Electric Control Panel Market Research, 2032
The global electric control panel market was valued at $6.0 billion in 2022, and is projected to reach $10.3 billion by 2032, growing at a CAGR of 5.8% from 2023 to 2032. The expansion of infrastructure projects globally and the expansion of renewable energy sources is poised to drive significant growth in the electric control panel market.
An electric control panel is an assembly of electrical devices used to manage, monitor, and control mechanical processes and equipment. These panels house critical components such as circuit breakers, relays, fuses, and switches, which work together to regulate electrical power distribution and ensure operational safety. The control panel's primary function is to centralize control operations, allowing for efficient and coordinated management of machinery and systems. It typically includes a user interface with indicators and control buttons to provide real-time feedback and facilitate manual adjustments.
The properties of an electric control panel include durability, as they are often constructed from robust materials like steel or plastic to withstand harsh industrial environments. They are also designed for safety, featuring protective enclosures and grounding to prevent electrical hazards. In addition, these panels offer flexibility, with customizable configurations to suit various applications and integration capabilities with modern automation technologies. Overall, electric control panels are essential in industrial and commercial settings, ensuring the reliable and efficient operation of electrical systems.
Key Report Highlighters
- The report outlines the current electric control panel trends and future scenario of the market from 2023 to 2032 to understand the prevailing opportunities and potential investment pockets.
- The global electric control panel market size has been analyzed in terms of value ($ billion). The analysis in the report is provided for 4 major regions and more than 15 countries.
- The electric control panel market is fragmented in nature with few players such as ABB, Eaton., Schneider Electric, INDUSTLABS, Rockwell Automation Inc. which hold a significant share of the market.
- The report provides strategy planning and industry dynamics to enhance decision making for existing market players and new entrants entering the electric control panel market
Market Dynamics
The expansion of infrastructure projects globally is a key driver for the growth of the electric control panel market. The demand for efficient and reliable power distribution and control systems rises as countries invest heavily in modernizing and expanding their infrastructure. Electric control panels, which are essential for managing electrical systems in buildings, industrial complexes, and public facilities, have become increasingly vital. The surge in construction activities, urbanization, and the development of cities requires advanced electrical solutions to safety, efficiency, and automation.
According to India Brand Equity Foundation, in March 2024, Prime Minister Narendra Modi launched several connectivity projects in Kolkata, with a combined value of $1.8 billion. In March 2024, the Minister of Civil Aviation and Steel revealed plans to inaugurate 15 airport projects, totaling $12.1 billion, by 2028. In June 2022, the Minister of Road Transport and Highways inaugurated 15 national highway projects in Patna and Hajipur, Bihar, with a total investment of $1.7 billion (Rs. 13,585 crore).
Under the Interim Budget for 2024-25, the allocation for capital investment in infrastructure has been raised by 11.1%, reaching $133.86 billion (Rs.11.11 lakh crore), which represents 3.4% of the GDP. Foreign Direct Investment (FDI) in the construction development sector (including townships, housing, built-up infrastructure, and construction development projects) amounted to $26.54 billion, while FDI in construction (infrastructure) activities totaled $33.52 billion between April 2000 and December 2023. In addition, the integration of renewable energy sources into the grid further boosts the need for sophisticated control panels to manage and distribute power effectively. These trends contribute significantly to the robust growth of the electric control panel market, positioning it as a critical component in the ongoing global infrastructure transformation.
The expansion of renewable energy sources is poised to drive significant growth in the electric control panel market. As nations globally shift towards sustainable energy, the integration of renewable sources like solar and wind power necessitates advanced control systems to manage and optimize energy distribution. According to Energy Efficiency and Renewable Energy, In 2022, the U.S. achieved a historic milestone as its annual renewable energy production exceeded coal for the first time. By 2025, the domestic solar energy generation is anticipated to grow by 75%, while wind energy is projected to increase by 11%.
Electric control panels play a crucial role in monitoring and controlling electrical systems, ensuring efficient energy usage and reduction of wastage. The increase in adoption of renewable energy systems in residential, commercial, and industrial sectors requires sophisticated control panels to handle complex energy grids and storage systems. Furthermore, government initiatives and incentives to promote renewable energy installations are boosting demand for reliable and efficient electric control panels. Technological advancements in automation and smart grid solutions are also enhancing the functionality of these panels, making them indispensable in modern energy management. Consequently, the developing renewable energy sector is a key driver of growth in the electric control panel market.
The growth of the electric control panel market is being significantly hampered by stringent regulatory compliance requirements. These regulations, which vary by region, encompass safety standards, environmental restrictions, and technical specifications. Compliance with these mandates often necessitates substantial investments in research, development, and testing to ensure that control panels meet the required standards. In addition, the certification process can be lengthy and costly, posing challenges for manufacturers, especially smaller enterprises with limited resources. The need to adhere to these regulations can slow down product development and market introduction, ultimately affecting the overall market growth. Moreover, frequent updates and changes in regulatory frameworks require ongoing adjustments and upgrades to existing products, further straining resources. Although regulatory compliance attempts to improve safety and dependability, it has a dual influence on the electric control panel market. It encourages innovation and quality, but also creates impediments to quick expansion.
The expanding demand for electric vehicles (EVs) is poised to create significant opportunities for the electric control panel market. The need for sophisticated electric control panels is rising as the global automotive industry shifts towards electrification. These panels are essential for managing and distributing electrical power within EVs, ensuring efficient operation of various systems such as battery management, power electronics, and vehicle charging mechanisms. Manufacturers in the electric control panel sector are expected to benefit from increased production volumes of EVs, driving economies of scale and technological advancements in panel design.
According to IEA, In China, new electric car registrations increased to 8.1 million in 2023, marking a 35% increase from 2022. This surge in electric car sales was the primary driver behind the overall car market growth, which witnessed a 5% increase despite an 8% decline in conventional (internal combustion engine) car sales, demonstrating the continued strong performance of electric vehicles. In Europe, new electric car registrations reached nearly 3.2 million in 2023, increased by almost 20% from the previous year. Within the European Union, sales totaled 2.4 million, reflecting similar growth rates. In the U.S., new electric car registrations amounted to 1.4 million in 2023, representing a more than 40% increase from 2022. Although the annual growth rate for 2023 was slower compared to the previous two years, the demand for electric cars and overall growth remained robust.
Moreover, government initiatives promoting clean energy and reducing carbon emissions further foster the growth of the EV market, indirectly supporting the demand for electric control panels. This trend is not only beneficial for existing players but also encourages new entrants and innovation in the sector, fostering a competitive landscape aimed at enhancing EV performance and reliability.
Segment Overview
The electric control panel market is segmented based on type, voltage, application, and region. By type, the market is divided into power and distribution, automation and instrumentation, power and control, and DG control. Based on the voltage, it is categorized into medium, high, and low. By Application, the market is categorized as manufacturing and industrial automation, commercial, power generation, residential, agriculture, and others. Region-wise, the market is studied across North America, Europe, Asia-Pacific, and LAMEA.
The power and distribution segment accounted for the largest share in 2022. The increasing demand for power and distribution types in the electric control panel market is driven by rapid urbanization, industrial automation, and the integration of renewable energy sources. The rise in infrastructure development projects and the expansion of manufacturing industries also contribute to the demand. In addition, the growing focus on energy efficiency and smart grid technologies necessitates advanced control panels. Government initiatives promoting electrification and modernization of power grids further propel market growth, ensuring reliable and efficient power distribution to meet the evolving energy needs of various sectors.
Automation and instrumentation is expected to register the highest CAGR of 6.18%. The demand for automation and instrumentation in the electric control panel market is driven by several factors. Increasing industrialization and the push for operational efficiency necessitate advanced control systems. The adoption of Industry 4.0 and the integration of IoT technology enable real-time monitoring and automation, enhancing productivity. In addition, stringent safety regulations and the need for precise control in complex processes boost the implementation of automated systems. Furthermore, the rising focus on energy management and sustainability contributes to the growing demand for sophisticated instrumentation in electric control panels.
The medium segment accounted for the largest share in 2022 and is expected to register the highest CAGR of 6.13%. The increasing demand for medium voltage in the electric control panel market is driven by the expansion of renewable energy projects, industrial automation, and smart grid technologies. These advancements require reliable and efficient power distribution systems, enhancing the need for medium voltage solutions to support growing energy demands, improve operational efficiency, and ensure grid stability.
The manufacturing and industrial automation segment accounted for the largest share in 2022 and is expected to register the highest CAGR of 6.29%. The increasing demand for manufacturing and industrial automation applications in the electric control panel market is driven by the need for enhanced operational efficiency, reduced human error, and improved production speed. Advances in technologies like IoT and AI enable real-time monitoring and control, optimizing performance and predictive maintenance. In addition, the push for energy efficiency and cost reduction further fuels the demand for automated control panels, which offer precise, reliable, and scalable solutions for complex industrial processes.
Asia-Pacific garnered the largest share in 2022. The increasing demand for electric control panels in the Asia-Pacific region is driven by rapid industrialization, urbanization, and the growth of infrastructure projects. The surge in renewable energy investments and automation in manufacturing further boost the need for advanced control systems. In addition, government initiatives promoting energy efficiency and smart grid development enhance the market's expansion. The rising adoption of IoT and smart technologies also contributes to the growing demand for sophisticated control panels in this region.
Competitive Analysis
The major players operating in the global electric control panel market are Rockwell Automation Inc., keltour Control Inc., WEG, Electra-Tech, Power Industrial Controls, Eaton, Schneider Electric, INDUSTLABS, Paneltronics, ABB Ltd.
Strategic developments undertaken by key players
- In April 2024, Schneider Electric introduced the Resi9, an advanced energy center designed to enhance electrical connections with new energy loads and inputs. This intelligent electrical panel provides protection for home electrical fittings, incorporating new energy renewables and landscape devices.
- In March 2024, Schneider Electric revealed plans to invest $140 million to expand its manufacturing operations in the U.S. This investment aims to bolster support for critical infrastructure sectors and data centers. The company will focus on producing medium voltage power distribution solutions and customized electrical switchgear to enhance support for vulnerable infrastructure and various industries, addressing the growing demand for data center solutions nationwide.
- In March 2024, Rockwell Automation launched its CUBIC portfolio across the Asia Pacific region. CUBIC specializes in IEC-61439-compliant integrated enclosure systems for building electrical and power panels. The portfolio caters to various industries, including mining, renewable energy, chemicals, data centers, infrastructure, and food and beverage.
- In November 2023, ABB decided to launch Protecta Power panel board product, which supports flexible power distribution in various applications. Protecta Power panel board is designed for commercial, industrial, and institutional buildings, and is the latest generation of panel board, integrating the latest digital monitoring and control technologies.
- In July 2023, Schneider Electric upgraded its production with enhanced functionality, app-based control, and energy monitoring, providing a cost-effective way to manage home energy and reduce utility costs.
Key Benefits For Stakeholders
- This report provides a quantitative analysis of the market segments, current trends, estimations, and dynamics of the electric control panel market analysis from 2022 to 2032 to identify the prevailing electric control panel market opportunities.
- The market research is offered along with information related to key drivers, restraints, and opportunities.
- Porter's five forces analysis highlights the potency of buyers and suppliers to enable stakeholders make profit-oriented business decisions and strengthen their supplier-buyer network.
- In-depth analysis of the electric control panel market segmentation assists to determine the prevailing market opportunities.
- Major countries in each region are mapped according to their revenue contribution to the global market.
- Market player positioning facilitates benchmarking and provides a clear understanding of the present position of the market players.
- The report includes the analysis of the regional as well as global electric control panel market trends, key players, market segments, application areas, and market growth strategies.
Electric Control Panel Market Report Highlights
| Aspects | Details |
 Market Size By 2032 | USD 10.3 billion |
 Growth Rate | CAGR of 5.8% |
 Forecast period | 2022 - 2032 |
 Report Pages | 350 |
 By Type |
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 By Voltage |
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 By Application |
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 By Region |
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 Key Market Players | Power Industrial Controls, Rockwell Automation Inc., Eaton, ABB Ltd., keltour controls inc, Schneider Electric, INDUSTLABS, Paneltronics, WEG., Electra-Tech |
Analyst Review
According to the insights of the CXOs of leading companies, the increasing demand for automation across various industries, including manufacturing, energy, and utilities. Automation enhances efficiency, reduces human error, and lowers operational costs, which boosts the adoption of electric control panels. The rapid expansion of renewable energy projects, such as solar and wind power, also propels market growth. Governments and industry bodies globally are imposing stringent safety standards and regulations, necessitating the use of advanced control systems to ensure safe and reliable operations. Technological advancements, such as the integration of IoT and AI, are further enhancing the functionality and efficiency of electric control panels, making them more attractive to end-users.
However, High initial investment costs associated with the deployment of advanced electric control panels can be a significant barrier, especially for small and medium-sized enterprises. In addition, the complexity of installation and maintenance requires skilled personnel, which can be a challenge in regions with a shortage of technical expertise. The market is also subject to fluctuations in raw material prices, which can impact on the overall cost of production and, consequently, the pricing of electric control panels.
The CXOs further added that the growing trend of smart manufacturing and Industry 4.0 offers vast potential for innovative electric control panel solutions. Companies investing in research and development to create cost-effective, easy-to-install, and user-friendly control panels can gain a competitive edge. Furthermore, expanding into emerging markets with rapid industrialization and increasing energy demands presents significant growth prospects.
The global electric control panel market was valued at $6.0 billion in 2022, and is projected to reach $10.3 billion by 2032, growing at a CAGR of 5.8% from 2023 to 2032.
Adoption of renewable energy boost the demand for electric control panel in the market
Manufacturing and industrial automation is the leading application of Electric Control Panel Market
Major players operating in the electric control panel market include ABB, Eaton., Schneider Electric, INDUSTLABS
Asia-Pacific is the largest regional market for Electric Control Panel.
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