Global Statistics Representing Testing, Inspection, and Certification (TIC) Market Scenario
Companies provide services such as a complete assessment, validation, and testing along with certification services. They also help with related support like consulting, training and auditing to increase productivity, help local manufacturers comply global standards, reduce risk and assure the quality and safety of a company’s products and services.
Imposition of rigorous import-export government regulations, increased consumption of goods specifically in emerging countries, growing end-use sector outsourcing testing, inspection, and certification services are expected to be the major driving factors influencing the market growth in near future.
The global TIC market is expected to witness significant growth during the forecast period, 2019–2026. Ever-tightening regulations and increasing levels of standards have led to rise in outsourcing of TIC functions with an estimated 38-40% of the market are outsourced currently. A transition from a voluntary-based risk management approach to obligatory testing services from guaranteed source has become compulsion triggering outsourcing of TIC services.
Proliferation of firms deploying products on a global scale has triggered TIC companies to adapt their services to the changes in the global supply chain. Hence, the company can test, inspect, and certify products regardless of where in the world they are being manufactured or installed.
The global TIC market is segmented by product type, application, and region.
Based on product type, the TIC market is segmented into in-house and outsourced. Several large and medium-sized companies such as BASF, Siemens, General Electric, and among others have created their own in-house team for testing, inspecting, and certifying various products and services. The quality control team is at the forefront in all validation, and quality check processes to ensure that the customers receive the best of their services. Formerly, organizations and manufacturers had to adhere to limited regulations and standards; therefore, it was possible for companies to build their in-house testing and inspection capabilities. Lately, the standards associated with human/user safety and environmental safety have raised and become obligatory for a certain category of products. This trend has increased the outsourcing of testing, inspection, and certification services to the specialized third-party services as they exceedingly reduce the operational expenditure for the manufacturers.
On the basis of application, the TIC market is segmented by consumer product, commodities, industry, life science pharma, and others. Electrical safety testing, performance & endurance testing, mechanical safety testing, and product packaging testing are some of the major TIC functions performed on consumer goods. Additionally, the safety of recreational items and toys has been emphasized ever since the discovery of lead in children’s toys resulted in massive product recalls in 2007. To knock out these risks to children, testing, inspection, and certification of the products are must ensure products safety in terms of material used, design, and function.
Geographically, global TIC market is divided as North America, Europe, Asia-Pacific, and Latin America, the Middle East & Africa.
North America is expected to witness significant growth in TIC market during the forecast period owing to growing government regulation across the region. Any company conducting business in the U.S. must follow four major steps. The first step is to know whether the product is subjected to any U.S. regulation; second is to assure government regulations; third is to meet the private sector standards, and fourth is to assure all conformity assessment measures that include self-declaration, testing, and inspection certification. A wide variety of Conformity Assessment Bodies that offer third-party conformity assessment services in the U.S. includes Bureau Veritas, CSA, INTERTEK, FM Approvals, and DEKRA, among others.
European Union has synchronized their standards, although some nations still maintain their own import regulations. For instance, CE Marking is mandatory for every product seeking entry into the European Union and must comply with the European Directives. Products bearing S Mark demonstrates compliance with legal European electrical safety requirements. Nordic Approval Certification, through an agreement with FIMKO (Finland), is available for Sweden (SEMKO), Norway (NEMKO), and Denmark (DEMKO) that symbolizes official sustainability ecolabel. UkrTEST mark indicates compliance with mandatory safety or Electromagnetic compatibility or telecommunication requirements administered by the Ukrainian Testing and Certification Institute of Electrical Equipment.
Almost every country in Southeast Asia is growing and has shown significant potential to grow in testing, inspection, and certification TIC market. Thailand, Malaysia, Singapore, Indonesia, the Philippines, and other small countries are a part of Southeast Asia. To gain access in Singapore market, manufacturers should identify all the regulatory requirements needed in their products. In general, most of the electrical & electronics products must pass IMDA certification for telecom products and IDA for IT, mobile, wireless, and ISM.
Central & South America market mainly consists of Mexico, Brazil, Chile, Peru, Argentina, Colombia, and others that are growing considerably in testing, inspection, and certification TIC market. Each region has its own norms and regulations for product certification. For instance, to gain entry in the Mexican market, manufacturers must assure that product have been subjected to NOM mark certification (safety), Telecom & Radio transmission equipment to COFETEL (RF & Telecom) and CONUEE for energy label.
Some of the most prominent players in TIC market are SGS Group (Switzerland), Bureau Veritas (France), Dekra Certification (Germany), Intertek (U.K), TUV SUD (Germany), Eurofins Scientific (Luxembourg), DNV (Norway), TUV Rheinland (Germany), UL LLC (U.S.), ALS Limited (Australia), TUV Nord Group (Germany), Mistras Group (U.S.), SAI Global (Australia), BSI Group (U.K), Element Material Technology (Exova Group Plc) (U.K)
Testing, Inspection, and Certification (TIC) Market Segmentation
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Our report covers the global TIC market insights, focusing on recent developments in the market in different regions and development strategies of the companies. Moreover, following sections are specifically covered in the report.