Transformer market analysis conducted by Market Research Future (MRFR) estimates a sustained CAGR of about 6% in the global transformer market share during the forecast period.
Global Transformer Market is slated to experience substantial growth during the forecast period of 2020-2026 largely due to rising demand for energy in the developing economies. This demand, when coupled with the advent of power projects aimed at reducing power transmission losses, will be seen bolstering the transformer market size by a significant amount. The global trend in power demand has seen a major paradigm shift and is in the transitional phase of inching away from carbon-based fuels towards power from renewable energy sources. This evolution in the renewable energy sector will be seen driving the transformer market trends globally during the forecast period.
The transformer market is a fast-paced one that will be seeing immense growth owing to factors such as a significant global investment drive to improve existing power transmission and distribution infrastructure and increased government and public demand for clean and green energy. This global interest in the transformer market comes from the transformer systems operations which are driven by and act as highly efficient transmission and distribution equipment.
COVID-19 was an unforeseen calamity of gigantic proportions for general public and economies on the whole. The whole world was brought to a standstill and every industry suffered as a result in the year 2020. Supply chain disruptions and manpower shortages adversely affected the global transformer market as well. As the companies operating in this market ecosystem struggle to find their operational stability in the light of project delays, this industry is all set to overcome its challenges and grow substantially during the forecast period.
A major factor that will help under these circumstances is the growing power demand coming from the hospitality and healthcare sector. Increasing awareness regarding healthcare in a post-pandemic world has led to an increased production of health products such as sanitizers etc., which has further propelled industrialisation across the world. Such growth can potentially even out losses and bring the transformer market back onto its expected growth rate of CAGR 6% during the forecast period.
Some of the key players studied in the report are:
The global market for transformers will be seen driven by a variety of factors. Increasing electrification drives across the developing countries as well as favorable government policies for large scale integration and attention towards renewable energy sources will bolster the global transformer market dynamics during the forecast period. The industry will grow as much from new infrastructure as it will from the demand for refurbishment of existing grid infrastructure which will be powered by growing customer demand for smart monitoring units and sustainable electricity networks. All these factors, couple with the rapid rate adoption of smart grid technology will significantly accelerate transformer market growth.
The global awareness and interest in clean and green energy and the subsequent boost to the renewable energy market will be seen fueling demand for pad-mounted transformers. An increasing inclination towards improving the reliability and stability of existing grid infrastructure provides another growth opportunity for this industry. The large scale adoption of self-sustaining power networks to ensure a stable and sustainable power supply network will further improve the transformer market outlook in the coming years. Growing investment toward expansion of electricity networks will create a positive and accelerated effect on the overall transformer market dynamics.
Aging assets, and new power generation projects, involving the use of renewable resources will be seen powering the global transformer industry trends during the forecast period. Dynamic growth trends in the global real estate sector and the impetus in industrialisation and growing commercialisation across the world are also significant growth opportunities for the transformer market value worldwide. An upwards trend in infrastructural development powered by an ever-increasing inflow of significant investments from the private as well as the public sector will further boost the market during the forecast period.
The biggest challenge that this industry faced came in the form of the COVID-19 lockdowns – and the subsequent slowdown of economies worldwide. The closing of trade routes and temporary severance of supply chains brought about a variety of challenges and cut through the transformer market revenues. This created a delay in the execution of many planned power projects and many others already underway were stalled. Also, the pandemic cut into government revenues and reduced the amount of disposable income available at individual and government levels. All these factors have posed significant challenges to the global transformer industry.
The transformer market research report takes a detailed look into the various segments of the market and their impact on the transformer market value during the forecast period. For this purpose the report segments the global transformer market into segments based on various parameters. The following are segment covered in detail in the report.
The report also delves deep into the regional analysis of the transformer market to understand the contribution of each geographical market segment to the overall transformer industry.
North America – The North American segment will grow at an accelerated pace largely owing to the demand for refurbishment of the existing grid structure in line with the new technologies in renewable energy sources. The rising infrastructural spending owing to a bolstered pace in real estate sector will also be seen driving transformer market revenues upwards in this region.
Europe – The European market will be seen leading the global transformer market growth in the renewable energy sector because of the region’s growing adoption of renewable energy sources and the transformer adaption needs that follow. Also, upgradation of the existing and ageing grid network will be a major growth factor.
Asia Pacific – The APAC region will see a surge in power demand which directly translates into a surge in the transformer market revenue. Large scare renewable energy integration will also contribute to the growth significantly.
Middle East, Africa & Latin America – Escalating power demand to sustain the steady growth of commercialisation and industrialisation in the Middle East, Africa and Latin America will also have a large impact on the global transformer industry.
Major market players have associated their emphasis on digitization and smart technological implementation with strict regulatory compliance to increase energy efficiency. Product-integrated R&D investment, along with technological collaborations, is now seen redefining the transformer market outlook. In addition, economies of scale are being aimed at by improving manufacturing practices to instill cost competitiveness into the market.
The transformer market research report studies the transformer market and the many driving forces, challenges and opportunities unique to this market, to provide a calculated forecast of revenue growth during the forecast period of 2020-2026. It identifies where the major growth opportunities would lie in light of the recent developments in the transformer industry and what shall be the challenges restraining or potentially hampering the robust growth path on a regional and global level. Also examined in detail are the major players of the industry and the measures they have been or are undertaking to stay on top of this highly competitive and massive market. A detailed look at the research and development initiatives and other strategies such as mergers and co-working schemes is also provide so as to make the interested parties aware of the recent trends in an attempt to empower people, organisations and governments to plan their investments accordingly.
|Market Size||2027: Significant Value|
|CAGR||7.43% CAGR (2020-2027)|
|Forecast Units||Value (USD Million)|
|Report Coverage||Revenue Forecast, Competitive Landscape, Growth Factors, and Trends|
|Segments Covered||Core, Product, Winding, Installation, Cooling, Insulation, Phase, Rating, Mounting, Application|
|Geographies Covered||North America, Europe, Asia-Pacific, and Rest of the World (RoW)|
|Key Vendors||ABB Ltd.(Switzerland),Eaton Corporation plc (Ireland),Schneider Electric (France),Siemens AG (Germany),Crompton Greaves Ltd. (India),Mitsubishi Electric Corporation (Japan),Toshiba Corporation (Japan),Bharat Heavy Electricals Limited (India),Hyosung Power & Industrial Solutions (South Korea),SPX Transformer Solutions Inc. (U.S.)|
|Key Market Opportunities||Rising demand for energy in the developing economies|
|Key Market Drivers||
Frequently Asked Questions (FAQ) :
The global market of transformer can surge at 7.43% CAGR by 2023.
The worldwide market of transformers can value at USD 64,514.9 Mn by 2023
Eaton Corporation plc (Ireland), Siemens AG (Germany), Schneider Electric (France), and Crompton Greaves Ltd. (India) are some reputed names in the transformer market.
Increase in investment in electricity distribution infrastructure can impel the transformer market growth.
In 2016, the transformer market was valued at USD 39,316.8 Mn.
The high rate of adoption of transformer by energy and utility sector can bring business of above USD 16,938.5 Mn by 2023.
The high sales number of power transformer can earn a revenue of above USD 19000 Mn by 2023.
electromagnetic, capacitor, and optical
The main use of a transformer is to transfer energy between different voltage levels thereby reducing or stopping losses during transmission.