Surge Arrester Market Analysis

Global Surge Arrester Market Overview:

Surge Arrester Market Size was valued at USD 2.61 billion in 2023. The Surge Arrester market industry is projected to grow from USD 2.72 Billion in 2024 to USD 3.62 billion by 2032, exhibiting a compound annual growth rate (CAGR) of 3.64% during the forecast period (2024 - 2032). Increased demand for electrical appliances, deployment of electrical equipment, and boost in power generation are the key market drivers enhancing the market growth.

Source: Secondary Research, Primary Research, MRFR Database, and Analyst Review

Surge Arrester Market Trends

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  Increasing investments in T&D networks are driving the market growth

  
  

Surge arresters are essential to protect electrical equipment in transmission and distribution networks. They are installed in substations, transmission lines, and other parts of electrical networks. One of the prime factors driving the surge arrester market is increasing investments in transmission & distribution (T&D) networks. Expansion and upgrade of T&D networks have a direct impact on market growth. According to IEA World Energy Outlook 2020, USD 2.3 trillion was invested globally in the electric network during 2012-2019, with an average annual investment of about USD 283 billion during the same period. Investment in electrical networks is necessary to meet the towering electricity demands reliably. With the growing electrification of traditionally non-electric sectors, such as transportation, due to the adoption of electric vehicles, the electricity demand is expected to further augment during the forecast period. This factor drives the Market CAGR.

Additionally, investments in renewable energy technology have increased during the last decade. Rapidly falling installation prices due to rapid technology breakthroughs and various countries converting to green energy power generation are assisting in the rise of renewable energy technologies. This is deployed in the upcoming renewable energy projects at connection points and substations. A substation is a built-in grid-connected renewable energy installation to allow grid connectivity. This is used in these substations. Globally, the proportion of renewable energy generation is expanding, and increased investment in renewable energy projects presents prospects for manufacturers.

Furthermore, energy network regulators' typical approach has been to avoid the risk of over-investing in well-meshed electrical systems, particularly in industrialized economies. Electricity is supplied by a few major utility-scale plants to meet slow-growing consumer demand. Thus, driving the lightning arrester market revenue.

Surge Arrester Market Segment Insights:

Surge Arrester Type Insights

The Surge Arrester market segmentation, based on Type, includes Polymeric, Porcelain. The polymeric segment dominated the market and the market for polymeric is likely to increase due to its wide adaptability across various voltage ranges. Compared to porcelain, the product will be more popular due to its ease of handling and installation, dependable performance in challenging settings, inexpensive production, operational costs, and superior breaking resistance under overload situations. Furthermore, growing demand from numerous businesses to effectively combat system faults and significant investments to enhance existing power infrastructure would significantly improve the market globally.

Figure 1: Surge Arrester Market, by Type, 2024 & 2032 (USD billion)

Source: Secondary Research, Primary Research, MRFR Database, and Analyst Review

Surge Arrester Voltage Insights

Based on voltage, the Surge Arrester market segmentation includes Low, Medium, and High. The high segment dominated the market; It has a wide application in switchgear, transformer, and over-the-line to protect the device's overvoltage transient. The growth of the medium voltage segment will be fueled by economic diversification and the need to protect heavy equipment from voltage surges. Unprecedented demand for transformers and switchgear will add to the industry's landscape. This is because old systems are being replaced and upgraded, which will add to the landscape.

Surge Arrester Class Insights

Based on class, the Surge Arrester market segmentation includes distribution, intermediate, and station. The station segment dominated the market; Station class surge arrestors guard against lightning and overvoltage, which occur when an electrical item draws more current than it is designed to manage in the system. These arrestors protect equipment with a voltage greater than 20 MVA. Significant aspects driving the station class market size include high-pressure relief capability, high durability, improved contamination resistance, and outstanding cantilever strength.

Surge Arrester Application Insights

The Surge Arrester market segmentation, based on Application, includes Industrial, Commercial, and Residential. The industrial segment dominated the market, and increasing attention to power quality issues in industrialized economies due to widespread voltage spikes and surges will substantially impact the adoption of these units. In addition, as the economy grows and develops, electricity's part in total industrial energy consumption is expected to rise.

Surge Arrester Regional Insights

By Region, the study provides market insights into North America, Europe, Asia-Pacific, and the Rest of the World. The North American Surge Arrester market will dominate due to significant industrial and electrical infrastructural growth, projected to increase demand as replacements and new installations will boost the market growth in this Region.

Further, the major countries studied in the market report are The U.S., Canada, Germany, France, the U.K., Italy, Spain, China, Japan, India, Australia, South Korea, and Brazil.

Figure 2: Surge Arrester Market Share By Region 2022 (%)

Source: Secondary Research, Primary Research, MRFR Database, and Analyst Review

Europe's Surge Arrester market accounts for the second-largest market share due to the Region's power generating, transmission, and distribution infrastructures being mature. The grid deployment business's growth will increase investments in modernizing the smart grid infrastructure due to more strict E.U. regulations. Further, the German Surge Arrester market held the largest market share, and the U.K. Surge Arrester market was the fastest-growing market in the European Region.

The Asia-Pacific Surge Arrester Market is expected to grow at the fastest CAGR from 2023 to 2032. This is due to the increase in their electricity generation to accommodate burgeoning populations. Moreover, China’s Surge Arrester market held the largest market share, and the Indian Surge Arrester market was the fastest-growing market in the Asia-Pacific region.

Surge Arrester Key Market Players & Competitive Insights

Leading market players are investing heavily in research and development to expand their product lines, which will help the Surge Arrester market, grow even more. Market participants are also undertaking various strategic activities to expand their footprint, with important market developments including new product launches, contractual agreements, mergers and acquisitions, higher investments, and collaboration with other organizations. To expand and survive in a more competitive and rising market climate, the Surge Arrester industry must offer cost-effective items.

Manufacturing locally to minimize operational costs is one of the key business tactics manufacturer’s use in the Surge Arrester industry to benefit clients and increase the market sector. The Surge Arrester industry has offered some of the most significant advantages in recent years. Major players in the Surge Arrester market, including Siemens (Germany), G.E. Oil & Gas (U.S.), Hubbell (U.S.), Schneider Electric (France), Mitsubishi Electric (Japan), C.G. Power (India), NGK Insulators (Japan), ABB (Switzerland), Eaton (Republic of Ireland), Legrand S.A (France), Emerson Electric (U.S.), HAKEL spol. S r. (Czech Republic), Vertiv. (U.S.), T.E. Connectivity (Switzerland), Lamco (India), Leviton Manufacturing (U.S.), Raycap Corporation S.A. (U.S.)., and others are attempting to increase market demand by investing in research and development operations.

Hitachi ABB Power Grids today announced that it will be evolving to become Hitachi Energy in October 2021. The decision to change the name has board and shareholder consent and coincides with the business' first anniversary since it started operations on 1 July 2020. Hitachi ABB Power Grids opened a new surge arrester factory in Xiamen, Fujian Province, east China, to address safety demand for transmission and distribution systems.

The headquarters of the Japanese multinational company Toshiba Corporation, also known as Toshiba and stylised as TOSHIBA, are in Minato, Tokyo. Toshiba to increase Polymer-based production. Toshiba announced that its current polymer-based capacity would nearly triple by April 2022. Toshiba ESS manufactures a surge arrester that protects electricity transmission/distribution infrastructure and equipment from lightning-induced overvoltage and operates circuit breakers for Hamakawasaki Operations in Japan.

Key Companies in the Surge Arrester market include

• Siemens (Germany)


• E. Oil & Gas (U.S.)


• Hubbell (U.S.)


• Schneider Electric (France)


• Mitsubishi Electric (Japan)


• G. Power (India)


• NGK Insulators (Japan)


• ABB (Switzerland)


• Eaton (Republic of Ireland)


• Legrand S.A (France)


• Emerson Electric (U.S.)


• HAKEL spol. Sr. (Czech Republic)


• Vertiv (U.S.)


• E. Connectivity (Switzerland)


• Lamco (India)


• Leviton Manufacturing (U.S.)


• Raycap Corporation S.A. (U.S.)

Surge Arrester Industry Developments

In April 2024, the Mobile Energy System (MES) and the Energy Sector Emergency Operations Center (ESEOC) were launched by President Ferdinand R. Marcos Jr. to enhance the resilience of energy systems and power supply in the country.

In April 2024, a high-power electrical harness called the GENeUSCONNECT was launched by Safran Electrical & Power, thus completing a wide range of electrical systems for the generation of all hybrid and electric aircraft.

In April 2024, SES O3b mPOWER second-generation software-enabled satellite system will be active and provide worldwide high-performance connectivity service.

In April 2024, Ideal Power Inc., working on commercialization and development of a widely patented bidirectional semiconductor power switch- B-TRAN™, announced receipt of a purchase order from the global leader in power electronics/ semiconductor solutions.

In March 2024, Solar Power Systems introduced a large collection of U.S solar installers’ information and reviews, providing guidance to users on how to find the best solar company for them based on their location.

The new digital training platform by DITEK, which was introduced in December 2022 in partnership with SecurityCEU.com & CMOOR Group, will have DIEK develop future courses jointly with the other two companies, hence offering online interactive training courses.

In November 2021, ICM announced that they had introduced an innovative lineup of surge protective devices, which are specifically designed for HVAC/R, Appliance, Electrical, pool and spa. This includes four instances of three-phase SPDs as well as a single-phased option.

A brand-new surge arrester factory has been opened in Xiamen by Hitachi ABB Power Grids to support China’s sustainable future based on the latest advanced manufacturing processes that are located at Xiamen China in November 2020.

Siemens Energy won a contract from the Iraqi Ministry of Electricity in June 2020 to supply equipment as well as designing, constructing and commissioning the Al Hamudhia 400 kV substation.

Hitachi ABB Power Grids has signed a five-year framework agreement with one of the biggest utilities in South America for supplying air-insulated switchgear (AIS), circuit breakers, gas-insulated switchgear (GIS), instrument transformers, shunt reactors and hybrid modules in April 2020.

June 2023-

Four 20 MWac solar power plants have started functioning in New York state, marking the first of 87 received solar projects, which at present total 6.8 GWac and continue to expand. The projects were primarily given to developers in 2016 and 2017 as a fraction of the New York State Energy Research and Development Authority's (NYSERDA) annual. Large-scale Renewable Energy Standard program soliciting eligible renewable energy projects such as hydroelectric, wind, and photovoltaic generation. The four solar projects revealed, coupled with four other renewable projects, totaling 480 MW. A 20 MWac solar plant developed and constructed in the Town of Willet, the Jasin Solar facility, was finished on March 17, 2023. As per New York's gov website, the facility contracted an agreement for Renewable Energy Certificates (RECs) to sell a minimum of 35,898 MWh per year, with the highest of 43,077 MWh.

February 2024- During the fall of 2022, KEMA Labsin Chalfont, Pennsylvania, completed developments to its test platform for surge arresters. The platform now fulfills the needs summarized in IEEE C62.11, IEC 60099-8, and IEC 60099-4, covering aspects such as arc diversion, test sample placement, and the different test setups required for various kinds of surge arrestors. Substantial upgrades have been deployed: the prime feed bus, which is important for energy delivery during tests, has been improved. Adjustments have been made to the base pedestal—where the arrestor is mounted—and to the heights of the test base surface.

Surge Arrester Market Segmentation:

Surge Arrester Type Outlook

• Polymeric


• Porcelain

Surge Arrester Voltage Outlook

• Low


• Medium


• High

Surge Arrester Class Outlook

• Distribution


• Intermediate


• Station

Surge Arrester Application Outlook

• Industrial


• Commercial


• Residential

Surge Arrester Regional Outlook

• North America
  
  
  
  • US
  
  
  • Canada
  
  
  
  


• Europe
  
  
  
  • Germany
  
  
  • France
  
  
  • UK
  
  
  • Italy
  
  
  • Spain
  
  
  • Rest of Europe
  
  
  
  


• Asia-Pacific
  
  
  
  • China
  
  
  • Japan
  
  
  • India
  
  
  • Australia
  
  
  • South Korea
  
  
  • Australia
  
  
  • Rest of Asia-Pacific
  
  
  
  


• Rest of the World
  
  
  
  • Middle East
  
  
  • Africa
  
  
  • Latin America