AC Industrial Switchgear Market Size - By Voltage, By Insulation Analysis, Share, Forecast, 2024 - 2032

AC Industrial Switchgear Market Size

The global AC industrial switchgear market size was valued at USD 25.3 billion in 2023 and is estimated to grow at a CAGR 7% from 2024 to 2032, owing to the increasing industrialization, electrification, and demand for reliable power distribution systems. As industries expand, there is a heightened need for efficient switchgear solutions that can manage high loads, support operational safety, and minimize downtime.
 

AC switchgear is essential for ensuring stable electricity flow, protecting equipment, and improving overall efficiency within industrial setups. Additionally, the shift toward smart grids and automation in industrial facilities is fuelling demand for switchgear with advanced monitoring and control capabilities, including remote operation.
 

Increasing investments in infrastructure projects, particularly in emerging economies, are also contributing to market expansion. Moreover, energy transition efforts and stringent regulations for electrical safety standards are pushing industries to upgrade or replace outdated switchgear systems, adding to market growth. Manufacturers are focusing on innovation and sustainability, creating switchgear that supports energy-efficient and eco-friendly industrial operations.
 

AC Industrial Switchgear Market Trends

There is a growing integration of digital technologies in AC switchgear to enable real-time monitoring, diagnostics, and predictive maintenance. Smart switchgear with IoT connectivity and data analytics capabilities enhances operational efficiency by identifying potential issues before they cause failures, minimizing downtime and optimizing maintenance schedules. Such switchgear supports remote monitoring, which is increasingly valuable in large industrial facilities. The need to optimize floor space in industrial setups has driven a shift toward compact, modular switchgear solutions.
 

Modular designs allow for flexible installation, faster assembly, and easy customization, catering to specific power needs while reducing installation costs. These systems are also easier to upgrade, aligning with industries' evolving power requirements without the need for large-scale replacements.
 

As industries integrate renewable energy sources, particularly solar and wind, there is increasing demand for switchgear compatible with variable AC loads. Switchgear that can manage the fluctuations and intermittencies of renewable energy is becoming essential to support the stability of industrial power grids. This trend is particularly prominent in regions with aggressive renewable energy targets, driving innovation in AC switchgear for industrial use.
 

Manufacturers, with stringent safety and performance standards, are increasingly producing switchgear that meets rigorous regulations to ensure workplace safety. Innovations such as arc-resistant designs, improved insulation, and enhanced protection mechanisms are gaining popularity to prevent electrical faults and ensure compliance with global standards.
 

AC Industrial Switchgear Market Analysis

The low voltage segment is anticipated to surpass USD 24.4 billion by 2032, due to rising demand for electrification across industrial facilities, particularly in manufacturing, data centers, and infrastructure projects, creating a need for reliable low-voltage systems that can manage high power loads safely and efficiently. The trend towards industrial automation and the deployment of smart manufacturing practices is also fueling the adoption of low voltage switchgear with enhanced monitoring and control features, enabling predictive maintenance and operational efficiencies.
 

Based on insulation, the AC industrial switchgear market from air insulation segment is projected to witness a CAGR 7.2% through 2032, owing to its environmental sustainability, cost-effectiveness, and safety advantages. Air-insulated switchgear (AIS) uses atmospheric air as the insulating medium, making it a more environmentally friendly alternative to traditional gas-insulated switchgear that often relies on SF6, a potent greenhouse gas. This aligns with the growing emphasis on sustainable and eco-friendly solutions within industrial applications, particularly as regulations tighten around SF6 usage.
 

The U.S. AC industrial switchgear market is anticipated to surpass USD 4.2 billion by 2032 on account of the increasing demand for reliable power distribution systems and the ongoing modernization of industrial infrastructure. The need for stable and resilient electrical networks in sectors like manufacturing, data centers, and utilities is pushing investments in advanced switchgear solutions. Additionally, as industrial automation and smart manufacturing grow, the demand for switchgear with remote monitoring, predictive maintenance, and IoT capabilities is rising, enhancing operational efficiency and safety.
 

The Asia Pacific region holds critical importance in the AC industrial switchgear industry due to its rapid industrialization, urbanization, and substantial investments in infrastructure development. Countries such as China, India, Japan, and South Korea are expanding industrial capacities across manufacturing, construction, and energy sectors, which necessitates reliable power distribution solutions to handle rising electrical loads and ensure operational efficiency.
 

AC Industrial Switchgear Market Share

The Asia Pacific region is pivotal to the AC industrial switchgear industry, driven by swift industrialization, urban growth, and significant infrastructure investments. Countries like China, India, Japan, and South Korea are scaling up industrial capacity across manufacturing, construction, and energy sectors, requiring dependable power distribution solutions to manage increasing electrical demands and maintain efficient operations.
 

AC Industrial Switchgear Market Companies

Major players operating in the AC industrial switchgear industry are:

• ABB
• Bharat Heavy Electricals
• CG Power and Industrial Solutions
• E + I Engineering
• Eaton
• Fuji Electric
• General Electric
• HD Hyundai Electric
• Hitachi
• Hyosung Heavy Industries
• Lucy Group
• Mitsubishi Electric
• Ormazabal
• Schneider Electric
• Siemens
• Skema
• Toshiba
   

AC Industrial Switchgear Industry News

• In October 2023, Siemens had disclosed a USD 150 Mn investment to establish a production  facility in the Dallas-Fort Worth area. This facility will build reliable equipment for U.S. data infrastructure, driven by the increasing preference of generative AI.
   

The AC industrial switchgear market research report includes in-depth coverage of the industry with estimates & forecast in terms of “USD Million and ‘000 Units” from 2021 to 2032, for the following segments:

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Market, By Voltage

• Low
• Medium
• High

Market, By Insulation

• Air
• Gas
• Vacuum
• Others

The above information has been provided for the following countries across the region:

• North America
  • U.S.
  • Canada
  • Mexico
• Europe
  • UK
  • Germany
  • France
  • Russia
  • Italy
  • Spain
• Asia Pacific
  • China
  • Australia
  • India
  • Japan
  • South Korea
• Middle East & Africa
  • Saudi Arabia
  • UAE
  • Qatar
  • Oman
  • South Africa
  • Egypt
• Latin America
  • Brazil
  • Peru
  • Argentina