PUBLISHER: Knowledge Sourcing Intelligence | PRODUCT CODE: 1321541
PUBLISHER: Knowledge Sourcing Intelligence | PRODUCT CODE: 1321541
A reed switch is an electronic switch that consists of two ferromagnetic reeds that are hermetically sealed inside a glass tube. When a magnetic field is applied to the switch, the reeds are drawn together, and their electrical contacts touch, closing the circuit. Different types of reed switches include waterproof, electric, and magnetic reed switches, among others. Reed switch is used in a variety of applications, including security systems, measurement devices, speedometers, and consumer electronics, and with the increasing demand for reliable, low-power, and cost-effective switching solutions in a wide range of applications is driving the demand for reed switch, thereby stimulating the market growth.
In the automotive industry, speedometers are a key component as they provide drivers with real-time information about the speed at which they are traveling. Reed switch plays an important role in the operation of speedometers, as it is used to detect the position of a magnet attached to the vehicle's transmission shaft. Reed switch is ideal for speedometers as it is highly sensitive and can detect even very small changes in magnetic fields. The growing automotive production will boost the usage of speedometers, increasing the demand for reed switches in such applications. According to the Society of Indian Automobile Manufacturers (SIAM), the production of passenger cars increased by 25.41% from 2021 to 2022. According to European Automobile Manufacturers Association (ACEA), in 2021, 79.1 million motor vehicles were produced worldwide, an increase of 1.3% compared to 2020. This demonstrates that reed switches hold a great demand in the future.
Residential, commercial, and industrial customers are adopting security systems, such as intrusion detection systems, access control systems, and surveillance systems, to enhance safety and security. Reed switch is an important component of security systems for detecting the opening or closing of doors and windows, controlling access to restricted areas, and triggering surveillance cameras. It provides reliable and efficient solutions for security system applications, making them a preferred choice for manufacturers. The growing adoption of security systems for safety purposes is boosting the demand for reed switches. According to the U.S. Bureau of Labour Statistics report in 2021, surveillance camera installations grew from 70 million in 2018 to about 85 million cameras in the United States by 2021, an increase of about 21 percent.
The Asia Pacific region is expected to dominate the market due to several leading manufacturers of reed switches in countries like China, Japan, and South Korea, the growing automotive industry, and the rising usage of security systems. In August 2021, the "Vehicle Scrappage Policy," introduced by Prime Minister Narendra Modi, aims to phase out old, environmentally hazardous vehicles gradually, increasing the production and sales of new automobiles. In June 2020, the Chinese government enacted the National Security Law to safeguard the country's national security, and this policy has provided a significant boost to the security systems industry in China, particularly in the areas of surveillance and monitoring. Such growing developments will accelerate the demand for reed switches, propelling the regional market growth.