Global Surge Protection Devices Market Grows Steadily at a CAGR of 8.2%

Introduction

Surge protection devices (SPDs) protect electronic equipment and systems from transient voltage spikes or surges. These surges, generated by lightning strikes, power grid oscillations, or switching operations, can kill sensitive devices. Surge protection devices channel excess power away from connected equipment, preventing damage and ensuring the safety and dependability of electrical systems. The surge protection devices market share has increased due to the rising requirement for surge protection devices to protect the new, innovative electrical and electronic gadgets being installed in homes and businesses. Other factors expected to drive demand include ambitious alternative energy programs being pursued worldwide, increased operational costs due to electricity quality difficulties, and frequent equipment malfunctions. The ability of surge protection devices to lower electricity bills by reducing power gadgets use is also expected to play a key role in driving market growth over the forecast period.

Market Dynamics

Increasing Dependence on Electronics and Technology Drives the Market

Demand for surge protection systems has increased due to the increased use of electronic devices in daily life and industry. Industrial manufacturing plants use automated processes and sensitive electrical equipment. A voltage surge can damage equipment, interrupt production, and cause downtime. The CTA predicts USD 461 billion in retail revenue from the US consumer technology industry in 2020. As customers invest more in pricey electronics, the need to safeguard them from voltage surges grows, boosting home surge protection device demand. Industrial and consumer electronics and technology use drive the surge protection device sector. Many businesses and families utilize electronic equipment, improving awareness of surge protection and driving the adoption of surge protection devices.

Increasing Adoption of Smart Grids and IoT Devices Creates Tremendous Opportunities

The surge protection devices market will grow as smart grid adoption, and the IoT ecosystem grow. Smart grids employ cutting-edge technology to efficiently and effectively manage electricity supply. These grids use sensors, communication networks, and control systems to manage energy flow. IoT Analytics predicts 30.9 billion connected IoT devices by 2025. Effective surge protection solutions are needed to protect IoT devices from sudden voltage spikes as their number grows. Smart grids and IoT ecosystems enhance the demand for reliable surge prevention equipment. Surge protection device makers can utilize this by building smart grids and IoT solutions. These solutions ensure the seamless and secure operation of important infrastructure and linked devices, driving the surge protection devices market.

Regional Insights

Asia-Pacific will grow quickest over the projection period. China, Taiwan, Japan, and the rest of Asia-Pacific are surge protection devices market subcategories. Hospitals, offices, huge retail stores, and theaters are being built due to economic growth and urbanization. Asia-Pacific nations promote airport infrastructure and smart cities. Tourism, smart city projects, and residential, commercial, and industrial building drive surge protection device demand. SPDs' benefits are becoming well understood in China, India, and Japan, explaining the surge.

Rising disposable income in Asia-Pacific allows people to buy quality consumer electronics like LED TVs, washing machines, and refrigerators. The market is influenced by smart manufacturing. According to IBEF data, India aims to increase manufacturing production's GDP contribution to 25% by 2025 from 16%. The Smart Advanced Manufacturing and Rapid Transformation Hub (SAMARTH) Udyog Bharat 4.0 program promotes Industry 4.0 in India and helps stakeholders address smart factory issues. Consumer focus on device security is predicted to promote regional market growth during the forecast timeframe.

North American market share will be large during the forecast period. The region pioneers cutting-edge technologies. The region is also aware of SPD benefits. Residential and business power use accounts for 37% of US electricity. Lightning is also common in Florida, Louisiana, Mississippi, and Alabama. Thus, SPDs are widely used to protect electronics against rapid energy swings in these conditions. All of these considerations have made North America the largest regional market. Surge protection in residential and charging infrastructure is also increasing due to smart house adoption and EV demand. Installing smart appliances, home automation systems, and EV charging stations increases the risk of voltage spikes damaging them.

Europe is a significant surge protection device market. Demand for surge protection devices is expected to rise with automation investment and residential electronics use. German manufacturers make precision machinery for export. Their high-quality items are made using sensitive electrical equipment and automated manufacturing processes. They install surge protection devices across their electrical infrastructure to protect equipment from voltage variations and power surges. This proactive technique keeps their machinery running smoothly and eliminates costly disruptions.

Key Highlights

• The global surge protection devices market was valued at USD 2.6 billion in 2022 and is projected to reach USD 5.2 billion by 2031, registering a CAGR of 8.2% during the forecast period (2023-2031).
• Types are further classified as Type 1, Type 2, Type 3, and Type 4. The market is controlled by Type 2.
• The market is divided into four product categories: hard-wired, plug-in, line cord, and power control devices. Hardwired has the largest market share.
• Commercial complexes, data centers, industries, manufacturing units, medical facilities, residential structures and spaces, telecommunication infrastructure, transportation systems, and other categories are further subdivided by end-users. Industries and manufacturing units led the market.
• The market is divided into five segments based on power rating: 0-50 kA, 50.1-100 kA, 100.1-200 kA, 200.1 kA, and Above. The market's main income generator is 100.1-200 kA.
• Depending on the region, the market is analyzed in North America, Asia-Pacific, Europe, and LAMEA. Asia-Pacific dominates the market.

 

Competitive Players

Competitive Landscape of the Global Surge Protection Devices Market

The key players in the global Surge Protection Devices market are Schneider Electric, ABB, GE, Eaton, Legrand, Emerson Electric Co., Siemens, cgglobal.com, Tripp Lite, and Vertiv Group Corp. 

Recent Developments

Market News

• In August 2023, Schneider Electric introduced Managed Security Services for operational settings.
• In July 2023, ABB and Microsoft collaborated to introduce generative artificial intelligence to industrial applications.
• In August 2023, Greenbird was acquired by GE Vernova to accelerate GridOS® innovation and assist utilities in reducing the complexity of energy data integration.

Segmentation

Global Surge Protection Devices Market: Segmentation

By Product

• Hard-wired
• Plug-in
• Line Cord
• Power Control Devices

By Type

• Type 1
• Type 2
• Type 3
• Type 4

By Power Rating

• 0-50 kA
• 50.1-100 kA
• 100.1-200 kA
• 200.1 kA and Above

By End-Use

• Commercial Complexes
• Data Center
• Industries and Manufacturing Units
• Medical
• Residential Buildings and Spaces
• Telecommunication
• Transportation
• Others

By Region

• North America
• Asia-Pacific
• Europe
• Middle East and Africa
• Latin America