Europe Switchgear Market Size - By Voltage (LV, MV, HV), By Insulation (Air, Gas, Oil, Vacuum), By Current (AC, DC) By Application (Residential, Commercial & Industrial, Utility) & Forecast, 2024 – 2032

Europe Switchgear Market Size

Europe Switchgear Market was valued at USD 33.9 billion in 2023 and is projected to grow at a CAGR of 8.8% from 2024 to 2032.  A significant shift toward integrating IT systems throughout the electricity sector is poised to have a profound impact on the global switchgear industry. This shift will strongly support the widespread implementation of smart grid technology, influencing the industry dynamics in a positive way.
 

Over the past few years, the switchgear industry has experienced a notable surge in demand, driven primarily by the increasing requirement for efficient control systems in Transmission and Distribution (T&D). The move towards greater IT integration in the electricity sector, combined with smart grid technology adoption, will play a crucial role in reshaping the Europe switchgear industry and will be particularly beneficial in regions with varying energy needs and sustainability goals.

Many nations, both developing and developed, rely heavily on importing components to meet the growing demands for expanding and upgrading their electrical infrastructure. Manufacturers worldwide have consistently prioritized cost reduction in their production processes to ensure sustainable profitability and successful penetration into the industry. Nevertheless, a shortage of raw material resources has forced local installers and component suppliers to depend on imports to address the increasing energy demands.
 

COVID-19 Impact

The switchgear industry witnessed a decrease in installations and deployments in the power sector worldwide, primarily as a result of the global pandemic's influence. Nevertheless, the power sector, being an essential component and the cornerstone of the economy, has demonstrated its resilience.
 

Europe Switchgear Market Trends

Anticipated growth in the industry is attributed to increased investments and the swift commercialization of utility-focused electrification networks and industrial projects. Furthermore, there is a notable shift in the trend towards replacing overhead electric lines with aerial-bunched cables and underground networks, which will enhance the adoption of switchgear products. As the economic landscape continues to advance, the expansion of micro-grid networks is expected to accelerate, providing a further boost to the industry's outlook.
 

The aging electric infrastructure is facing increasing demands beyond its original design capacity. To address this, there is a growing imperative to modernize grid networks, making them "smarter" and more resilient through the integration of advanced equipment, technologies, and control systems. This modernization effort is expected to have a positive impact on the market outlook.
 

Europe Switchgear Market Analysis

Based on voltage, the LV segment held a majority market value of more than USD 15.9 billion in 2022. The industry has been notably shaped by a variety of regulatory requirements and guidelines with the objective of standardizing products and influencing global deployment and manufacturing trends. Regulators and installers are placing specific emphasis on grid-isolated areas, acknowledging their significant potential for market expansion and business development. Moreover, the growing energy demand, combined with consumer preferences favoring sustainable electricity networks, is anticipated to be a key driver for the growth of the low voltage market.
 

Based on insulation, the vacuum insulation currently dominates the market share of more than 55.1% in 2022 owing to the reduced competitive pressure from other established insulation technologies and the high degree of trust and reliability it enjoys among consumers. The rising demand for this product can be attributed to its cost-effectiveness, dependable and safe operation, and leak-free technology. Consequently, its adaptability across diverse applications and ongoing technological enhancements are likely to have a positive impact on the demand for vacuum-insulated distribution components. Vacuum insulation technology has gained momentum over time due to its regional benefits and its ease of production and installation.
 

Based on current, the Europe switchgear market is segmented as AC and DC. The increasing necessity for rapid fault clearance capabilities, coupled with the growing interest in DC (Direct Current) systems, is expected to stimulate the demand for DC power distribution components. These components offer the advantage of being able to connect with AC (Alternating Current) circuits while incurring lower operational losses, making them more attractive for adoption. Compliance with safety standards and regulations, particularly regarding emissions and environmental impact, was an essential consideration for switchgear manufacturers and users.
 

Based on application, the commercial & industrial application is set to grow at a 7.8% CAGR through 2032. Significant suburban migration, complemented by regulatory measures aimed at enhancing the quality of life for urban and residential communities, has accelerated urbanization and commercial expansion throughout the Europe region. This pattern has resulted in a marked rise in urban population density and has triggered initiatives to electrify areas that were previously off the grid. Consequently, this has led to a substantial increase in energy consumption. The significant rise in peak load demand has compelled both utilities and installers to allocate resources towards the enhancement and expansion of adaptable electric supply components.
 

The Switchgear market across the UK held a market share of over 8.8% in 2022. The UK was moving towards smarter grid infrastructure to enhance grid efficiency, reliability, and sustainability. This involves the deployment of intelligent switchgear and monitoring systems to manage energy distribution more effectively. Environmental concerns and regulations were driving the adoption of eco-friendly switchgear with reduced greenhouse gas emissions. SF6-free and more sustainable alternatives were gaining traction. Digital technologies and the Internet of Things (IoT) were being integrated into switchgear to enable remote monitoring, predictive maintenance, and better control of power distribution systems.
 

Europe Switchgear Market Share

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

Some of the key market players operating across the Europe switchgear industry are:

• ABB
• Siemens
• GE
• Mitsubishi Electric Corporation
• Schneider Electric
• Ormazabal
• CG Power and Industrial Solutions Limited
• Chint Group
• Eaton
• Hyosung Heavy Industries
• HD HYUNDAI ELECTRIC CO., LTD.
• Toshiba Corporation
• Powell Industries
• Fuji Electric Co., Ltd.
• Hitachi Ltd
• Lucy Group Ltd.

Europe Switchgear Market News:

• In April 2021, Siemens launched its new 8DJH 24 switchgears along with RMU for up to 24 kV, which is completely free from the fluorinated gases. The MV switchgear uses clean air technology, which is a climate-neutral insulation medium consisting of exclusively natural components from ambient air. The new technological advancement eliminates Sulfur Hexafluoride (SF6) as an insulating medium, or any gas mixture built on fluorine gases.
   
• In October 2020, ABB launched its latest ANSI digital switchgear portfolio, which is UL certified. The product is designed with flexibility, complete control & protection along with the reduction in the total ownership cost & increased safety and space savings in comparison with conventional switchgear. In addition, the digitalization will offer control & protection system of switchgear construction to increase versatility and safety.
   

This Europe switchgear 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

• LV
• MV
• HV

By Insulation

• Air
• Gas
• Oil
• Vacuum
• Others

By Current

• AC
• DC

By Application

• Residential
• Commercial & Industrial
• Utility

The above information is provided for the following countries:

• UK
• Germany
• France
• Russia
• Italy
• Spain