July 19, 2024
Soft Starter Market
Ict

Rising demand for industrial machinery is expected to drive growth of Soft Starter Market

The global Soft Starter Market is estimated to be valued at US$ 2582.91 Mn in 2023 and is expected to exhibit a CAGR of 8.2% over the forecast period 2023 to 2030, as highlighted in a new report published by Coherent Market Insights.

Market Overview:
A soft starter is a device used with AC electric motors to temporarily reduce the load and torque in the power train and electric current surge of the motor during start-up. It allows the electric motor to gradually reach full speed thus reducing mechanical and electrical stresses. Soft starters are used across various industries including oil & gas, power generation, mining & metals, pumps, fans & blowers, and other heavy-duty applications. They help in increasing motor and equipment life by reducing voltage and current spikes during start up.

Market key trends:
One of the key trends in the soft starter market is the increasing adoption of integrated soft starters. Integrated soft starters combine motor control and soft starting functions into a single device. They are increasingly being preferred over traditional discrete components based soft starters as they offer advantages such as reduced installed cost, smaller footprint, simpler wiring, and higher reliability. The integrated design with built-in bypass contactor eliminates additional components. Major players are focusing on developing advanced integrated soft starters with improved features to gain a competitive edge in the market. For instance, in 2020, Eaton introduced its next-generation FlexiSoft integrated soft starter to help reduce panel space and installation time.
Porter’s Analysis
Threat of new entrants: The soft starter market requires high R&D investments and industry expertise, which makes the threat of new entrants medium.
Bargaining power of buyers: The soft starter market is fragmented with the presence of several manufacturers globally. This gives buyers moderate bargaining power.
Bargaining power of suppliers: Due to the availability of component suppliers and low switching costs, the bargaining power of suppliers is low in this market.
Threat of new substitutes: There exists a low threat from substitutes as soft starters provide unique functionalities to control voltage and current supplied to electric motors.
Competitive rivalry: The soft starter market is consolidated with the presence of both global and domestic players. Competition is based on product differentiation, pricing, quality, and technical expertise.

Key Takeaways
The global Soft Starter Market Growth is expected to witness high growth, exhibiting CAGR of 8.2% over the forecast period 2023 to 2030, due to increasing demand for energy-efficient electric motors from industries such as oil & gas, mining, power generation, and construction.

Regional analysis: Asia Pacific is expected to dominate the global soft starter market during the forecast period. This is attributed to rapid industrialization and growing infrastructural activities in major Asia Pacific economies such as China and India. Furthermore, major players are focusing on expanding their businesses in Asia Pacific to leverage low-cost manufacturing opportunities in the region.

Key players: Key players operating in the soft starter market are Siemens AG, Aucom Electronics Ltd (Benshaw Inc.), Schneider Electric SE, IGEL Electric GmbH, Eaton Corporation PLC, Crompton Greaves Ltd., ABB Ltd., Toshiba Corporation, Rockwell Automation Inc., Fairford Electronics Inc. (Motortronics UK Ltd), and Danfoss Group. Some of the key players are focusing on new product launches to strengthen their market position. For instance, in 2021, ABB launched its new ACS580-06 soft starter to provide maximum availability for conveyor applications in mining and cement industries.

*Note:
1. Source: Coherent Market Insights, Public sources, Desk research
2. We have leveraged AI tools to mine information and compile it