The global lightning arrester market size is anticipated to reach USD 876.3 million in 2024. The sector is expected to surge at a CAGR of 6.4% during the forecast period. The sector is projected to attain a value of USD 1627.2 million by 2034.
Lightning arresters are an important safety feature of any building. The demand for lightning conductors is expected to surge owing to the high interest of governments and authorities in avoiding danger to the electrical equipment in commercial and residential infrastructure and power plants.
Stringent regulations regarding safety and reliability in the power sector require high-quality lightning protection, augmenting sales of lightning conductors in this industry. The power sector has an increasing usage of lightning arresters due to safety protocols.
| Attributes | Description |
|---|---|
| Estimated Global Lightning Arrester Market Size (2024E) | USD 876.3 million |
| Projected Global Lightning Arrester Market Value (2034F) | USD 1627.2 million |
| Value-based CAGR (2024 to 2034) | 6.4% |
Expansion and modernization of infrastructure, including the upgradation of aging grids in developed countries and the ongoing infrastructure boom in emerging economies is posing a high demand for lightning protection systems. There is a rising need for smart grids integrated with monitoring and automation systems. This trend is expected to create a requirement for lightning conductors with communication capabilities.
Extreme weather changes will likely increase the need for reliable lightning conductors. Technological advancements are expected to create efficient lightning conductors that not only provide superior quality but are also cost-effective. Innovations in the sector include the creation of self-healing materials and metal oxide varistors with high energy-handling capacities.
Cost-effectiveness is expected to remain a crucial factor for consumers in a few regions. Companies will likely be required to create a perfect balance between quality, innovation, and competitive pricing strategies.
The industry has a huge presence of counterfeit products. This will likely be a prominent setback for manufacturers as such issues can erode trust and pose serious safety risks. To tackle this problem, stringent quality control and consumer education is crucial.
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The table below presents a comparative assessment of the variation in the projected CAGR for the lightning arrester market over the semi-annual periods spanning from the base year (2023) to the current year (2024. The examination of the compound annual growth rate reveals the shifts in the performance of the sector and indicates revenue realization patterns.
The analysis helps businesses in gaining a better understanding of the industry and its growth trajectory over the year. The first half of the year, or H1, spans from January to June. The second half, H2, includes the months from July to December.
Figures exhibited in the table showcase the expected CAGR for the lightning arrester market over the semi-annual period starting from 2024 to 2034. The industry, in the first half (H1) of 2023 to 2033 is expected to surge at a CAGR of 5.7%, followed by a surge in growth rate in the second half (H2) where the CAGR is anticipated to surge to 6.9%.
| Particular | Value CAGR |
|---|---|
| H1 | 5.7% (2023 to 2033) |
| H2 | 6.9% (2023 to 2033) |
| H1 | 5.8% (2024 to 2034) |
| H2 | 7% (2024 to 2034) |
Moving to the subsequent period, from H1 2024 to H2 2034, the CAGR is anticipated to decrease slightly to 5.8% in the first half (H1) and further spike to 7% in the second half. In the first half (H1) the sector witnessed an increase of 10 BPS while in the second half (H2), the market witnessed an increase of 10 BPS.
Increasing High-rise Building Construction Activities Anticipated to Push Sales
The rapid urbanization worldwide has led to a significant increase in the construction of high-rise buildings. As cities grow and land becomes limited, vertical construction solutions like skyscrapers and tall residential buildings become essential. These structures, owing to their height, are vulnerable to lightning strikes.
The construction boom in cities like Dubai, New York, and Shanghai, featuring iconic skyscrapers, underscores the critical need for advanced lightning protection systems. Effective lightning conductors are crucial for ensuring the safety of occupants and protecting vital electrical and electronic systems in these buildings.
Several countries have implemented stringent building codes and safety standards mandating the installation of lightning protection systems in high-rise buildings. These regulations aim to prevent fire hazards and structural damage caused by lightning strikes.
Building codes in regions prone to thunderstorms require comprehensive lightning protection for tall structures. The enforcement of such regulations and the increasing awareness of lightning-related risks contribute to the growing demand for lightning conductors.
Advancements in Grid Technology to Boost Growth in the Market
Integration of smart grid technology is revolutionizing the electrical infrastructure by enhancing grid reliability, efficiency, and resilience. Smart grids incorporate advanced sensors, automation, and communication technologies to dynamically monitor and manage electricity flows.
Countries like the United States and Germany are heavily investing in upgrading their traditional power grids to smart grids. This requires sophisticated lightning protection systems. The United States Inflation Reduction Act and the Bipartisan Infrastructure Law fund critical power grid enhancements.
Programs like DOE's USD 10.5 billion Grid Resilience and Innovation Partnerships (GRIP) Program and the United States Department of Agriculture’s (USDA) USD 9.7 billion New ERA provide significant investment for grid resilience and innovation, focusing on upgrading infrastructure.
Ensuring the safety and reliability of smart grid infrastructure is crucial. With worldwide initiatives focused on modernizing electrical grids and enhancing energy efficiency, the demand for advanced lightning protection solutions is rising. As countries adopt smart grid technologies to improve their energy distribution networks, the need for effective lightning conductors grows.
Technological Innovations to Increase Safety of Electric Equipment May Limit Growth
There is ongoing innovation to bring technological advancements to increase the safety of electric equipment such as the collection volume method (CVM), an alternative to conventional lightning protection systems such as lightning conductors. This technology is set to be used to determine where air terminals should be installed to protect structures from lightning rather than using a lightning conductor.
Each air terminal is given an attractive radius, which is determined by the height, radius of curvature, location on the structure, structure dimensions, and a variety of site, atmospheric, and lightning-related elements. Any element on the building structure that can also capture a lightning strike, such as building edges, corners, parapets, flagpoles, and elevator motor rooms, is given an attractive radius.
Principal Consultant
The global lightning arrester market size was USD 691.4 million in 2019. The sector grew at a CAGR of 3.6% from 2019 to 2023. The industry size was valued at USD 826.7 million in 2023.
Aging electrical grid infrastructure in developed countries requires upgrades and modernization. Developing economies like China, India, and Brazil witnessed a surge in their infrastructure development projects.
The historical period witnesses an increasing dependence on electronic devices and sophisticated equipment across several sectors. Lightning conductors became crucial for safeguarding these sensitive systems from lightning strikes. Rising investments in renewable energy projects further increased the demand for lightning arresters as these installations are susceptible to lightning strikes.
The lightning arrester market forecast projects the sector to reach a value of USD 876.3 million in 2024. It is expected to grow at a CAGR of 6.4% throughout the forecast period to reach a size of USD 1627.2 million by 2034.
Smart grid integration and automation are key trends in the sector. These are expected to create novel opportunities for lightning conductors, including communication capabilities. They will likely facilitate real-time data collection, remote monitoring, and improved system management for lightning protection.
Frequent and intense weather events as a result of rapid climate change are posing a need for robust lightning protection. Advancements in materials science and manufacturing processes are expected to result in the development of efficient, reliable, and cost-effective lightning arresters.
Tier 1 companies comprise industry giants with a revenue of USD 50 million or above. They capture a significant market share of 30% to 35% in the international market. These leaders are characterized by their high production capacity and extensive product portfolio.
They are expert in manufacturing and distribution across their vast broad reach, underpinned by a robust consumer base. They provide a wide range of lightning arrester products. Prominent companies within Tier 1 include ABB Ltd., Siemens AG, Eaton Corporation, Schneider Electric SE, and Mitsubishi Electric Corporation.
Tier 2 companies include mid-sized and local players with revenue below USD 50 million. They have a significant presence in specific regions and highly influence the local economy.
The players may not have advanced technology and a wide global reach but they have access to good technology and ensure regulatory compliance. Well-known businesses in Tier 2 include Hubbell, Cooper Lighting LLC., Toshiba Corporation, Meidensha Corporation, General Electric, LPI Lightning Protection International Pty Ltd, Emerson Electric Co., Leviton Manufacturing Co., Inc., Belkin, and TE Connectivity.
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The section offers businesses an overview of the sector. It consists of a detailed analysis of the trends and opportunities in the sector on a country-by-country basis. This country-specific examination of the dynamics of the sector is likely to assist organizations in understanding the complex nature of the sector.
The examination comprises key factors, and potential challenges, and forecasts the demand, production, and consumption of the product within each country. This section aims to assist organizations make informed decisions and develop effective strategies customized to individual countries.
India is anticipated to emerge as a dominating country in the sector during the forecast period with an estimated CAGR of 6.9%. Brazil, the Philippines, and Mexico are projected to follow behind India to become one of the leading countries with projected CAGRs of 6.8%, 6.6%, and 6.6%, respectively.
| Countries | CAGR 2024 to 2034 |
|---|---|
| India | 6.9% |
| Brazil | 6.8% |
| Philippines | 6.6% |
| Mexico | 6.6% |
| Türkiye | 6.5% |
The United States has an aging electrical grid infrastructure that requires upgrades and modernization. Upgrading to a robust and reliable system will likely require the incorporation of lightning arresters to safeguard transformers and transmission lines.
The country’s population is witnessing a rising dependence on electronic devices and sophisticated equipment across several sectors. This is projected to push the demand for sturdy protection systems.
Lightning conductors play a critical role in protecting these sensitive systems from lightning strikes. There is rising awareness among people regarding the potential damage caused by surges in power voltages. This has led to an increased demand for residential lightning protection solutions, including lightning conductors.
The country has a high frequency and intensity of extreme weather events that are leading to increased lightning strikes. This has called for better lightning protection measures, propelling demand in the sector.
The country also has a rising trend for smart homes. These heavily rely on interconnected electrical appliances. These appliances require robust power surge protection, fueling the demand for lightning conductors.
China is undergoing a massive infrastructure boom. This includes the expansion of the country's power grids, high-speed raid networks, and telecommunications networks. These novel infrastructures are expected to pose a rising demand for robust lightning protection systems, propelling the need for lightning conductors.
The government of the country is actively promoting the development of advanced lightning protection solutions. Such initiatives foster a supportive environment for domestic lightning arrester manufacturers. The country boasts a well-established and cost-competitive manufacturing industry. This enables domestic manufacturers to offer competitive prices for lightning arresters, making these attractive to domestic and international buyers.
Ongoing infrastructure development projects, including transportation networks, power grids, and communication systems require robust lightning protection as these play a critical role in safeguarding the new installations. Rapid industrialization in the country is resulting in the deployment of sophisticated machinery and equipment across several sectors. This is because these electronics are vulnerable to damage from lightning strikes.
Lightning conductors offer the required surge protection for these industrial assets. Government initiatives in the country include the expansion of electricity coverage in rural areas. Programs like these necessitate the installation of new power lines and transformers in lightning-prone areas that require lightning conductors for protection.
Growing population and economic expansion are resulting in increased power consumption. Expansion of the existing power transmission and distribution infrastructure requires the incorporation of lightning arresters to ensure reliable power supply. Growing mortality rates from lightning strikes are another factor that is driving lightning arrester sales in the country.
The section offers businesses insightful data and analysis of the two leading segments of the target sector. Segmentation of these categories assists organizations in understanding the dynamics of the sector and investing in the beneficial zones.
Examination of the growth of the sector helps companies gain a thorough understanding of the trends, opportunities, and challenges present in the market. This analytical data is likely to assist companies navigate the complex business environment and make informed decisions.
In terms of product type, metal oxide varistor lightning arresters are likely to dominate the sector with a value share of 20.3% in 2034. The power sector is emerging as the leading end-use with a value share of 23% in the same year.
| Segment | Metal Oxide Varistor Lightning Arrester (Product Type) |
|---|---|
| Value Share (2034) | 20.3% |
Metal oxide varistor (MOV) lightning arresters offer superior protection owing to their ability to quickly respond to high voltage surges. Their non-linear characteristics allow them to clamp surges effectively compared to other types.
Due to the high energy absorption capacity of MOV arresters, these can withstand multiple surge events without significant degradation. Their ability to ensure long-term reliability and reduced maintenance costs is set to boost sales.
MOV arresters are suitable for various voltage ranges and can be used across multiple sectors, including residential and industrial. Being relatively economical, these are often a preferred choice for several users.
MOV arresters are set to be extensively utilized for the protection of modern power systems. Their gap-less design prevents excessive heat from being generated during the arrester's functioning. Their ability to provide superior performance is anticipated to help reduce their failure rate as well as improve the system's dependability and protection.
| Segment | Power (End-use) |
|---|---|
| Value Share (2034) | 23% |
The power sector consists of several essential infrastructures, such as electric grids, substations, and power plants that must be constantly protected to prevent power outages and damage from lightning strikes. Governments and authorities around the world are continuously investing in the upgradation of their power infrastructure.
They are progressively working toward expanding the infrastructure to meet the rising demands associated with modernizing power distribution. This leads to an increase in the requirement for advanced lightning protection solutions.
Growing energy requirements, particularly in developing countries, have resulted in continuous initiatives to increase their electricity system capacity. Trends like smart cities also propel energy demand, owing to a significant need for lightning arresters from the power sector.
Key players in the industry, including ABB Ltd., Siemens AG, Eaton Corporation, Schneider Electric SE, and Mitsubishi Electric Corporation are investing in innovating durable and customized lightning arresters. They are carrying out research and development activities to create advanced, efficient, and reliable lightning conductors. This involves creating arresters with improved capabilities to help withstand extreme weather conditions.
Manufacturers are also creating application-specific arresters for varying voltage levels and environments. Companies are highly focused on implementing strict quality control measures to ensure the reliability and performance of the product. They are offering extended warranties on their products along with a seamless consumer experience to build trust and brand loyalty.
The latest trend requires manufacturers to obtain certification from recognized testing agencies to demonstrate compliance with international safety standards. Brands are working toward optimizing their manufacturing processes to align with the evolving industry standards.
The shift toward sustainability has led to manufacturers incorporating eco-friendly processes throughout their supply chain networks. They are also looking to reduce production costs without compromising on product quality to attract consumers globally.
Manufacturers’ primary focus is on expanding into new markets that have a higher potential for growth. This may include expansion into emerging economies or countries that are carrying out infrastructure development projects. They are also developing strong relationships with stakeholders in end-use industries and distributors to ensure smooth business and operations.
Industry Updates
By rating, the sector is segmented into below 35 KV, 35 to 110 KV, and above 110 KV.
Based on product type, the sector is divided into rod gap, horn gap, multi gap, expulsion-type lightning, valve-type lightning, metal oxide varistor lightning, and other arresters.
Lightning arresters have applications in infrastructure, power, industrial, municipal, and residential sectors.
The sector is spread across North America, Latin America, Western Europe, Eastern Europe, East Asia, South Asia, and the Middle East and Africa.
The lightning arrester sector is expected to reach USD 876.3 million in 2024.
The sector is set to reach USD 1627.2 million by 2034.
ABB Ltd., Siemens AG, and Eaton Corporation are the key players.
India is anticipated to lead with a CAGR of 6.9% through 2034.
The sector is anticipated to grow at a CAGR of 6.4%.
1. Executive Summary 2. Industry Introduction, including Taxonomy and Market Definition 3. Market Trends and Success Factors, including Macro-economic Factors, Market Dynamics, and Recent Industry Developments 4. Global Market Demand Analysis 2019 to 2023 and Forecast 2024 to 2034, including Historical Analysis and Future Projections 5. Pricing Analysis 6. Global Market Analysis 2019 to 2023 and Forecast 2024 to 2034 6.1. Rating 6.2. Product Type 6.3. End Use 7. Global Market Analysis 2019 to 2023 and Forecast 2024 to 2034, By Rating 7.1. Below 35 KV 7.2. 35-110 KV 7.3. Above 110 KV 8. Global Market Analysis 2019 to 2023 and Forecast 2024 to 2034, By Product Type 8.1. Rod gap arrester 8.2. Horn gap arrester 8.3. Multi gap arrester 8.4. Expulsion-type lightning arrester 8.5. Valve-type lightning arrester 8.6. Metal oxide varistor lightning arrester 8.7. Others 9. Global Market Analysis 2019 to 2023 and Forecast 2024 to 2034, By End Use 9.1. Infrastructure 9.2. Power Industry 9.3. Industrial 9.4. Municipal 9.5. Residential 10. Global Market Analysis 2019 to 2023 and Forecast 2024 to 2034, By Region 10.1. North America 10.2. Latin America 10.3. Western Europe 10.4. South Asia 10.5. East Asia 10.6. Eastern Europe 10.7. Middle East & Africa 11. North America Sales Analysis 2019 to 2023 and Forecast 2024 to 2034, by Key Segments and Countries 12. Latin America Sales Analysis 2019 to 2023 and Forecast 2024 to 2034, by Key Segments and Countries 13. Western Europe Sales Analysis 2019 to 2023 and Forecast 2024 to 2034, by Key Segments and Countries 14. South Asia Sales Analysis 2019 to 2023 and Forecast 2024 to 2034, by Key Segments and Countries 15. East Asia Sales Analysis 2019 to 2023 and Forecast 2024 to 2034, by Key Segments and Countries 16. Eastern Europe Sales Analysis 2019 to 2023 and Forecast 2024 to 2034, by Key Segments and Countries 17. Middle East & Africa Sales Analysis 2019 to 2023 and Forecast 2024 to 2034, by Key Segments and Countries 18. Sales Forecast 2024 to 2034 by Rating, Product Type, and End Use for 30 Countries 19. Competition Outlook, including Market Structure Analysis, Company Share Analysis by Key Players, and Competition Dashboard 20. Company Profile 20.1. Eaton 20.2. ABB 20.3. Hubbell 20.4. GE Grid 20.5. Schneider Electric SE 20.6. TE Connectivity 20.7. Toshiba
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Lightning Arrester Market
