Power Transmission Component Market

Rising need for renewable energy sources propels market growth.

As a result, there has been a considerable growth in the installation of renewable energy systems, which has increased demand for power transmission components.

Furthermore, rising electricity consumption in developing countries is propelling the power transmission component market forward. These countries' expanding populations and rapid industrialisation have resulted in an increase in power consumption, necessitating the use of modern power transmission components.

The proliferation of smart grid networks is also driving considerable growth in the power transmission component market. Smart grids are modern power networks that use advanced communication and information technology to increase electricity transmission and distribution efficiency, reliability, and sustainability. Transformers, switchgear, and control systems, among other modern power transmission components, are required for these networks.

The power transmission component market is also expanding rapidly as the demand for electric vehicles grows. Advanced power transmission components, such as batteries, motors, and power electronics, are required for electric cars.

For instance, the Indian government has set a target of 30% electric vehicle usage by 2030. This has resulted in a huge increase in demand for power transmission components in the country. Similarly, the Chinese government has set a target of 20% electric car penetration by 2025. This has resulted in a considerable increase in the production and sales of electric vehicles in the country, which has increased demand for power transmission components.

The Global Power Transmission Component Market Industry is projected to experience substantial growth over the next decade. The market is expected to reach a value of 79.5 USD Billion in 2024, with further growth anticipated as investments in infrastructure and technology continue. By 2035, the market could potentially expand to 145.7 USD Billion, reflecting a compound annual growth rate of 5.67% from 2025 to 2035. This growth trajectory underscores the increasing importance of power transmission components in supporting global energy demands and the transition towards sustainable energy solutions.

The Global Power Transmission Component Market Industry experiences a notable surge in demand driven by the increasing focus on renewable energy sources. Governments worldwide are implementing policies to transition from fossil fuels to cleaner energy alternatives, which necessitates the development of robust power transmission systems. For instance, the global investment in renewable energy is projected to reach unprecedented levels, contributing to the market's growth. This shift is expected to enhance the market's value, with estimates indicating it could reach 79.5 USD Billion in 2024 and potentially 145.7 USD Billion by 2035, reflecting a compound annual growth rate of 5.67% from 2025 to 2035.

Government regulations and policies aimed at enhancing energy efficiency and reducing carbon emissions significantly influence the Global Power Transmission Component Market Industry. Many countries are implementing stringent regulations that require utilities to upgrade their transmission systems to meet new standards. These policies often promote the integration of renewable energy sources into the grid, further driving the demand for advanced transmission components. As governments continue to prioritize sustainability, the market is likely to experience growth, with projections indicating a market value of 79.5 USD Billion in 2024 and a potential increase to 145.7 USD Billion by 2035.

Infrastructure development initiatives across various regions significantly bolster the Global Power Transmission Component Market Industry. Governments are investing heavily in modernizing and expanding existing power grids to accommodate growing energy demands. For example, initiatives in Asia and Africa aim to enhance energy access and reliability, thereby increasing the need for advanced transmission components. These investments not only improve energy efficiency but also stimulate economic growth. As a result, the market is poised for substantial expansion, with projections indicating a market value of 79.5 USD Billion in 2024, driven by these infrastructural advancements.

The rapid pace of urbanization and industrialization globally significantly impacts the Global Power Transmission Component Market Industry. As urban populations grow, the demand for reliable electricity supply escalates, necessitating the expansion of power transmission networks. Industrial sectors, particularly in developing nations, are also expanding, leading to increased energy consumption. This trend compels utilities to invest in upgrading transmission infrastructure to meet the rising demand. Consequently, the market is expected to witness substantial growth, with estimates suggesting a rise in market value to 145.7 USD Billion by 2035, driven by urbanization and industrial growth.

Technological advancements play a crucial role in shaping the Global Power Transmission Component Market Industry. Innovations such as smart grid technologies and high-voltage direct current (HVDC) systems are enhancing the efficiency and reliability of power transmission. These technologies facilitate better integration of renewable energy sources and improve grid stability. The adoption of smart meters and advanced monitoring systems further optimizes energy distribution. As these technologies become more prevalent, they are expected to drive market growth, contributing to a projected increase in market value from 79.5 USD Billion in 2024 to 145.7 USD Billion by 2035.

By region, the study provides the market insights into North America, Europe, Asia-Pacific and Rest of the World. The North American Power Transmission Component Market area will dominate this market, due to rising demand for renewable energy, aging power infrastructure, and the need for grid modernisation are all factors to consider. The size of the market, however, varies based on the specific component under consideration, as well as the time period and source of data.

Further, the major countries studied in the market report are The US, Canada, German, France, the UK, Italy, Spain, China, Japan, India, Australia, South Korea, and Brazil.

Figure2: Power Transmission Component Market Share By Region 2022 (USD Billion)

Source: Secondary Research, Primary Research, Market Research Future Database and Analyst Review

Europe Power Transmission Component Market accounts for the second-largest market share because of strict energy efficiency rules and the growing amount of renewable electricity. Further, the German Power Transmission Component Market held the largest market share, and the UK Power Transmission Component Market was the fastest growing market in the European region

The Asia-Pacific Power Transmission Component Market is expected to grow at the fastest CAGR from 2023 to 2032. This is due to rising electrical demand, increased development, and the need for grid upgrade. Moreover, China’s Power Transmission Component Market held the largest market share, and the Indian Power Transmission Component Market was the fastest growing market in the Asia-Pacific region.

Leading market players are investing heavily in research and development in order to expand their product lines, which will help the Power Transmission Component Market, grow even more. Market participants are also undertaking a variety of strategic activities to expand their footprint, with important market developments including new product launches, contractual agreements, mergers and acquisitions, higher investments, and collaboration with other organizations. To expand and survive in a more competitive and rising market climate, Power Transmission Component industry must offer cost-effective items.

Manufacturing locally to minimize operational costs is one of the key business tactics used by manufacturers in the Power Transmission Component industry to benefit clients and increase the market sector. In recent years, the Power Transmission Component industry has offered some of the most significant advantages to medicine. Major players in the Electric Power Transmission Component Market, including Toshiba Energy Systems & Solutions Corporation, Mitsubishi Electric Corporation, Sterlite Power, Hitachi Energy, General Electric, Siemens Energy and others, are attempting to increase market demand by investing in research and development operations.

Mitsubishi Electric Corporation, founded on January 15, 1921, is a Japanese multinational electronics and electrical equipment manufacturer based in Tokyo, Japan. It is one of Mitsubishi's primary businesses. MELCO was created as a spin-off from Mitsubishi Heavy Industries, then Mitsubishi Shipbuilding, after the latter divested a marine electric motor business in Kobe, Nagasaki. It has since expanded to become a significant electronics corporation. In 2020, Mitsubishi Electric Corporation has unveiled its new high-voltage direct current (HVDC) transmission system. The technology is intended to improve the efficiency and dependability of long-distance power transmission.

Hitachi, Ltd. is a Japanese multinational firm based in Chiyoda, Tokyo, Japan. It is the parent firm of the Hitachi Group , and was once a part of the Nissan zaibatsu, DKB Group, and Fuyo Group of enterprises before DKB and Fuji Bank (the core Fuyo Group entity) combined to establish the Mizuho Financial Group. As of 2020, Hitachi's business ranges from IT to infrastructure, including AI, the Internet of Things, and big data. In 2021, Hitachi has introduced a new high-voltage direct current (HVDC) transformer. The transformer is intended to improve the efficiency and dependability of long-distance power transmission.