Power Grid System Market Report 2026

The power grid system market size has grown rapidly in recent years. It will grow from $12 billion in 2025 to $13.34 billion in 2026 at a compound annual growth rate (CAGR) of 11.1%. The growth in the historic period can be attributed to expansion of electricity generation capacity, growth in urban electrification, increasing industrial power demand, development of transmission and distribution networks, government investment in grid infrastructure.

The power grid system market size is expected to see rapid growth in the next few years. It will grow to $20.58 billion in 2030 at a compound annual growth rate (CAGR) of 11.5%. The growth in the forecast period can be attributed to growth in renewable energy installations, rising electricity demand from EV charging, modernization of aging power grids, increasing focus on grid digitization, expansion of cross border power transmission. Major trends in the forecast period include increasing deployment of smart grid infrastructure, rising integration of renewable energy sources, growing focus on grid reliability and resilience, expansion of high voltage transmission networks, increasing adoption of advanced grid monitoring systems.

The rising demand for electricity supply is expected to drive the growth of the power grid system market going forward. Electricity supply involves the generation, transmission, and distribution of electrical energy to end-users for applications such as powering homes, businesses, industries, and transportation. Power grid systems facilitate the efficient transfer of electrical energy over long distances, minimizing transmission losses and integrating various energy storage technologies. For example, in April 2024, according to the Department of Climate Change, Energy, the Environment and Water, an Australia-based government agency, Australia’s total electricity generation remained stable in 2023 at approximately 273,106 gigawatt hours (GWh), with renewable energy sources contributing an estimated 95,963 GWh, representing 35% of total generation - an increase of 3 percentage points compared to 2022. Therefore, the rising demand for electricity supply is fueling the growth of the power grid system market.

Major companies in the power grid system market are focusing on developing advanced solutions, such as grid connection technologies, to enhance system reliability, support renewable energy integration, and optimize operational efficiency. Grid connection solutions encompass technologies and platforms that enable seamless integration of distributed energy resources, real-time monitoring, and robust management of electricity flows within the grid, ensuring stability and continuous supply. For instance, in October 2024, Hitachi Energy Ltd., a Switzerland-based technology company, launched Grid-enSure, a portfolio designed to enhance grid resilience and support sustainable energy by integrating renewables into power systems. Leveraging advanced technology, Grid-enSure aims to modernize grids, with a focus on strengthening India’s energy infrastructure.

In October 2024, Power Grid Components Inc. (PGC), a US-based supplier of engineered power grid hardware and equipment, acquired Vizimax Inc. for an undisclosed amount. Through this acquisition, PGC aims to expand its portfolio beyond traditional insulators and hardware to include advanced controlled switching devices that help manage inrush currents and extend the service life of critical grid assets. Vizimax Inc. is a Canada-based company specializing in innovative solutions for measuring, controlling, and switching electric power systems, enhancing the reliability and stability of power grids worldwide.

Major companies operating in the power grid system market are Siemens Aktiengesellschaft, General Electric Company (including GE Grid Solutions), Mitsubishi Electric Corporation, Schneider Electric Societas Europaea, ABB Ltd., Toshiba Corporation, Eaton Corporation plc, Prysmian Group Società per Azioni, Nexans Société Anonyme, Sumitomo Electric Industries, Ltd., LS Cable & System Ltd., TBEA Co., Ltd., NARI Group Corporation, XJ Group Corporation Limited, Pinggao Group Co., Ltd., Meidensha Corporation, Larsen & Toubro Limited, Larsen & Toubro Electrical & Automation Limited, Bharat Heavy Electricals Limited, Hyundai Electric & Energy Systems Company, Limited, CG Power and Industrial Solutions Limited, Powell Industries, Inc., Elsewedy Electric Company S.A.E., KEC International Limited, C&S Electric Limited.

Europe was the largest region in the power grid system market in 2025. Asia-Pacific is expected to be the fastest-growing region in the forecast period. The regions covered in the power grid system market report are Asia-Pacific, South East Asia, Western Europe, Eastern Europe, North America, South America, Middle East, Africa. The countries covered in the power grid system market report are Australia, Brazil, China, France, Germany, India, Indonesia, Japan, Taiwan, Russia, South Korea, UK, USA, Canada, Italy, Spain.

The power grid system market consists of sales of connectors, actuators, sensors, and penetrators. 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.

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