Sealed Contactor Market Size & Growth Forecast, 2023-2035

Global Sealed Contactor Market Size, Forecast, and Trend Highlights Over 2023 - 2035

Sealed Contactor Market size is estimated to reach ~USD 700 Million by the end of 2035 by growing at a CAGR of ~6% over the forecast period, i.e., 2023 – 2035. In addition to this, in the year 2022, the market size of sealed contactor was ~USD 300 Million. The primary reason for the expansion of the global sealed contactors market during the forecast period is the rising mining industry across the globe which requires effective safety measures to prevent any mishaps. The mining industry carries a hazardous nature owing to which the demand for sealed contactors is anticipated to increase as it provides reliable power switching and motor starting as per the requirement. Furthermore, sealed contactors are efficient in controlling motors in subsurface mining equipment. Thus, with the rapid expansion of the mining industries and mining activities, it is estimated to bring lucrative growth opportunities in the upcoming years. For instance, the global mining industry amounted to almost USD 925 billion in 2021 and is further expected to grow in the future.

A sealed contactor is an electrical product that is used for controlling the flow of electricity through a circuit. Usually, a sealed contactor is designed with two or more metal plates that are separated by an insulator. When a voltage is applied to the plates, they will close and allow current to flow through the circuit. A sealed contactor is widely used in various applications owing to its numerous advantages including the ability to provide protection from environmental factors such as water, dust, gas, and other particles that can fill the air. Furthermore, the growing awareness about environmental protection along with the rising number of renewable energy projects across the world also some of the factors that are anticipated to propel the market growth during the forecast period.

Global Sealed Contactor Market: Growth Drivers and Challenges

Growth Drivers

Growing Demand for Electronics and Smart Devices – With the growing economies and the penetration of electric manufacturing services (EMS), the demand for electronics and smart devices has considerably grown up. For instance, the sale of mobile phones in 2021 across the globe totaled approximately 1740 million units, accounting for ~7800 million mobile people users, or about 20% of the world's population, buying a mobile in that particular year. The recent shift towards introducing technologically advanced electronic products along with the rising investment in the electrical sector has bought significant growth in the electronic industry which is anticipated to increase the demand for sealed contactors for the proper functioning of the products.
Expanding Production of EVs and HEVs – In recent periods, the global population are propelled towards adopting electric vehicles and hybrid electric vehicles owing to rising initiatives by the government encouraging the usage of e-mobility and the increasing prices of crude oil. Thus, with the increasing demand for EVs and HEVs, the utilization rate of the sealed contactor is also estimated to grow to maintain the electrical circuit of the automobile and handle PCBs as well as other electric part components. According to the statistics released by the International Energy Agency (IEA), the global sales of electric vehicles nearly doubled to 6.6 million in 2021 from 2020. This totals up to almost 16.5 million electric cars on the roads of the world.
High Usage Rates of Semiconductors – As a result of the burgeoning electrical industry, the application of semiconductors across a wide range of projects have also grown. Thus, for efficient management of such electrical products, the demand for sealed contactors grows up, hence, helping in creating a positive outlook for market growth during the forecast period. It was observed that in April 2020, semiconductors worth about USD 2.8 billion were sold in Japan, which grew to about USD 3.3 billion by the end of December that year.
The Surge in the Number of Smart Homes Across the World – For instance, the proportion of smart homes surpassed around 178 million across the globe in the year 2022, and this ratio is estimated to increase by nearly 578,20 million smart homes throughout the world by 2025.
Increased Consumption of Electricity – Recently, it was calculated that in 2019, the total electricity final consumption across the world reached 22 848 TWh, up 1.7% from 2018.

Challenges

Increasing Cost of Sealed Contactors – The high cost of sealed contactors is propelling the global consumer base to shift towards more cost-efficient alternatives that are available in the market. Also, a high initial investment is required for the manufacturing process of sealed contactors which is again estimated to lower the adoption rate. All these factors are projected to couple up to pose a challenge to the growth of the global sealed contactor market during the forecast period.
Easy Availability of Product Alternatives
Less Awareness Level about the Advantages of Sealed Contactors

Global Sealed Contactor Market Segmentation

The global sealed contactor market is segmented and analyzed for demand and supply by application into heaters, lighting equipment, motor control, air conditioners, refrigerator, and others. Out of these segments, the air conditioners segment is estimated to gain the largest market share of about ~38% in the year 2035. The main factor for segment growth is the rise in disposable income which has propelled the adoption of luxuries such as air conditioners. Also, air conditioners are designed with a complex electrical circuit which needs to be handled with efficiency through the integration of a sealed contactor in the system.

The global sealed contactor market is also segmented and analyzed for demand and supply by end-user into telecommunication equipment, solar energy system, engineering machinery, electric cars, and others. Amongst these segments, the electric cars segment is expected to garner a significant share of around ~34% in the year 2035. The major factor attributed to segment growth is the rising preference for electric vehicles over traditional cars and the utilization of sealed contactors for isolating the high-voltage battery from the high-voltage network. It has been estimated that around 145 million electric vehicles are supposed to be present on the roads of the world by 2030. Furthermore, the constantly increasing crude oil price and the rising awareness about the benefits of electric mobility are also estimated to help in segment growth. In addition, the number of rising government initiatives to cut down the dependency on crude oil and reduce vehicle pollution are also some of the factors that are anticipated to positively contribute to the expansion of segment size in the future.

Our in-depth analysis of the global sealed contactor market includes the following segments:

By Type	DC Contactors AC Contactors Others
By Application	Heaters Lighting Equipment Motor Control Air Conditioners Refrigerator Others
By End User	Telecommunication Equipment Solar Energy System Engineering Machinery Electric Cars Others

Global Sealed Contactor Market Regional Synopsis

The market share of the sealed contactor in North America, amongst the market in all the other regions, is projected to be the largest with a share of about ~35% by the end of 2035, on the back of the growing adoption of electric vehicles in the region. As per the data from the International Energy Agency (IEA), 0.33 million electric cars were sold in the United States in 2019. The presence of major manufacturers of electric vehicles in the region is further estimated to boost the market growth. Also, the rising investments in the research and development sector for introducing novel sealed contractors that could be used in numerous end-use industries along with the rapid expansion in various sectors in the region are anticipated to bring positive opportunities for market growth.

The Asia Pacific sealed contactor market is estimated to be the second largest, registering a share of about ~24% by the end of 2035. The market in the Asia Pacific region is estimated to witness noteworthy growth over the forecast period on the back of increasing investment in the semiconductor and electronics sector, backed by the rapid development in technology in the region. Also, the increasing demand for electricity and industrial machinery, especially in China, India, Japan, South Korea, and Taiwan is anticipated to drive the growth of the market in the future. Furthermore, the high requirement for electric equipment along with motors & transformers across various applications is estimated to generate favorable opportunities for key players.

Further, the market in the European region, amongst the market in all the other regions, is projected to hold a majority of the share by the end of 2035. The favorable initiatives started by the European region for the introduction of the sealed contactor for various applications in numerous industries. In addition to the other factors, the growing industrialization is exhibited by augmenting industrial output as well as increasing investment in the electrification & automation of the automotive sector backed by expanding technical expertise, resources, and competitive edge of the existing electronic manufacturing company in the region.

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Top Featured Companies Dominating the Global Sealed Contactor Market

Emerson Electric Co.
- Company Overview
- Business Strategy
- Key Product Offerings
- Financial Performance
- Key Performance Indicators
- Risk Analysis
- Recent Development
- Regional Presence
- SWOT Analysis

Waytek, Inc.
Trombet, Inc.
Nijkerk Electronics BV
Zhejiang Dongya Electronic Co., Ltd.
YueQing Nanfeng Electric Co, Ltd.
Sensata Technologies, Inc.
Fuji Electric Co., Ltd.
TE Connectivity Corporation
Comeup Industries Inc.

In The News

Sensata Technologies announced the launch of the new GXC and MXC series of Smart-Tactor contractors for improved system performance, reliability, and diagnostics in the military, battery system, energy storage, and commercial vehicle.
Sensata Technologies BV announced the acquisition of Denmark-based company Lithium Balance, by acquiring 75% of the company shares.

Global Economic Impact

Request Insights

Despite Inflation & Fearing Recession, Businesses Across the Globe Expected to Do Better in 2023:

In 2023, market players might incur losses due to huge gap in currency translation followed by contracting revenues, shrinking profit margins & cost pressure on logistics and supply chain.
Controlling Inflation has become the first priority for global economies from last quarter of 2022 and to be followed in 2023. With skewed economic situations, rise in interest rate by governments to control spending and inflation, spiked oil and gas prices, high inflation, geo-political issues including U.S. & China trade war, Russia-Ukraine conflict to intensify the global economic issues.
The interest rates in the U.S. may be less sensitive in 2023 as compared to 2022; sigh of relief for businesses. Positive business sentiments, healthy business balance sheets, growth in construction spending (private construction value in 2022 stood at $1,429.2 billion, 11.7 percent (±1.0 percent) above the $1,279.5 billion spent in 2021, Residential construction in 2022 was $899.1 billion, up by 13.3 percent (±2.1 percent) from $793.7 billion in 2021, non-residential construction touched $530.1 billion, 9.1 percent (±1.0 percent) above the $485.8 billion in 2021.) showcases minimal impact of recession in the country.
Similarly, spiked spending in the European and major Asia economics including, India, China & Japan to showcase less impact on the global demand.

Key Questions Answered in the Report

1) What are the major factors driving the growth of the sealed contactor market?

Ans: Increasing demand for sealed contactor in electric vehicles is estimated to boost market growth.

2) What would be the CAGR of sealed contactor market over the forecast period?

Ans: The market size of the sealed contactor is anticipated to attain a CAGR of ~6% over the forecast period, i.e., 2023 – 2035.

3) What are the challenges affecting the sealed contactor market growth?

Ans: The rising competition from relays, and lack of awareness amongst electricians are estimated to be the growth hindering factors for the market expansion.

4) Which region will provide more business opportunities for growth of sealed contactor market in future?

Ans: The market in the North American region is projected to hold the largest market share by the end of 2035 and provide more business opportunities in the future.

5) Who are the major players dominating the sealed contactor market?

Ans: The major players in the market are Emerson Electric Co., Waytek, Inc., Trombet, Inc., Nijkerk Electronics BV, Zhejiang Dongya Electronic Co., Ltd., YueQing Nanfeng Electric Co, Ltd., Sensata Technologies, Inc., Fuji Electric Co., Ltd., TE Connectivity Corporation, Comeup Industries Inc., and others.

6) How are the company profiles selected?

Ans: The company profiles are selected based on the revenues generated from the product segment, the geographical presence of the company which determines the revenue generating capacity as well as the new products being launched into the market by the company.

7) What are the segments in the sealed contactor market?

Ans: The market is segmented by type, application, end-use, and by region.

8) Which segment captures the largest market size in the end-user segment in the sealed contactor market?

Ans: The electric cars segment is anticipated to garner the largest market size by the end of 2035 and display significant growth opportunities.

Base Year	2022
Forecast Year	2023-2035
CAGR	~6%
Base Year Market Size (2022)	~ USD 300 Million
Forecast Year Market Size (2035)	~ USD 700 Million
Regional Scope	North America (U.S., and Canada) Latin America (Mexico, Argentina, Rest of Latin America) Asia-Pacific (Japan, China, India, Indonesia, Malaysia, Australia, Rest of Asia-Pacific) Europe (U.K., Germany, France, Italy, Spain, Russia, NORDIC, Rest of Europe) Middle East and Africa (Israel, GCC North Africa, South Africa, Rest of the Middle East and Africa)