Asia-Pacific Explosion Proof Equipment Market - Growth, Trends, Covid-19 Impact, and Forecasts (2023 - 2028)

Asia-Pacific Explosion Proof Equipment Market - Growth, Trends, Covid-19 Impact, and Forecasts (2023 - 2028)

The Asia-Pacific explosion proof equipment market was valued at USD 1,981.36 million in 2021, and it is expected to reach USD 3,114.49 million by 2027, registering a CAGR of approximately 7.63% during 2022-2027.

• Explosion-proof equipment is electrical and non-electrical fixtures that can prevent and withstand explosions. An explosion-proof piece of equipment has an apparatus enclosed in a case, capable of withstanding an explosion of a specific gas or vapor that may occur within it.
• Explosion-proof equipment finds its applications in diverse industries, such as aerospace and aircraft maintenance sites, construction sites, HVAC systems, manufacturing and machine processing units, mining fields, and oil and gas extraction fields. Lighting, surveillance, and signaling systems are some of the several most preferred types of equipment across the industries.
• The rise of industrialization in Asian countries, especially in India and China, is expected to drive the market for explosion-proof equipment. Also, the mining industry is growing in India with a pro-industry new government. Also, oil-rich regions like the South China Sea and the Arabian Sea are providing a tempting market for explosion-proof equipment as the guidelines get stricter.
• With the outbreak of COVID-19, the oil and gas and petrochemical industries have been severely affected due to a drastic decrease in product demand, falling prices, and storage shortages. In the Asia-Pacific region, a significant decline in oil and gas demand was reported during the lockdown periods imposed by various governments in the region.
• Owing to this, the explosion-proof equipment market has had mixed impacts owing to the change in demand from various end-user industries. For example, the oil and gas industry is influenced significantly, with consumption rates falling. Even though the industry is part of the government deemed essential activities by governments across the world, the shortage of employees combined with low demand rates is influencing production facilities.

• In the oil and gas industry, explosion proofing has two requirements: equipment must be manufactured to the appropriate standards, then installed and maintained in accordance with additional standards. Also, employees in the oil and gas industry are frequently required to work in dangerous environments. Safety is significant in situations where flammable liquids, gases, vapors, or combustible dust are present in substantial amounts.
• The market is witnessing various innovations to assist customers in the construction, operation, optimization, and enhancement of their assets daily and providing alternative electrical solutions in more hazardous situations. For instance, in August 2020, KVC Industrial Supplies aided one of Pahang's largest oil and energy businesses in improving their plant's lighting to be 100% explosion-proof. Also, Crouse-Hinds' internationally acclaimed explosion-proof grade LED KVC installed linear light fittings solutions.
• One of the most significant advancements in explosion-proof camera technology is the advent of low voltage IP-based cameras for housings. There are new opportunities afforded by fixed PoE+ cameras that can drastically reduce costs compared to traditional high power 110V AC installations that require additional infrastructure and staff to install them. PoE+ cameras also represent advancements over traditional 24-volt systems that require power supplies and the appropriate explosion-proof boxes to contain them.
• As the industry moves forward, there is a strong desire to install more PoE+ PTZ dome cameras whenever possible, thus, enabling integrators to run a single ethernet cable to the camera and have sufficient distance from the danger zones so that any supporting equipment, such as a PoE+ switches or injectors, can be installed normally in the oil and gas sector.

• China is one of the leading producers and exporters of manufacturing equipment and machine tools worldwide. The surge in manufacturing activities over the last decade increased the production of equipment and tools. Therefore, this growth is impacting the rate of adoption of explosion-proof equipment.​
• The increasing adoption of automation in manufacturing processes is further expected to drive the demand for explosion-proof solutions. Additionally, at many industrial and manufacturing plants, personnel periodically perform field inspections by patrolling along defined routes and checking field instruments at specific points along the way to keep facilities and equipment safe and in good working order.
• Due to increasing productivity demands, allied pressure brought about changes to the underlying infrastructure, processes, and technology in the manufacturing industry. Such industry trends are expected to increase the scope of adopting explosion-proof equipment.
• Moreover, according to the IEA, China is expected to account for 280 billion cubic meters of global natural gas demand by 2040. It is also likely to overtake United States as the top oil consumer, by 2030, with net imports of 13 million barrels per day, by 2040. The country had previously committed to achieving its target in carbon emissions around 2030 and reaching carbon neutrality by 2060, which necessitates a sharp increase in the adoption of clean energy and a reduction in China's reliance on fossil fuels. This indicates an increased number of projects being implemented in the coming years.

The Asia-Pacific explosion proof equipment market is partially fragmented and consists of several players. In terms of market share, few of the major players currently dominate the market. However, with innovation and technological development, many of the companies are increasing their market presence by securing new contracts and by tapping new markets.

• August 2021 - The explosion-proof product technical expert panel of China Compulsory Certification issued a notice, in accordance with the basic principles of the original definition table, on whether some explosion-proof products (such as a tablet PC) fall within the scope of China Compulsory Certification.

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