Circuit Breaker Market

Circuit Breaker Market Market Size

Circuit Breaker Market is anticipated to exhibit a Compound Annual Growth Rate (CAGR) of 6.7% during the forecast span from 2024 to 2034. In 2023, the market size was assessed at USD 13.8 billion and is projected to reach USD 28.2 billion by the completion of 2034.

Circuit breaker refers to an essential safety mechanism in electrical systems, which is used to protect against overload and short circuit incidents. The circuit breaker quickly turns off the electrical flow when abnormal currents exceed the capacity of the circuit, along with averting overheating and possible fire threats. These devices are available in multiple configurations, including thermal, magnetic, and combinations, each adapted to a specific application. When the circuit breaker detects a fault, it "trips," which blocks power flow until the problem is corrected, either manually or automatically. Additionally, circuit breakers are widely used in residential, commercial, and industrial settings to ensure safety and dependability of electrical installations by rapidly separating damaged circuits. Therefore, circuit breaker is crucial in preventing electrical mishaps and ensure the safety of electrical systems across different settings.

Market Highlights

Circuit Breaker Market is expected to grow at a compound annual growth rate (CAGR) of 6.7% from 2024 to 2034

Circuit Breaker Market is projected to reach USD 28.2 billion over the forecast period, due to rising demands for electricity, modernization of infrastructure, and industrial automation. Growing awareness of electrical safety and the need to reduce power distribution risks is pushing the use of circuit protection technologies. Additionally, the development of renewable energy installations, combined with electrification initiatives and repairs to old power infrastructure, collectively help to drive the adoption of circuit breaker. Moreover, various regions throughout the world are experiencing significant market traction, with North America and Asia-Pacific emerging as key growth hubs due to extensive industrial activity and investments in grid modernization. Furthermore, product innovation, coupled with strategic collaborations and market expansion efforts are actively pursued by industry leaders in order to capitalize on emerging opportunities and increase their market presence.

Source: Fatpos Global

Circuit Breaker Market Segmentation

Medium Voltage segment will dominate as it provides better operational range to serve various industries

By Voltage, the Circuit Breaker Market is divided into Low Voltage Circuit Breaker, Medium Voltage Circuit Breaker, and High Voltage Circuit Breaker. The medium voltage segment is expected to dominate the circuit breaker market owing to its operational range, which cater to various sectors like airports, nuclear power plants, and data centers. Its widespread installation in distribution substations and urban infrastructure highlights its significance in ensuring efficient power distribution. The growing dependence on energy for data center cooling and infrastructural development across large cities further adds to the popularity of medium voltage circuit breaker. Furthermore, low-voltage products are also in high demand for domestic applications due to their efficiency, but medium voltage circuit breakers are still required for larger-scale operations that demand greater voltages. They play an essential role in sustaining crucial infrastructure and supporting economic development through dependable electricity distribution. Thus, these factors collectively underscores the versatility and importance of medium voltage circuit breakers across various industrial and infrastructure settings.

Gas Circuit Breaker segment will lead the market due to its distinct characteristics and applications

Based on Insulation, Circuit Breaker Market is segmented into Vacuum Circuit Breaker, Air Circuit Breaker, Gas Circuit Breaker, and Oil  Circuit Breaker. The gas circuit breaker segment will likely dominate the circuit breaker market during the forecast period. The growth is attributed to its unique advantages, which includes high dielectric properties and compact size, which makes it a preferred choice across various applications. Additionally, the rising emphasis on sustainability and renewable energy sources has encouraged demand for gas-insulated switchgear (GIS) which utilize sulfur hexafluoride (SF6) gas for upgrading existing substations or establishing new ones to accommodate renewable energy integration. Moreover, technological improvements and regulatory framework for safety further solidify the dominance of gas circuit breakers. Therefore, this trend highlights the significance of gas circuit breakers in ensuring reliable and efficient operation within modern electrical systems.

Source: Fatpos Global

Market Dynamics

Growth Drivers

Increasing Demand for Electricity will Generate Growth Opportunities

Rising global energy demand is being driven due to various aspects, which includes expansion of industries, technological innovations, and population growth. This rise in demand is common across businesses and households, where energy is required to operate machinery, lighting, heating, and other purposes. Thus, to meet this growing demand, there is a pressing need for the establishment of strong electrical systems. Within these systems, circuit breakers play a significant role in protecting against overloads, short circuits, and other electrical malfunctions. Additionally, with the emergence of new industries, the importance of reliable circuit protection solutions is becoming increasingly evident. Therefore, these factors pushes the growth of circuit breaker market on a global scale, as industries look for dependable solutions to ensure uninterrupted electricity supply.

Rapid urbanization and infrastructure development will Drive Market Expansion

Urbanization and infrastructure development are globally pushing the requirement for robust electricity distribution systems to serve the needs expanding cities. Reliable power distribution is essential for homes, businesses, transportation networks, and important infrastructure. Thus, circuit breakers play a crucial role in these systems for protecting against electrical faults and ensuring dependable power distribution. Additionally, there will be a substantial market demand for circuit breaker suppliers and manufacturers as new urban infrastructure projects and industrial facilities will continue to grow. This need supports growth as stakeholders will look for trustworthy options to support urban expansion and infrastructure development. Therefore, the growing reliance on energy highlights the need of circuit breakers in ensuring safety and dependability in expanding urban ecosystem.

Restraints

Environmental concerns regarding SF6 gas Could Limit the Industry's Growth

SF6 gas has a high global warming potential (GWP), which makes it problematic for the environment even though it is frequently employed in gas-insulated circuit breakers due to its superior insulating qualities. SF6 is a powerful greenhouse gas, with a GWP thousands of times greater than CO2 over a hundred-year period. The usage of SF6 in electrical equipment is therefore subject to high regulatory scrutiny and environmental awareness. Moreover regulations which are aimed at lowering SF6 emissions, such as the European Union's F-Gas Regulation, could limit its use and thus affect the market for gas-insulated circuit breakers. This limitation highlights the importance of finding alternative insulating technologies with less environmental impact in order to solve sustainability challenges in the circuit breaker industry.

Recent Developments

• In January 2024, ABB Ltd. launched a new line of miniature circuit breakers (MCBs) designed for residential and commercial applications. They additionally announced a partnership with Siemens AG to develop and manufacture next-generation medium-voltage circuit breakers.
• In December 2023, Siemens AG acquired a majority stake in a Chinese manufacturer of low-voltage circuit breakers. They launched a new line of air circuit breakers (ACBs) for industrial applications.
• In February 2024, Schneider Electric SE announced the acquisition of a US-based company specializing in arc fault circuit interrupters (AFCIs).  Schneider Electric also launched a new range of molded case circuit breakers (MCCBs) with improved performance and connectivity features. 
• In September 2023, Eaton Corporation entered into a joint venture with a Japanese company to develop and manufacture power distribution equipment, including circuit breakers.
• In April 2023, General Electric Company announced plans to divest its electrical products business, including its circuit breaker operations.

Circuit Breaker Market

Key Players:

• ABB Ltd.
• Siemens AG
• Schneider Electric SE
• Eaton Corporation
• Mitsubishi Electric Corporation
• General Electric Company
• Toshiba Corporation
• Fuji Electric Co., Ltd.
• Larsen & Toubro Limited
• Powell Industries, Inc.
• Hitachi, Ltd.
• Hyundai Electric & Energy Systems Co., Ltd.
• CG Power and Industrial Solutions Limited
• Schneider Electric SA
• TE Connectivity Ltd.
• Other Prominent Players (Company Overview, Business Strategy, Key Product Offerings, Financial Performance, Key Performance Indicators, Risk Analysis, Recent Development, Regional Presence, SWOT Analysis)

Regional Analysis

Circuit Breaker Market is segmented based on regional analysis into five key regions: North America, Latin America, Europe, Asia Pacific and the Middle East and Africa. The Asia Pacific region is expected to dominate the Circuit Breaker Market owing to the surge in population, particularly in emerging economies like India and China, which has boosted the demand for electricity, and consequently increasing the need for circuit breakers. The continuous replacement of outdated grid infrastructure is further responsible to fuel the demand for circuit breakers across the Asia Pacific region. Additionally, countries like China and India rank among the top global producers of renewable energy, which highlights the commitment of Asia Pacific region for sustainable energy solutions. Furthermore, increasing integration of renewable energy sources with grid infrastructure pushes for the need of advanced circuit breaker technologies, which underscores the essential role of the region in shaping the trajectory of the global electrical industry.

Source: Fatpos Global

Impact of Covid-19 on Circuit Breaker Market

COVID-19 pandemic profoundly impacted the circuit breaker market, which caused disruptions across production, supply chains, and demand patterns as well. Initially, lockdowns and restrictions which were aimed at curbing the virus resulted in manufacturing halts and logistical challenges, causing delays in production and distribution of circuit breaker components. Moreover, low construction activities and industrial operations during lockdowns led to a decline in demand for circuit breakers in various sectors such as construction and manufacturing. However, as economies gradually reopened and adapted to the new normal, there was a resurgence in demand due to recovery in construction projects, infrastructure investments, and the need to upgrade electrical systems for remote work and digitalization. Therefore, while the pandemic initially presented challenges, circuit breaker market eventually demonstrated resilience and recovered as industries adapted to changing circumstances during the pandemic.

Circuit Breaker Market is further segmented by region into:

• North America Market Size, Share, Trends, Opportunities, Y-o-Y Growth, CAGR – United States and Canada
• Latin America Market Size, Share, Trends, Opportunities, Y-o-Y Growth, CAGR – Mexico, Argentina, Brazil, and Rest of Latin America
• Europe Market Size, Share, Trends, Opportunities, Y-o-Y Growth, CAGR – United Kingdom, France, Germany, Italy, Spain, Belgium, Hungary, Luxembourg, Netherlands, Poland, NORDIC, Russia, Turkey, and Rest of Europe
• Asia Pacific Market Size, Share, Trends, Opportunities, Y-o-Y Growth, CAGR – India, China, South Korea, Japan, Malaysia, Indonesia, New Zealand, Australia, and Rest of APAC
• Middle East and Africa Market Size, Share, Trends, Opportunities, Y-o-Y Growth, CAGR – North Africa, Israel, GCC, South Africa, and Rest of MENA

Circuit Breaker Market Scope and Segments:

Frequently Asked Questions (FAQ):