DUBLIN--(BUSINESS WIRE)--The "Ring Main Unit Market by Type (Gas, Air, Oil, and Solid Dielectric), Installation (Outdoor, and Indoor), Application (Distribution Utilities, Industries, and Infrastructure & Transportation), Voltage Rating, and Region - Global Forecast to 2025" report has been added to ResearchAndMarkets.com's offering.
The global ring main unit market is estimated to be USD 1.6 billion in 2020 and projected to reach USD 2.5 billion by 2025, at a CAGR of 9.3%.
The modernization of infrastructure in the US and the growing adoption of renewable energy in China are the major driving factors for the overall ring main unit market growth.
Furthermore, According to the US Department of Energy (DOE), nearly 60% of the distribution poles in the US are 30-50 years old, and 70% transformers are 25 years old and approaching the end of their useful life. Aging infrastructure is resulting in power blackouts in the region, leading to economic losses. Replacement of old power infrastructure is expected to provide growth opportunities for the ring main unit market.
The outdoor segment is the largest and fastest-growing ring main unit market during the forecast period
The outdoor segment is anticipated to constitute the majority of the ring main unit market share. Outdoor ring main units are installed outdoors and suitable for harsh environmental conditions and temperatures. Outdoor ring main units are demanded where there are no particular space constraints for the installation of ring main units. Increasing investments in distribution networks due do the rise in urbanization in developing countries is expected to drive the market for outdoor ring main units.
The distribution utilities segment is projected to dominate the ring main unit market during the forecast period
The distribution utilities segment is predicted to dominate the ring main unit market. The growth of this segment can be attributed to the increasing demand for power, which leads to the installation of new substations, resulting in an increase in the demand for ring main units. However, due to COVID-19, there will be a delay in the ongoing projects, which will have a negative impact on the demand for ring main units in the next 2 years.
The gas-insulated segment is projected to dominate the ring main unit market during the forecast period
The gas-insulated segment is expected to dominate the ring main unit market during the forecast period. Gas-insulated ring main units use SF6 gas and occupy less space than air and oil insulated ring main units. Hence, they are more demanded across utilities. Also, gas-insulated ring main units are easy to maintain and operate. With the growing power consumption in China, the US, and India, gas-insulated ring main units are expected to witness remarkable growth in the future.
Asia Pacific is expected to grow at the highest CAGR from 2020 to 2025
Asia Pacific is expected to grow at the highest CAGR during the forecast period, followed by Africa & Middle East. Power generation capacity expansion and shift toward renewable energy sources in countries like China, India, and Japan are increasing the ring main unit demand in Asia Pacific. According to IEA, the power sector in sub-Saharan Africa requires an additional investment of about USD 450 billion by 2040, leading to an increase in the demand for ring main units. The COVID-19 outbreak is profoundly affecting both the service and manufacturing sectors alike. With more and more countries restoring to nationwide lockdown to prevent a further spike in the spread of the disease, the African economy has slowed down due to a high number of COVID-19 cases in countries such as South Africa and Egypt.
- Increasing Capacity Additions and Enhancement Plans for Distribution Networks
- Modernization of Existing Power Infrastructure by Integrating It With Smart Capabilities
- Reduced Profit Margins of Utilities Due to Declining Energy Cost
- High Cost as Compared to Conventional Switchgears
- Growing Renewable Energy Sector
- Presence of Low-Quality Counterfeits and Gray Market
- Increasing Product Cost Due to Shortage of Components/Parts Due to COVID-19
- Schneider Electric
- Larsen & Toubro
- Ls Electric
- Lucy Electric
- C&S Electric
- Entec Electric & Electronic
- Orecco Electric
- Wenzhou Rockwell Transformer
- Yueqing Liyond Electric
- China Transpowers Electric
- Indkom Engineering
- Hunan Electric Union
- Swati Switchgears
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