ELECTRICAL ENCLOSURE MARKET ANALYSIS

One of the key challenges faced by the global electrical enclosure market is the high cost of customized enclosures. As different end-use industries have specific requirements based on the application and environmental conditions, they demand enclosures that are customized to their needs. However, manufacturing small batches of customized enclosures significantly increases the per-unit production cost. This high cost of customized enclosures limits their adoption, especially in price-sensitive industries. Moreover, frequent design changes also drive up the costs. To address diverse client needs with limited budgets, manufacturers have to strike a fine balance between customization and cost. This remains a major roadblock to the growth of the electrical enclosure market.

Market Opportunities: Adoption of IP and NEMA Rated Enclosures in Process Industries

One of the prominent opportunities for the global electrical enclosure market is the growing adoption of IP and NEMA rated enclosures in process industries. Process industry facilities like oil & gas refineries, chemical plants, power plants, and manufacturing plants have stringent safety and reliability needs due to hazardous environmental conditions. IP and NEMA rated electrical enclosures offer protection against dust, water, and corrosion. They help maintain the required internal temperature and prevent equipment failure in these tough industrial settings. With increasing investments into new process facilities globally, especially in developing regions, the demand for reliable and durable IP and NEMA rated enclosures is expected to rise substantially. Enclosures manufacturers can capitalize on this opportunity by developing product portfolios that cater specifically to the process industry niche.