Air Circuit Breaker Market Size - By Voltage (Low, Medium, High), By Application (Power Distribution, Power Transmission), By End Use (Residential, Commercial & Industrial, Utility) & Forecast, 2024 – 2032

Air Circuit Breaker Market Size

Air Circuit Breaker Market was valued at USD 3.8 billion in 2023 and is projected to grow at a CAGR of over 8.7% by 2032. The increasing demand for the refurbishment of existing electrical systems, coupled with substantial investments in grid infrastructure, is poised to enhance business opportunities. The absence of efficient electric networks in developing nations, combined with a trend toward improving existing infrastructure in developed countries, has created a favorable business environment. In 2021, Europe allocated more than USD 3 billion towards research and development in the smart grid network sector, driven primarily by significant projects in smart metering.
 

An air circuit breaker (ACB) is a type of circuit breaker that uses air as the medium for extinguishing the electrical arc produced during the interruption of an electrical circuit. Circuit breakers are essential electrical devices designed to protect electrical circuits and equipment from overcurrents, short circuits, and other electrical faults. Favorable reforms, particularly those related to the integration of large-scale renewable energy sources, are being further facilitated by the upgrading of existing grid networks to meet the rising electricity demand.
 

While the energy industry has been a primary focus globally, it has also faced persistent challenges stemming from regional regulatory and geopolitical constraints. Turmoil in various countries has the potential to exert a significant impact on energy markets, disrupting the dynamics of the industry. Political instability and associated risks can affect the stability of local, regional, and even global energy markets by hindering investments and causing disruptions in the supply chain.
 

The twentieth and twenty-first centuries have been significantly shaped by the dynamics of energy geopolitics, which can be defined as the means by which nations exert influence over each other through the supply and demand of energy resources. In the contemporary context, the balance of power in energy geopolitics is shifting away from countries that possess fossil-fuel resources toward nations that are actively adopting low-carbon energy sources.
 

COVID-19 Impact

The pandemic disrupted global supply chains, affecting the production and delivery of electrical equipment, including air circuit breakers. Factory closures, transportation restrictions, and logistical challenges led to delays in manufacturing and delivery. Lockdowns and social distancing measures slowed down construction activities, including infrastructure and building projects that typically require air circuit breakers. This resulted in a decreased demand for new installations. Economic uncertainty caused by the pandemic led to reduced capital expenditure by businesses and governments. This, in turn, impacted investment in new electrical infrastructure projects.
 

Air Circuit Breaker Market Trends

There was a growing demand for energy-efficient air circuit breakers. As energy conservation and sustainability became paramount, ACBs designed to minimize energy losses and improve efficiency gained popularity. This was particularly important in data centers and industries where energy efficiency was a critical concern. The expansion of renewable energy sources, such as solar and wind power, drove the demand for ACBs in renewable energy installations. ACBs played a crucial role in protecting and controlling electrical circuits in renewable energy systems. ACBs found applications in smart grid systems, where they were used to protect and control electrical circuits in modern grid infrastructure.
 

The integration of ACBs with smart grid technologies contributed to improved grid reliability and efficiency. The growth of industrial sectors, especially in emerging economies, led to a rising demand for ACBs in industrial applications. ACBs were used to protect machinery and electrical equipment in manufacturing plants. For instance, the Smart Grid Investment Grant program (SGIG) in the United States aims to accelerate the modernization of existing transmission systems. Given the favorable political and economic climate, it is anticipated that smart grid deployment projects wilz see a significant increase in the coming years.
 

Air Circuit Breaker Market Analysis

The low voltage segment is projected to showcase around 8.6% CAGR from 2023 to 2032. The industry has been significantly influenced by a variety of regulatory mandates and guidelines aimed at standardizing products and shaping global deployment and manufacturing trends. Grid-isolated zones have become a central focus for many regulators and installers, as they represent substantial potential for market expansion and business growth. Furthermore, the increasing demand for energy, coupled with consumers' growing preference for sustainable electricity networks, is expected to drive growth in the low voltage market.
 

Based on application, the market is segmented as power distribution and power transmission. Rising investments in the enhancement of current transmission lines and the establishment of smart energy infrastructure have contributed positively to business growth. According to the International Renewable Energy Agency (IRENA), an annual investment of over one trillion USD is necessary in renewables until 2030 to meet sustainability targets. The electric power market is making substantial investments in the modernization of energy grid infrastructure and the construction of transmission systems needed to connect new clean energy generation sources while reducing network congestion. These efforts are expected to further stimulate business growth.
 

The utility segment held round 8.5% of the air circuit breaker market share in 2022. The phenomenon of large-scale suburban migration, coupled with supportive regulatory measures aimed at enhancing the quality of life for residents, has resulted in global urbanization and commercial expansion. This trend has led to an increase in population density within cities and the implementation of favorable measures for electrification in grid-isolated areas.
 

• Consequently, there has been a significant surge in energy consumption.
   
• The noticeable increase in peak load demand has compelled utility companies and installers to upgrade and expand the capacity of versatile electric supply components to ensure the reliability and security of the grid.
   
• As a result, the rising demand for energy, driven by the growing need for efficient power distribution networks, is poised to benefit the overall distribution component industry.

The North America air circuit breaker market is poised to observe gains at nearly 8.7% through 2032. The transmission and distribution refurbishment sector play a crucial role in driving demand in North America. According to a recent study conducted by the Department of Energy (DOE), the implementation of energy-efficient power lines is expected to result in energy savings of up to 16 terawatt-hours (TWh) annually by 2020. This underscores the significance of energy efficiency initiatives in the region.
 

• Moreover, the Latin America circuit breaker industry is poised to experience substantial growth due to the increasing focus on expanding transmission and distribution networks.
   
• Investments aimed at deploying high-capacity alternative energy sources in several countries, including Chile and Argentina, will further bolster the industry's prospects.
   
• Furthermore, the rising demand for electricity will have a significant impact on investments in the regional transmission and distribution retrofitting sector, thereby positively influencing the global circuit breaker industry's size throughout the forecast period.
   

Air Circuit Breaker Market Share

Siemens Energy commands a substantial share in the air circuit breaker business, distinguished for its extensive experience in engineering and producing diverse circuit breaker types, encompassing air circuit breaker, vacuum circuit breaker, among others. With a rich history deeply rooted in the transmission and distribution sector, the company has delivered circuit breaker solutions across a broad spectrum of applications, spanning commercial, industrial, and utility sectors.
 

Some of the key market players operating across the air circuit breaker industry are:

• ABB
• Mitsubishi Electric Corporation
• Eaton Corporation
• Toshiba International Corporation
• Schneider Electric
• CG Power & Industrial Solutions Ltd.
• General Electric
• Siemens Energy
• HD HYUNDAI ELECTRIC CO., LTD.
• WEG
• LS ELECTRIC Co., Ltd.
• Sensata Technologies, Inc.
• alfanar Group
• Powell Industries
• Kirloskar Electric Company

Air Circuit Breaker Industry News:

• In February 2023, Mitsubishi Electric Corporation acquired Scibreak AB, a Sweden-based Direct Current Circuit Breaker (DCCB) developer. The companies combined their expertise in circuit breaker technology for developing efficient solutions for HVDC networks to promote the adoption of renewable energy sources in the grid. The acquisition boosted the company’s product portfolio, offering an extensive range of solutions to customers and gaining a larger market share worldwide.
   
• In June 2021, Mitsubishi and Siemens signed a Memorandum of Understanding (MOU) to develop high-voltage switching products & solutions with zero global warming effect, which substitute GHG with clean air for insulation. Both companies adopted research techniques to accelerate the development of clean air technologies for insulation at higher voltages. They upgraded the 245 kV dead-tank circuit breaker, enabling accessibility to high-voltage switching solutions with climate neutrality for global customers. Both partners continue to produce, service, and sell switchgear solutions independently.
   

This air circuit breaker market research report includes an in-depth coverage of the industry with estimates & forecast in terms of volume & revenue in ‘000 Units & USD Million from 2019 to 2032, for the following segments:

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By Voltage

• Low
• Medium
• High

By Application

• Power Distribution
• Power Transmission

By End Use

• Residential
• Commercial & Industrial
• Utility

The above information is provided for the following regions and countries:

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