16 October, 2019
RALEIGH, North Carolina, October 16, 2019 - The global switchgear market is currently estimated to be worth $86.18 billion and is expected to reach a value of $96.83 Billion by 2021, according to Beroe Inc., a procurement intelligence firm. Increasing demand for electricity in emerging and developed countries, backed by increasing investment in infrastructure is expected to drive the switchgear market globally.
Accounting for a dominant share of 47 percent, Asia Pacific is the largest market for switchgear globally with a valuation of $38.2 billion growing at a rate of 6-7 percent, driven by the emerging economies such as China, India, Vietnam, and Indonesia. The switchgear market in EMEA is worth $21.8 billion, growing at 4-5 percent, followed by North America, valued at $15.2 billion and growing at 4-5 percent, then the Latin America switchgear market worth $5.6 billion, growing at a rate of 5-6 percent.
Beroe, which is based in North Carolina, further stated that procurement experts can access this report on its recently launched market intelligence platform Beroe LiVE: live.beroeinc.com
The demand for switchgear is being predominantly driven by the need for enhanced protection in power distribution equipment and by the rapid infrastructural development and urbanization being witnessed globally. In developed economies, the switchgear demand is expected to be driven by the increased focus on cleaner energy sources in order to curb carbon emissions. Intense price-based competition between local players and established multinationals especially in the emerging economies acts as a constraint to expansion.
Based on product type, the switchgear market has a greater demand for low voltage switchgear, accounting for 49 percent of the total market, followed by medium voltage switchgear for 36 percent and high voltage switchgear for 15 percent. Lower oil prices and oversupply have affected the top line of the oil and gas companies. This has resulted in a delay in capacity expansion plans, and thus, resulted in reduced demand for medium and high voltage switchgear.
The research methodology adopted for the report included:
The overall cost of switchgear depends on factors such as the size of the board, the form of segregation required, current rating, size of the circuit, number of circuit breakers, number of feeders, controls required, and metering devices. The switchgear components account for 40 percent of the overall costs, design, and labor for 15-20 percent and raw materials for 15-20 percent.
The report also includes:
Beroe is the world's leading provider of procurement intelligence and supplier compliance solutions. We provide critical market information and analysis that enables companies to make smart sourcing decisions — leading to lower costs, greater profits and reduced risk. Beroe has been providing these services for more than 13 years and currently works with more than 10,000 companies worldwide, including 400 of the Fortune 500 companies.
To learn more about Beroe Inc., please visit: http://www.beroeinc.com