This market was estimated at US$6.4 Billion in the year 2020
The global electrical enclosures market, as per a report by Global Industry Analysts, is forecast to reach $8.8 Billion by 2026. Growth in the global market is set to be fueled by rising demand for enclosures in various end-use industries. Rising demand for electricity and the subsequent efforts of the power industry worldwide to expand generation capacity is leading to greater demand for enclosures.
This market was estimated at US$6.4 Billion in the year 2020. The forecast growth represents a CAGR of 5.1 per cent over the analysis period.
Metallic, one of the segments analyzed in the report, is projected to grow at a 4.8 per cent CAGR to reach US$5.8 Billion by the end of the analysis period. Growth in the Non-Metallic segment is readjusted to a revised 5.7 per cent CAGR for the next 7-year period. This segment currently accounts for a 35 per cent share of the global Electrical Enclosures market.
Demand in the Non-Metallic segment is driven by their increasing adoption in oil & gas and metals & mining industries. The segment also benefits from the significant increase in research and development activity associated with non-metallic enclosure materials, whereby manufacturers have developed and launched enclosure products with characteristics that make them ideal for use in critical applications.
Since renewable energy generation units involve the use of several sensitive electrical components as well as batteries that need to be protected to prevent system failures, the demand for electrical enclosures to ensure safety of the systems is on the rise. Rising demand for hygienic electrical enclosures in the food & beverage sector, given the enhanced emphasis on hygienic surroundings, sustained demand for robust enclosures from oil & gas, and metals & mining sectors, and the escalating needs of renewable energy sector are fueling market growth.
Also favoring market is the growing adoption of IIoT (Industrial Internet of Things)-enabled enclosures, while the rising importance of intelligent transport systems is fueling need for electrical enclosures.
The Electrical Enclosures market in the U.S. is estimated at US$1.8 Billion in the year 2021. The country currently accounts for a 27.11 per cent share in the global market. China, the world’s second largest economy, is forecast to reach an estimated market size of US$1.7 Billion in the year 2026 trailing a CAGR of 7.8 per cent through the analysis period.
Among the other noteworthy geographic markets are Japan and Canada, each forecast to grow at 2.8 per cent and 4.6 per cent respectively over the analysis period. Within Europe, Germany is forecast to grow at approximately 3.2 per cent CAGR while Rest of European market (as defined in the study) will reach US$1.9 Billion by the end of the analysis period.
