Electrical and Electrotechnical Industry Overview
The worldwide electrical and electrotechnical industry is the most flourishing and extremely diversified sector consisting of manufacturers, suppliers, dealers, retailers, electrical engineers, electricians, electrotechnical equipment manufacturers, and trade unions. This sector has been growing at a rapid pace with the invention of innovative technologies and an ever-increasing customer inclination towards electrotechnical goods and services.
Key Segments of Electrical and Electrotechnical Industry
The global electrical and electrotechnical sector is highly fragmented, comprising of various auxiliary sectors namely electrotechnical components, telecommunications, consumer appliances and industrial electrotechnical.
Electrotechnical Components Industry:
Comprises of various establishments engaged in designing, manufacturing, marketing, supporting, selling and distributing of broad range of electrotechnical components such as data processing centers and network, interface, energy distribution, building systems, cable management, digital infrastructure, UPS, installation components, lighting products, starting regulating devices, relays and timers, power suppliers, surge protection devises, industrial thermoregulation, compressors, modular power supply systems, solar and wind power, industrial batteries, etc. USA, Europe and Asia are the leading markets of electrotechnical components in the world.
Industrial Electrotechnical Industry:
Is made up of various establishments committed to designing, developing, manufacturing and selling of broad range of electrotechnical components and systems used in equipment and automated processes serving in an industrial environment.
Major Production and Export Centers
The worldwide electrical and electrotechnical industry is experiencing phenomenal and remarkable changes these days. The worldwide electrotechnical industry is distinguished by fast technological advances and has grown rapidly than most other industries over the past 30 years.
Europe is the manufacturing region of high quality electrotechnical products on the globe. The key electrotechnical manufacturing destinations are Germany, France and Italy.
Factors Governing the Growth of this Industry
The key factors governing the growth of electrical and electrotechnical industry is follows:
- Rising and continuous investments in research and development has led to increased productivity and higher-value added electrical and electrotechnical products.
- Increased foreign investments have resulted in the accelerated growth in terms of electrotechnical production and exports. Companies are now making huge investments and are installing extensive production capacities in research and development.
- Extends support to several global industries namely medical, telecommunications, industrial and automotive sectors.
- Rising living standards have resulted in the increase in demand of electrotechnical especially consumer electrotechnical products in the world.
- This industry is highly fragmented which comprises of many small and medium size enterprises.
- Rapid pace of innovation in electrotechnical technology is resulting in a consistent demand for newer and faster products and applications.
Future Outlook
The worldwide electrical and electrotechnical industry is experiencing phenomenal and remarkable changes these days. The worldwide electrotechnical industry is distinguished by fast technological advances and has grown rapidly than most other industries over the past 30 years.
Voluminous production is slowly and gradually moving towards low cost destinations, which in turn are the markets which offer the most long term potential. In today's age of competition, electrotechnical and electrical products manufacturing companies are under constant pressure to develop new and innovative products in shorter time cycles, at reduced cost, and with improved quality.
Foreign collaborations and mergers are on a rise. A new wave of industrialization is throwing up several business opportunities for electrical and electrotechnical market to further its market.
The future seems prosperous for this electrical & electrotechnical industry in terms of the expected surge in global demand and upsurge in investments. Many trends such as over-capacity in developed markets, globalization, technology advances, regulation and environmental consideration, market fragmentation and product proliferation will lead to the accelerated growth of this sector.