed to several crucial factors. The robust growth of the construction industry in urban areas, driven by population expansion and urbanization, has led to a higher demand for electrical distribution and protection systems, including air circuit breakers, as more residential buildings are erected. The modernization of homes with a plethora of electrical appliances and home automation systems has increased energy consumption, necessitating reliable circuit breakers for protection against overcurrents and short circuits. Safety remains a paramount concern in residential environments, and air circuit breakers are well-suited to mitigate electrical faults, reduce the risk of electrical fires, and ensure residents' safety. Furthermore, the presence of building codes and regulations in many regions mandating the installation of circuit protection devices like air circuit breakers in residential buildings adds to the segment's growth by ensuring compliance with safety standards.
Asia Pacific: The fastest-growing market for air circuit breaker.
The Asia Pacific region is experiencing rapid growth in the air circuit breaker market, followed by North America and Europe. The Asia Pacific region is witnessing significant urbanization and industrialization, resulting in a surging demand for electricity. This increased need for dependable electrical distribution and protection systems, including air circuit breakers, is driven by the migration of more people to urban centers and the expansion of industries. Both governments and private sector entities across the Asia Pacific are making substantial investments in infrastructure development, encompassing the expansion and modernization of electrical grids, power generation facilities, and industrial zones. Notably, these infrastructure initiatives often incorporate advanced circuit protection solutions like air circuit breakers. Moreover, stringent safety regulations prevalent in many Asia Pacific countries necessitate the use of air circuit breakers, valued for their high breaking capacity and reliability in interrupting fault currents, ensuring compliance with rigorous safety standards.
Breakdown of Primaries:
Primary interviews were undertaken with a diverse array of pivotal figures within the industry, encompassing subject-matter experts, C-level executives representing prominent market players, industry consultants, and other pertinent experts. The primary objective of these interviews was to acquire and authenticate vital qualitative and quantitative data, along with assessing the market's future outlook. The distribution of these primary interviews is outlined as follows:
- By Company Type: Tier 1 - 65%, Tier 2 - 24%, Tier 3 - 11%
- By Designation: C-Level - 30%, D-Level - 25%, Others - 45%
- By Region: North America - 27%, Europe - 20%, Asia Pacific - 33%, Middle East & Africa - 8%, , and South America - 12%
Note: The tier of the companies has been defined based on their total revenue; as of 2022: Tier 1 = >USD 5 billion, Tier 2 = USD 1 billion to USD 5 billion, and Tier 3 = <USD 1 billion.
The key players in the air circuit breaker market include companies such as ABB (Switzerland), Schneider Electric (France), Siemens (Germany), Mitsubishi Electric (Japan), and Eaton (Ireland).
Research Coverage:
The report offers an extensive and in-depth assessment of the circuit breaker market, spanning multiple geographical regions. Its primary objectives are to estimate the market's size and evaluate its potential for future expansion, taking into account various segments such as type, voltage capacity, applications, and regional dynamics. Furthermore, the report includes a meticulous competitive analysis of key market participants, presenting their company profiles, recent advancements, and key strategic approaches. The market has been segmented based on type, voltage capacity, applications, and geographical regions, with a particular emphasis on dissecting prevalent industry trends. Additionally, the report delivers a market share analysis of leading players, delves into supply chain intricacies, and offers detailed company profiles, collectively furnishing insights into the competitive landscape and emerging high-growth sectors within the air circuit breaker market.
Key Benefits of Buying the Report
The report is meticulously crafted to aid both industry leaders and newcomers in the air circuit breaker market by furnishing them with dependable revenue projections for the entire market and its constituent sub-segments. This data serves as a valuable resource for stakeholders, empowering them to gain a comprehensive understanding of the competitive landscape and formulate effective go-to-market strategies for their businesses. Additionally, the report serves as a conduit for stakeholders to grasp the present conditions of the market, offering crucial insights into market drivers, constraints, challenges, and growth opportunities. By assimilating these insights, stakeholders can make informed decisions and remain attuned to the ever-evolving dynamics of the air circuit breaker industry.
- Analysis of key drivers (They include increased investments in clean energy, expanding and improving power networks, strengthening power distribution infrastructure, and rising industrial investments), restraints (They encompass regulations that restrict emissions of SF6 gas and competition from smaller, less organized companies), opportunities (They involve the rising adoption of high-voltage direct current systems and the integration of smart technologies into electrical systems), and challenges (They encompass risks like high temperatures, arc flashes, and overpressure during operation, as well as the complexities of installing modernized circuit breakers) influencing the growth of the ac circuit breaker market.
- Product Development/ Innovation: The air circuit breaker market is on an optimistic trajectory, as exemplified by recent significant developments such as Mitsubishi Electric's acquisition of Scibreak AB. On February 16, Mitsubishi Electric made a noteworthy announcement, revealing its full acquisition of Scibreak AB, a Swedish company with specialized expertise in the development of DC air circuit breakers (DCCBS). This strategic acquisition is aimed at strengthening the competitive edge of both companies by fostering a close partnership focused on advancing DCCB technologies tailored for high-voltage direct current (HVDC) systems. This collaborative initiative aligns perfectly with the increasing global adoption of renewable energy sources and highlights the industry's dedication to supporting the expansion of HVDC systems.
- Market Development: The expansion of power distribution networks can be attributed to several key factors. These include the increase in per capita income, the growth of the middle-class population, urbanization, and improved access to electricity in remote areas. In some developing countries, there is a shift towards prioritizing distributed power generation rather than relying solely on large national grids, especially in rural electrification initiatives. For instance, the Indian Government is actively working on enhancing electricity supply in villages through initiatives like the Restructured Accelerated Power Development and Reforms Program (R-APDRP) and the Deendayal Upadhyaya Gram Jyoti Yojana (DDUGJY). These schemes create significant opportunities for the air circuit breaker market to play a vital role in the development of robust and reliable power infrastructure.
- Market Diversification: The air circuit breaker market is presently dominated by developed nations like the United States, Europe, and Japan. Nevertheless, there's a surging demand for air circuit breakers in developing countries such as China, India, and Brazil. To diversify their customer base and reduce reliance on mature markets, air circuit breaker manufacturers can expand into these emerging markets. Additionally, they can explore partnerships or acquisitions, possibly with companies producing complementary products like switchgear or transformers. This expansion strategy enables offering a broader product range and enhancing market presence. Moreover, addressing the growing demand for smart air circuit breakers, especially in emerging markets, can be a pivotal focus, providing efficient monitoring and control solutions for various industries. By tailoring cost-effective products and solutions to meet specific market needs, air circuit breaker manufacturers can tap into the high growth potential of emerging markets. Collaborations with other players in the electrical industry can also yield benefits by providing comprehensive power distribution solutions to customers.
- Competitive Assessment: A thorough assessment has been carried out to examine the market presence, growth tactics, and service portfolios of leading players in the air circuit breaker market, which encompass companies like Eaton (Ireland), ABB (Switzerland), Schneider Electric (France), Siemens (Germany), and Mitsubishi Electric (Japan), among others. This evaluation offers comprehensive insights into the competitive standing of these major players, their strategies for fueling market expansion, and the spectrum of services they provide within the air circuit breaker segment.
Table of Contents
Companies Mentioned
- ABB
- C&S Electric
- Cg Power & Industrial Solutions Ltd.
- Eaton
- Entec Electric & Electronic
- Federal
- Fuji Electric
- Havells
- Hitachi
- HPL
- Hyundai Electric
- Legrand
- LS Electric Co. Ltd.
- Mitsubishi Electric
- Romac Electronics
- Schneider Electric
- Siemens
- Terasaki Electric
- Toshiba International Corporation
- Weg
Methodology
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Table Information
| Report Attribute | Details |
|---|---|
| No. of Pages | 199 |
| Published | December 2023 |
| Forecast Period | 2023 - 2028 |
| Estimated Market Value ( USD | $ 3.2 Billion |
| Forecasted Market Value ( USD | $ 4.1 Billion |
| Compound Annual Growth Rate | 5.0% |
| Regions Covered | Global |
| No. of Companies Mentioned | 20 |
