Electrical Components Market

The Electrical Components market size is forecast to reach USD 1.6 trillion by 2031, after growing at a CAGR of 3.2% during the forecast period 2024-2031.  Electrical components of diversified ranges are imperative to several industries as they are responsible for controlling currents or voltages, and several other long-running advantages. The growth of the Electrical Components Industry is influenced by a number of prominent factors, such as rising penetration of industrial IoT for digital twins, advancements in semiconductor technology and popularity of the Stretchable Electronic applications. Electrical components are an indispensable part of every business sector, including industrial manufacturing, automotive, healthcare, aviation and many more. In addition, the avant-garde opportunities offered by the next generation electronic devices, such as smartphones, laptops, wearable electronics and bioelectrical devices continue to promote the growth of the market. Therefore, the surge of new age of technologies, pertinent to autonomous vehicles, bioelectrical devices, AI-powered computer assistants, and other array of innovations propelled the growth of the Electrical Components Market.

The report “Electrical Components Market – Forecast (2024-2031)”, by IndustryARC, covers an in-depth analysis of the following segments of the Electrical Components market.

By Building Automation: Building Automation, Datacom Accessories, Security & Wiring Accessories

By Cables & Wires: Datacom Cables, LV Cables, MV&HV Cables and Special Cables.

By Energy Distribution: MV&HV Energy Distribution

By Industrial Automation: Automation Controls, Auxiliary Controls, Drives & Motion Controls, Measurement Controls and Relays.

By Lighting: Fixtures, Lamps & LEDs

By Power Distribution: Cable Management, Enclosures & Panels, and LV Electrical Distribution

By Renewable Energies: HVAC and Renewable energy.

By Safety & Tools: Safety Equipment, Working Tools & Accessories and Others

By Geography:  Americas, South America, Europe, APAC, and RoW.

 

 

•  Asia Pacific region is analyzed to be the major region for the Electrical Components Market, owing to the promising penetration of smartphones, prominence of electronics manufacturing sectors and expansion of the IT and telecom sectors.

 

•  Heating, ventilation, and air conditioning (HVAC) technology is expected to emerge with high growing owing to the growing adoption of smart homes and related technologies. 

 

•  The strong penetration of smartphone and other kinds of smart devices along with the prevalent demand of bandwidth connectivity are some of the factors that resulting to the positive impact on the market growth. 

By building automation, the Electrical Components Market is segmented into Building Automation, datacom accessories, security and Wiring accessories. Among them, security segment is analyzed to hold the maximum share of 40% in 2023. The dominance of the segment is witnessed owing to government initiatives to promote the smart sensors owing to the rising concern of safety along with the growing adoption of smart home technologies. For Instance: According to World Bank Reports, Indonesia has shown significant growth in the investments done in industrialization and construction sector owing to different smart city projects and building automation programs. 

By lighting, the Electrical Components Market is segmented into Fixtures and lamps & LEDs. Out of which lamps & LEDs is analyzed to hold the maximum share of 57% in 2023. The growth of segment is attributed owing to the escalating adoption of LED lighting in both the urban and semi-urban provinces of the country. For Instance: In the present scenario, India is rapidly evolving from utilizing conventional products to LEDs. The LED lighting is being precisely adopted in residential, commercial and industrial sectors across the country. According to Electric Lamp and Component Manufacturers Association of India (ELCOMA) has estimated that India LED sector is estimated to reach around $681.14 billion by the end of the year 2031 Moreover, the Initiatives taken by the central government is positively influencing the surge and adoption of emergency lighting in India.

Asia Pacific region is analyzed to be the major region with a growth rate of 3.6% for the Electrical Components Market, owing to the promising penetration of smartphones, prominence of electronics manufacturing sectors, expansion of the IT and telecom sectors and government support for initiating IoT and LTE integration. By 2025, the GSMA predicts that 5G networks will reach 1.2 billion connections or one-third of the world's population. The rising integration of 5G network services across the globe is observed to boost the demand for electronic components. The market growth is being driven by several factors such as increasing demand for consumer electronics, the rollout of 5G networks and the growth of high-speed data communication, advancements in IoT, and increasing industrial automation. In January 2023, Renesas unveiled a new intelligent power device (IPD) for automobiles that manage power distribution in cars flexibly and safely to satisfy the demands of the next E/E (electrical/electronic) designs. Thus, this is expected to drive market growth during the forecast period.

 

 

Asia Pacific was the dominating renewable energy market with a market share of over 35% in 2023. It is estimated that over half of the renewable energy across the globe is consumed in Asia Pacific region. The rapid industrialization and urbanization in the region had resulted in the rapid increase in the pollution levels. Furthermore, a rapid increase in the population and rise in the residential projects in the region is fuelling the demand for the electricity.

 

 

The Industrial Automation solution has been witnessing rapid advancement in recent years, which eventually highlighted the emergence of latest wireless devices and other industrial communication solutions, thereby driving the growth of the Electrical Components Market. The global supplier of IoT intelligent systems, Industry 4.0, and machine automation solution, Advantech expanded its line of device servers and Modbus gateways with the launch of the EKI-1521I-SC-A, EKI-1221I-MT-A, and EKI-1222I-SC-A. These Advantech solutions are fiber optics ports for providing enhanced connectivity in services, including long distance transmission as well as protocol conversion. Therefore, the expansion of industrial IoT for digital twins and augmented reality technology are some of the factors that are analyzed to drive the growth of the Electrical Components Market.

 

The outbreak of Covid-19 pandemic represents as the twin challenges to lives and livelihoods. The implication of the pandemic to business is very disruptive, and most of the industry verticals, such as manufacturing, construction, power and other sector are witnessing economic complexities. Hence, these unexpected pandemic consequences brought severe repercussions to various electrical components, and impede the growth of Electrical Components Market.

Partnerships and acquisitions along with product launches are the key strategies adopted by the players in the Electrical Components Market. The Electrical Components Market top 10 companies include: