AC Circuit Breaker Market by Insulation Type (Air, Gas, Vacuum), Voltage (Medium, High, Very-high), Installation (Indoor, Outdoor), End-Use Industry (Transmission & Distribution Utilities, Power Generation, Industrial) & Region - Global Forecast to 2028
[265 Pages Report] The global AC circuit breaker market is expected to grow from an estimated USD 4.1 billion in 2023 to USD 5.3 billion by 2028, at a CAGR of 5.3% from 2023 to 2028. Strengthening of power distribution infrastructure is driving the demand of ac circuit breaker market. This progress is due to the rising per capita income, growing middle-class population, expanding urbanization, and increasing access to electricity in remotely located areas. Rural electrification in some developing countries is expected to bypass large national grids in favor of distributed power generation. For instance, the Indian Government is focusing on increasing the penetration of power supply in villages with the help of schemes such as the Restructured Accelerated Power Development and Reforms Program (R-APDRP) and Deendayal Upadhyaya Gram Jyoti Yojana (DDUGJY). These schemes are providing an excellent opportunity for the ac circuit breakers market.
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AC Circuit Breaker Market Dynamics
Driver: Increasing capacity additions and enhancements for T&D networks
Developing countries such as India and China and countries in Southeast Asia are witnessing a continuous increase in the demand for electricity. These countries have a high rate of urbanization and industrialization, requiring additional capacity to support the increased loads. The Indian Government is also planning on adding generation capacity along with its T&D infrastructure. Therefore, the AC circuit breaker market is expected to have the highest growth in India. Once the power is generated, it needs to be distributed to end users such as renewable companies and industries. As AC circuit breakers are required to distribute power networks, capacity addition and enhancement plans are expected to drive the circuit breaker market.
Restraint: Competition from unorganized sector
Major AC circuit breaker manufacturers face tough competition from unorganized market players that supply cheap and low-quality products. Unorganized players in the market include local players and gray market players. Local players sell goods manufactured in-house with their local brand name, whereas gray market players refer to the import and sale of goods by unauthorized dealers.
These market players from the unorganized sector overpower the big players in terms of price competitiveness and the local supply network they maintain, which is difficult for global players to achieve. The growth in AC circuit breaker sales from the gray market deteriorates the brand name of the market leaders if cheap-quality goods are sold under their brand name. Increasing sales from both local and gray market players reduce the opportunity for global players to increase their revenue (market share).
Opportunity : Emerging smart technologies and digitalization systems
A smart grid is a digital technology that modernizes electricity networks by providing 2-way communication between the utility and its customers. Global power utilities are increasingly investing in smart grid technologies to control and protect power equipment. At the end-user level, smart grids can enable demand flexibility and consumer participation in energy system operations through distributed generation and storage.
The expansion of the IoT has fostered the development of smart technologies in fields such as power transmission and distribution systems (as is the smart grid). The network communication infrastructure for a smart AC circuit breaker system has high requirements from functionality, performance, and security point of view, given the large amount of distributed connected elements and the real-time information transmission and system management. In addition, smart AC circuit breakers (SCB) can offer improved protection as well as “smart” detection and management of grid faults.
Challenge : Risk of cybersecurity attacks and installation of modernized circuit breakers
AC circuit breakers face various cybersecurity threats, such as grid instability, data theft, or security breach, which can be done by bypassing securities on remote access, leading to blackouts and power outages. These outages are the result of incorrect settings in a relay or AC circuit breaker, which determines the response (or non-response) of the device. Incorrect settings may have serious effects on the power system operation. This can be avoided by developing dedicated secure networks for monitoring and controlling the devices/equipment. Developing such a network and assuring control of elements pose a challenge as well as provide opportunities for industry players to develop a secure and safe solution for data acquisition and monitoring along with new-age devices.
AC Circuit Breaker Market Ecosystem
Prominent companies in this market include well-established, financially stable manufacturers of ac circuit breakers Market and components. These companies have been operating in the market for several years and possess a diversified product portfolio, state-of-the-art technologies, and strong global sales and marketing networks. Prominent companies in this market include Eaton (Ireland), ABB (Switzerland), Siemens (Germany), Mitsubishi Electric (Japan), and Schneider Electric (France).
The high voltage segment by voltage holds the second largest segment in 2022
The These AC circuit breakers are manufactured based on a modular design with identical interrupter units, operating mechanisms, and control elements for all types, whether for GIS or AIS applications. GIS between 72.5 kV and 220 kV are mostly used in transmission systems; with the growing global demand for electricity, an increase in demand for these circuit breakers is expected.
According to the IEA, in 2022, the total global energy consumption grew by 2.3%, twice as fast as the average rate over the last 10 years. Investments in the transmission infrastructure are driven by emerging economies such as India, China, the UAE, and Argentina, which is likely to strengthen the market for circuit breakers under this segment.
Indoor segment by installation is estimated to be the second-largest segment for ac circuit breaker market
Medium-voltage indoor AC circuit breakers are approximately from 1.1 to 36 kV. They find applications in large commercial buildings (skyscrapers, airports, and hospitals) and industrial plants (chemical plants, cement plants, food & beverage plants, and power grid distribution systems). These AC circuit breakers are also suitable for generator operations and industrial applications.
Oil segment by insulation type is estimated to be the fourth largest segment for ac circuit breaker market
Gas-insulated ac circuit breaker systems accounted for a 41.3% market share in 2022. Oil AC circuit breakers use oil as a dielectric or insulating medium for arc extinction. In oil AC circuit breakers, the contacts of the breaker are separated within an insulating oil. When a fault occurs in the system, the contacts of the circuit breaker are opened under the insulating oil, an arc is developed between them, and the heat of the arc is evaporated in the surrounding oil. The oil AC circuit breaker is divided into two categories, namely, bulk oil AC circuit breaker and low oil AC circuit breaker. Oil AC circuit breakers offer the advantage of oil having a high dielectric strength, which provides insulation between the contacts after the arc has been extinguished. The oil used in the AC circuit breaker provides a small clearance between the conductors and the earth components. The hydrogen gas is formed in the tank, which has a high diffusion rate and good cooling properties.
Power generation segment by end-use industry is estimated to be the second-largest segment for ac circuit breaker market
AC circuit breakers protect assets such as generators and transformers used in power generation plants. AC circuit breakers detect faults caused due to a short circuit on the power transmission system and disconnect the equipment from the grid. The need for increased safety and reliability of power plants are the major factors driving the AC circuit breaker market for power generation.
North America is expected to account for third-largest market size during the forecast period.
Key Market Players
The market is dominated by a few major players that have a wide regional presence. The major players in the AC circuit breaker market are Eaton (Ireland), ABB (Switzerland), Schneider Electric (France), Siemens (Germany), and Mitsubishi Electric (Japan). Between 2018 and 2022, Strategies such as product launches, contracts, agreements, partnerships, collaborations, alliances, acquisitions, and expansions are followed by these companies to capture a larger share of the market.
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Report Metric |
Details |
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Market Size available for years |
2021–2028 |
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Base year considered |
2022 |
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Forecast period |
2023–2028 |
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Forecast units |
Value (USD Million/Billion) |
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Segments covered |
By Insulation Type, By Installation, By Voltage, By End-Use Industry |
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Geographies covered |
Asia Pacific, North America, Europe, Middle East & Africa, and South America |
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Companies covered |
ABB (Switzerland), Eaton (Ireland) Siemens (Germany), Schneider Electric (France), Eaton (US), Mitsubishi Electric (Japan), General Electric (US), Rockwell Automation (US), BRUSH Group (UK), HD Hyundai Electric Co., Ltd. (South Korea), Chint Electrics (China), Suntree Electric Group Co., Ltd. (China), Toshiba Corporation (Japan), Shanghai Liangxin Electric Co., Ltd. (China), Sécheron Hasler Group (Switzerland), Panasonic Corporation (Japan), Fuji Electric (Japan), Powell Industries (US), Legrand (France), Alstom (France), and TE Connectivity (Switzerland). |
This research report categorizes the AC circuit breaker market based on insulation type, voltage, installation, end-use industry, and region.
By Insulation Type
- Air
- Gas
- Vacuum
- Oil
By Installation
- Indoor
- Outdoor
By Voltage
- Medium
- High
- Very-High
By End-Use Industry
- Transmission & Distribution Utilities
- Power Generation
- Industrial
- Others
By Region
- North America
- Asia Pacific
- South America
- Europe
- Middle East & Africa
Recent Developments
- In Nov 2021, Siemens Smart Infrastructure is enhancing its Sentron portfolio of air circuit breakers with the new 3WA series. Being an important element of low-voltage power distribution, the 3WA series protects electrical installations in buildings, infrastructure, and industrial facilities from damage caused by overload, short circuits, or ground faults.
- In Jan 2021, ABB India launched Formula DIN-Rail, a complete range of miniature circuit breakers (MCBs), residual current circuit breakers (RCCBs), and isolators for the retail electrical market estimated to be worth USD 250 million in India. ABB Formula DIN-Rail portfolio, with its contemporary design, provides optimum protection to electrical circuits from possible damages caused by overload, short circuits, and earth leakages in buildings. The MCBs are available with a 7-year warranty. This range meets international standards and is manufactured in ABB India's smart buildings factory in Bengaluru (Karnataka), with a production capacity of 12 million poles of MCBs per year.
- In September 2019, Eaton launched Power management specialist Eaton announced the global launch at InnoTrans 2018 of ADR, a new product family from Eaton's Heinemann Hydraulic Magnetic Circuit Breakers (HMCB) range.
- In February 2019, Schneider Electric Friday announced the launch of Master pact MTZ, the next generation high-power low voltage circuit-breakers assembled in the Indian market. Master pact MTZ is a first-of-its-kind air circuit breaker that provides customers with enhanced performance, reliability, and safety. A circuit breaker is an automatically operated electrical switch that protects an electrical circuit from damage caused by overload.
Frequently Asked Questions (FAQ):
What is the current size of the ac circuit breaker market?
The current market size of global ac circuit breaker market is estimated to be USD 4.1 billion in 2023.
What are the major drivers for ac circuit breaker market?
This progress is due to the rising per capita income, growing middle-class population, expanding urbanization, and increasing access to electricity in remotely located areas. Rural electrification in some developing countries is expected to bypass large national grids in favor of distributed power generation. For instance, the Indian Government is focusing on increasing the penetration of power supply in villages with the help of schemes such as the Restructured Accelerated Power Development and Reforms Program (R-APDRP) and Deendayal Upadhyaya Gram Jyoti Yojana (DDUGJY). These schemes are providing an excellent opportunity for the AC circuit breaker market.
What is the major restraint for ac circuit breaker market?
SF6 is also classified as a "greenhouse gas" (GHG). SF6 is the most potent GHG in global warming potential (GWP) among the group of chemicals known as fluorinated gases. Strict measures have been put in place to limit SF6 emissions, including restrictions on its use. In 1997, the Environmental Protection Agency (EPA) began looking into SF6 in the US. It became mandatory to record equipment with a nameplate capacity of 17,820 lb or higher in 2012. As a result, emissions have decreased significantly.
Which is the largest-growing region during the forecasted period in ac circuit breaker market?
APAC is expected to account for the largest market size during the forecast period. Many countries in the Asia Pacific region are focusing on modernizing their aging power infrastructure to improve efficiency and reliability. This involves replacing outdated AC circuit breakers with advanced technologies that offer better performance, monitoring capabilities, and safety features. Key players in the Asia Pacific circuit breaker market include ABB, Schneider Electric, Siemens, Mitsubishi Electric, Eaton, and Toshiba, among others.
These companies offer a wide range of AC circuit breakers, including medium-voltage, high-voltage, and very high-voltage AC circuit breakers, catering to various industry requirements. Countries such as China and India have witnessed rapid industrialization, leading to increased demand for AC circuit breakers in manufacturing facilities, chemical plants, oil & gas refineries, and other industrial sectors. The expansion of industries necessitates reliable protection mechanisms for electrical equipment and systems. Governments in the Asia Pacific region are investing heavily in infrastructure projects, including power plants, renewable energy installations, smart grids, and transportation systems.
Which is the largest-growing segment, by insulation type during the forecasted period in ac circuit breaker market?
The gas segment, by insulation type, is projected to hold the highest market share during the forecast period. SF6 is utilized in gas-insulated switchgear at pressures ranging from 400 to 600 kPa absolute. The pressure is selected so the SF6 will not condense into a liquid when the equipment experiences low temperatures. SF6 has two to three times greater insulating property than air at the same pressure; additionally, SF6 is about 100 times better than air for interrupting arcs. It is now used universally as an interrupting medium for high voltage AC circuit breakers, replacing the older mediums of oil and air.
The gas circuit breaker market in Asia Pacific is expected to grow at the highest CAGR of 6.1% during the forecast period. Increasing investments in renewable energy resulting in the demand for the upgrades of the existing substations or the installation of new ones are expected to drive the market for SF6-based gas-insulated switchgear, increasing the demand for gas-insulated AC circuit breakers.
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This study involved major activities in estimating the current size of the AC circuit breaker market. Comprehensive secondary research was done to collect information on the market, peer market, and parent market. The next step involved was validation of these findings, assumptions, and market sizing with industry experts across the value chain through primary research. The total market size was estimated through country-wise analysis. Then, the market breakdown and data triangulation were performed to estimate the market size of the segments and sub-segments.
Secondary Research
The secondary research involved the use of extensive secondary sources, directories, and databases, such as Hoover’s, Bloomberg BusinessWeek, Factiva, and OneSource, to identify and collect information useful for a technical, market-oriented, and commercial study of the global AC circuit breaker market. The other secondary sources comprised press releases & investor presentations of companies, white papers, certified publications, articles by recognized authors, manufacturers, associations, trade directories, and databases.
Primary Research
The AC circuit breakers market comprises several stakeholders, such as product manufacturers, service providers, distributors, and end-users in the supply chain. The demand-side of this market is characterized by industrial end-users. Moreover, the demand is also fueled by the growing demand of underground distribution systems. The supply side is characterized by rising demand for contracts from the industrial sector, and mergers & acquisitions among big players. Various primary sources from both the supply and demand sides of the market were interviewed to obtain qualitative and quantitative information. Following is the breakdown of primary respondents:
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Market Size Estimation
- The bottom-up approach has been used to estimate and validate the size of the market.
- In this approach, the AC circuit breaker production statistics for each product type have been considered at a country and regional level.
- Extensive secondary and primary research has been carried out to understand the global market scenario for various types of AC circuit breakers.
- Several primary interviews have been conducted with key opinion leaders related to AC circuit breaker system development, including key OEMs and Tier I suppliers.
- Qualitative aspects such as market drivers, restraints, opportunities, and challenges have been taken into consideration while calculating and forecasting the market size.
AC Circuit Breaker Market Size: Tow-Down Approach
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Data Triangulation
The overall market size is estimated using the market size estimation processes as explained above, followed by splitting of the market into several segments and subsegments. To complete the overall market engineering process and arrive at the exact statistics of each market segment and subsegment, data triangulation, and market breakdown procedures were employed, wherever applicable. The data was triangulated by studying various factors and trends from both the demand and supply sides in the AC circuit breakers market ecosystem.
Market Defenition
A circuit breaker is designed to protect equipment in an electric circuit from damage caused by excessive current, typically caused by overload or short circuit. It is an automatically operated device that is used to open and close circuits. The device is operated manually to perform maintenance or will automatically trip if a short circuit occurs. Circuit breakers are of two types namely, AC and DC.
An AC circuit breaker is a switch that interrupts or breaks the flow of electrical energy. The AC power system uses alternating current (AC), and it must be interrupted by an approved device for safety reasons. It can also be used to incrementally break the electric current instead of switching off abruptly.
The growth of the market during the forecast period can be attributed to the increasing capacity additions and enhancements of T&D networks across major countries in North America, South America, Europe, Asia Pacific, and the Middle East & Africa.
Key Stakeholders
- Government Utility Providers
- Independent Power Producers
- Circuit Breaker manufacturers
- Power equipment and garden tool manufacturers
- Consulting companies in the energy & power sector
- Distribution utilities
- Government and research organizations
- Organizations, forums, and associations
- Raw material suppliers
- State and national regulatory authorities
- Switchgear manufacturers, distributors, and suppliers
- Switchgear and circuit breaker original equipment manufacturers (OEMs)
Objectives of the Study
- To define, describe, and forecast the size of the market by insulation type, by installation, by voltage, by end-use industry, and region, in terms of value and volume
- To estimate and forecast the global AC circuit breaker market for various segments with respect to 5 main regions, namely, North America, Europe, Asia Pacific (APAC), South America, Middle East & Africa, in terms of value and volume
- To provide comprehensive information about the drivers, restraints, opportunities, and industry-specific challenges that affect the market growth
- To provide a detailed overview of the AC circuit breaker value chain, along with industry trends, use cases, security standards, and Porter’s five forces
- To strategically analyze micromarkets with respect to individual growth trends, prospects, and contribution to the total market
- To analyze the opportunities in the market for stakeholders by identifying high-growth segments and detail the competitive landscape for market players
- To strategically profile key players and comprehensively analyze their market rankings and core competencies
- To analyze competitive developments, such as joint ventures, mergers and acquisitions, contracts, and agreements, and new product launches, in the AC circuit breakers market
- To benchmark players within the market using the proprietary competitive leadership mapping framework, which analyzes market players on various parameters within the broad categories of business strategy excellence and strength of product portfolio
- This report covers the AC circuit breaker market size in terms of value and volume.
Available Customizations:
With the given market data, MarketsandMarkets offers customizations according to the specific requirements of companies. The following customization options are available for the report:
Product Analysis
- Product Matrix, which provides a detailed comparison of the product portfolio of each company
Company Information
- Detailed analyses and profiling of additional market players
Growth opportunities and latent adjacency in AC Circuit Breaker Market