Photovoltaic and Solar Connectors Market Size, Share, Industry Analysis, Trends, Growth, Forecasts 2030

Photovoltaic and Solar Connectors Industry Prospective:

The global photovoltaic and solar connectors market size was worth around USD 790.88 million in 2022 and is predicted to grow to around USD 2,080.29 million by 2030 with a compound annual growth rate (CAGR) of roughly 12.85% between 2023 and 2030.

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Photovoltaic and Solar Connectors Market: Overview

Photovoltaic and solar connectors are essential components of the solar industry. Photovoltaic (PV) technology deals with the conversion of light into electricity. PV and solar connectors are used to connect different components of a solar power-generating unit. The demand for photovoltaic and solar connectors has improved in recent times owing to the rising shift toward leveraging the benefits of renewable sources of energy. These components are essential for the supply of reliable and good quality electrical current generated by converting solar energy into electrical energy.

There are two main types of PV connectors; they are off-grid and connected grid. The former is mainly used in a battery storing unit while the latter is considered as an electrical grid. Photovoltaic and solar connectors are available in various sizes, forms, and power capacities. Furthermore, they do not pose any technical challenges in terms of installation and use. The growing innovation rate adopted by PV and solar connector makers is likely to drive market demand in the coming years.

Key Insights:

• As per the analysis shared by our research analyst, the global photovoltaic and solar connectors market is estimated to grow annually at a CAGR of around 12.85% over the forecast period (2023-2030)
• In terms of revenue, the global photovoltaic and solar connectors market size was valued at around USD 790.88 million in 2022 and is projected to reach USD 2,080.29 million, by 2030.
• The photovoltaic and solar connectors market is projected to grow at a significant rate due to the reduced installation and maintenance costs of solar systems
• Based on application segmentation, commercial was predicted to show maximum market share in the year 2022
• Based on product type segmentation, 10 AWG was the leading segment in 2022
• On the basis of region, Asia-Pacific was the leading revenue generator in 2022

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Photovoltaic and Solar Connectors Market: Growth Drivers

Reduced installation and maintenance costs of solar systems will drive market growth

The global photovoltaic and solar connectors market is expected to grow owing to the steadily reducing prices of solar power-generating units and technologies. Several factors are responsible for making solar power more affordable at industrial, commercial, and residential levels. For instance, as per market research, a primary reason is the reduced cost of production. Raw materials required to produce solar panels have become abundantly available.

In addition to this, the supply chain surrounding the transportation of initial materials and final goods has improved in recent times. More number of players have entered the market. Companies are able to achieve economies of scale since the production rate has risen allowing them to save sufficient costs. The role of regional governments and governing authorities cannot be denied in ensuring that more people have knowledge and access to solar energy. Governments across the globe have been proactive in taking steps toward encouraging more commercial and residential segments to opt for solar power.

In March 2023, India’s Ministry of New and Renewable Energy (MNRE) announced the launch of the Rooftop Solar Programme (RTS). Through this move, India intends to encourage higher installation of rooftop solar panels in residential buildings. The installation cost and electricity bill will be significantly reduced through the program. As more consumers can afford the installation of solar panels, the demand for associated accessories such as solar and PV connectors will automatically improve.

Growing focus on leveraging solar power into public transport systems may fuel higher demand

The demand for photovoltaic and solar connectors may be fueled by the increasing adoption of solar energy in public transport infrastructure. As world leaders and private companies seek ways to reduce the use of non-renewable energy sources and fuel, the demand for electric buses, trains, and other forms of passenger vehicles will improve thus prompting more consumption of the products available in the global photovoltaic and solar connectors market.

Photovoltaic and Solar Connectors Market: Restraints

Concerns over retrofitting older solar panel connections with modern connectors may restrict market demand

The global photovoltaic and solar connectors market is expected to be restricted due to the problems arising in retrofitting pre-installed solar power connections with new and modern connectors. Such activities face a risk of incorrect or inaccurate connection leading to performance issues or more serious issues asset destruction. Hence the connections have to be carefully designed for optimal output. It may also lead to higher costs thus causing more potential customers to limit the adoption of solar panels.

Photovoltaic and Solar Connectors Market: Opportunities

Ongoing technological and performance improvements in PV and solar connectors to create growth opportunities

The global photovoltaic and solar connectors market will attain higher growth due to the ongoing innovation strategies adopted by industry players. Companies manufacturing photovoltaic and solar connectors are aware of the tool's limitations and are actively working on managing the drawbacks.

In November 2022, SABIC, a global chemical industry leader, announced the launch of an innovative polycarbonate (PC)-based copolymer resin with extensive applications in the PV connector units. The breakthrough copolymer is developed in accordance with statutory regulations and aims to target the thriving 1.5Kv solar systems. It is termed LNP™ EXL9334P and has low-temperature ductility.

In a more recent event, in October 2023, Ecoflow launched a retrofit residential battery solution offering seamless integration with existing photovoltaic arrays on rooftops. The new launch will help customers reduce additional costs by eliminating the need for more storage inverters as PowerOcean DC Fit is powered by PV coupling technology specially developed by Ecoflow.

Rising investments in offshore solar panels hold exceptional growth possibilities

The global industry for photovoltaic and solar connectors is likely to witness higher demand for unique solutions as investments in offshore solar panels are on the rise. These projects require highly customized solutions in terms of photovoltaic and solar connectors.

In December 2023, The BOOST project consortium announced that it had successfully completed the BOOST floating solar demonstrator project. BOOST stands for ‘Bringing Offshore Ocean Sun to the global market’.

Photovoltaic and Solar Connectors Market: Challenges

Developing solutions that can withstand extreme temperatures over a long duration poses challenges

The global photovoltaic and solar connectors market is projected to be challenged by the need and demand for solutions that can withstand extreme weather conditions such as high temperatures, consistent rain, storms, and other environmental issues. The current options available in the market have limited lifespan and require frequent replacement which adds to the overall cost.

Photovoltaic and Solar Connectors Market: Segmentation

The global photovoltaic and solar connectors market is segmented based on application, product, and region.

Based on application, the global market is divided into industrial, residential, commercial, and others. In 2022, the highest demand was observed in the commercial segment. The high rate of return in the commercial segment is a result of the increased adoption of solar panels and power generators in commercial units. Governments globally are encouraging more companies to adopt greener ways of generating energy. In June 2022, the Delhi Airport of India became the country’s first-ever infrastructure to run completely on solar and hydro energy. Around 6% of the total energy requirement is obtained from solar sources.

Based on product type, the global market is divided into 14 AWG, 12 AWG, 10 AWG, and 8 AWG. In 2022, the highest revenue was registered in the 10 America Wire Gauze (AWG) segment due to the ideal characteristics of the wire type. 10 AWG wires are versatile in terms of application and are widely popular across commercial, residential, and industrial applications. PV panels with 50 watts power and above prefer 10 AWG connectors.

Photovoltaic and Solar Connectors Market: Report Scope

Photovoltaic and Solar Connectors Market: Regional Analysis

Asia-Pacific to emerge as the highest revenue generator during the projection period

The global photovoltaic and solar connectors market will be dominated by Asia-Pacific during the forecast period. India and China are manufacturing hubs for connectors of all sizes, shapes, and power. China, for instance, is known for its manufacturing prowess. It hosts a robust infrastructure with access to human resources and large manufacturing facilities that aid its dominance in the regional market. In addition to this, it is also one of the leading nations in terms of solar power investments.

As of April 2023, China was producing over 430 GW of solar power. By 2060, as per official projections, China’s investments in solar energy are likely to reach over USD 13 trillion. Furthermore, the public transport system is increasingly relying on solar energy as the country seeks more measures to reduce the import of gas and other non-renewable fuels. India, on the other hand, has laid down extensive plans to encourage residential and commercial adoption of solar energy thus driving regional consumption of PV and solar connectors. Europe is one of the fastest-growing markets. The region’s strict take on clean energy and higher expenses associated with using non-renewable fuel may lead to increased revenue in the region.

Photovoltaic and Solar Connectors Market: Competitive Analysis

The global photovoltaic and solar connectors market is led by players like:

• TE Connectivity Ltd.
• Amphenol Corporation
• JinkoSolar Holding Co. Ltd.
• Stäubli Electrical Connectors
• Canadian Solar Inc.
• Multi-Contact AG (now part of Stäubli)
• Ginlong Solis
• Renhotec Group Co. Ltd.
• Phoenix Contact
• Risen Energy Co. Ltd.
• ABB Ltd.
• Sungrow Power Supply Co. Ltd.
• Schneider Electric
• Enphase Energy Inc.
• Huawei Technologies Co. Ltd.

The global photovoltaic and solar connectors market is segmented as follows:

By Application

• Industrial
• Residential
• Commercial
• Others

By Product Type

• 14 AWG
• 12 AWG
• 10 AWG
• 8 AWG

By Region

• North America
  • The U.S.
  • Canada
• Europe
  • France 
  • The UK
  • Spain
  • Germany
  • Italy
  • Rest of Europe
• Asia Pacific
  • China
  • Japan
  • India
  • South Korea
  • Southeast Asia
  • Rest of Asia Pacific
• Latin America
  • Brazil
  • Mexico
  • Rest of Latin America
• Middle East & Africa
  • GCC
  • South Africa
  • Rest of Middle East & Africa