Navigating market dynamics: a power control industry perspective

Gerrit-Willem Prins, Commercial Manager at Durakool further explores.

The green energy dilemma

The reality is zero carbon commitments that drive substantial portions of our market can be revised or delayed with changing administrations. Support mechanisms for green industries, which have spurred significant investment in high-voltage DC switching solutions and smart grid technologies, are being withdrawn or modified within months. This is already creating a complex challenge in capacity planning and product development for manufacturers.

Consider the current landscape in power control components: we're seeing record demand for high-current DC contactors in energy storage applications, with requirements pushing toward 2000V DC capabilities. Simultaneously, the electric vehicle sector requires increasingly sophisticated switching solutions for battery management and charging infrastructure. Yet, both these markets depend significantly on policy support and incentive structures that can shift rapidly.

Adapting relays and contactors

For relay and contactor manufacturers, the key to survival isn't just technical innovation – it's adaptability in production and design. This means developing product platforms that can serve multiple applications, from traditional industrial controls to emerging green technologies. When EV sales fluctuate, your high-voltage DC contactor might find a home in stationary energy storage. When grid infrastructure projects slow, your smart monitoring relays might be repurposed for industrial automation.

Hydrogen economy

The hydrogen economy presents another variable. While the industry debates the long-term role of hydrogen versus pure electrification, manufacturers must prepare for both scenarios. This means developing switching solutions that can handle both high-voltage DC for battery systems and the specific requirements of hydrogen fuel cell applications. The key is maintaining flexibility without compromising on the core requirements of safety and reliability that our industry is built upon.

This environment requires a different approach to supplier relationships for buyers and specifiers of power control components. The traditional model of treating relay and contactor suppliers as mere component vendors must evolve into true technical partnerships. In a world where requirements can shift rapidly, close collaboration between manufacturers and customers becomes essential for adapting to changing needs while maintaining quality and safety standards.

Sustainability will remain a key priority in 2025

Despite short-term fluctuations, the long-term trajectory toward electrification and sustainable energy remains clear. Our industry's role in enabling this transition becomes more critical each year. Every relay and contactor we design, and manufacture must contribute to building robust, efficient, and adaptable power control solutions.

For manufacturers and buyers in our industry, success will come from embracing this complexity rather than fighting it. By maintaining strong technical partnerships, developing flexible solutions, and staying focused on long-term quality and reliability, we can continue advancing power control technology innovations.

The trust placed in our hands by customers and distribution partners isn't just about delivering components – it's about providing the expertise and adaptability needed to succeed in a rapidly evolving market. Together, we're building the infrastructure that will power a sustainable future, one contact at a time.