Solar Connector Market - Forecasts from 2023 to 2028

The solar connector market is estimated to grow at a CAGR of 5.27% during the forecast period.

Solar connectors play a crucial role in establishing and enhancing electrical connectivity within solar energy systems. Solar connectors are categorized into different types, including MC4, MC3, and Tyco Solarlok, based on their design and specifications. Solar connectors serve a wide range of end users, including residential, commercial, and industrial sectors, thereby enabling efficient electrical connectivity within solar energy systems. The prominent driver propelling the solar connector industry's growth is the substantial increase in solar installation worldwide coupled with favorable investments.

Adoption of solar energy by commercial and industrial bolsters the solar connector market.

Solar connectors are used in solar systems to establish reliable connections between solar panels, inverters, and other components. They ensure the seamless transfer of power generated by solar panels to the electrical grid or local consumption points. The growing shift towards sustainability has increased solar PV adoption in commercial and industrial sectors which has simultaneously increased the market demand for solar connectors. According to the International Energy Agency, the global commercial and industrial solar PV power capacity reached 243 GW in 2021, and it experienced significant growth of 22.6% in 2022, reaching a capacity of 298 GW.

Adoption of solar energy by residential drives the solar connector market.

Solar connectors are crucial components in solar systems to ensure the seamless flow of electricity generated by the solar panels to the desired destination, such as batteries, inverters, or the electrical grid. The increasing adoption of solar panels in residential settings can be attributed to the improved efficiency and electricity affordability which is making them an appropriate option for homeowners seeking to reduce their reliance on traditional grid electricity and lower their energy costs. According to the International Energy Agency, the residential sector witnessed significant growth in global solar PV power capacity, reaching 144 GW in 2021. This capacity experienced a remarkable increase of 34.4% in 2022, surging to 195 GW.

Investments in the solar industry drive solar connector market growth.

Solar connectors are used in solar energy systems to facilitate the seamless flow of electricity between solar panels, inverters, and other components. Ensuring optimal performance and efficiency of the solar power system. The increase in adopting solar energy is driven by investments made in solar power projects which leads to advancements in technology, cost reductions, and increased efficiency, creating a positive cycle of growth and further driving the adoption of solar connectors. For instance, in June 2022, Vikram Solar Ltd, an Indian solar panel manufacturer, announced its new venture that aims to invest up to $1.5 billion in the U.S. solar energy supply chain. The venture's first step will involve establishing a factory in Colorado.

North America is predicted to dominate the solar connector market.

North America will account for a significant solar connector market share due to favorable government investments in the solar industry and the widespread adoption of solar energy by commercial, residential, and industrial sectors. For instance, in April 2023, the US Department of Energy a substantial investment of $82 million aimed at bolstering domestic solar manufacturing and recycling, as well as fortifying the American clean energy grid. Additionally, according to the Solar Energy Industries Association, In 2021, the cumulative installed solar capacity for residential purposes in the United States reached 29,311.89 MWdc. up 23.5% in 2022, reaching 23,353.28 MWdc. Additionally, solar installations in the commercial sector witnessed a growth of 10% in 2022 compared to the previous year.

High maintenance cost restrains the solar connector market.

The high maintenance costs associated with solar panels are acting as a significant barrier to the growth of the solar connector market. The expenses incurred for maintaining solar systems can range from Rs 1,000 to Rs 3,000 per kilowatt (kW). These costs include regular cleaning, inspection, and repair of the panels, as well as monitoring and replacing components as needed. The financial burden imposed by these maintenance expenses hampers the widespread adoption of solar connectors and poses challenges for businesses and individuals seeking to invest in solar energy solutions.

Key Developments

• April 2023:Hoymiles unveiled a new and simplified connector called the HMS Field connector, specifically designed for residential applications with single-microinverter systems. This innovative solution allows users to directly connect the microinverter to the AC cable, streamlining the grid connection process. By minimizing installation efforts and reducing costs, this connector offers enhanced convenience and affordability for residential solar installations.
• December 2022:Marley introduced a new product called ArcBox, which aims to enhance safety in solar installations. The ArcBox is specifically designed to complement Marley's SolarTile roof system and further reduce the already minimal risk of electrical fires caused by solar PV. Verified by reputable entities like the KIWA fire test laboratory and Loughborough University, the ArcBox offers an added layer of safety and is available as a component of Marley's comprehensive full roof system.
• November 2022:Equinor, a prominent energy company, agreed to acquire BeGreen, a renowned solar project developer in North-West Europe. This strategic acquisition serves to bolster Equinor's expertise and expand its portfolio in the field of solar photovoltaics (PV), enabling the company to further enhance its presence in the solar energy sector.

Company Products

• SOLARLOK PV4-S DC Crimp Connectors:TE Connectivity offers SOLARLOK PV4-S DC Crimp Connectors, specifically designed to facilitate the connection of solar panels to the power grid, specifically adapted for 1500V DC cable solutions. These connectors find applications in various components of solar energy systems such as solar and micro inverters, combiner boxes, and DC optimizers. The SOLARLOK PV4-S DC Crimp Connectors by TE Connectivity ensure reliable and efficient electrical connectivity, contributing to the seamless integration and performance of solar power installations.
• PV-C3M-S 2.5-6:Phoenix Contract offers the PV-C3M-S 2.5-6 Photovoltaic connector, designed specifically for photovoltaic applications and compliant with IEC 62930 standards. This connector utilizes a spring-cage connection method and is suitable for various cable types. With a rated surge voltage of 12.8 kV, the PV-C3M-S 2.5-6 connector ensures reliable and secure electrical connectivity within photovoltaic systems, contributing to their efficient and safe operation.

Segmentation

By Type

• MC4
• MC3
• Tyco Solarlok
• Others

By Shape

• T-Joint
• X-Joint
• U-Joint
• Y-Joint

By End-User

• Residential
• Commercial
• Industrial

By Geography

• North America
• USA
• Canada
• Mexico
• South America
• Brazil
• Argentina
• Others
• Europe
• Germany
• UK
• France
• Spain
• Others
• Middle East and Africa
• Saudi Arabia
• UAE
• Others
• Asia Pacific
• China
• Japan
• South Korea
• India
• Australia
• Other