Southeast Asian Market:Opportunities for Exporting 12kV Load Switches

2025-10-11 13:38:14

Southeast Asia, as a hot spot for global power investment, is welcoming the wave of power grid upgrading and renewable energy development. At the same time, countries such as Vietnam and Thailand have begun implementing carbon pricing mechanisms, bringing new challenges and opportunities for China's export of 12kV Load switches.

Market opportunity: Strong demand, huge potential

Power grid upgrade and new energy development drive demand

Southeast Asia is actively promoting the modernization of the power grid and the integration of renewable energy into the grid, which has brought sustained market demand for 12kV load switches in China

-Power grid upgrade demand: The existing power grids in Southeast Asia are difficult to adapt to the development of renewable energy and require comprehensive upgrading and cross-border interconnection. It is expected that by 2030, the upgrading of the power grid can reduce approximately 5000 tons of CO ? equivalent emissions and create around 200000 job opportunities.

-New energy project growth: Vietnam's coastal photovoltaic power stations have strong demand for moisture-proof and salt spray resistant switches, and IP68 protection level has become a standard for tropical high humidity environments. In the second quarter of 2025, Vietnam Electric Power Group purchased over 120000 moisture-proof and salt spray resistant switches.

-Convenient market access: The Vietnam International Electric Power Equipment and Technology Exhibition (ETE), as a key national trade promotion project in Vietnam, provides a platform for foreign enterprises to showcase their technology and products, and has become an effective channel for Chinese enterprises to explore the market.

The competitive advantage of Chinese enterprises

Chinese 12kV load switch manufacturers have multiple advantages in the Southeast Asian market:

-Product adaptability: Chinese companies have developed moisture-proof and salt spray resistant switches specifically designed for tropical high humidity environments, and support IP68 protection level, perfectly adapting to Southeast Asian climate conditions.

-Technical strength: The "AI pre diagnosis switch" launched by Chinese manufacturers, with built-in edge computing chips, can predict the precursors of equipment failures, and its technical content is no less than that of international brands.

-Cost effectiveness: Faced with fluctuations in raw material prices, Chinese companies have reduced costs through innovative solutions such as "copper-clad aluminum composite materials" while maintaining conductivity.

Carbon Barrier: New Regulations and Challenges

The rise of carbon pricing mechanisms in Southeast Asia

Southeast Asian countries are gradually establishing carbon pricing mechanisms and putting forward new environmental requirements for imported power equipment:

-Vietnam's carbon emissions trading system: Vietnam has launched a pilot carbon emissions trading system in June 2025, covering the electricity, steel, and cement industries. The pilot phase will continue until the end of 2028, and managed enterprises can use carbon credits to offset up to 30% of their responsible emissions.

-Thailand's Carbon Tax Plan: Thailand plans to introduce a carbon tax by 2025, covering the energy, transportation, and industrial sectors. The goal is to reduce emissions by 30%, and Thailand will become the second ASEAN country after Singapore to implement a carbon tax.

Product carbon footprint requirements

-Carbon footprint disclosure: Thailand has implemented a mandatory carbon footprint disclosure system, covering the entire product chain from mineral extraction to recycling and regeneration. Enterprises need to use professional LCA (Life Cycle Assessment) software for certification.

-Green Certification: The EEC Special Economic Zone in Thailand has launched a green factory certification, allowing certified enterprises to enjoy a 10% tax deduction and carbon credit trading channel.

Response strategy: Break through carbon barriers and seize opportunities

Product Transformation and Technological Innovation

Faced with carbon barriers in the Southeast Asian market, Chinese companies need to undergo product transformation and technological innovation in the following areas:

-Low carbon product design: Develop load switches using environmentally friendly materials to reduce the carbon footprint of the product. The innovative "modular quick dismantling" structure of the Zhejiang industrial belt reduces maintenance time from 45 minutes to 8 minutes, reducing carbon emissions throughout the equipment lifecycle.

-Intelligent upgrade: The power management system integrated with AI algorithms can analyze the status of the power grid in real time, optimize power distribution, and reduce energy losses. The AI pre diagnostic switch launched by Shenzhen manufacturers is a successful case.

Carbon Management and Certification

-Carbon footprint accounting: Carry out product lifecycle carbon footprint accounting as early as possible, using internationally recognized LCA methods and tools.

-Green certification: Actively obtain internationally recognized environmental certifications such as green factory certification to enhance market competitiveness.

-Zero carbon manufacturing: The Fujian production base adopts green electric drive precision casting lines, reducing the carbon footprint of single switch production to 1.2kgCO ?, providing a feasible path for Chinese enterprises.

Market Expansion Strategy

-Participate in industry exhibitions: Actively participate in industry events such as the 18th Vietnam International Power Equipment and Technology Exhibition (ETE) in 2025, showcasing technological strength and low-carbon products.

-Localized cooperation: Consider establishing production bases in Southeast Asia or collaborating with local enterprises to reduce costs using RCEP rules of origin.

-Overall solution: Collaborate with new energy system integrators to launch integrated solutions such as "optical storage switch integrated cabinet" to enhance product added value.

Future Prospects

The development prospects of green economy in Southeast Asia are broad, but it faces challenges. At present, renewable energy accounts for only 9%, which still falls short of the 2030 climate goals. It is expected that significant progress will be made in system level solutions such as power grid upgrades and electric vehicles by 2030.

For Chinese 12kV load switch manufacturers, the Southeast Asian market is both a blue ocean and a touchstone for testing the achievements of their green transformation. Only by closely integrating low carbonization, intelligence, and localization can we win sustained competitive advantages in this promising market.

Against the backdrop of increasingly strict carbon regulations in Southeast Asian countries, Chinese companies that have proactively laid out carbon management and accelerated product green transformation will be able to turn challenges into opportunities and gain a competitive edge in the Southeast Asian market.