Global DC Switchgear Market - 2022-2029

Global DC Switchgear Market - 2022-2029

Market Overview

The global D.C. switchgear market size was worth US$ XX million in 2021 and is estimated to reach US$ XX million by 2029, growing at a CAGR of XX% during the forecast period (2022-2029).

A unidirectional flow of electric current is called direct current (D.C.). D.C. current is mainly used in high voltage transmissions for bulk electricity transmission. Switchgear is a broad term that refers to electrical equipment used in the transmission network. Switchgear combines various electrical equipment such as electrical switches, fuses, or circuit breakers to regulate, protect and isolate electrical equipment in a power network. Switchgear is installed at various voltage levels across the power value chain, from generation to transmission, distribution and consumption.

Market Dynamics

The demand for D.C. switchgear is mainly driven by the increasing global investment in electrical infrastructure. It is the most important driver for the market. The environmental vulnerability in D.C. switchgear is a key factor in limiting the growth of this market.

Increasing global investment in the electrical infrastructure

Significant investment is being undertaken to upgrade and improve existing electric infrastructure across the globe. According to U.S. Department of Energy (DOE), from 2022 to 2030, a safe and secure electrical distribution system will cost between US$ 1.5 and US$ 2 trillion. To assure the safety of distribution systems in U.S., the electric power sector developed voluntary standards to ensure the synchronization of various electrical distribution systems.

Currently, there are mandated dependability standards in place for operating power systems and addressing security risks at important electrical infrastructure. The North American Electric Reliability Corporation (NAERC) and its member organizations, for example, set and enforce these standards throughout North America, which the Federal Energy Regulatory Commission accepted by U.S. and Canadian authorities in Canada.

Developing country governments invest in raising electrification rates by giving energy to remote villages. According to the International Energy Agency (IEA), by 2030, an extra 1.7 billion people will have access to electricity, lowering the total number of people without electricity to around 1 billion, or roughly 10% of the global population. Furthermore, the demand for rail transportation is rapidly increasing. Short-distance air travel can be substituted with high-speed rail, but a major investment in the power supply network is required to operate high-speed railways economically. The main electricity transmission and distribution backbone is the D.C. switchgear important component of D.C. substations.

Environmental vulnerability issues in D.C. switchgear

Temperature and humidity and water seepage from the ground are all elements that can reduce the effectiveness of D.C. switchgear electrical networks, particularly those situated outside. Electronic equipment can be degraded by high levels of electromagnetic interference (EMI), vast temperature variations, vibration and shock and the presence of damaging contaminants.

As a result, design specifications must be more stringent than commercial installations. Traditional technology employed in such substations would initially operate, but the underlying pressures would eventually surface, causing D.C. switchgear and other associated equipment to fail. D.C. switchgear must meet or surpass strict requirements to ensure reliable and proper operation in the substation environment.

High expenditure is incurred in protecting D.C. switchgear equipment from environmental damage. Preventive maintenance and other measures required to protect the equipment also involve significant expenditure. The environmental vulnerability of D.C. switchgear is a key challenge preventing the growth of the market.

COVID-19 impact analysis

The global D.C. switchgear market experienced severe impacts due to the COVID-19 pandemic. Lockdowns and other movement restrictions imposed by governments halted manufacturing activities. It severely affected D.C. switchgear production and other critical electrical components.

Governments and organizations were able to meet the demand for switchgear from accumulated reserve stockpiles before the pandemic. However, with the exhaustion of reserves, much of the critical infrastructure work was halted due to production shortfall. Switchgear manufacturing has a global supply chain, with the production of components subcontracted to third-party manufacturers in various countries. The pandemic has led to a severe disruption in global supply chains and logistical delays. It has caused massive production problems and the production of D.C. switchgear is not expected to recover until the end of 2021.

The short-term impact of the pandemic has been severe for the D.C. switchgear market. The pandemic will not impact the long-term growth of the global D.C. switchgear market since governments prioritize investment in upgrading electricity infrastructure to ensure a stable energy supply. It will generate massive demand for various electrical components. The demand for D.C. switchgear remains strong and is expected to grow gradually in the coming years.

Segment Analysis

The global D.C. switchgear market is segmented into voltage, deployment, application and region. The DC switchgear market is segmented into the fixed mounting, plug-in and withdrawable units. The fixed mounting segment is expected to hold the largest market size for D.C. switchgear during the forecast period. Fixed mounting is the most preferred option for the deployment of D.C. switchgear. The high-cost efficiency, low failure rate and exceptional safety factor of fixed mounting D.C. switchgear are expected to increase their adoption rate further.

Geographical Analysis

Asia-Pacific is leading in the global D.C. switchgear market. The region accounts for a large market share, primarily due to the presence of China and India. Both the countries have a combined population of nearly 3 billion people, accounting for nearly 36% of the total global population. Both the countries are rapidly industrializing and have made significant investments in electricity generation, transmission and public infrastructure.

China has the second-largest railway network globally, spanning nearly 150,000 km, out of which nearly 100,000 is electrified. China also has the largest high-speed rail network in the world. India is another country with a major national railway network. India's rail network spans 126,366 km, out of which nearly 45,000 km is electrified. India is also developing a high-speed rail network. Both the countries are undertaking major infrastructure programs to upgrade the electricity distribution network. The Asia-Pacific region is expected to retain the largest share in the global D.C. switchgear market.

Competitive Landscape

The global D.C. switchgear market is competitive due to a wide range of D.C. switchgear systems that cater to various applications across various industrial verticals. Some of the players contributing to the growth of the market are ABB, Siemens, Eaton, Hitachi Energy Ltd., General Electric, Schneider Electric, Sécheron, LS ELECTRIC Co., Ltd., Myers Power Products Inc., Toshiba Infrastructure Systems & Solutions Corporation. The major players adopt several growth strategies such as new product launches, joint ventures and collaborations, contributing to global growth in the industry.

Schneider Electric

Overview: ASEA Brown Boveri, abbreviated to ABB, is a major multinational conglomerate specializing in robotics, power, heavy electrical machinery and automation technology. It has manufacturing operations in 12 countries and its products are sold in more than 150 countries globally through a network of 16 subsidiaries and hundreds of distributors. ABB was founded in 1883 and is headquartered in Zurich, Switzerland.

Product Portfolio

Enviline DCGear is the company's range of D.C. switchgear for traction power supply applications. The switchgear is metal enclosed and compartmentalized for indoor installation. The voltage rating is from 750V up to 3000V with a 6000A service current rating. The switchgear has internal arc resistance along with other passive safety features. The switchgear conforms to all IEC and EN standards for electrical equipment.

Key Developments:

In October 2020, ABB unveiled the PrimeGear ZXO, gas-insulated switchgear. The switchgear allows operators to switch to an eco-friendly alternative at any point during the service life of the switchgear. The launch of PrimeGear is among the various product launches by the company to revamp its offerings with environmentally sustainable solutions.

Why Purchase the Report?

Visualize the composition of the D.C. switchgear market segmentation by the voltage, deployment, application and region, highlighting the critical commercial assets and players.

Identify commercial opportunities in the D.C. switchgear market by analyzing trends and co-development deals.

Excel data sheet with thousands of global D.C. switchgear market-level 4/5 segmentation data points.

PDF report with the most relevant analysis cogently put together after exhaustive qualitative interviews and in-depth market study.

Product mapping in excel for the critical product of all major market players

The global D.C. switchgear market report would provide access to an approx.: 58 market data tables, 63 figures and 230 pages.

Target Audience 2022

D.C. switchgear service providers

Electrical equipment manufacturers

Energy companies

Industry Investors/Investment Bankers

Education & Research Institutes

Research Professionals