Industrial Power Supply Market

Industrial power supply is an essential component of any manufacturing or industrial process. It is responsible for providing a stable and reliable source of electrical power that is critical to the operation of heavy machinery, production lines, and other equipment used in the industrial sector. In this essay, we will discuss the various aspects of industrial power supply, including its importance, types, and applications.

Importance of Industrial Power Supply

The importance of industrial power supply cannot be overstated, as it is a crucial factor in the efficient functioning of any industrial operation. In the absence of a reliable and stable power supply, the productivity of the industrial process can suffer, resulting in delays, downtime, and increased costs. A stable power supply is also essential for the safety of the workers, as electrical hazards can pose a serious risk to their health and well-being.

Types of Industrial Power Supply

Industrial power supply comes in various forms, depending on the specific needs of the application. The most common types of industrial power supply include:

• AC Power Supply: AC power supply is the most common type of industrial power supply, as it is easy to generate and transmit over long distances. It is used in most industrial applications, including manufacturing, transportation, and mining.
• DC Power Supply: DC power supply is used in applications where a stable and consistent power supply is required. It is commonly used in telecommunications, data centers, and other applications where a reliable power source is critical.
• Uninterruptible Power Supply (UPS): UPS is used in applications where continuous power supply is required. It provides a backup power source in the event of a power outage, allowing the industrial process to continue without interruption.

Applications of Industrial Power Supply

Industrial power supply has a wide range of applications, including:

• Manufacturing: Industrial power supply is critical in the manufacturing process, where it powers heavy machinery, conveyor belts, and other equipment used in production.
• Transportation: Industrial power supply is used in transportation applications such as trains, subways, and airports, where it powers signals, lighting, and other equipment.
• Mining: Industrial power supply is used in the mining industry to power drilling equipment, conveyor belts, and other machinery used in extraction and processing.

In conclusion, industrial power supply is an essential component of any industrial process, as it provides a stable and reliable source of electrical power that is critical to the operation of heavy machinery, production lines, and other equipment used in the industrial sector. Understanding the importance, types, and applications of industrial power supply is critical to ensuring that the industrial process operates efficiently, safely, and with minimal downtime.

Industrial Power Supply Market Dynamics

Drivers in Industrial Power Supply Market

The industrial power supply market is influenced by various factors, one of which is the growing demand for electric vehicles worldwide. Unlike a decade ago, when fossil fuels, diesel, and petrol were the only fuel options, mild hybrid electric vehicles (MHEVs), hybrid electric vehicles (HEVs), and battery electric vehicles (BEVs) have now been introduced in the market. This has led to a significant rise in the demand for electric vehicles across the world, primarily driven by the governments of different countries, including India, China, the US, France, and the UK, who are committed to reducing carbon emission levels by promoting the use of eco-friendly vehicles.

To encourage the adoption of electric vehicles, governments are offering several incentives, and are also working on developing public electric vehicle charging infrastructure. DC-DC converters play a critical role in electric vehicles by regulating the voltage levels generated by the batteries, based on the power requirements of different automotive systems. These converters not only improve power flow and energy efficiency but also reduce fuel consumption and increase vehicle output power per unit volume. They are a reliable option for vehicles with limited space due to the deployment of excessive electronics because they are lightweight, compact, highly efficient, and have low electromagnetic interference and fewer current/voltage ripples. DC-DC converters are crucial for electric vehicles to interface fuel cells/batteries or supercapacitor modules to the DC-link, and are expected to drive the industrial power supply market during the forecast period.

However, the COVID-19 pandemic has negatively impacted the industrial power supply market, as the demand for power supply products has decreased significantly. Governments worldwide have restricted many business activities to minimize the spread of the virus, which has affected the renewable energy sector's expansion plans. Many companies had to shut down their manufacturing facilities and services as partial or full lockdowns were imposed to contain the pandemic, leading to increased procurement costs of raw materials due to the shortage of supplies. Ultimately, this has led to delays in order closures, negatively impacting the demand for industrial power supply solutions in the short term.

Restraints in Industrial Power Supply Market

The increasing adoption of High-Voltage Direct Current (HVDC) and renewable energy sources is a trend that is being observed in many regions around the world, including the Americas, Asia, and Europe. The traditional method of power transfer, which involves AC-DC conversion, leads to significant power loss ranging from 5-20%. The UHVDC transmission scheme is a cost-effective alternative to AC transmission, with HVDC lines experiencing only around 3.5% power loss per 1,000 km compared to 6.7% for AC lines at similar voltage levels. Hence, the use of DC power sources is gaining popularity and could be a better solution in the future.

Renewable energy sources such as solar and wind are also being increasingly utilized, with the International Energy Agency (IEA) reporting an increase in the share of renewable energy in the global power generation mix from 22% in 2013 to 29% in 2020. China accounted for nearly half of the total renewable power capacity growth in 2020, with this figure expected to reach 58% by the end of 2022. As renewable sources supply DC energy, which can be stored in batteries, they are compatible with the use of HVDC, further promoting the adoption of these technologies.

However, the increasing adoption of HVDC and renewable energy sources, as well as the varying regulatory and safety standards across different regions, are expected to hinder the growth of the AC-DC power supply market in the near future. Moreover, the design considerations for input power and non-standard AC and DC inputs are projected to pose challenges to the power supply market in the forecast period of 2022-2029.

This power supply market report offers a comprehensive analysis of various aspects of the market, including new developments, trade regulations, import-export analysis, production analysis, value chain optimization, market share, domestic and localized market players' impact, emerging revenue pockets, market regulations changes, strategic growth analysis, market size, category market growths, application niches and dominance, product approvals, product launches, geographic expansions, and technological innovations. For more information on the power supply market, contact Data Bridge Market Research for an Analyst Brief, where our team will help you make informed market decisions to achieve market growth.

Challenges in Industrial Power Supply Market

The industrial power supply market faces challenges due to the availability of inexpensive products of inferior quality in the gray market. The market is highly fragmented with several local and international players. Manufacturers in the organized sector mainly target industrial buyers and maintain superior product quality by adhering to various industrial standards. On the other hand, local Chinese manufacturers and other players in the unorganized sector offer cheaper but low-quality alternatives to enter untapped local markets. This results in intense competition, with local manufacturers offering products that emit toxic gases when exposed to heat or fire. Gray market players often outperform big players in terms of price competitiveness and local distribution network, posing a significant challenge for the industrial power supply market.

During the forecast period, the robotics segment is expected to grow at the highest compound annual growth rate (CAGR) of 7.9%. Industrial power supplies find applications in various robotics systems such as factory and warehouse automation systems, goods handling and transportation systems, manufacturing and packaging systems, and automated assembly systems. This growth is attributed to the increasing demand for automation in various industries and the need for reliable and efficient power supplies to support robotics systems.

Opportunities in Industrial Power Supply Market

Opportunities are arising in the market due to the increasing demand for unmanned aerial vehicles (UAVs) and the growing adoption of the Internet of Things (IoT) in various sectors. IoT has been increasingly adopted by mainstream businesses in recent years, with industries such as manufacturing, mobility, energy, retail, and healthcare utilizing IoT to improve their operations. As a result of this increasing demand for IoT, Murata Manufacturing Co. Ltd. has introduced compact and low-profile DC-DC converters, PoE IEEE 8.2.3bt, which provide maximum power supply over LAN cables and enable the transfer of larger volumes of data in a faster and more efficient manner, resulting in better connectivity.

The aerospace industry is also experiencing significant growth, with the rise in unmanned aerial vehicles (UAVs) and satellite operations leading to an increase in related applications. As the drone market expands across various regions due to rising military operations, the demand for DC-DC converters in such remotely controlled aircraft will increase. Standardized flow of electricity toward various parts of the UAVs is crucial to avoid chances of errors. The efficiency of UAV operations can be increased with the use of power DC-DC converters. The demand for DC-DC converters will continue to rise during the forecast period due to the increasing demand for drones in military, agriculture, logistics, and transportation. Power electronics companies are also focusing on manufacturing more efficient DC-DC converters for the aerospace industry. Vicor Power (US) announced its support to Boeing (US) for the manufacture of the O3b mPOWER satellite in January 2021. The DC-DC converter used in the satellite is the first radiant fault-tolerant converter with a form factor of SM-Chip, capable of working even in low-power mode.

The global industrial power supply market has been segmented by output power into five categories, namely very low output (up to 500 W), low output (500−1,000 W), medium output (1,000 W−10 kW), high output (10−75 kW), and very high output (75−150 kW). Among these, the very low output segment (up to 500 W) is expected to be the most significant contributor to the market during the forecast period. The market's growth in this segment is primarily driven by the increasing adoption of automation solutions and digital technology by industries in China, India, and Japan.

In terms of regional analysis, the Asia Pacific region is expected to dominate the global industrial power supply market from 2022 to 2027, followed by North America and Europe. The region's substantial market size can be attributed to China and Japan's growing interest in industrial automation and the rising adoption of electric vehicles in the region.

Key Players in Industrial Power Supply Market

• TDK LAMBDA
• SIEMENS
• DELTA ELECTRONICS
• ABB
• MURATA POWER SOLUTIONS
• BEL FUSE
• ADVANCED ENERGY
• SYNQOR
• ASTRODYNE TDI
• TRACO POWER
• VICOR
• RECOM
• XP POWER
• MEAN WELL
• COSEL
• MTM POWER
• PULS
• PHOENIX CONTACT
• AMARA RAJA POWER SYSTEMS
• INVENTUS POWER
• GLOBTEK

Recent Developments in Industrial Power Supply Market

The industrial power supply market has witnessed several recent developments in terms of technological advancements, collaborations, and partnerships among key players. Here are some of the notable developments in the market:

The industrial power supply market has recently witnessed several noteworthy developments. In January 2022, ABB acquired InCharge Energy, an electric vehicle (EV) commercial charging infrastructure solutions company, to strengthen its E-mobility Division in the North American market. The acquisition of InCharge Energy is expected to expand ABB's customer base and enhance its fleet electrification software and digital services offering.

In December 2021, Delta Electronics acquired Universal Instruments, an automation solution company, to boost its smart manufacturing and industrial automation capabilities. This acquisition is expected to generate significant research and development and customer base synergies for Delta Electronics.

In January 2019, TDK Lambda acquired Nextys, a company that designs and manufactures DIN rail power supplies and accessories. TDK Lambda aimed to strengthen its market position in DIN rail power supplies through this acquisition.

In August 2018, Murata Power Solutions acquired Calex Manufacturing, Inc., located in Concord, California. This acquisition enabled Murata Power Solutions to expand its product line and offer a broader range of power supply products to its customers.

Technological Advancements: With the increasing demand for energy-efficient and reliable power supplies, several key players are focusing on developing advanced power supply technologies. For instance, in 2021, TDK Corporation launched a new DC-DC converter that offers high power density and low acoustic noise. The converter is specifically designed for use in electric and hybrid vehicles, and other industrial applications.

Collaborations and Partnerships: Key players in the industrial power supply market are collaborating with other companies to expand their market presence and offer advanced power supply solutions. In 2021, Bel Power Solutions announced a collaboration with FSP Group to jointly develop and distribute high-efficiency power supply solutions for various industrial applications.

Increasing Demand for Renewable Energy: The growing demand for clean energy sources is driving the adoption of renewable energy systems such as solar and wind power. As a result, there is an increasing demand for reliable and efficient power supplies to support these systems. In 2021, ABB announced the launch of its new PVS-175-TL string inverter for use in large-scale solar power plants. The inverter offers high efficiency and is designed to support the growing demand for renewable energy.

Government Initiatives: Governments worldwide are implementing various initiatives to promote the adoption of clean energy sources and reduce carbon emissions. These initiatives are driving the demand for energy-efficient power supplies for use in various industries. For instance, in 2021, the Indian government announced plans to invest in the development of a domestic manufacturing ecosystem for renewable energy systems, which is expected to drive the demand for power supplies.

Overall, the industrial power supply market is witnessing significant developments and is expected to grow in the coming years, driven by technological advancements and increasing demand for energy-efficient and reliable power supplies.