Reed Relay Market Size, Share, Analysis, Trends, Forecasts, 2032

Reed Relay Industry Prospective:

The global reed relay market size was worth around USD 352 million in 2023 and is predicted to grow to around USD 1,361.67 million by 2032 with a compound annual growth rate (CAGR) of roughly 16.22% between 2024 and 2032.

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Reed Relay Market: Overview

A reed relay is a compact electromagnetic switching device that is used for integrating a coil around one or more than one reed switch. The coil that is thus energized creates a useful magnetic field subsequently enabling the switching operation. The production of reed relays deals with placing a coil around reed switches. In addition to this, the structure is further epoxy sealed or over-molded into a housing for improved handling and durability. Reed relay offers several unique advantages over other forms of relay systems driven by the Reed Technology principle. Since reed relays are protected from exposure to the outside environment, they have a longer shelf life. The most common applications of reed relays are witnessed in the growing electric vehicle (EV) segment along with medical devices and alternate energy solutions. As compared to armature-based relays, the reed versions have faster response time and they also operate on less energy or power. During the forecast period, the demand for reed relays is expected to grow due to rising applications in end-user verticals. However, their higher susceptibility to vibration and mechanical shock will limit the reed relay industry’s growth rate.

Key Insights:

• As per the analysis shared by our research analyst, the global reed relay market is estimated to grow annually at a CAGR of around 16.22% over the forecast period (2024-2032)
• In terms of revenue, the global reed relay market size was valued at around USD 352 million in 2023 and is projected to reach USD 1,361.67 million, by 2032.
• The reed relay market is projected to grow at a significant rate due to the growing use of reed relays in the electric vehicle (EV) segment
• Based on the application, the test & measurements segment is growing at a high rate and will continue to dominate the global market as per industry projection
• Based on the switching action, the normally open or make-action contact segment is anticipated to command the largest market share
• Based on region, Europe is projected to dominate the global market during the forecast period

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Reed Relay Market: Growth Drivers

Growing use of reed relays in the electric vehicle (EV) segment will drive the market demand rate

The global reed relay market is expected to grow due to the growing use of the technology in the electric vehicles industry worldwide. Reed relays are used in several components of electric vehicles. For instance, they are used in safety-related systems, battery management systems (BMS), charging technologies, and heating, ventilation, & air conditioning (HVAC) systems, and actuators & sensors. The primary role of reed relay technology in battery management systems is the charging and discharging of the battery unit. It is the most critical component of an electric vehicle as it ensures that the automobile has access to power when sought. In addition to this, reed relay systems are also used in controlling HVAC tools. They are also critical for the proper functioning of other parts of the vehicle including mirror, window, and door control systems. The growing demand for EVs for private and public access is projected to fuel the consumption of reed relays during the projection period. As per market research, more than 3 million electric cars were operating in the US until the end of 2023. Moreover, the growing awareness about the unsustainable characteristics of the traditional fuel-run vehicle-powered non-renewable energy is causing more people to opt for electric automotives. The growth in the use of electric buses and trucks for transporting personnel and goods will play a significant role in the demand for reed relays.

Reed Relay Market: Restraints

Risk of mechanical wear and tear may limit the market’s growth rate

The global reed relay market is projected to be restricted due to the higher risk of mechanical wear and tear of the devices. Over time and excessive use, there is a possibility of a downgrade in reed contact quality. In addition to this, they can also be affected by exposure to magnetic fields from external sources. The reed relay devices also have several technical and performance limitations as they currently have lower voltage and current ratings which means that they cannot be used for applications requiring higher power.

Reed Relay Market: Opportunities

Investments in improving reed relay technology performance and production capacity may generate higher market revenue

The global reed relay industry will generate significant growth opportunities during the projection period due to the higher investments toward improving the overall performance of the device. In December 2023, Pickering Electronics, a leading producer of reed relays, announced the launch of novel high-voltage surface-mount reed relays to be used for testing semiconductors, EV charging points, and medical equipment. Furthermore, the new tool can also be used for monitoring the efficiency of solar cell photovoltaics. It is named Series 219 and is a high-voltage surface-mount device with a switching capacity reaching up to 1 kV. In May 2024, the company launched the smallest compact single-in-line-package (SIP) reed relay. With an 80 Watts power rating, the solution can be used as an alternative to reed relays wetted with mercury and electromechanical relays.

Higher use of reed relay in advanced medical devices and technologies will contribute to significant revenue

The reed relay industry growth rate is projected to benefit from the rising applications of devices in highly sophisticated medical devices and equipment. Reed relays have found greater adoption in the medical equipment industry since these operate on lower power and have showcased excellent precision along with superior reliability. Reed relays are used in medical devices such as imaging systems, patient monitoring tools, respiratory devices, and defibrillators. The growing focus on the development of more efficient medical diagnostic and treatment equipment will generate a sharp rise in the demand for reed relays during the projection period. India, for instance, has witnessed the approval of around 26 projects under the regional Production Linked Incentive (PLI) government undertaking that promotes domestic manufacturing. Under the PLI scheme, the region has witnessed an investment of USD 147 million for advancements in the medical technology (MedTech) industry in the last few years. Similarly, the growing burden on the global healthcare infrastructure to treat patients as well as the rising importance to delivering quality care in remote parts of the world and to the underprivileged segments of the society may also generate extensive revenue in the global reed relay market.

Reed Relay Market: Challenges

Tough competition from alternate solutions may challenge the market expansion rate

The global reed relay industry is anticipated to be challenged by the tough competition that the sector faces from alternate solution providers. The most common alternatives to reed relays include solid-state relays, metal-oxide-semiconductor field-effect transistors, electromechanical relays, thyristors, and optocouplers. Each alternate solution has significant advantages and applications thus fragmenting the consumer groups into several segments.

Reed Relay Market: Segmentation

The global reed relay market is segmented based on application, voltage, switching action, and region.

Based on the application, the global market segments are industrial, automotive & transportation, household appliances, healthcare, test & measurements, and telecommunications. In 2023, the highest return was witnessed in the test & measurements segment since reed relays are widely used in test equipment for providing accurate readings. Reed relay helps test devices achieve greater accuracy and hence has considerable demand. Reed relays have a mechanical lifespan of 1 million to 10 million switching cycles.

Based on voltage, the global reed relay industry is divided into 10 kV & above, 7.5 kV to 10 kV, 1 kV to 7.5 kV, 500 V to 1 kV, 200-500 V, and 200 V.

Based on the switching action, the global market segments are bi-stable contacts, change or break before making action contacts, normally closed or break action contact, and normally open or make action contact. In 2023, the highest growth was observed in the normally open or make-action contact segment since they offer simple designs. Moreover, the cost of operating normally open or making action contact is relatively less. These variants have higher applications in automotive solutions, the telecommunication industry, and security technologies. Compact normally open reed relays are 10-20 mm in length and 3-5 mm in height.

Reed Relay Market: Report Scope

Reed Relay Market: Regional Analysis

Europe is to witness a massive growth rate during the projection period

The global reed relay market will witness the highest growth in Europe during the projection period. The regional dominance is a result of the presence of a robust reed relay manufacturing economy in the European territories. For instance, UK-based Pickering Electronics is one of the world’s largest producers and exporters of reed relays. The company continuously introduces new products in the market and seeks opportunities to expand in other countries. In November 2022, the company, a pioneer in the production of miniaturized and exceptional-performance reed relays, exhibited its products at Electronica. The event is Europe’s largest exhibition surrounding electronics. The company also launched its new solution belonging to the high voltage Series 104 SIL/SIP reed relay family offering optional electrostatic shielding between the coil and the switch. In November 2023, the company made yet another announcement detailing the release of Series 219 with enhanced performance. On the other hand, the growing end-user application of reed relay especially driven by increased investments in EV production and infrastructure development along with a special focus on the proliferation of solar panels for residential and commercial buildings will help the region flourish during the forecast period.

Reed Relay Market: Competitive Analysis

The global reed relay market is led by players like:

• Comus International
• Pickering Electronics
• Standex-Meder Electronics (SIL)
• Schneider Electric
• Standex Electronics
• Dubilier
• Coto Technology
• Littelfuse
• Omron
• Standex-Meder Electronics
• OKI Sensor Device
• Hamlin
• Yaskawa Electric
• TE Connectivity
• Panasonic

The global reed relay market is segmented as follows:

By Application

• Industrial
• Automotive & Transportation
• Household Appliances
• Healthcare
• Test & Measurements
• Telecommunications

By Voltage

• 10 kV & Above
• 7.5 kV to 10 kV
• 1kV to 7.5 kV
• 500 V to 1 kV
• 200-500 V
• 200 V

By Switching Action

• Bi-Stable Contacts
• Changeover or Break Before Make Action Contacts
• Normally Closed or Break Action Contact
• Normally Open or Make Action Contact

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