High Voltage Commercial Switchgear Market size is estimated at USD 3.6 billion in 2024 and is expected to cross USD 5.8 billion by the end of 2037, registering more than 3.7% CAGR during the forecast period i.e., between 2024-2036. In 2025, the industry size of high voltage commercial switchgear is assessed at USD 3.73 billion.
The market’s robust growth is attributed to rising demands for electricity globally. For instance, the International Energy Agency (IEA) reported the global electricity demand to have grown by 2.2% and the global electricity demand to rise by 3.4% annually till 2026. The rising demands benefit the market’s growth as high voltage switchgears are crucial in managing and protecting electrical networks.
The rapid industrialization and global push for renewable power sources have boosted the market’s profit share. Countries around the globe are investing in modernizing their electrical grids which creates a steady demand for high-performance switchgear. Global organizations such as the United Nations Development Program (UNDP) and national governments are pushing for remote microgrids to offer reliable power solutions to rural communities and successful installation of microgrids requires high voltage switchgear. Additionally, defense bases in remote areas and industrial sector require reliable power solutions which boosts the demand for high voltage commercial switchgear, contributing to the revenue surge of the market.
The high voltage commercial switchgear market is poised to provide major opportunities in various segments, especially in the commercial and industrial sectors. In the commercial sector, the rapid development of smart cities globally opens opportunities for key market players to provide automated systems that enhance energy efficiency and grid management. The growing focus on sustainable solutions is prompting manufacturers to seek smart high voltage switchgears. For instance, in August 2024, Hitachi Energy launched the high voltage SF6 free switchgear called EconiQ 550 kV circuit breaker that is poised to replace SF6 switchgear around the world owing to its ability to eliminate carbon equivalent of more than 160 fully packed jumbo jets. Innovations as such are expected to herald the future of the global market with manufacturers seeking to reinvent and usher new innovative high voltage switchgears to meet the shifting demands globally.
Growth Drivers
Challenges
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Base Year |
2024 |
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Forecast Year |
2025-2037 |
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CAGR |
3.7% |
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Base Year Market Size (2024) |
USD 3.6 billion |
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Forecast Year Market Size (2037) |
USD 5.8 billion |
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Regional Scope |
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Insulation (Air, Gas, Vacuum, Others)
The air segment based on insulation is poised to dominate the high voltage commercial switchgear market with a 44.4% revenue share by the end of 2037. The segment’s dominant market share is attributed to the cost-effectiveness of Air Insulated Switchgear (AIS) and ease of maintenance. The use of air as a primary insulation medium makes AIS an eco-friendly alternative to the use of SF6. This positions the segment to tap into the growing push for sustainable energy trends. For instance, in December 2023, Linxon announced that it was awarded another turnkey substation contract by Svenska Kraftnät (SvK) to deliver new 400 kV air insulated switchgear (AIS) substation.
The gas insulated switchgear (GIS) segment is projected to increase its revenue share by the end of the forecast period. The segment is widely used in many emerging economies owing to its reliability and ability to handle high loads in limited space. SF6 is the primary insulation medium of GIS and offers superior performance in electric insulation. Additionally, new innovations to replace SF6 with green gas is poised to boost demands for GIS. For instance, in August 2024, GE Vernova announced that it will manufacture, deliver, and commission the world’s first SF free gas insulated substation (GIS) in France.
Current (AC, DC)
The alternating current (AC) segment in the high voltage commercial switchgear market is projected to register a rapid growth during the forecast period owing to the segment cementing itself as a standard choice to manage high voltage power flow. The segment benefits from modernization efforts for power grids in emerging economies. Additionally, growing investments in rural electrification projects boosts the market’s growth as demands for high voltage AC switchgear increases. For instance, in September 2024, Honeywell announced its BESS technologies are being integrated into the microgrid of the remote Kavaratti islands of Lakshadweep.
Our in-depth analysis of the high voltage commercial switchgear market includes the following segments
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Insulation |
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Current |
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APAC Market Forecast
Asia Pacific is poised to account for the largest share of 40.0% in the global high voltage commercial switchgear market. APAC’s dominant share is attributed to rising investments in grid modernization and rapid urbanization in APAC countries. China, India, Japan, and South Korea are leading the market growth in APAC. Research Nester reports that the top three exporter of switchgears globally are China, India, and Vietnam. China led the exports with more than 5000 shipments of switchgear circuit exports in the first half of 2024. The market is poised to continue its growth curve during the forecast period.
China accounts for the largest high voltage commercial switchgear market share in APAC. The dominant profitable share of China is attributed to its status as a global leader in switchgear circuit exports and large-scale investment in renewable energy. In June 2024, IEAA reported China registered the largest investment in clean energy reaching an estimated USD 675 billion, bolstered by demands across the solar, lithium batteries, and electric vehicles market. These trends bode well for the high voltage commercial switchgear sector in the country as it is positioned to witness large-scale investments in the energy sector and integration of clean energy in grids. Additionally, China aims to create a national power system by 2030 that will merge six regional grids into a unified electricity market. Large-scale projects as such are set to bolster the demands for high voltage switchgears fueling the market’s growth.
In India, the high voltage commercial switchgear market is poised for rapid growth and is projected to increase its revenue share by the end of the forecast period. The market’s growth in India is attributed to push for grid modernization projects and investments in microgrids to strengthen energy solutions. For instance, the Asian Infrastructure Development Bank has an ongoing project of USD 135.0 million in funding to modernize the electricity grid of West Bengal. Large-scale projects to modernize grids and integrate smart grid solutions benefit the market. Companies around the world are leveraging the opportunities in India. For instance, in February 2023, ABB announced the inauguration of its new factory that will double its Gas Insulated Switchgear (GIS) capacity.
North America Market Analysis
North America is projected to register the fastest growth in the global high voltage commercial switchgear market and increase its revenue share by the end of the forecast period. The market’s growth in North America is attributed to rising demands to integrate green energy into grids and modernization of aging power infrastructure. Additionally, the increasing adoption of Electric Vehicles (EV) boosts demands for high voltage switchgear for their use in charging infrastructure. The U.S. and Canada lead the market in North America. Key market players are investing in the region to increase their market share. For instance, in September 2024, Hitachi Energy announced additional investments of over USD 155 million to boost manufacturing capacity in North America.
The U.S. accounts for the largest share in North America. The government bodies such as the Department of Energy have pushed for large-scale grid modernization projects that are set to boost the demand for high voltage switchgear. For instance, in October 2024, the National Renewable Energy Laboratory (NREL) and U.S. Department of Energy’s (DOE) Grid Deployment office reported a multiyear study that will help developers to modernize the U.S. power grid to support the future of transmission needs and provide larger benefits to customers. Additionally, increasing installation of microgrids and increase in charging points for electric vehicles increase market opportunities for the high voltage commercial switchgear market. For instance, the U.S. Department of Transportation estimated around 192000 publicly available charging points across the country in August 2024, and the number is expected to increase.
The market in Canada is positioned to increase its revenue share during the forecast period. The market benefits from the abundance of natural resources in the country. For instance, the Government of Canada reported that renewable energy sources accounted for 16.9% of the primary energy supply in the country. This positions Canada to integrate renewable power sources in grids in modernization efforts that are poised to benefit the robust growth of the market. Companies are leveraging the opportunities in the region by investing greater funds in manufacturing high volage and medium voltage switchgear to increase their revenue share.
The global high voltage commercial switchgear market is positioned to register a profitable growth curve during the forecast period. The market is characterized by the presence of global and local players vying to increase their revenue share. Key players in the market are investing in switchgears that are sustainable to provide robust solutions in commercial and industrial sectors.
Here are some key players in the market:
Author Credits: Dhruv Bhatia
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