The transformers market size has grown strongly in recent years. It will grow from $89.31 billion in 2023 to $95.32 billion in 2024 at a compound annual growth rate (CAGR) of 6.7%. The growth observed in the historical period can be ascribed to the development of power infrastructure, industrialization and urbanization trends, expansion and upgrading of grids, integration of renewable energy, and the implementation of government initiatives and regulations.
The transformers market size is expected to see strong growth in the next few years. It will grow to $119.05 billion in 2028 at a compound annual growth rate (CAGR) of 5.7%. The anticipated growth in the forecast period can be associated with the increasing deployments of smart grids, initiatives towards electrification, integration of energy storage, upgrading to higher voltage levels, and concerns related to grid resilience and stability. Notable trends in the forecast period encompass the development of superconducting transformers to enhance efficiency, collaborative efforts for standardization and interoperability, investments in the upgrading and modernization of transformers, the adoption of advanced cooling systems for transformers, and the expansion of the medium and low voltage transformer markets.
The increasing demand for electric vehicles is expected to contribute significantly to the growth of the transformer market. Electric vehicles (EVs) are powered by motors that run on electricity stored in batteries, eliminating the need for traditional fossil fuels such as gasoline or diesel. These vehicles operate on electric motors and recharge their batteries using electricity. Charging stations, connected to the grid, require transformers to efficiently manage the power supply. For example, a May 2022 Global EV Outlook report indicated a substantial increase in electric vehicle sales. In 2021, EV sales doubled from the previous year, reaching a new high of 6.6 million units. The total sales of electric cars worldwide in 2021 amounted to 6,600,000 units, up from 2,980,000 units. This surge in demand for electric vehicles is a key factor propelling the growth of the transformers market, as the infrastructure supporting these vehicles requires efficient power distribution and management facilitated by transformers.
Countries worldwide are enacting various initiatives to enhance electrification efforts. For example, in September 2021, the U.S. Department of Agriculture revealed a $464 million investment aimed at constructing or enhancing renewable energy infrastructure to support rural communities. Additionally, in April 2021, the Indian Ministry of New and Renewable Energy launched the "National Programme on High-Efficiency Solar PV Modules" Production Linked Incentive Scheme with a budget of Rs. 4,500 crores to foster the production of high-efficiency solar PV modules. Hence, favorable government policies promoting electrification are expected to have a positive impact on the transformers market.
Market instability arises from the volatility in raw material prices such as steel, copper, and crude oil. Steel and copper are predominant materials in transformer manufacturing. Elevated tariffs on raw materials, such as steel and copper, intensify price fluctuations, thereby constraining the growth of the medium power transformers market. For instance, in October 2021, the United States and the European Union reached an agreement to lift U.S. tariffs of 25 percent on steel imports and 10 percent on aluminum imports from the EU. The resultant price increases lead to higher operating expenses, hindering market growth.
The transformers market is progressing toward the development of independent and self-regulating smart transformers. Smart transformers are designed to continually regulate voltage, maintain communication with stakeholders, and offer information and feedback on power supply. They deliver precisely the required amount of power, responding to fluctuations through voltage optimization. These transformers significantly reduce greenhouse gas emissions and power consumption by supplying electrical equipment with the optimal power amount. For instance, in 2021, the U.S. Department of Energy (DOE) allocated $20 million in funding for innovative research and development in artificial intelligence (A.I.) and machine learning. The DOE's Office of Electricity selected eight projects, receiving nearly $7 million in total, to explore the use of big data, artificial intelligence, and machine learning technologies for enhancing grid operation and management. Companies should consider investments in technologies for the production of smart transformers tailored for commercial establishments.
In March 2022, Spang Engineered Solutions (SES), a US-based company specializing in the design and manufacturing of inductors and transformers, acquired Wirebenders, Inc for an undisclosed amount. This strategic acquisition is aimed at expanding SES's market presence and enhancing its capabilities, particularly in the aerospace and defense industries. Wirebenders, Inc., the acquired company, is also based in the US and is known for manufacturing small transformers, high-frequency transformers, and inductors, including coaxial cable assemblies. Its product offerings cater to various industries, including aerospace, defense, and medical.
Major companies operating in the transformers market report are Performance Group Crompton Greaves Ltd., Hammond Power Solutions Inc., Hitachi Ltd., Siemens AG, Panasonic Corporation, Mitsubishi Electric Corporation, Schneider Electric SE, ABB Ltd. , Toshiba Corporation, Eaton Corporation, Alstom Ltd., Emerson Electric Co., Murugappa Group, Bharat Heavy Electricals Limited, Mace Group Ltd., Daihen Corporation, Raychem RPG, SPX Corporation, Fortune Electric Co., Kirloskar Electric Company, Hyundai Heavy Industries Co. Ltd., General Electric Corporation, SGB-SMIT Group, RITZ Instrument Transformers GmbH, Schaffner Holding AG, Banmore Electricals Pvt. Ltd., TRENCH Group, KOTSONS Pvt. Ltd., IMEFY Group, Emco Ltd.
Asia-Pacific was the largest region in the transformers market in 2023. The regions covered in the transformers market report are Asia-Pacific, Western Europe, Eastern Europe, North America, South America, Middle East, Africa. The countries covered in the transformers market report are Australia, Brazil, China, France, Germany, India, Indonesia, Japan, Russia, South Korea, UK, USA, Canada, Italy, Spain.
The primary categories in the transformers market include low-rated transformers and high-rated transformers. Low-rated transformers are employed for transmitting power to the receiving end. Transmitting power at low voltage levels results in higher line current, contributing to increased line losses. Transformer types are further classified into power transformers and distribution transformers. These transformers operate in either single-phase or three-phase configurations. The diverse applications of transformers span residential and commercial use, utility services, and industrial settings.
The transformers market research report is one of a series of new reports that provides transformers market statistics, including transformers industry global market size, regional shares, competitors with a transformers market share, detailed transformers market segments, market trends, and opportunities, and any further data you may need to thrive in the transformers industry. This transformers market research report delivers a complete perspective of everything you need, with an in-depth analysis of the current and future scenario of the industry.
The transformers market consists of sales of low-rated transformers and high-rated transformers. Values in this market are factory gate values, that is the value of goods sold by the manufacturers or creators of the goods, whether to other entities (including downstream manufacturers, wholesalers, distributors, and retailers) or directly to end customers. The value of goods in this market includes related services sold by the creators of the goods.
The market value is defined as the revenues that enterprises gain from the sale of goods and/or services within the specified market and geography through sales, grants, or donations in terms of the currency (in USD, unless otherwise specified).
The revenues for a specified geography are consumption values that are revenues generated by organizations in the specified geography within the market, irrespective of where they are produced. It does not include revenues from resales along the supply chain, either further along the supply chain or as part of other products.
This product will be delivered within 3-5 business days.
The transformers market size is expected to see strong growth in the next few years. It will grow to $119.05 billion in 2028 at a compound annual growth rate (CAGR) of 5.7%. The anticipated growth in the forecast period can be associated with the increasing deployments of smart grids, initiatives towards electrification, integration of energy storage, upgrading to higher voltage levels, and concerns related to grid resilience and stability. Notable trends in the forecast period encompass the development of superconducting transformers to enhance efficiency, collaborative efforts for standardization and interoperability, investments in the upgrading and modernization of transformers, the adoption of advanced cooling systems for transformers, and the expansion of the medium and low voltage transformer markets.
The increasing demand for electric vehicles is expected to contribute significantly to the growth of the transformer market. Electric vehicles (EVs) are powered by motors that run on electricity stored in batteries, eliminating the need for traditional fossil fuels such as gasoline or diesel. These vehicles operate on electric motors and recharge their batteries using electricity. Charging stations, connected to the grid, require transformers to efficiently manage the power supply. For example, a May 2022 Global EV Outlook report indicated a substantial increase in electric vehicle sales. In 2021, EV sales doubled from the previous year, reaching a new high of 6.6 million units. The total sales of electric cars worldwide in 2021 amounted to 6,600,000 units, up from 2,980,000 units. This surge in demand for electric vehicles is a key factor propelling the growth of the transformers market, as the infrastructure supporting these vehicles requires efficient power distribution and management facilitated by transformers.
Countries worldwide are enacting various initiatives to enhance electrification efforts. For example, in September 2021, the U.S. Department of Agriculture revealed a $464 million investment aimed at constructing or enhancing renewable energy infrastructure to support rural communities. Additionally, in April 2021, the Indian Ministry of New and Renewable Energy launched the "National Programme on High-Efficiency Solar PV Modules" Production Linked Incentive Scheme with a budget of Rs. 4,500 crores to foster the production of high-efficiency solar PV modules. Hence, favorable government policies promoting electrification are expected to have a positive impact on the transformers market.
Market instability arises from the volatility in raw material prices such as steel, copper, and crude oil. Steel and copper are predominant materials in transformer manufacturing. Elevated tariffs on raw materials, such as steel and copper, intensify price fluctuations, thereby constraining the growth of the medium power transformers market. For instance, in October 2021, the United States and the European Union reached an agreement to lift U.S. tariffs of 25 percent on steel imports and 10 percent on aluminum imports from the EU. The resultant price increases lead to higher operating expenses, hindering market growth.
The transformers market is progressing toward the development of independent and self-regulating smart transformers. Smart transformers are designed to continually regulate voltage, maintain communication with stakeholders, and offer information and feedback on power supply. They deliver precisely the required amount of power, responding to fluctuations through voltage optimization. These transformers significantly reduce greenhouse gas emissions and power consumption by supplying electrical equipment with the optimal power amount. For instance, in 2021, the U.S. Department of Energy (DOE) allocated $20 million in funding for innovative research and development in artificial intelligence (A.I.) and machine learning. The DOE's Office of Electricity selected eight projects, receiving nearly $7 million in total, to explore the use of big data, artificial intelligence, and machine learning technologies for enhancing grid operation and management. Companies should consider investments in technologies for the production of smart transformers tailored for commercial establishments.
In March 2022, Spang Engineered Solutions (SES), a US-based company specializing in the design and manufacturing of inductors and transformers, acquired Wirebenders, Inc for an undisclosed amount. This strategic acquisition is aimed at expanding SES's market presence and enhancing its capabilities, particularly in the aerospace and defense industries. Wirebenders, Inc., the acquired company, is also based in the US and is known for manufacturing small transformers, high-frequency transformers, and inductors, including coaxial cable assemblies. Its product offerings cater to various industries, including aerospace, defense, and medical.
Major companies operating in the transformers market report are Performance Group Crompton Greaves Ltd., Hammond Power Solutions Inc., Hitachi Ltd., Siemens AG, Panasonic Corporation, Mitsubishi Electric Corporation, Schneider Electric SE, ABB Ltd. , Toshiba Corporation, Eaton Corporation, Alstom Ltd., Emerson Electric Co., Murugappa Group, Bharat Heavy Electricals Limited, Mace Group Ltd., Daihen Corporation, Raychem RPG, SPX Corporation, Fortune Electric Co., Kirloskar Electric Company, Hyundai Heavy Industries Co. Ltd., General Electric Corporation, SGB-SMIT Group, RITZ Instrument Transformers GmbH, Schaffner Holding AG, Banmore Electricals Pvt. Ltd., TRENCH Group, KOTSONS Pvt. Ltd., IMEFY Group, Emco Ltd.
Asia-Pacific was the largest region in the transformers market in 2023. The regions covered in the transformers market report are Asia-Pacific, Western Europe, Eastern Europe, North America, South America, Middle East, Africa. The countries covered in the transformers market report are Australia, Brazil, China, France, Germany, India, Indonesia, Japan, Russia, South Korea, UK, USA, Canada, Italy, Spain.
The primary categories in the transformers market include low-rated transformers and high-rated transformers. Low-rated transformers are employed for transmitting power to the receiving end. Transmitting power at low voltage levels results in higher line current, contributing to increased line losses. Transformer types are further classified into power transformers and distribution transformers. These transformers operate in either single-phase or three-phase configurations. The diverse applications of transformers span residential and commercial use, utility services, and industrial settings.
The transformers market research report is one of a series of new reports that provides transformers market statistics, including transformers industry global market size, regional shares, competitors with a transformers market share, detailed transformers market segments, market trends, and opportunities, and any further data you may need to thrive in the transformers industry. This transformers market research report delivers a complete perspective of everything you need, with an in-depth analysis of the current and future scenario of the industry.
The transformers market consists of sales of low-rated transformers and high-rated transformers. Values in this market are factory gate values, that is the value of goods sold by the manufacturers or creators of the goods, whether to other entities (including downstream manufacturers, wholesalers, distributors, and retailers) or directly to end customers. The value of goods in this market includes related services sold by the creators of the goods.
The market value is defined as the revenues that enterprises gain from the sale of goods and/or services within the specified market and geography through sales, grants, or donations in terms of the currency (in USD, unless otherwise specified).
The revenues for a specified geography are consumption values that are revenues generated by organizations in the specified geography within the market, irrespective of where they are produced. It does not include revenues from resales along the supply chain, either further along the supply chain or as part of other products.
This product will be delivered within 3-5 business days.
Table of Contents
1. Executive Summary2. Transformers Market Characteristics3. Transformers Market Trends and Strategies32. Global Transformers Market Competitive Benchmarking33. Global Transformers Market Competitive Dashboard34. Key Mergers and Acquisitions in the Transformers Market
4. Transformers Market - Macro Economic Scenario
5. Global Transformers Market Size and Growth
6. Transformers Market Segmentation
7. Transformers Market Regional and Country Analysis
8. Asia-Pacific Transformers Market
9. China Transformers Market
10. India Transformers Market
11. Japan Transformers Market
12. Australia Transformers Market
13. Indonesia Transformers Market
14. South Korea Transformers Market
15. Western Europe Transformers Market
16. UK Transformers Market
17. Germany Transformers Market
18. France Transformers Market
19. Italy Transformers Market
20. Spain Transformers Market
21. Eastern Europe Transformers Market
22. Russia Transformers Market
23. North America Transformers Market
24. USA Transformers Market
25. Canada Transformers Market
26. South America Transformers Market
27. Brazil Transformers Market
28. Middle East Transformers Market
29. Africa Transformers Market
30. Transformers Market Competitive Landscape and Company Profiles
31. Transformers Market Other Major and Innovative Companies
35. Transformers Market Future Outlook and Potential Analysis
36. Appendix
Executive Summary
Transformers Global Market Report 2024 provides strategists, marketers and senior management with the critical information they need to assess the market.This report focuses on transformers market which is experiencing strong growth. The report gives a guide to the trends which will be shaping the market over the next ten years and beyond.
Reasons to Purchase
- Gain a truly global perspective with the most comprehensive report available on this market covering 50+ geographies.
- Understand how the market has been affected by the coronavirus and how it is responding as the impact of the virus abates.
- Assess the Russia-Ukraine war’s impact on agriculture, energy and mineral commodity supply and its direct and indirect impact on the market.
- Measure the impact of high global inflation on market growth.
- Create regional and country strategies on the basis of local data and analysis.
- Identify growth segments for investment.
- Outperform competitors using forecast data and the drivers and trends shaping the market.
- Understand customers based on the latest market shares.
- Benchmark performance against key competitors.
- Suitable for supporting your internal and external presentations with reliable high quality data and analysis.
- Report will be updated with the latest data and delivered to you with an Excel data sheet for easy data extraction and analysis.
- All data from the report will also be delivered in an excel dashboard format.
Where is the largest and fastest growing market for transformers? How does the market relate to the overall economy, demography and other similar markets? What forces will shape the market going forward? This report answers all these questions and many more.
The report covers market characteristics, size and growth, segmentation, regional and country breakdowns, competitive landscape, market shares, trends and strategies for this market. It traces the market’s historic and forecast market growth by geography.
- The market characteristics section of the report defines and explains the market.
- The market size section gives the market size ($b) covering both the historic growth of the market, and forecasting its development.
- The forecasts are made after considering the major factors currently impacting the market. These include:
- The impact of sanctions, supply chain disruptions, and altered demand for goods and services due to the Russian Ukraine war, impacting various macro-economic factors and parameters in the Eastern European region and its subsequent effect on global markets.
- The impact of higher inflation in many countries and the resulting spike in interest rates.
- The continued but declining impact of COVID-19 on supply chains and consumption patterns.
- Market segmentations break down the market into sub markets.
- The regional and country breakdowns section gives an analysis of the market in each geography and the size of the market by geography and compares their historic and forecast growth. It covers the growth trajectory of COVID-19 for all regions, key developed countries and major emerging markets.
- The competitive landscape chapter gives a description of the competitive nature of the market, market shares, and a description of the leading companies. Key financial deals which have shaped the market in recent years are identified.
- The trends and strategies section analyses the shape of the market as it emerges from the crisis and suggests how companies can grow as the market recovers.
Report Scope
Markets Covered:1) By Type: Low Rated Transformer; High Rated Transformer
2) By Transformer Type: Power Transformer; Distribution Transformer
3) By Phase: Single Phase; Three Phase
4) By Application: Residential and Commercial; Utility; Industrial
Key Companies Mentioned: Performance Group Crompton Greaves Ltd.; Hammond Power Solutions Inc.; Hitachi Ltd.; Siemens AG; Panasonic Corporation
Countries: Australia; Brazil; China; France; Germany; India; Indonesia; Japan; Russia; South Korea; UK; USA; Canada; Italy; Spain
Regions: Asia-Pacific; Western Europe; Eastern Europe; North America; South America; Middle East; Africa
Time Series: Five years historic and ten years forecast
Data: Ratios of market size and growth to related markets, GDP proportions, expenditure per capita
Data Segmentation: Country and regional historic and forecast data, market share of competitors, market segments
Sourcing and Referencing: Data and analysis throughout the report is sourced using end notes
Delivery Format: PDF, Word and Excel Data Dashboard
Companies Mentioned
- Performance Group Crompton Greaves Ltd.
- Hammond Power Solutions Inc.
- Hitachi Ltd.
- Siemens AG
- Panasonic Corporation
- Mitsubishi Electric Corporation
- Schneider Electric SE
- ABB Ltd.
- Toshiba Corporation
- Eaton Corporation
- Alstom Ltd.
- Emerson Electric Co.
- Murugappa Group
- Bharat Heavy Electricals Limited
- Mace Group Ltd.
- Daihen Corporation
- Raychem RPG
- SPX Corporation
- Fortune Electric Co.
- Kirloskar Electric Company
- Hyundai Heavy Industries Co. Ltd.
- General Electric Corporation
- SGB-SMIT Group
- RITZ Instrument Transformers GmbH
- Schaffner Holding AG
- Banmore Electricals Pvt. Ltd.
- TRENCH Group
- KOTSONS Pvt. Ltd.
- IMEFY Group
- Emco Ltd.
Methodology
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Table Information
| Report Attribute | Details |
|---|---|
| No. of Pages | 175 |
| Published | February 2024 |
| Forecast Period | 2024 - 2028 |
| Estimated Market Value ( USD | $ 95.32 Billion |
| Forecasted Market Value ( USD | $ 119.05 Billion |
| Compound Annual Growth Rate | 5.7% |
| Regions Covered | Global |
| No. of Companies Mentioned | 30 |
