VIETNAM MEDIUM VOLTAGE SWITCHGEAR MARKET

Vietnam medium voltage switchgear market is estimated to grow at a robust CAGR during the forecast years largely driven by the increasing demand for electricity and the rising renewable energy adoption propelled by industrial growth.

Major Market Drivers and Emerging Trends

Vietnam medium voltage switchgear market size expansion is fueled by rising investments in infrastructure projects and energy sector to accommodate the growing need for electricity throughout the country. The past few years have seen a boom in infrastructure projects in Vietnam including the construction of new airports and power plants which results in a substantial rise in the need for stable electricity. The surge in infrastructure developments has generated a significant need for switchgear equipment that is essential for ensuring effective electricity distribution to newly constructed and existing facilities.

Electricity sales reached 251.25 billion kWh in 2023, grew 3.5% YoY. Electricity consumption per capita in Vietnam increases by 819% in 2022 from 2020. The government is also actively involved in developing the electrical infrastructure by launching several efforts to improve and broaden the power grid. The Rural Electrification Program is a critical approach focused on expanding access to electricity for rural communities. Connecting many households to the electrical grid through the program has not only improved their living standards and encouraged economic growth but has also supported the Vietnam medium voltage switchgear market growth. The major company ABB has also established a medium voltage switchgear factory in the country which ensures a stable power supply essential for operations and facilitates even distribution. This facility will support various export markets such as Australia and Japan.

 Furthermore, Vietnam is rich in untapped natural energy potential. To meet rising electricity needs, the government is supporting the use of renewable energy options including wind and solar. Employing renewable energy requires advanced switchgear solutions that can accommodate variable power supply and safeguard electrical systems. The increasing need for advanced switchgear has further contributed to market growth. In July 2022, the wind power division of ROSATOM, Novawind, entered into a partnership agreement with representatives from An Xuan Energy to work on a wind farm project in Vietnam. This partnership aims to build a 128 MW wind farm in Son La Province which is situated in the northwestern part of Vietnam.

The National Energy Development Strategy is another important initiative from the government designed to diversify energy sources and lessen the fossil fuel dependence. This strategy aims to increase the renewable energy share in the power mix to more than ten percent. The shift toward renewable energy will demand significant capital for the electrical infrastructure particularly in adopting cutting-edge switchgear technologies.

 Vietnam medium voltage switchgear market report highlights segmentation based on type into gas-insulated and air-insulated switchgear. GIS provides distinct advantages over AIS in challenging environmental conditions like heavy snowfall or corrosive atmospheres since GIS offers superior insulation from the surrounding environment. SF6 gas which insulates the switchgear is a non-flammable and inert substance that provides effective insulation in challenging environments which results in lower maintenance needs in comparison to AIS. The growing focus on electricity transmission and distribution networks along with smart grid solutions is also likely to boost the need for gas-insulated switchgear.

The market can be segmented based on the application into commercial & residential, transmission and distribution utilities, among others. The demand for transmission and distribution utilities is anticipated to drive Vietnam Switchgears market. The utilities involve various energy sources to meet electricity demand. The growing renewable energy utilization for power generation further necessitates upgrading existing infrastructure to facilitate the seamless integration of power generated from these sources.

Top market Players

Some major players within the market include General Electric, ABB, among others. These are only a few notable players to watch as the power infrastructure progresses and matures in Vietnam. As the country continues to upgrade its power generation and distribution systems, these players will play a crucial role in supplying the dependable and effective energy equipment technologies necessary.

Segments covered in the Report:

The Vietnam Medium Voltage Switchgear Market has been segmented based on type, voltage, and application. By type, the market is segmented into air-insulated switchgear (AIS), gas-insulated switchgear (GIS), and others. By voltage, the market is segmented into 1–12 kV, 12–17.5 kV, 17.5–24 kV, and 24–42 kV. By application, the market is segmented into transmission and distribution utilities, commercial and residential, and others.

Market Segmentation

Vietnam Medium Voltage Switchgear Market By Type

• • Air-Insulated Switchgear (AIS)
  • Gas-Insulated Switchgear (GIS)
  • Others

Vietnam Medium Voltage Switchgear Market By Voltage

• • 1–12kV
  • 12-17.5 kV
  • 5-24kV
  • 24-42 172kV

Vietnam Medium Voltage Switchgear Market By Application

• • Transmission and Distribution Utilities
  • Commercial and Residential
  • Others

Vietnam Medium Voltage Switchgear Market Leading players (Option 1: Free 25% Customization – Profiles of 5 Additional Companies of your Choice)

• • General Electric
  • ABB