The expanding population in Saudi Arabia has put pressure on the country’s existing infrastructure. This has compelled the government of Saudi Arabia to initiate several large-scale projects aimed at infrastructural development in the coming years. According to Transparency Market Research (TMR), the increasing construction activities witnessed in the country will significantly aid in the expansion of electrical market in Saudi Arabia.

Surging Infrastructural Development Activities Boost Demand for Electrical Products in Saudi Arabia

The surging demand for electrical products that are compatible with the infrastructure has led to the renewal of existing electrical and lighting systems. This, as per TMR, will boost the Saudi Arabia electrical market at a robust10.4% CAGR between 2015 and 2023. The market was valued at US$4.5 bn in 2014 and is expected to reach US$10.8 bn by the end of 2023.

The Saudi Arabia electrical market is also expected to significantly gain from the rising energy demand in the Middle East. Development activities on card for the energy generation and transmission infrastructure will boost sales of electrical products, as it would require a higher number of cable management products such as trays, cable, floor ducts, cable conduits, raceways, and cable reels to efficiently manage cable networks.

Volatility in Raw Material Prices to Emerge as Major Bottleneck

Despite Saudi Arabia exhibiting favorable opportunities for the electrical market, the volatility in the raw material prices will continue to be a major challenge inhibiting its growth. The unforeseen economic recession also creates major bottleneck for the market. Nevertheless, with companies increasingly engaging in mergers and acquisitions, the market sees lucrative prospects for growth in the near future. As per TMR, the rising opportunities in solar energy and grid modernization will also influence the market’s trajectory positively.

Demand for Energy Efficient Lighting Solutions to Fuel Sales of LED Lighting

By application type, decorative lighting, commercial lighting, hospital lighting, flood lighting, tunnel lighting, street lighting, area lighting, pool lighting, solar lighting, and cinema and theatre lighting are the key segments of the Saudi Arabia electrical market. Of these, the tunnel lighting segment is expected to exhibit strong growth. Besides this, the market is also expected to witness significantly rising demand for LED lighting. This segment is likely to benefit from the rising demand for energy efficient lighting solutions.

However, tunnel lighting is expected to emerge as the segment exhibiting the fastest CAGR during the forecast period. The construction of new tunnels and upgrades of the existing ones in Saudi Arabia will boost sales of tunnel lighting in the country.

Demand for Tunnel Lighting Poised to Surge Exponentially

By products, the Saudi Arabia Electrical market comprises metallic cable management, wiring devices, low voltage systems, lighting control systems, and lighting protection systems. Of these, the lighting control systems is poised to surge at a CAGR of 14.3% during the forecast period. The rising demand for efficient energy systems and the growing infrastructural development activities in the country is expected to give significant impetus to this product segment. However, with a market valuation US$1.5 bn, the low voltage systems segment emerged dominant in the market in 2014. TMR forecasts, this segment to continue its lead in the market through the forecast period.

Some of the most prominent names in tshe Saudi Arabia electrical market include Honeywell International, Inc., Legrand S.A., ABB Ltd., Eaton Corporation, Atkore International Holdings Ltd., Koninklijke Philips N.V., Siemens AG, GE Co., Schneider Electric SA, and others. 

The electrical market includes products to secure cables, to provide connection points and low-voltage products used in applications rated under 1 KV. The high level of construction activities in Saudi Arabia and increasing consumer spending are expected to continue driving the Saudi Arabia electrical market.

This research report provides a detailed analysis of industry drivers, restraints, and opportunities. The report also provides a comprehensive assessment of manufacturers’ strategies. The report also covers a detailed analysis of the rules and regulations pertaining to all products covered in the report. The Saudi Arabia electrical market has been segmented by solutions into electrical solutions and lighting solutions. Electrical solutions is expected to be the largest segment over the forecast period. The Saudi Arabia electrical solutions market has been extensively analyzed on the basis of products into metallic cable management systems, low-voltage systems, wiring devices, lighting control systems (commercial applications, residential applications), and lightning protection systems (lightning protection, earthing protection). Metallic cable management systems are further segmented as cable tray systems, cable conduit systems, raceway systems, others (floor ducts and junction boxes, etc.). Cable conduit systems is expected to be the largest product segment over the forecast period. Low-voltage systems are segmented into LV switchgears, isolators, automatic transfer switch, LV panel boards, and others (LV components, etc.). Wiring devices include sockets and extension leads, connectors, switches, and others (electrical accessories, etc.).

The Saudi Arabia lighting solutions market is segmented by technology into LED lighting and other lighting. Various application segments of the Saudi Arabia lighting market include commercial lighting, decorative lighting, flood lighting, hospital lighting, street lighting, tunnel lighting, pool lighting, area lighting, cinema and theatre lighting, and solar lighting. Street lighting is expected to be the largest and tunnel lighting is expected to be the fastest-growing application segment in the Saudi Arabia lighting market. The market size and forecasts in terms of revenue (US$ Mn) for each of these segments have been provided for the period 2013 to 2023, considering 2013 and 2014 as the base years. The report also provides the compounded annual growth rate (CAGR) for each segment of the market for the forecast period from 2015 to 2023.

The market estimates for the Saudi Arabia electrical market have been assessed considering different political, environmental, social, technological, economic, and legal factors. The market share of the leading players for the Saudi Arabia electrical market is estimated for the year 2014. Company profiles (CPs) of market leaders elucidate on details such as a company overview, segmentation, recent developments (product-wise & region-wise), business strategies, and financial information (revenue & gross margin) in the Saudi Arabia electrical market. Companies profiled in the report include Legrand S.A., ABB Ltd., Atkore International Holdings Ltd., Eaton Corporation, Koninklijke Philips N.V., Honeywell International, Inc., Panasonic Corporation, GE Co., Siemens AG, Schneider Electric SA, TE Connectivity Ltd., Johnson Controls, Mitsubishi Electric Corp., Emerson Electric Co., Wipro Limited, Al Fanar, Hesham El-Sewedy Ent, Hager, TECON, Lutron, Debbas, Leviton, Al-Abdulkarim Holdings Co., SESCO, Waha Electric Co., Electric House, K.S.C Limited, and Al Fozan. The report would allow electrical and lighting product manufacturers, lawmakers, large retailers, and research and development agencies to make informed decisions about electrical and lighting product manufacturing, designing, marketing, and growth strategies, and thereby gain competitive advantage in the market.

Market Segmentation of Saudi Arabia Electrical Market:

Saudi Arabia Electrical Market, by Solutions

  • Electrical Solutions
  • Lighting Solutions

Saudi Arabia Electrical Solutions Market, by Products

  • Metallic Cable Management Systems
    • Cable Tray Systems
    • Cable Conduit Systems
    • Raceway Systems
    • Others (Floor Ducts & Junction Boxes, etc.)
  • Low Voltage (LV) Systems
    • LV Switchgears
    • Isolators
    • Automatic Transfer Switch (ATS)
    • LV Panel Boards
    • Others (LV Components, etc.)
  • Wiring Devices
    • Sockets & Extension Leads
    • Connectors
    • Switches
    • Others (Electrical Accessories, etc.)
  • Lighting Control Systems
  • Lightning Protection Systems
    • Lightning Protection
      • Conventional Systems
      • Non-conventional Systems (ESE)
    • Earthing Protection
      • Earthing Systems
      • Surge Protection Devices
      • Others (UPS Systems, etc.)

Saudi Arabia Lighting Solutions, by Technology

  • LED Lighting
  • Other Lighting

Saudi Arabia Lighting Solutions, by Applications

  • Commercial Lighting
  • Decorative Lighting
  • Flood Lighting
  • Hospital Lighting
  • Street Lighting
  • Tunnel Lighting
  • Pool Lighting
  • Area Lighting
  • Cinema and Theater Lighting
  • Solar Lighting

Saudi Arabia Lighting Control Systems Market, by Application

  • Commercial Applications
    • Hospitality Applications (Including GRMS)
      • Home Automation Systems
      • Sensor Automation Systems
      • Wireless Automation Systems
    • Other Commercial Applications
      • Home Automation Systems
      • Sensor Automation Systems
      • Wireless Automation Systems
  • Residential Applications
    • Home Automation Systems
      • Villas
      • Others
    • Sensor Automation Systems
    • Wireless Automation Systems