The Southeast Asia soft starter market is expected to grow at a compound annual growth rate of 3.12% over the forecast period to reach a market size of US$23.556 million in 2026, from US$18.915 million in 2019. The market is expected to surge in the coming years in the region because of the increasing manufacturing capacity in the region, the surging presence of major consumer electronic firms, food and beverage firms, oil and gas companies, the textile industry and others, in the region. Countries like Vietnam and Indonesia have become one of attractive destination and manufacturing hub for major international firms, because of the proliferation of free trade agreements, presence of low-cost workers, and the capability to manufacture hi-tech products. Moreover, the ASEAN Bloc is expected to play a major role in the development of the region’s economy. The ASEAN (Association of Southeast Asia Nations) has become the sixth biggest economy, with a GDP of approx. US$3 trillion, in the year 2019. With the free trade agreement, the region is expected to become one of the major trade blocs, globally. These trends are expected to have a positive impact on the market, in the coming years.
Growth in Oil & Gas Sector
The market is expected to surge in the coming years, because of the growth in the oil and gas sector, in the region. According to the International Energy Agency, energy demand among the southeast Asian nations had registered a growth of 80%, since the year 2000. The region’s demand is expected to rise by 60%, between the years 2019 and 2040. Domestic natural gas and the increasing usage of LNG are expected to play a major role in the region. There has been a surge in the enhancement and development of the region’s energy sources, to meet the oil and gas demand. Essar Exploration and production operation in the Song Hong Basin in Vietnam had led to the discovery of oil and gas. Indonesia is expected to make significant developments in the market. The country holds around 98 trillion cubic feet of proven gas reserves and produces more than 3,143,035 million cubic feet of natural gas, annually. Soft Starter provides substantial benefits for compressor, pump, and centrifuge applications in the oil and gas industry. The presence of major players and the growth in the oil and gas industry is expected to play a major role in the market, during the forecast period.
Growth in Textile Industry
The market is expected to surge in the coming years, because of the growth in the textile industry in the region. Vietnam has become one of the major textiles producing nation and apparel exporters, globally. The country’s textile industry has been growing at an exponential rate, since the past decade. According to the country’s general statistics office, the garment industry earned around US$39 billion from exports. Thailand and Indonesia are also expected to become the major textile manufacturing hub in the region, due to the presence of cheap labor, major FTA agreements, and favorable taxation policies. Indonesia’s total textile and garment exports were estimated to be at US$13.8 billion in the year 2019, according to the data given by the country’s government. These trends are expected to have a positive impact on the market, in the coming years.
|The market size value in 2019||US$18.915 million|
|The market size value in 2026||US$23.556 million|
|Growth Rate||CAGR of 3.12% from 2019 to 2026|
|Forecast Unit (Value)||USD Million|
|Segments covered||Voltage, End-User, And Country|
|Regions covered||North America, South America, Europe, Middle East, and Africa, Asia Pacific|
|Companies covered||Schneider Electric, Siemens, WEG Singapore PTE Ltd., ABB, Solcon Industries Ltd., Invertek Drives, Rockwell Automation, Wolong Electric Group Co. Ltd.|
|Customization scope||Free report customization with purchase|