Power Transformer Sales Remain Healthy Buoyed by Soaring Demand for New and Refurbished Power GridsJanuary 10, 2020 by EE Power Editorial
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Efforts to upgrade the existing power grid network with modern energy technology for the flexible, secure, efficient, and reliable supply of power are anticipated to drive the demand for power transformers in the market. This, as suggested by a new study will drive global power transformer market revenues beyond US$ 20 Bn by 2019 end. Over the forecast period (2019 – 2029), the power transformer sales will be witnessing a healthy CAGR, says the report.
Key Takeaways — Power Transformer Market Study
- Growing efforts towards the electrification of rural areas in developing countries such as South Africa, China, and India, are expected to create noteworthy demand for single-phase power transformers.
- Replacement of old power grid networks with modern and efficient equipment is anticipated to create significant growth opportunities for transmission power transformers.
- Wet insulation type power transformers to remain the most preferred type in the power industry due to their higher durability, efficiency, and low maintenance costs as compared to dry-type power transformers.
- South Asia, driven by power generation capacity additions in India and the Middle East & Africa, on the back of heavy investment inflow from China in power grid infrastructure, are anticipated to witness rapid growth in the power transformers market.
- High-efficiency requirements need for distinct raw materials and custom design necessities have been some of the prominent trends impacting the lead times in the market.
With renewable energy expected to play a significantly larger role in meeting the global energy demand by 2030, power transformer manufacturers are anticipated to witness an influx of demand for setting-up of new energy grids supporting the renewable power infrastructure.
Power Transformer Market Competition Analysis
Key manufacturers involved in the manufacturing of power transformers, like ABB, General Electric, Schneider Electric, Siemens AG, Eaton, and Kirloskar Electric, are focused on mergers & acquisitions to complement their business structure and expand market presence in key high-demand demographics. In addition, key players have been increasing production outputs and moving manufacturing plants to developing countries to reduce lead times and operation costs.
What Lies Ahead?
With China’s increasing investments in African nations to develop the local power grid, and developed regions like the U.S. and Europe concentrating on improving their matured grid network, the power transformer market is set to experience steady growth during the first half of the forecast period.
These insights are based on a report on Power Transformer Market by Future Market Insights.