The global electromechanical relay market is evaluated at US$6,153.601 million for the year 2019 and is projected to grow at a CAGR of 3.09% to reach a market size of US$7,612.912 million by the year 2026.
Electromechanical relays are switches that control high-power electrical devices by using a small amount of power. It can be operated by both AC and DC; a magnetic force is generated when the power is supplied controlling the mechanism in the switch. Electromechanical relays provide good performance. It has a long operational life and consumes less power. On and off control, limit control, and logic operations are functions of the electrical relays. These electromechanical relays have several applications such as power supply switching in TVs, DTH boxes, and factory automation, temperature controller in HVAC devices, motor controllers, and others
Globally rising energy prices are driving the demand for advanced electromechanical relays to reduce power consumption. The rising number of renewable energy projects is also fuelling the demand for high-capacity electromechanical relays, thus positively impacting the growth of the global EMR market. Increasing demand for electromechanical relays due to their low cost, long operation life, less power consumption, and easy maintenance is augmenting the market growth. Wide usage of electromechanical relays in electronic appliances and increasing use in the automobile sector in the fuse box to prevent the circuits from overload and faults is also fueling the growth of the market. However, the availability of solid-state relays (SSRs) as a substitute due to advancements in semiconductor fabrication and manufacturing technology may hamper the growth of the market.
Wide usage of electromechanical relays in electronic appliances and increasing use in the automobile sector in the fuse box to prevent the circuits from overload and faults is also fueling the growth of the market. However, the availability of solid-state relays (SSRs) as a substitute due to advancements in semiconductor fabrication and manufacturing technology may hamper the growth of the market.
The market for the electromechanical relay is significantly driven by the developments in the factory automation sector and the rising penetration of advanced technologies in various industries is anticipated to be a tailwind to the market.
The advent of COVID-19 hurt the global Electromechanical relay market. The immense downturn in the industries which has been significant end-users of the technology impacted the decline in the market for electromechanical relays at a global level. The pandemic brought major projects in the renewable resources industry to a standstill owing to the lockdowns that were imposed in several countries to curb the spread of the disease. After the initial lockdown period, some of the activities were allowed but with restrictions and certain protocols that were required to be followed like the projects will be operated with a lesser capacity which will require less labor to come in contact, and social distancing was required to be maintained in the premises as well. A significant shift was noticed in several industries using electromechanical relays for various applications. The manufacturing of the relays came to a halt as it became difficult to obtain the components owing to the disrupted supply chain during the period. With the industries recovering after the pandemic gradually, the businesses are expected to operate in full capacity starting from the third and fourth quarters of 2021. This will further help in the recovery of the electromechanical relays market.
The segmentation of the global Electromechanical Relay market has been done into type, application, end-user, and geography. By type, the classification of the market has been done into General Purpose Relay, Power Relay, Contactor, Time-Delay Relay, And Others. By application, the classification of the market has been done into Factory Automation, Temperature Controllers, Motor Controls, And Others. By end-user, the classification of the market has been done into Aerospace And Defense, Communication And Technology, HVAC, Automotive, Consumer Electronics, And Others. Furthermore, based on geography, the global market has been distributed as North America, South America, Europe, the Middle East and Africa, and the Asia Pacific.
Rising factory automation activities is expected to drive the market during the forecast period
The growth of the Electromechanical relay market is fuelled by the increasing developments being done in the sector in several sectors in terms of automation. The increasing adoption of smart systems, components, and smart machinery and equipment, for the improvement of processes through automation and self-optimization, has resulted in the development of smart factories for planning, supply chain logistics, and product development. Increasingly, various manufacturing industries are striving to become smart factories. There has been an exponential rise in labor costs across various regions. In addition, the quality requirements are also getting more stringent. Against this backdrop, factory automation can cause a reduction in production, operation, and labor costs. Moreover, automotive manufacturers across the globe understand that the next generation of robotics and automation technologies is a revolutionary opportunity to upgrade automotive manufacturing, in terms of productivity, quality, safety, and cost metrics. In addition, increased year-on-year robotic automation expenditure is projected to have a positive impact on the demand for robot automation systems. The high costs of automated systems are associated with effective and robust hardware and efficient software. Automation equipment requires higher capital expenditure, to invest in automation technologies (an automated system can cost millions of dollars to design, fabricate, and install). They also require a higher level of maintenance than a manually operated machine, and generally a lower degree of flexibility in terms of the possible products, as compared to a manual system, these factors are expected to act as a restraint to the market growth
The players in the global Electromechanical relay market are implementing various growth strategies to gain a competitive advantage over their competitors in this market. Major market players in the market have been covered along with their relative competitive strategies and the report also mentions recent deals and investments of different market players over the last few years. The company profiles section details the business overview, financial performance (public companies) for the past few years, key products and services being offered along with the recent deals and investments of these important players in the market.
|Market size value in 2019||US$6,153.601 million|
|Market size value in 2026||US$7,612.912 million|
|Growth Rate||CAGR of 3.09% from 2019 to 2026|
|Forecast Unit (Value)||USD Million|
|Segments covered||Type, Application, End-User Industry, And Geography|
|Regions covered||North America, South America, Europe, Middle East and Africa, Asia Pacific|
|Companies covered||ABB Ltd., Alstom SA, Ashida Electronics Pvt. Ltd., DARE Electronics, Inc., Eaton Corporation, Struthers-Dunn, LLC, Schneider Electric, FUJITSU, OMRON Corporation|
|Customization scope||Free report customization with purchase.|
Frequently Asked Questions (FAQs)
Q1. What will be the electromechanical relay market size by 2026?
A1. The electromechanical relay market is projected to reach a total market size of US$7,612.912 million in 2026.
Q2. What are the growth prospects for the electromechanical relay market?
A2. The global electromechanical relay market is projected to witness a CAGR of 3.09% during the forecast period.
Q3. How is the electromechanical relay market segmented?
A3. The electromechanical relay market is segmented based on type, application, end-user industry, and geography.
Q4. What is the size of global electromechanical relay market?
A4. Electromechanical Relay Market was valued at US$6,153.601 million in 2019.
Q5. What factors are anticipated to drive the electromechanical relay market growth?
A5. The rising number of renewable energy projects is fuelling the demand for high-capacity electromechanical relays, thus positively impacting the growth of the global EMR market.