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Ageing Circuit Breakers Undo Brake in Market Growth by Increasing Replacement Investments - New analysis from Frost & Sullivan, North American Medium and High Voltage Power Circuit Breaker Markets, reveals that revenue in this market totaled $671.0 million in 2004 and expects to reach $926.1 million in 2011.
Ageing Circuit Breakers Undo Brake in Market Growth by Increasing Replacement Investments

 

NewswireToday - /newswire/ - Palo Alto, CA, United States, 2005/11/11 - New analysis from Frost & Sullivan, North American Medium and High Voltage Power Circuit Breaker Markets, reveals that revenue in this market totaled $671.0 million in 2004 and expects to reach $926.1 million in 2011..

   
 
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Power circuit breaker manufacturers in the high-voltage segment will soon have new rivals in the marketplace. Companies in the United States and around the world take note of the ongoing problems with the U.S. electrical transmission system and the billions of dollars needed to modernize it. New entrants from Asia and the U.S. build a presence in North America with the expectation that abundant opportunities are just around the corner.

New analysis from Frost & Sullivan (energy.frost.com), North American Medium and High Voltage Power Circuit Breaker Markets, reveals that revenue in this market totaled $671.0 million in 2004 and expects to reach $926.1 million in 2011.

If you are interested in a virtual brochure, which provides manufacturers, end-users and other industry participants an overview of the latest analysis of the North American Medium and High Voltage Power Circuit Breaker Markets, then send an email to Trisha Bradley, Corporate Communications at trisha.bradley[.]frost.com with your full name, company name, title, telephone number, fax number and email. Upon receipt of the above information, an overview will be sent to you by e-mail.

“Utilities are increasingly upgrading to mitigate outage risk that has been posed in the aftermath of the series of blackouts,” explains Frost & Sullivan Strategic Analyst Roberto Torres. “The upgrade projects typically involve the replacement of oil or air blast circuit breakers with sulphur hexafluoride (SF6) breakers because they are a significant improvement over the former, which constitutes much of the installed base in the utility sector.”

The North American circuit breaker market can be divided into two – medium voltage (MV) power circuit breakers and high voltage (HV) power circuit breakers. In 2002 and 2003, the MV segment experienced two successive years of contraction, but in 2004, the segment indicated a 3 percent revenue growth over the previous year due to the country’s economic recovery.

The HV power circuit breaker segment is considered mature and capital intensive with only a handful of companies participating in it successfully. This, however, expects to improve in response to Government regulations dictating the use of specific circuit breakers in certain sub-segments, replacements due to ageing circuit breakers, and increased reliability of HV circuit breakers.

The increased sales experienced in the circuit breakers market in 2004 indicate a rebounding of the economy rather than a structural shift toward greater demand. Sales were widely spread across much of the manufacturing sector, the steel, mining, and oil refining industries.

Nonetheless, with the need to increase production and improve capital and operations and maintenance (O&M) budgets, manufacturers have been upgrading or expanding power equipment, buoying circuit breaker sales. The market will, however, have to confront problems posed by a hike in raw material prices and low end-user awareness.

“Due to the increased prices of raw materials, manufacturers are forced to decide between raising prices and losing deals, or maintaining prices and cutting their profit margins,” explains Torres. “Manufacturers must aim to maintain current circuit breaker prices through cost reduction measures such as product design modifications, enhanced credit programs for customers, and shifting production to factories in lower cost regions.”

Educating end-users is also a priority as the progress in circuit breaker technology is outstripping the rate of end-user adoption. Breaker manufacturers need to work with utilities and government bodies to develop incentives for the acceptance and implementation of nascent technologies.

Overall, the future of the circuit breakers market looks bright due to increased demand. End users are upgrading power circuit breakers due to improving capital, expanded O&M budgets, or reliability concerns. Moreover, improved financial conditions and investor confidence is motivating the expansion of transmission and distribution infrastructure investment thus paving the way for a brakeless circuit breaker market.

North American Medium and High Voltage Power Circuit Breaker Markets is part of the Transmission, Distribution and Metering Equipment and Services subscription and it evaluates the drivers, restraints, and challenges. This study also identifies and analyzes top industry participants and competitive factors while providing detailed insights into the market. Executive summaries and analyst interviews are available to the press.

Frost & Sullivan, a global growth consulting company, has been partnering with clients to support the development of innovative strategies for more than 40 years. The company's industry expertise integrates growth consulting, growth partnership services, and corporate management training to identify and develop opportunities. Frost & Sullivan serves an extensive clientele that includes Global 1000 companies, emerging companies, and the investment community by providing comprehensive industry coverage that reflects a unique global perspective and combines ongoing analysis of markets, technologies, econometrics, and demographics.

North American Medium and High Voltage Power Circuit Breaker Markets
A424

Contact:

Magdalena Oberland
Corporate Communications – Europe
P: +44 (0) 20 7915 7876
F: +44 (0) 20 7730 3343
E: magdalena.oberland[.]frost.com

Donna Jeremiah
Corporate Communications – Asia Pacific
P: +603 6304 5832
F: +603 6201 7402
E: djeremiah[.]frost.com

Keywords in this release: circuit breakers, North America, medium voltage circuit breakers, high voltage circuit breakers, Sulphur Hexa Fluoride circuit breakers, SF6, oil-based circuit breakers, research, information, market, trends, technology, service, forecast, market share

 
 
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Ageing Circuit Breakers Undo Brake in Market Growth by Increasing Replacement Investments

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Publisher Contact: Trisha Bradley 
210.247.3870 trisha.bradley[.]frost.com
 
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