The Global market for industrial surge protection is forecast to reach $xx 3.7 billion by 2025, growing at a CAGR of 4.3xx% from 2020 to 2025. The market growth is attributed to the factor such as protection of electrical and electronics equipment from the surges instigated by starting motors or transformers, neon and sodium light starters, switching power networks, switch “bounce” in an inductive circuit, operation of fuses and circuit breakers, falling power lines, poor or intermittent contacts. Moreover, easier maintenance and reduced repairing cost ads up to its benefits owing to which the market flourishes.
- Surge protection devices protects the business from undergoing heavy losses due to equipment failure caused by voltage surges. This provokes the installation of surge protection devices and enhances the market growth.
- APAC region is expected to dominate the global industrial surge protection market during the forecast period 2020-2025 due to the growing industrial sector, increasing gross domestic product (GDP), per capita income, changing lifestyle of people, investments by manufacturers and others thereby leveraging a positive impact on industrial surge protection market.
By ANSI/UL type- Segment Analysis
Type 1 (Permanently connected, Hard-wired) segment held the highest market share of industrial surge protection in 2019. Moreover, it is anticipated to witness the significant market growth during the forecast period 2020-2025. The market growth is attributed to its application to safeguard electrical infrastructure from direct lightning strikes in service-sector and industrial buildings. This also discharge the back-current from lighting from the earth conductor to the network conductors. Type 1 surge protection device features a current wave of 10/350 μs. Furthermore, various applications of Type 1 surge protection device including loadcenters/electrical panels, residential service entrances, sump & irrigation pumps, control cabinets, individual equipment disconnects, single & three phase motors, outdoor lighting, garages, farm / irrigation control, and other electrical assemblies enhances the market growth.
By Application type- Segment Analysis
Industrial surge protection market is segmented into energy and power, construction, automotive and others on the basis of application. The Automotive segment is anticipated to hold the highest market share during the forecast period 2020-2025. Technological advancements accompanied by integration of electronic equipment in the automotive industry and rising adoption of electric vehicles leads to rise in demand for surge protection devices . Technological developments followed by implementation of electrification into the automobile industry and increasing acceptance of electric vehicles contribute to growing demand for surge safety products. Moreover high cost of replacement of electronics and circuitry provokes for the demand of surge protection devices which in turn enhances the market growth. In May 2018, two series of AEC-Q101-qualified TVS Diode Arrays the AQHV and AQHV-C was launched by Littelfuse. The product was developed to include very fast-acting, high-performance over-voltage safety systems best suitable for control interfaces, interfaces for passenger parking, and LED illumination packages, as well as low-speed I / Os. In December 2017, 60V Voltage Regulators R1560 and R1561 was launched by Ricoh for application in 48V automotive battery. The R1560 and R1561 is applicable for traditional internal combustion engines as well as hybrid electric and moderate hybrid cars. . In January 2020, an investment of US $110 million was made by Hyundai Motor Company and Kia Motors Corporation in a partnership with Arrival limited. This investment was made for for the development of electric commercial vehicles thatwhich tends to increase in demand for surge protection devices . Thus such investments, partnerships and product launches enhance the market growth.
Geography - Segment Analysis
North America held the highest market share of the industrial surge protection market in 2019. The market growth is attributed to the factors such as implementation of advanced technologies and rising electrification among different industries, presence of large number of electronics manufacturers in this region. Moreover rise in demand of surge protection owing to growth of automotive industry in this region boosts the market growth. For instance in February 2020, two LED drivers (NCV7683 and NCV7685) and two current controllers (NCV7691 and NCV7692) was launched by ON Semiconductor to expedite high echelons of performance and pioneering functionality. Furthermore, In August 2019, the DTK-DR Series of DIN-rail surge protectors was launched by Ditek to offer point-of-use electrical surge protection for device control panels and analogous solicitations in commercial and industrial atmospheres. In April 2018, managed power product lined named Datto Managed Power was launched by Datto. This device offers unique capabilities including automated ping test, surge protection, intuitive cloud management, automated power reporting and others. Such product launches enhances the market growth. However, APAC region is anticipated to observe the significant market growth during the forecast period 2020-2025. The market growth is attributable to factors including rapid industrialization, urbanization, investments for modernizing infrastructure, rising consumer demands for technologically advanced and smart electronic devices and others.
Drivers – Industrial surge protection market
- Growing usage of electrical equipment
Growing demand for electronics products leads to increase in demand for electrical protection system for the safeguard of the appliances which in turn enhance the market growth. Moreover, the use of electronic equipment is increasing in manufacturing industries, telecommunication networks, automotive, energy and power, transportation and others owing to which the need for power-quality protection equipment is gaining prominence.
Challenges – Industrial surge protection market
- Limited lifespan
Surge protectors lifespan does not last long and it varies from model to model. Each time the devices are secured from spikes and pulses it receives dangerous voltages that. The more it happens results in deterioration of the equipment. These protectors come with joules ranking that is an indication of how long they live. Thus it poses a constraint to the market growth.
Partnerships and acquisitions along with product launches are the key strategies adopted by the players in the industrial surge protection market. As of 2019, the market for industrial surge protection market is consolidated with the top players including Eaton Corporation, Schneider- electric. Co, Siemens AG, ABB Group, General Electric, Emerson Electric Co., Littelfuse, Inc., Koninklikes Philips N.V, Rockwell Automation, Inc., Honeywell International Inc., and among others.
- In June 2019, SPD2 series of Type 2 surge protection devices was launched by Littelfuse, Inc. This appliance deployment in power delivery or branch circuits prevents devices from spikes by reducing the fault current to a load or secured unit.
- In July 2018, CP Automation entered into an agreement with SineTamer to deliver the surge and transient safety systems throughout Europe, the Middle East and Asia. The coalition benefits producers by reducing intermittent spikes induced by variable frequency drives (VFDs) to the downtime induced by traditional surge safety systems.