Pad-mounted Switchgear Market Size, Share & Trends Analysis Report By Product Type, By Application (Industrial, Commercial, Residential), By Region, And Segment Forecasts, 2024 - 2030

Pad-mounted Switchgear Market Trends

The global pad-mounted switchgear market was estimated at USD 6.45 billion in 2023 and is forecasted to grow at a CAGR of 4.7% from 2024 to 2030. This growth is attributed to the rising adoption of renewable energy sources like solar and wind increases, which is driving need for efficient and reliable distribution infrastructure, which includes pad-mounted switchgear. Furthermore, pad-mounted switchgear offers safer operations compared to conventional open-air substations, reducing the risk of electrical hazards and minimizing environmental impact.

Market is witnessing rapid urbanization and industrial development in emerging economies which are driving demand for reliable electricity distribution networks, boosting market for pad-mounted switchgear over the years. Many countries are also focusing on upgrading their aging electrical infrastructure, which includes replacing outdated switchgear with modern and highly efficient pad-mounted switchgears. In addition to this, utilities and grid operators are emphasizing the need for improved grid reliability and efficiency, which can be achieved through the deployment of advanced switchgear technologies. This is expected to positively impact market growth.

However, few factors are expected to restraint product growth. For instance, in some regions, there may be a lack of awareness about the benefits of pad-mounted switchgear, as well as a shortage of skilled personnel capable of installing and maintaining these systems, restraining their adoption. Additionally, compliance with stringent regulatory standards and codes can pose challenges for product manufacturers, especially in terms of product certification and grid integration requirements.

Technological advancement in terms of manufacturing technologies is expected to provide new growth opportunities for product. For example, integration of pad-mounted switchgear with smart grid technologies presents opportunities for enhanced monitoring, control, and operational efficiency within distribution networks. Furthermore, development of compact and more efficient designs of product, can further drive market growth and open up new application areas.

Product Type Insights

Based on product type, market is segmented into air-insulated, gas-insulated, and solid-dielectric. Gas-insulated dominated this market accounting for a revenue share of 43% in 2023. This product type is further expected to grow at a fastest rate over the forecast period on account of its ability to offer high reliability. Furthermore, it comes in more compact design compared to air-insulated product type, making it suitable for installations where space is limited, or environmental conditions are challenging. In addition to this, this product type offers long-term cost savings on account of reduced maintenance requirements.

Air-insulated product types is anticipated to witness growth with a CAGR of 4.6% over forecast period. It is mainly designed for outdoor installation and are often used in substations, industrial facilities, and residential areas. Furthermore, air-insulated product type is considered more cost effective when compared to gas-insulated. However, it is susceptibility to pollution and moisture which generates the need for periodic maintenance. On the other hand, solid-dielectric pad-mounted switchgear uses solid materials like epoxy resin or silicone rubber for insulation. This type of switchgear is gaining popularity due to its environmental friendliness and safety features.

Application Insights

On the basis of application, pad-mounted switchgear market is segmented into industrial, commercial, and residential. Among these, industrial application accounted for the largest revenue share of 59% in 2023. In industrial sector, this product finds applications in manufacturing plants, petrochemical facilities, mining operations, and heavy industries such as automotive plants and steel mills. Demand for this product is increasing in this sector on account of growing requirement of robust, reliable, and efficient electrical distribution solutions to support heavy-duty operations and ensure uninterrupted power supply.

Commercial applications of pad-mounted switchgear cater to a wide range of facilities where continuous power supply is essential for operations, occupant comfort, and safety. The product is used in various commercial properties such as office buildings, retail centers, hotels, hospitality industry, and educational institutions. Increasing construction activities and commercial infrastructure development, coupled with growing emphasis on energy efficiency and sustainability in commercial buildings is expected to further drive market growth across globe.

Regional Insights

Demand for pad-mounted switchgear in North America is expected to grow at a significant pace over years on account of rising investments in grid modernization programs aiming at improving grid reliability, efficiency, and resilience. Furthermore, increasing adoption of renewable energy sources, such as solar and wind power in North American countries drives demand for robust distribution infrastructure, where pad-mounted switchgear plays a crucial role.

U.S. Pad-mounted Switchgear Market Trends

The pad-mounted switchgear market in the U.S. is growing at a CAGR of 4.8% over the forecast period. Expansion of renewable energy capacity requiring reliable grid integration solutions, including pad-mounted switchgear is driving this market growth. Additionally, deployment of smart grid technologies to optimize grid operations and improve energy efficiency in country is expected to support adoption of advanced switchgear solutions over years.

Europe Pad-mounted Switchgear Market Trends

Europe dominated the pad-mounted switchgear market in 2023 with a revenue share of 36.6%. This product is further expected to witness increasing demand at a significant rate on account of additional emphasis on sustainability, energy efficiency, and stringent environmental regulations in countries of Europe. Furthermore, expansion of EV charging infrastructure requiring reliable and efficient distribution networks which can be supported by pad-mounted switchgear is expected to fuel product growth in region.  

Asia Pacific Pad-mounted Switchgear Market Trends

Asia Pacific region includes countries like China, Japan, India, and South Korea which are witnessing rapid urbanization, industrialization, and infrastructure development, driving substantial growth of pad-mounted switchgear market. In addition to this, expansion of manufacturing and industrial sectors in countries which require robust and efficient electrical distribution systems to support production operations is expected to boost product demand.

Key Pad-mounted Switchgear Company Insights

Some of the key players operating in the market ABB Ltd, S&C Electric Company, and Eaton Corporation PLC:

• ABB Ltd, a U.S. based company involved in manufacturing of electrical products and services. Product portfolio of the company includes building & home automation, critical power, installation products, machine & motor control, and protection, distribution & control. Repairs, replacement, installation, and consulting are few of the services offered by company. Furthermore, it operates 200 manufacturing facilities in around 100 countries, serving various industries such as manufacturing, aviation, renewable energy, utility, data center, transportation, and building & infrastructure.

• S&C Electric Company is involved in manufacturing of electricity distribution products. Its products are categorized into automation products - communication, control & software, automation products - switching equipment, cypoxy, fusing equipment - outdoor distribution, fusing equipment - outdoor transmission, fusing equipment - indoor distribution, handling tools, metal-enclosed switchgear - outdoor & indoor distribution, reclosers - outdoor distribution, software, switching equipment - outdoor transmission & substation, switching equipment - overhead distribution, switching equipment - indoor distribution, and switching equipment - underground distribution switchgear.

Scott Manufacturing Solutions and Electric and Electronic Co. Ltd. are some of the emerging participants in the market.  

• Scott Manufacturing Solutions is a U.S. based company involved in design, manufacturing, and assembling of powering solution. Its products include capacitor banks, padmount switchgear enclosure, padmount primary & secondary metering enclosure, padmount sectionalizing & termination enclosure, and line construction hardware.

• Electric and Electronic Co. Ltd. is a manufacturer and supplier of distribution automation and medium voltage switchgear. It exports its products to around 50 countries. Company’s product category includes overhead line, underground line, substation, metro/railway, nuclear power plant, and power IT.

Recent Developments

• In August 2018, Iljin Electric and Siemens signed an agreement to develop new gas-insulated switchgear which would be SF6-free and will be used for 170 kilovolt (kV) voltage level. Furthermore, this product could be used at high temperature as well. Moreover, with this product, both companies are aiming at meeting the growing demand for environmentally friendly products in Korea.

Pad-mounted Switchgear Market Report Scope

Global Pad-mounted Switchgear Market Report Segmentation

This report forecasts revenue growth at regional & country levels and provides an analysis of the industry trends in each of the segments from 2018 to 2030. For the purpose of this study, Grand View Research has segmented the global pad-mounted switchgear market report on the basis of product type, application, and region:

• Product Type Outlook (Revenue, USD Million; 2018 - 2030)

  • Air-insulated

  • Gas-insulated

  • Solid-dielectric

  • Other Product Types

• Application Outlook (Revenue, USD Million; 2018 - 2030)

  • Industrial

  • Commercial

  • Residential

• Regional Outlook (Revenue, USD Million; 2018 - 2030)

  • North America

    • U.S.

    • Canada

    • Mexico

  • Europe

    • Germany

    • UK

    • France

    • Italy

    • Spain

  • Asia Pacific

    • China

    • Japan

    • India

    • South Korea

  • Central & South America

    • Brazil

    • Argentina

  • Middle East & Africa