Relays Global Market Report 2024

The relays market size has grown steadily in recent years. It will grow from $6.86 billion in 2023 to $7.05 billion in 2024 at a compound annual growth rate (CAGR) of 2.8%. The expansion witnessed in the historical period can be ascribed to the rise in renewable capacity additions, the embracing of the IEC61850 standard for substation automation, the substitution of electromechanical and static relays with numeric relays, encouraging government initiatives, and the economic growth observed in emerging markets.

The relays market size is expected to see strong growth in the next few years. It will grow to $8.65 billion in 2028 at a compound annual growth rate (CAGR) of 5.2%. The anticipated growth in the upcoming period can be attributed to the increased power consumption, the implementation of smart power grids, the rising adoption of electric vehicles, and the growing acceptance of vehicular safety technology. Key trends expected in the forecast period include investments in eco-efficient solutions to minimize environmental impact and achieve sustainability, a focus on electromagnetic relays to ensure optimal resource utilization, the development and promotion of specialized relays for specific industries, the creation of multipurpose relays, and an emphasis on mergers and acquisitions to expand market share and access a broader consumer base.

The relays market is anticipated to experience growth in the forecast period, driven by increased investments in global solar energy projects. In solar energy projects, relays play a crucial role in disconnecting high DC voltages. For example, in September 2021, the U.S Department of Agriculture announced a substantial investment of $464 million to enhance renewable energy infrastructure, catering to businesses, agricultural producers, and rural communities. This initiative aims to reduce energy expenses and aligns with the rising demand for solar energy projects. Relay manufacturers are adapting to this demand by offering relays specifically designed for solar applications, such as those provided by Fujitsu.

The growing adoption of electric vehicles (EV) is expected to contribute significantly to the expansion of the relays market. Electric vehicles, powered by one or more electric motors and relying on electricity stored in batteries, employ relays for tasks such as controlling battery charging and discharging, managing power distribution, and regulating other electrical systems. Due to their high efficiency and fast switching capabilities, relays play a vital role in supporting the functionality of electric vehicles. According to the International Energy Agency, global electric vehicle sales are projected to reach 14 million in 2023, indicating a substantial increase from the 10 million sales recorded in 2022. This surge in electric vehicle adoption is a key driver for the growth of the relays market.

The automotive sector is increasingly adopting plug-in relays due to their lightweight nature compared to electromechanical relays. These relays exhibit the capability to handle high-rated current and operating voltage similar to electromechanical relays. Within the automotive industry, plug-in relays find applications in various components such as electrically heated catalytic converters, heater controls, windscreen wipers, motors and pumps, and body electronics such as door locks, seat controls, and window lifters. Omron, for instance, offers a range of plug-in automotive relays (20A to 70A) utilized in applications such as arter motors, heater controls, windscreen wipers, and any scenario requiring high continuous current switching.

Major companies in the relays market are prioritizing innovation in their product offerings, including the development of high-capacity storage systems, to deliver reliable services to customers. A high-capacity electrical storage system refers to technology capable of storing a significant amount of electrical energy for later use. For example, in May 2022, Omron Corporation introduced the G9KB, a high-capacity printed circuit board (PCB) power relay designed to handle up to 50 amperes (A) and 600 volts of direct current (VDC). This relay is employed in energy storage systems, power conditioning, and electric vehicle charging, demonstrating low initial contact resistance and low coil power consumption.

In May 2021, Standex Electronics, a US-based electronics component manufacturer, completed the acquisition of American Relays, Inc. for an undisclosed amount. This strategic move is aimed at reinforcing Standex Electronics' position in the North American relay market. American Relays, Inc., a US-based company specializing in the manufacturing of reed switch-based relays, enhances Standex Electronics' capabilities and market presence in the relay industry.

Major companies operating in the relays market report are Siemens, Schneider Electric, TE Connectivity, ABB Ltd., Eaton Corporation, Toshiba, Mitsubishi Electric Corporation, Omron Corporation, General Electric, Fujitsu Ltd., Xiamen Hongfa Electroacoustic Co., Ltd., Shanghai Hugong Auto-Electric Co., Ltd., Hitachi, Ltd., Areva T&D India Ltd., Alstom SA, Song Chuan Group, Guizhou Space Appliance Co., Ltd., Dongguan Sanyou Electrical Appliances Co., Ltd., Zhejiang HKE Relays Co., Ltd., Ningbo Forward Relays Co., Ltd., Audix Technology, DARE Electronics, Inc., Leone Systems, Ashida Electronics Pvt. Ltd., Control &Relays Electric Limited, Mitsuba Corporation, Tatsumi Industry, Kamigumi CO, Panasonic industries Devices, Nissin Corp., Crydom Corp, Crouzet, Finder, Wieland, S&C Electric Company, Powell Industries, G&W Electric, Abunayyan Holding Company, Afcon, Actom, Matelec Group, Egyptian German Electrical Manufacturing Co.

Asia-Pacific was the largest region in the relays market in 2023. North America was the second-largest region in the global relays market share. The regions covered in the relays market report are Asia-Pacific, Western Europe, Eastern Europe, North America, South America, Middle East, Africa. The countries covered in the relays market report are Australia, Brazil, China, France, Germany, India, Indonesia, Japan, Russia, South Korea, UK, USA, Italy, Canada, Spain.

The primary types of relays include latching relays, solid-state relays, automotive relays, overload protection relays, electromechanical relays, and others. A latching relay is one that maintains its contact position even after the control power is removed. This type of relay allows users to control a circuit with a single pulse to the relay control circuit. Relays operate across various voltage ranges, including low, medium, and high. They find applications in diverse sectors such as military, industrial automation, electronics, and are utilized by utilities, industrial entities, railways, and other end-users.

The relays market research report is one of a series of new reports that provides relays market statistics, including relays industry global market size, regional shares, competitors with a relays market share, detailed relays market segments, market trends, and opportunities, and any further data you may need to thrive in the relays industry. This relays market research report delivers a complete perspective of everything you need, with an in-depth analysis of the current and future scenario of the industry.

The relays market consists of sales of latching relays, solid state relays, automotive relays, overload protection relays, electromechanical relays, and other relays. Values in this market are factory gate values, that is the value of goods sold by the manufacturers or creators of the goods, whether to other entities (including downstream manufacturers, wholesalers, distributors and retailers) or directly to end customers. The value of goods in this market includes related services sold by the creators of the goods.

The market value is defined as the revenues that enterprises gain from the sale of goods and/or services within the specified market and geography through sales, grants, or donations in terms of the currency (in USD, unless otherwise specified).

The revenues for a specified geography are consumption values that are revenues generated by organizations in the specified geography within the market, irrespective of where they are produced. It does not include revenues from resales along the supply chain, either further along the supply chain or as part of other products.