Future Outlook and Growth Prospects for the Shunt Capacitor Market

Market Overview

The Shunt Capacitor industry is expected to increase from USD 1.36 billion in 2023 to USD 1.5 billion by 2032, demonstrating a compound annual growth rate (CAGR) of 6.70% during the forecast period (2023 - 2032). The Shunt Capacitor market size was estimated at USD 1.3 billion in 2022.

A shunt capacitor is an electrical device that enhances the quality of the electricity supply and permits the effective operation of the power system. These capacitors are installed to supply capacitive reactive compensation or power factor correction. The shunt capacitor is an electrical device applied in the electrical power system.

Shunt capacitors are used to provide the correct power factor. This technique is also called power factor correction capacitors. The Market Size is rising day by day because of renewable power generation. This is the pushing factor of this market.

The worldwide power industry is substantially transforming, with boosting demand for reliable and efficient power supply, implementation of sustainability policies, and evolution of new technologies fueling the modernization of the grid and power infrastructure. Further, growth in the demand for modernized and upgraded power grids is expanding the global shunt capacitor industry growth. In addition to this, growing concerns about the environment and initiatives by several governments across the world are anticipated to increase investments in renewable energy generation during the forecast period.

This surge in the development of modern power grid infrastructure is projected to raise the demand for shunt capacitors during the forecast period. Shunt capacitors are also easy to install and maintain, and they have a longer life than their counterparts. So, they are a more favored option for stabilizing power systems.

Regional Analysis

The global Shunt Capacitor Market is divided into five regions; North America, Asia Pacific, Europe, Latin America, and the Middle East & Africa.

The growth in the East Asia region is projected to dominate the market over the forecast period. A rapid boost in the number of manufacturing and industrial units has augmented demand for shunt capacitors.

The North American shunt capacitor market is projected to hold the largest market share by the end of 2030, due to rapid urbanization, and augmentation in industrial and manufacturing units backed by increased railways, metros, high-speed trains, IT hubs, and commercial centers in developing nations.

The espousal of shunt capacitors in the MEA region is estimated to grow rapidly during the forecast period.

The culturing number of cross-border interconnections will push the growth of the transmission and distribution (T&D) equipment market in Europe. Europe is developing an interconnected grid that can transfer electricity between nations in the region such as the UK, Germany, Poland, France, and Sweden.

Market Segmentation

The global Shunt Capacitor Market is segmented into the following types;

By Voltage Type

  • Low voltage
  • Medium voltage
  • High voltage

By Application

  • Utility
  • Industries
  • Others

By System

  • Floor-mounted
  • Pole-mounted
  • Wall-mounted
  • Others

Key Players

The global Power factor correction Market prominent key players are ABB Ltd. (U.S.), General Electric Company (U.S.), Schneider Electric (France), Siemens AG (Germany), Eaton Corporation Plc (Ireland), Larsen & Toubro Ltd. (India), Aerovox Corp. (U.S.), Magnewin Energy Private Limited (India), SA (Spain), CIRCUTOR, Energy Capacitors Pvt. Ltd. (India) and others.

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