The North America Electrical Enclosure Market would witness market growth of 6.6% CAGR during the forecast period (2024-2031). In the year 2020, the North America market's volume surged to 3011.8 thousand units, showcasing a growth of 14.0% (2020-2023).
In the oil and gas sector, electrical enclosures play a critical role in ensuring the safe and reliable operation of various equipment and instrumentation in diverse applications. Within upstream operations, enclosures are utilized in environments such as drilling rigs, wellheads, and offshore platforms to house electrical components, control systems, and communication infrastructure. Therefore, the Mexico market utilized 35.4 thousand units of electrical enclosures in the oil and gas segment in 2023.
The US market dominated the North America Electrical Enclosure Market by Country in 2023 and would continue to be a dominant market till 2031; thereby, achieving a market value of $2,701.1 million by 2031. The Canada market is experiencing a CAGR of 9% during (2024 - 2031). Additionally, The Mexico market would exhibit a CAGR of 8.1% during (2024 - 2031).
The oil and gas sector relies on electrical enclosures to protect control systems, instrumentation, and communication equipment in drilling rigs, refineries, pipelines, and offshore platforms. These enclosures are designed to withstand harsh and hazardous environments, including exposure to extreme temperatures, corrosive substances, and explosive atmospheres. The growth of the oil sector increases the demand for electrical enclosures.
Additionally, Electrical enclosures are used in telecommunications infrastructure, data centers, and network cabinets to house networking equipment, servers, and communication systems. These enclosures protect against dust, moisture, and electromagnetic interference, ensuring the reliable operation of telecommunications networks and data storage facilities. The increasing telecommunication sector translates into higher demand for electrical enclosures.
With the increasing adoption of renewable energy sources like wind and solar power in Mexico, there will be a growing demand for specialized electrical enclosures tailored to the unique requirements of these projects. As per the International Trade Administration (ITA), Mexico’s goal is to produce 35 percent of electricity from clean energy sources by 2024, which includes power regeneration from renewable and non-renewable sources such as nuclear and efficient cogeneration. Hence, the increasing power generation and rising adoption of renewable energy are driving the market's growth.
Free Valuable Insights: The Electrical Enclosure Market is Predict to reach USD 13.3 Billion by 2031, at a CAGR of 7.3%
Based on Material, the market is segmented into Metallic and Non-metallic. Based on End-user, the market is segmented into Energy & Power, Industrial, Oil & Gas, Telecommunications and Others. Based on Type, the market is segmented into Wall-Mounted, Free-Standing, and Underground. Based on countries, the market is segmented into U.S., Mexico, Canada, and Rest of North America.
By Material (Volume, Thousand Units, USD Billion, 2020-2031)
By End User (Volume, Thousand Units, USD Billion, 2020-2031)
By Type (Volume, Thousand Units, USD Billion, 2020-2031)
By Country (Volume, Thousand Units, USD Billion, 2020-2031)
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