The global power transformer market is anticipated to grow at a CAGR of around 6.0% during the forecast period 2021 to 2028 and to reach around US$ 47.3 Bn by 2028.

Market Dynamics

Rising demand for electricity from industrial sector, government of developed and developing countries is focused on development of smart grid which is resulting in demand for advanced power transformers in order to increase the energy efficiency and lower the power loss this is major factor expected to drive the growth of the global market. Governments across the globe are focused on catering the ongoing demand for electricity. Their approach toward development of power transmission and distribution is expected to increase demand for power transformers.

Major players focus on acquiring the business contracts in order to increase the profit ration is another factor expected to further support the growth of the target market.

In 2020, ABB won a contract from State Grid Corporation of China (SGCC) in order to supply converter transformers and high-voltage equipment for an 800 kilovolt (kV), ultrahigh-voltage direct current (UHVDC) transmission link.

In addition, players approach towards business expansion through strategic merger and acquisitions in order to increase the business presence and expand the customer base and inclination towards increasing the production capacity are factor expected to further augment the growth of target market.

In 2020, SPX Corporation expanded its Waukesha Electric Systems' manufacturing facility the enhancement in the building and infrastructure is expected to increase size of the facility by approximately 50 percent and extend the company's ability to manufacture large, high-voltage power transformers that are utilized by electric utilities, independent power producers and independent transmission operators.

In 2020, WEG signed a contract in order to acquired TESA’s one of its transformer factories located in Brazil. The factory is specialized in the manufacture of power transformers, shunt reactors and power autotransformers with voltage class up to 800kV and power ratings up to 500MVA. This acquisition will help the company to expand its business presence and enhance the product portfolio.

However, high cost associated to installation and changing raw material prices are factors expected to hamper the growth of the global market. Technological advancements by the major players and development of innovative products are factors expected to create new opportunities for players over the forecast period.

Segment Analysis by Region

The market in North America is expected to account for major revenue share owing to high government spending on development of smart grid. In addition, growing deployment of renewable energy and increase in activities related to development of present grid is another factor expected to further support the growth of the target market.

Asia Pacific is expected to witness faster growth in the near future owing to rising demand for electricity. In addition, increasing in projects related to development of power distribution and transmission grid and major player’s inclination towards developing countries in order to increase the profit share is expected to support the growth of target market.

COVID-19 Impact

Pandemic situation across the globe has disrupted the business flow worldwide. In 2020 every industry vertical in its 2nd, 3rd, 4th quarter has witnessed substantial drop on production and revenue, this was majorly due to lockdown. The restriction on the operations is impacting the production side and also impacting the supply chain of products. The disrupted supply of raw materials and low operational factories efficiency has contributed in the slower growth of the global market. Moreover, there is an urgent need for a rapid acceleration in the manufacturing process at high operational efficiency, better supply chain models, and effective distribution network. These factors to some extent will help the industry vertical to flourish and aid market growth

Competitive Landscape

 

The market is highly competitive due to presence of large number of players. In addition, new product launches and high investment for R&D activities is expected to further increase the competition in the market.

Report coverage

Market	Global Power Transformers Market
Analysis Period	2017 - 2028
Base Year	2020
Forecast Data	2021 - 2028
Market Stratification	Core, Winding, Installation, Cooling, Phase, Application and Geography
Regional Scope	North America, Europe, Asia Pacific, Latin America, and Middle East & Africa
Report Coverage	Market Trends, Drivers, Restraints, Competitive Analysis, Player Profiling, Regulation Analysis

The global power transformer market is segmented in to core, winding, installation, cooling, insulation, phase, rating, mounting, and application. The core segment is bifurcated into closed, shell, and berry. Among application the industrial sector is expected to account for significant revenue share in the global market. The players profiled in the report ABB Limited, SPX Transformer, Celme, Kirloskar Electric, Voltamp Transformers, Hyosung Power & Industrial Systems, BHEL, Daihen Corporation, Schneider Electric, Mitsubishi Electric, Toshiba Corporation, CG Power, Hyundai Heavy Industries, Hammond Power Solutions, General Electric, and Siemens AG.

Market Segmentation

Market By Core

Closed
Shell
Berry

Market By Winding

Two Winding
Auto-Transformer

Market By Installation

Outdoor
Indoor

Market By Cooling

Dry type
Oil Immersed

Market By Phase

Single phase
3 - phase

Market By Application

Residential & Commercial

• Hotels
• Hospitals
• Apartments
• Others

Utility

Industrial

• Railways
• Cement
• Power distribution
• Oil & gas
• Others

Market By Region

North America
•    U.S.
•    Canada

Europe
•    U.K.
•    Germany
•    France
•    Spain
•    Rest of Europe

Asia-Pacific
•    China
•    Japan
•    India
•    Australia
•    South Korea
•    Rest of Asia-Pacific

Latin America
•    Brazil 
•    Mexico
•    Rest of Latin America

Middle East & Africa
•    GCC
•    South Africa
•    Rest of Middle East & Africa

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