AC Contactor Market is predicted to reach USD 3,023.83 million at a CAGR of 7.90% during the forecast period 2023-2032

Market Research Future (MRFR) has published on the “Global AC Contactor Market”.

The AC Contactor market is estimated to register a CAGR of 7.90% during the forecast period of 2023 to 2030.

MRFR recognizes the following companies as the key players in the global AC Contactor market— Siemens (Germany), Schneider Electric (France), ABB (Switzerland), Eaton (Ireland), TE Connectivity (Switzerland), Mitsubishi Electric Corporation (Japan)., Panasonic Corporation  (Japan)., Toshiba Corporation (Japan)., Fuji Electric FA Components & Systems Co., Ltd (Japan)., Sensata Technologies Holding plc (United States), Rockwell Automation (United States) and Phoenix Contact (Germany).

Market Highlights

The global AC Contactor market is accounted for to register a CAGR of 7.90% during the forecast period and is estimated to reach USD 3,023.83 Million by 2030.

Several companies are making energy efficiency a top priority as they work to cut operational expenses and carbon emissions. The energy efficiency of numerous systems, including those used in HVAC, lighting, and motor control, is crucially dependent on the work of AC contractors. AC contractors are a desirable alternative for businesses aiming to achieve sustainability goals since they can assist in cutting operating expenses and energy usage by optimising the performance of these systems. Controlling the flow of energy to different system components is one of the main advantages of AC contractors. They can therefore be utilised to optimise the operation of these parts and make sure they aren't consuming more energy than is required. To ensure that the fan motor in an HVAC system is only functioning at the speed required to maintain the specified temperature, the flow of electricity to the motor can be controlled by an AC contractor.

Moreover, In several sectors, especially manufacturing, automation and control systems are becoming more common. AC contractors are key players in these systems, which are utilised to boost efficiency and optimise manufacturing processes. To ensure that all of the system's components work successfully and efficiently, AC contractors are employed to switch and manage the flow of power. The need to improve productivity and efficiency is one of the main drivers influencing the adoption of automation and control systems. Automation and control technologies can help businesses achieve their aims of increasing productivity and lowering expenses. Companies may make sure that these systems run as efficiently as possible, cutting down on downtime and increasing production, by engaging AC contractors. The use of automation and control systems is also being driven by the growing complexity of contemporary industrial systems.

Segment Analysis

The global AC Contactor market has been segmented based on product type, voltage, current ratings, end-use, application and region.

Based on the product type, the market has been segmented into electromagnetic contactor and permanent magnet contactor. Of them, electromagnetic contactor segment dominated the global AC Contactor market with a value of USD 1,054.61 million in 2022; with an expected CAGR of 7.47 % during the forecast period. In order to control the flow of electricity, electromagnetic contactors use electromagnetic coils. The magnetic field produced by the activated coil pulls the contactor in and shuts the electrical contacts. The electrical contacts open when the coil is de-energized, releasing the contactor. Due to their longevity and capacity to withstand high current loads, electromagnetic contactors are frequently utilised in AC systems.

Based on voltage, the AC contactor market has segmented into below 800V, 900 V- 1000V and above 1000V Upto 1500V. 900 V- 1000V segment dominated the global AC Contactor market with a value of USD 870.86 million in 2022; with an expected CAGR of 8.15 % during the forecast period. Industrial uses for contactors with a voltage range of 900V–1000V include huge motors, conveyor systems, and heavy machinery. The expanding manufacturing sector and the requirement for automation and sophisticated control systems can be linked to the rising demand for contactors in this voltage range. Contactors are used in these applications to help with safety, downtime, and productivity.

Based on the current ratings, the market has been segmented into 50A, 80A, 100A, 150A and 200A. Of them, 100A segment dominated the global AC Contactor market with a value of USD 463.06 million in 2022; with expected CAGR of 8.38 % during the forecast period. Large machinery and pumps, as well as other industrial applications, frequently use contactors with a current rating of 100A. The expanding manufacturing sector and the requirement for effective and dependable control systems might be linked to the rising demand for contactors in this grade. Contractors are used in these applications to help with safety, downtime, and productivity.

Based on end use, the AC contactor market has segmented into Electric Vehicles, PV Solar, Industrial Machinery, Data Centres and Others. Electric vehicles segment dominated the global AC Contactor market with a value of USD 648.67 million in 2022; with an expected CAGR of 8.52 % during the forecast period. Contactor manufacturers are seeing a lot of growth in the electric car sector. In electric vehicles, contactors are used to regulate the electrical flow from the battery to the motor. They are also utilised to manage the battery's external power supply charging. Contractors, which are crucial elements of the vehicle's electrical system, are becoming more and more in demand as the market for electric vehicles grows. In addition to their application in electric vehicles, contactors are also employed in charging stations to manage the flow of electricity to the vehicle.

Based on the application, the market has been segmented into motor application, power switching and others. Of them, motor application segment dominated the global AC Contactor market with a value of USD 921.21 million in 2022; with an expected CAGR of 7.58 % during the forecast period. One of the main markets for contactors is motor applications. In motor applications, contactors are utilised to regulate the electricity supply to the motor. Also, they serve to safeguard the motor from overloads and short circuits. Contactor demand in motor applications has increased as a result of the manufacturing sector's growing need for automation and sophisticated control systems. Contactors with high current ratings are often employed in motor applications to control the flow of huge amounts of power..

Regional Analysis

Region-wise global AC Contactor market has been divided into North America, Europe, Asia-Pacific, Middle East & Africa and South America. Asia-Pacific held the largest market share of 32.36% in 2022. Due to rising electric vehicle demand and the deployment of cutting-edge technology, the electric cars category is anticipated to have considerable growth in the Asia Pacific AC contractors market. The growth of electric vehicles has been prompted by growing environmental awareness and the need to reduce carbon emissions, which has increased demand for AC contractors in the automotive sector. 

One of the biggest markets for electric vehicles is in the Asia Pacific region, which is primarily fueled by nations like China, Japan, and South Korea. The Chinese government has put in place a number of programmes and legislation to encourage the use of electric vehicles, which is anticipated to increase demand for AC contractors in the area. The need for AC contractors is anticipated to increase as a result of the tremendous expansion the renewable energy sector is seeing in India and the rest of the Asia Pacific region. 

Due to the region's plentiful solar energy resources, photovoltaic (PV) solar systems are becoming more and more common. The demand for AC contractors in the solar industry is a result of the expanding use of PV solar systems. The demand for AC contractors in the automotive industry is anticipated to rise as a result of the tremendous expansion the electric vehicle market is seeing in India and the rest of Asia Pacific. The region's need for AC contractors is anticipated to increase as a result of the Indian government's goal to switch to electric vehicles by 2030 and the rising investments in the electric vehicle sector.

Throughout the course of the projected period, the market for AC contractors in North America is anticipated to expand significantly. The market is anticipated to be pushed by elements like rising industrialization and automation, rising demand for energy-efficient equipment, and expanding construction. Due to the US's growing emphasis on the creation of smart cities and the use of cutting-edge technology, the country is anticipated to hold the highest position in the North American AC contractors market. The market for AC contractors has expanded as a result of the country's rising demand for industrial automation. Moreover, the presence of significant manufacturers in the US is anticipated to fuel market expansion.