Market Research Future (MRFR) has published a cooked research report on the “Relay Market” that contains information from 2018 to 2032. The Relay Market is estimated to register a CAGR of 6.80% during the forecast period of 2023 to 2032.
MRFR recognizes the following companies as the key players in the global Relay Market— TE Connectivity, American Zettler, Churod Electronics, Omron Corporation, Panasonic Corporation, Circuit Interruption Technology, Inc., Fujitsu Limited, Song Chuan Group Company, KEMET Corporation, Phoenix Contact
The global Relay Market is accounted to register a CAGR of 6.80% during the forecast period and is estimated to reach USD 16.81 billion by 2032.
The relay market is poised for substantial growth due to several key factors. These include the escalating power consumption, a surge in the adoption of electric vehicles, the integration of smart power grids, and the increasing uptake of advanced vehicular safety technologies. This growth is expected to be further fueled by the widespread use of relays across diverse industries, including aerospace, defense, automotive, communications, energy, industrial, and more.
The global Relay Market has been segmented based on Product type, and End User Application
Based on Product type, the market is segmented into Electromechanical and Solid State. Electromechanical is expected to be the largest segment during the forecast period. The surge in energy costs is propelling the need for advanced electromechanical relays, aimed at curbing power consumption. Additionally, the increasing proliferation of renewable energy initiatives is driving the demand for high-capacity electromechanical relays. These factors are contributing positively to the expansion of the global relay market.
Based on End User Application, the Relay Market has been segmented into Aerospace, Defense and Military, Automotive, Communications, Energy and Power, Industrial and Other End-user Applications. Automotive is expected to be the largest segment during the forecast period. Relays play a crucial role in the automotive industry by allowing a low-current circuit to manage and activate a higher-current circuit in various vehicle applications. They are commonly found in critical automotive components such as the engine, lighting systems, steering mechanisms, and air conditioning units. In automobiles, relays serve a multitude of functions, including controlling door locks, power windows, sunroofs, power and heated seats, electronic power steering (EPS), exterior lighting, fuel injection, air conditioning systems, starters, anti-lock braking systems (ABS), traction control systems, cooling fan regulation, and engine management modules. As a result, relays are anticipated to experience robust demand throughout the forecast period.
Browse In-depth Details [Table of Content, List of Figures, List of Tables] of Relay Types Market
The global Relay Market, based on region, has been divided into the North America, Europe, Asia-Pacific, and Rest of the World. North America consists of the US and Canada. The Europe Relay Market comprises Germany, France, the UK, Italy, Spain, and the rest of Europe. The Relay Market in Asia-Pacific has been segmented into China, India, Japan, Australia, South Korea, and the rest of Asia-Pacific. The Rest of the World Relay Market comprises of Middle East, Africa, and Latin America.
The largest market share for Relay Market was maintained by the North American regional sector. The automotive industry in North America is a major consumer of relays. The growing emphasis on mitigating vehicle emissions has redirected the automotive industry's focus toward electric vehicles, propelling market growth. In the United States, sales of new light-duty plug-in electric vehicles surged from 308,000 in 2020 to 608,000 in 2021. Notably, battery electric vehicles constituted over 73% of the total plug-in electric vehicles sold in the nation during this period. These devices are used in various automotive applications, including power windows, lighting systems, fuel injection, and more. The growing production and adoption of electric and hybrid vehicles further contribute to the demand for relays in the automotive sector.
Moreover, the Europe market has been persistently growing over the forecast period. The relay market in Europe is poised for growth due to several significant factors. These include substantial investments in renewable energy projects, the establishment of new power generation facilities, upgrades to existing power plants, a robust demand for automobiles and household appliances, and the expansion of transmission and distribution infrastructure across the region. The automotive industry plays a vital role in driving Europe's economic prosperity. This sector is a substantial employer, directly and indirectly supporting the livelihoods of 13.8 million individuals across the continent, which accounts for approximately 6.1% of the total European Union workforce. Within this, about 2.6 million individuals are engaged in the direct manufacturing of motor vehicles, constituting 8.5% of all EU manufacturing employment. Furthermore, the EU stands as one of the globe's leading motor vehicle producers, with the automotive sector serving as the largest private contributor to research and development (R&D) investments. These collective developments are anticipated to stimulate the demand for relay technology in the foreseeable future.
The relay market in the Asia Pacific region is experiencing significant growth due to several key factors. Firstly, there is a notable increase in the capacity of renewable energy sources, contributing to the demand for relays. Additionally, the region is witnessing heightened activity in grid infrastructure development, along with a strong emphasis on substation automation, particularly in line with the IEC 61850 standard. Moreover, the Chinese government's strategic initiatives, such as the Made in China 2025 plan, are promoting substantial investments in research and development for factory automation and related technologies. Given that a considerable portion of automation equipment in China is traditionally imported from countries like Germany and Japan, the Made in China initiative aims to expand domestic production of automation hardware and equipment. These government-led initiatives in the automation sector are expected to be significant drivers for the relay market in the region.
Furthermore, the rest of the world's Relay Market is divided into the Middle East, Africa, and Latin America. The Latin America relay market is poised for growth in the upcoming years, driven by substantial foreign investments in infrastructure projects and expansion initiatives for electric networks and power grid installations. These efforts are aimed at facilitating the electrification of transportation systems throughout the region. In the Middle East and Africa, substantial developments and investments on a large scale are underway. This region, known for being the largest exporter of oil, is actively expanding its grid infrastructure. These endeavors are expected to serve as significant catalysts for the relay market, driving its growth.
Key Findings of the Study