Electric Vehicle Contactor Market Size - By Product (DC Contactors, AC Contactors), By Voltage (High Voltage (>60V), Low Voltage (=60V)), By Application, Regional Outlook & Forecast, 2024 – 2032

Electric Vehicle Contactor Market Size - By Product (DC Contactors, AC Contactors), By Voltage (High Voltage (>60V), Low Voltage (≤60V)), By Application, Regional Outlook & Forecast, 2024 – 2032

Electric Vehicle Contactor Market size will record over 6.9% CAGR from 2024-2032, driven by rapid technological advances for the development of smaller, more compact contactors, which are easier to integrate into modern architectures. Lately, several modern contactors are equipped with advanced safety features, such as arc suppression, thermal protection, and fail-safe mechanisms to ensure the safe operations of electric vehicles (EVs). For example, in July 2023, TDK introduced new high-voltage EV contactors to offer fast disconnection of Li-ion batteries in DC charging stations. The increasing installation of home and public charging stations is also boosting product uptake.

The EV contactor industry is segmented into product, voltage, application, and region.

By product, the industry value from the AC contractor segment will witness lucrative growth between 2024 and 2032, due to benefits of expanded charging infrastructure, cost-effectiveness, safety and reliability. With most residential and public charging stations providing AC power, the adoption of robust and reliable AC contactors to handle the switching and isolation tasks is growing. These contactors are also more cost-effective than their DC counterparts, making them an attractive option for many EV applications.

In terms of application, the electric vehicle contactor market size from the battery management systems segment will record significant expansion up to 2032. The growth can be attributed to the surging need for ensuring the safe and efficient operations of the battery packs of vehicles. Contractors help in preventing short circuits by disconnecting faulty circuits for the safety of the battery systems. The rising influx of smaller and more compact contactor designs that can be easily integrated into BMS and EV architectures will drive the segment expansion.

Regionally, the Europe EV contactor industry size may witness substantial CAGR through 2032, driven by technological advancements and the increasing adoption of electric vehicles. Governments across the region are promoting EV usage through incentives, subsidies, and stringent emission regulations, further boosting the need for components, including contactors. The growth of EV charging infrastructure across Europe will also boost the market growth.