Electrical and Electronics Market Report 2026

The electrical and electronics market size has grown strongly in recent years. It will grow from $4.06 trillion in 2025 to $4.3 trillion in 2026 at a compound annual growth rate (CAGR) of 5.9%. The growth in the historic period can be attributed to early industrial electrification and automation, rise in global electronics manufacturing, increasing demand for power distribution equipment, expansion of household and commercial electronics, growth in instrumentation for industrial monitoring.

The electrical and electronics market size is expected to see strong growth in the next few years. It will grow to $5.61 trillion in 2030 at a compound annual growth rate (CAGR) of 6.9%. The growth in the forecast period can be attributed to increasing adoption of smart sensors and intelligent control systems, rising need for precision measurement in advanced manufacturing, expansion of renewable energy projects requiring electrical equipment, growth in B2C electronics consumption, accelerating upgrades in industrial automation. Major trends in the forecast period include increasing demand for advanced measurement and control instruments, growth in consumer electronics diversification, rising adoption of energy efficient electrical equipment, expansion of aftermarket servicing and upgrades, growing preference for multifunctional electronic products.

The increasing prevalence of Internet of Things (IoT) devices is expected to be a driving force behind the growth of the electrical and electronics market in the foreseeable future. IoT, referring to a network of interconnected physical objects embedded with sensors, software, and other technologies, facilitates the collection and exchange of data with other devices and systems over the internet. IoT devices play a crucial role in enabling real-time monitoring and management of electrical and electronic systems, ensuring consistent quality in electronic components and devices. As of March 2023, projections from Exploding Topics, a US-based online platform providing insights into emerging trends, suggest an anticipation of 25.4 billion IoT devices by the year 2030. Consequently, the increasing prevalence of IoT devices is propelling the growth of the electrical and electronics market.

Leading companies in the electrical and electronics market are concentrating on creating innovative solutions, such as electric vehicles (EVs), to meet the increasing demand for sustainable and energy-efficient transportation. Electric vehicles (EVs) are cars powered by electric motors using rechargeable batteries instead of conventional fuel engines, which help reduce greenhouse gas emissions, lower operating expenses, and support cleaner, more energy-efficient mobility. For example, in November 2025, SUGS LLOYD Ltd., an India-based technology-driven engineering and construction firm, introduced Vyna Electric, a cutting-edge electric vehicle designed for urban commuting. The Vyna Electric features a high-efficiency lithium-ion battery, lightweight chassis, and advanced energy management system, offering longer range and faster charging than traditional EVs. Its design emphasizes safety, durability, and ease of use, making it suitable for both personal and fleet applications. This launch highlights the move toward greener mobility solutions and underscores SUGS LLOYD’s dedication to advancing EV technology.

In August 2025, Rosebank Industries plc, a UK-based industrial holding company, acquired Electrical Components International, Inc. (“ECI”) for about US$ 1.9 billion. Through this acquisition, Rosebank aims to develop a global platform in electrical distribution and connectivity by leveraging ECI’s extensive engineering expertise, manufacturing infrastructure, and customer relationships. Electrical Components International, Inc. is a US-based manufacturing firm specializing in electrical and electronics solutions.

Major companies operating in the electrical and electronics market are General Electric Company (GE), Siemens Aktiengesellschaft (Siemens AG), Schneider Electric SE, ABB Ltd., Mitsubishi Electric Corporation, Panasonic Corporation, LG Electronics Inc., Samsung Electronics Co., Ltd., Sony Corporation, Hitachi, Ltd., Toshiba Corporation, Koninklijke Philips N.V. (Philips), Robert Bosch GmbH (Bosch), Texas Instruments Incorporated, Intel Corporation, STMicroelectronics N.V., Infineon Technologies AG, Honeywell International Inc., Rockwell Automation, Inc., Emerson Electric Co.

Note that the outlook for this market is being affected by rapid changes in trade relations and tariffs globally. The report will be updated prior to delivery to reflect the latest status, including revised forecasts and quantified impact analysis. The report’s Recommendations and Conclusions sections will be updated to give strategies for entities dealing with the fast-moving international environment.

Tariffs are influencing the electrical and electronics market by increasing the cost of imported semiconductors, electronic components, metal housings and assembly materials, resulting in higher production and procurement expenses. The impact is particularly significant in consumer electronics and industrial equipment segments that rely on complex global supply chains, with Asia Pacific and Europe being the most affected regions. These tariff pressures disrupt component availability and increase delivery timelines, prompting manufacturers to diversify supply networks, localize assembly operations and optimize product designs to reduce tariff dependent inputs. Positive effects include increased regional manufacturing investments and accelerated innovation in cost efficient component alternatives.

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

The electrical and electronics sector encompasses products involved in generating, distributing, and utilizing electrical power, along with electronic devices such as audio, video, and semiconductors. Notably, this market excludes computers, computer peripherals, and telecom equipment.

Key categories comprise electrical equipment, measuring and control instruments, and electronic products. Electrical equipment refers to any apparatus, cable, meter, or material utilized in controlling, generating, supplying, transforming, or transmitting electricity beyond extra-low voltage, or powered by electricity exceeding this threshold. These devices operate via online and offline modes. Sales channels in this industry span OEM and aftermarket avenues catering to both B2B and B2C end users.Asia-Pacific was the largest region in the electrical and electronics market in 2025. North America was the second largest region in the electrical and electronics market. The regions covered in the electrical and electronics market report are Asia-Pacific, South East Asia, Western Europe, Eastern Europe, North America, South America, Middle East, Africa. The countries covered in the electrical and electronics market report are China, India, Japan, Australia, Indonesia, South Korea, Bangladesh, Thailand, Vietnam, Malaysia, Singapore, Philippines, Hong Kong, Taiwan, New Zealand, UK, Germany, France, Italy, Spain, Austria, Belgium, Denmark, Finland, Ireland, Netherlands, Norway, Portugal, Sweden, Switzerland, Russia, Czech Republic, Poland, Romania, Ukraine, USA, Canada, Mexico, Brazil, Chile, Argentina, Colombia, Peru, Saudi Arabia, Israel, Iran, Turkey, UAE, Egypt, Nigeria, South Africa.

The electrical and electronics market consists of sales of photoresist and photoresist ancillaries, superconductors, photoelectric sensors, automotive dc-dc converters, surface inspection, temperature sensors, fingerprint sensors, quantum dot, touch screen controllers, torque sensors, pressure sensors, silicon photonics, automotive wiring harness and other electrical and electronics components. 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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