The global plastic enclosures market was valued at USD 2,003 Million in 2019 and is projected to reach USD 2,714 Million by 2027, expanding at a CAGR of 4.9% during the forecast period. Plastic enclosures are designed to protect sensitive electronic & electrical components, medical components, and other devices or components. According to the National Electrical Manufacturers Association (NEMA), an enclosure is a cabinet designed for providing the personnel with some protection against incidental contact with the enclosed equipment and specified environmental conditions. The plastic enclosure market is driven by rising investments in the electrical engineering & electronics industry in several countries, increasing demand for industrial Internet of Things (IoT) devices and applications, and growing urbanization in developing countries. However, low recycling capabilities for plastics and increasing carbon footprint globally are anticipated to hamper the market during the forecast period.
Market dynamics are changing rapidly in the electrical engineering & electronics industry. According to statistics, globally, the industry was valued around USD 5.0 trillion. China generated approximately 40% of the global revenues from the electrical engineering and electronics industry. This has created a surge in an increase in competitive establishments in the electrical engineering and electronics industry. This rise in the number of industry participants has fueled the demand for electrical plastic enclosures, as these engineered cases play a pivotal role in protecting electronics and electrical components.
Plastic enclosures are used to accommodate sensors used in the networking of IoT devices to make them work effectively. The industrial IoT significantly impacts the companies’ ability to manage the data and functions efficiently. Several countries are continuously investing in IoT technologies. According to statistics, the US invested around USD 194 billion in 2019, followed by China ranking second with a total investment of USD 182 billion. This high usage of IoT devices among industries is expected to boost the market.
Carbon footprint is a major concern globally and is expected to be a major factor hindering the market. Plastics enclosures negatively impact and cause climatic change. The production and disposal of plastic emits significantly high amounts of greenhouse gases (GHG), especially during its incineration. Plastic is a non-biodegradable material that can harm the environment and cause pollution. Manufacturing of plastics enclosures creates large quantities of GHG. To overcome this issue, several manufacturers and industries are adopting metal- or alloy-based plastic enclosures.
Advancements in the robotics and automation sectors in several developing countries are creating several opportunities in the global market. Increasing automation investments in countries such as China and Singapore, which in turn, has influenced other developing nations to increase their investments. The emergence of several local players in many countries due to favoring government reforms is also expected to create significant growth opportunities in the global market.
On the basis of types, the global plastic enclosures market is categorized as hand-held enclosures, free standing enclosures, wall-mount enclosures, desk-top enclosures, and others. The wall-mount enclosures segment is expected to hold 26.8% share of the global market. The hand-held enclosures segment is projected to expand at a considerable pace of 5.8% during the forecast period. The high growth of the hand-held enclosures segment is attributed to its ability to be used for indoor and outdoor applications. These enclosures have higher compatibility and are resistant to most of the environment risks. High durability and lightweight characteristics of hand-held enclosures makes increases its demand in several electronics applications.
Based on materials, the market is classified as ABS, acrylic, polystyrene, foamed/expanded PVC, polycarbonate, polyamide, and others. The ABS segment accounts for a major share of the market while the polycarbonate segment is anticipated to expand at a high CAGR of 5.7% during the forecast period. The growth of the polycarbonate segment is attributed to its ability of being very high impact resistance material offering longevity of protection to the devices and/or equipment enclosed. Polycarbonate has a minimum life expectance ranging from 20 to 25 years. The use of polycarbonate makes the enclosures lightweight and versatile. Additionally, polycarbonate enclosures are easier to mold than other plastic materials, while its lightweight characteristics reduce the cost of transportation of the product. These factors are boosting the growth of the segment.
On the basis of verticals, the plastic enclosures market is classified into power generation & distribution, oil & gas, metals & mining, medical, food & beverage, transportation, and others. The power generation & distribution segment is estimated to constitute a major share of the global market and is also anticipated to expand at a substantial CAGR during the forecast period.
Rise in the consumption of electricity in the recent few years is propelling investments in the power generation and distribution industry across several regions. According to statistics, the worldwide energy generation grew from 24.8 trillion kilowatt hours (kWh) in 2018 to approximately 44.3 trillion kWh by 2050. Surge in consumption of electricity and distribution of electricity is expected to fuel the demand for plastic enclosures, thus driving the growth of the plastic enclosure market.
Additionally, governments in numerous countries are shifting their focus on generating electricity through renewable sources, which is expected to create several growth opportunities for companies engaged in providing plastic enclosure for devices or components.
Based on regions, the plastic enclosures market is segregated into North America, Europe, Asia Pacific, Latin America, and Middle East & Africa. The market in Asia Pacific is projected to account for a large share of the global market and is expected to grow at a substantial pace during the forecast period.
The high growth of the plastic enclosure market in Asia Pacific is attributed to rising investments in the power generation & distribution industry by several countries including China, India, and Japan. Presence of several major plastic producers in the region is a key factor propelling the market in the region.
The market North America is expected to hold a significant share of the market due to increasing industrial automation and smart cities integration in the region. Additionally, the growth of the oil & gas sector in the region is increasing demand for plastic enclosures in the region.
Some frequently asked quetions about this report!
Additional company profiles can be provided on request.
Yes, the report covers material specific information such as adherence to specified standards, etc.
According to this Growth Market Reports' report, the market from Plastic Enclosures is likely to register a CAGR of 4.9% during forecast period 2020-2027, with an anticipated valuation of USD 2,714 million by the end of the 2027.
In addition to market size (in USD Million) and Company Market Share (in % for base year 2019), other data such as market volume data and pricing analysis for year 2017 to 2027 (estimated pricing analysis) is provided along with parent market analysis with a short term as well as long term outlook for plastic enclosures market is available in final report.
The rising investments in electrical engineering and electronics industry in several countries and increasing demand for industrial internet of things (IoT) devices and applications is expected to drive the market growth during forecast period.
Power generation & distribution, oil & gas, metals & mining, and medical are the key verticals that are driving the plastic enclosures market.
Factors such as competitive strength and market positioning are key areas considered while selecting top companies to be profiled.
The market is expected to decrease by 2.9% between 2019 and 2020 owing to the negative impact of COVID-19 pandemic on the production and demand for plastic enclosures market.
The base year considered for the global plastic enclosures market report is 2019. The complete analysis period is 2017 to 2027, wherein, 2017 & 2018 are the historic years and the forecast is provided from 2020 to 2027.
Major manufactures include nVent, Hammond Manufacturing Ltd., Phoenix Contact, Takachi Electronics Enclosure Co., Ltd., and OKW.
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