gas-insulated-switchgear-market Global Gas Insulated Switchgear Market Likely to Grow at a CAGR of 7.7% by 2027

Global Gas Insulated Switchgear Market Set to Witness Promising Growth: Likely to Grow at a CAGR of 7.7% by 2027

Published | 11 November 2021

An increase in the investments toward the electric transmission system projects, the growing adoption rate of electric vehicles, and upcoming smart city projects like Neom are fueling the growth of the global gas insulated switchgear market. Additionally, the rising demand for electricity across the developing regions is also propelling the demand for power maintenance systems like gas insulated switchgear, demonstrating strong potential for the growth of the global gas insulated switchgear market in the coming years…

A study, recently conducted by the strategic consulting and market research firm BlueWeave Consulting, revealed that the global gas insulated switchgear market was worth USD 12,800.0 million in 2020. The data yielded by the study revealed that the market is estimated to grow at a CAGR of 7.7%, earning revenue of around USD 21,413.8 million by the end of 2027. The factors contributing to the growth of the global gas insulated switchgear market include the growing demand for more energy-efficient equipment for insulation capabilities, and favorable government initiatives promoting the use of renewable energy in the power utility sector. Furthermore, the presence of advanced transmission and electricity distribution equipment manufacturers in North America is driving demand for gas insulated switchgear. All such factors are propelling the growth of the global gas insulated switchgear market.

Increasing demand for electric vehicles is driving the global gas insulated switchgear market

The demand for electric vehicles is increasing rapidly and governments of different countries are taking initiatives to develop their respective infrastructure to support the growing demand and sales of electric vehicles. Electric vehicles reduce carbon emissions and make it easier for governments to shift from fossil fuels to renewables and unconventional energy sources. According to the Global EV Outlook Report of 2021, 2020 was a record-breaking year for EV sales despite the COVID-19 pandemic, resulting in a 43% increase in the stock of the EVs as against 2019 reaching 10 million EVs. The demand for electric vehicles is expected to increase even more in the coming years. The governments are looking to invest to develop infrastructure in anticipation of the same.

The rising number of smart city projects propelling the demand for gas insulated switchgears

Many countries like Dubai, China, Australia, Singapore, India, Saudi Arabia have launched smart city projects in their respective countries. For instance, the Saudi government has pledged USD 500 billion for building the most advanced city in the world named “Neom.”  The Indian government has also launched smart city projects consisting of 5151 proposed projects with a total investment of USD 27.40 billion. According to Forbes, Singapore is the current top smart city investor, followed by Tokyo, New York, and London. Forbes further states that the U.S., Western Europe, and China account for over 70% of the world’s total spending on smart cities with Latin America and Japan experiencing the fastest growth in smart city investment. GIS (gas-insulated switchgear) requires less space, less maintenance, and there is a low risk of a power outage. Thus, the growing number of smart city projects around the world presents a lucrative growth opportunity for the growth of the global gas insulated switchgear market.

Global Gas Insulated Switchgear Market - Impact of COVID-19 in the industry

The coronavirus outbreak led to a substantial decline in the growth of the global gas insulated switchgear market. Not only did the pandemic affect the individuals, but it also aggravated the situation of businesses that were already tackling the wrath of the weak supply chain. The government-led orders for the closure of businesses led to the shutdown of the factories and other industries that were non-essential. The measures resulted in a severe negative impact on the growth of the global gas insulated switchgear market. The pandemic had the greatest impact on the supply side of the market, resulting in a severe decline in the production of critical raw materials used in the development of gas insulated switchgear, such as copper, aluminium, iron, cobalt, phosphate, alloy, steel, and others, resulting in such a sharp decline in the global gas insulated switchgear market. Besides, the rising number of vaccination rollouts across North America, Europe, Asia-Pacific, and the Middle East is indicative of the fact that the economies are on the verge of starting a new normal. The global supply chain disruption, however, remains a major challenge in front of the industries.

Gas Insulated Switchgear Market Share

Request For Free Sample Report @ https://www.blueweaveconsulting.com/report/gas-insulated-switchgear-market/report-sample

 

The indoor gas insulated switchgear installation garners the larger share in the global gas insulated switchgear market

Based on insulation, the global gas insulated switchgear market is grouped into SF6 and SF6-Free. The SF6 segment accumulated the highest market share in the global gas insulated switchgear market in 2020. On the contrary, SF6-Free technology is anticipated to grow at the fastest CAGR in the forecast period. According to the European Commission, the European Union has stated that they are allocating approximately USD 134.8 million across 32 innovative projects, which are to be implemented across 14 EU Member States, Norway, and Iceland. The investment grants are intended to demonstrate the government's support for low-carbon technologies such as SF6–Free gas insulated switchgear, which is expected to increase demand for such technologies in the coming years due to its climate-neutrality and highly reliable transmission operation capabilities, demonstrating a huge potential for growth in the global gas insulated switchgear market.

North America accounted for the highest share in the global gas insulated switchgear market

Based on geography, the global gas insulated switchgear market is categorized into North America, Europe, Asia-Pacific, Latin America, and the Middle East & Africa. The Asia Pacific held the largest share in the global gas insulated switchgear market in 2020. On the other hand, North America is also catching up with an impressive growth rate. According to the U.S. Energy Information Administration, the United States has been witnessing a sharp increase in expenditures incurred on the development and acquisition of electric transmission systems. The investments include the maintenance and operational activity of such systems. The country also witnessed a jump of around 3% from 2018-2019 to reach USD 40.1 billion in 2019 in investments for the development of electric transmission systems. As the investment in such a sector generates demand for highly-efficient transformers, the demand for electricity supply may also surge. Since switchgear offer protection to the unaffected components by insulating them and maintaining a constant power supply, the demand for such equipment are rising, thus, positively contributing to the growth of the global gas insulated switchgear market.

Global Gas Insulated Switchgear Market - Competitive Landscape

The major companies in the global gas insulated switchgear market include Siemens AG, Schneider Electric SE, Eaton Corporation Plc, General Electric Company, Hitachi Ltd., Toshiba Corporation, ABB Ltd., Mitsubishi Electric Corporation, Huayi Electric Co., Ltd., Fuji Electric Co., Ltd., Meidensha Corporation, Henan Pinggao Electric Co., Ltd., Nissin Electric Co. Ltd., Hyosung Heavy Industries Co. Ltd., Entec Electric & Electronic Co., Ltd., Switchgear Company, LS Electric Co. Ltd., CG Power and Industrial Solutions Limited, Hyundai Heavy Industries, BGR Energy Systems Limited, Sieyuan Electric Co. Ltd. and other prominent players. The global gas insulated switchgear market is consolidated as it is highly regulated, limiting the entry of newer players to establish themselves. Since end-users prefer larger players in the market for the operational and maintenance services, they maintain a higher influence in the global gas insulated switchgear market.

 

Do not miss the business opportunity of the global gas insulated switchgear market. Consult our analysts to gain crucial insights, and facilitate your business growth.

 

The in-depth analysis of the report provides information about growth potential, upcoming trends, and statistics of the global gas insulated switchgear market. It also highlights the factors driving forecasts of total market size. The report promises to provide recent technology trends of the global gas insulated switchgear market and industry insights to help decision-makers make sound strategic decisions. Furthermore, the report also analyzes the growth drivers, challenges, and competitive dynamics of the market.

About Us

BlueWeave Consulting provides comprehensive Market Intelligence (MI) Solutions to businesses regarding various products and services online & offline. We offer all-inclusive market research reports by analyzing both qualitative and quantitative data to boost up the performance of your business solution. BWC has built its reputation from the scratches by delivering quality inputs and nourishing long-lasting relationships with its clients. We are one of the promising digital MI solutions companies providing agile assistance to make your business endeavors successful.

Contact Us:

BlueWeave Consulting & Research Pvt. Ltd

+1 866 658 6826 | +1 425 320 4776 | +44 1865 60 0662

info@blueweaveconsulting.com