Market Forecast By Core (Closed, Shell, Berry), By Product (Power Transformer, Distribution Transformer, Instrument Transformer, Others), By Winding (Two-Winding, Auto-Transformer), By Application (Residential & Commercial, Utility, Industrial), By Cooling (Dry-Type, Oil Immersed), By Phase (Single Phase, 3-Phase), By Rating (10 MVA, 11 MVA To 60 MVA, 61 MVA To 600 MVA, > 600 MVA), By Regions (North America, Latin America, Europe, Asia Pacific, Middle East, And Africa) And Competitive Landscape
Product Code: ETC150155 | Publication Date: Dec 2023 | Updated Date: Dec 2024 | Product Type: Report | |
Publisher: 6Wresearch | No. of Pages: 300 | No. of Figures: 90 | No. of Tables: 30 | |
Report Name | Transformer Market |
Report Category / Coverageย | Global |
Forecast Period | 2025-2031 |
CAGR | 6% |
Market Size | $110 billion by 2031 |
Growing Sector | Utility |
Transformer Market report thoroughly covers the market by Core, Product, Winding, Application, Cooling, Phase, Rating, and Regions. The market report provides an unbiased and detailed analysis of the ongoing market trends, opportunities/high growth areas, and market drivers which would help the stakeholders to devise and align their market strategies according to the current and future market dynamics.
The Global Transformer Market has been experiencing significant growth over the past few years. As ofย 2025, the global market is valued atย approximately $74 billion. Further, theย Global Marketย is projected to expand at aย CAGR of 6%ย from 2025 to 2031. Additionally, byย 2031, the market size isย expected to reach around $110 billion.
Transformer Market is anticipated to gain momentum during the upcoming years owing to the integration of renewable sources of energy. The increasing electrification program backed by rising initiatives by the government beholds the Transformer Market Growth. Favorable government policies regarding the development of existing infrastructure are adding to the Transformer Market Share. Increasing focus on the integration of energy-efficient electricity supply sources drives the growth of the Transformer Market in the world.
According to 6Wresearch, the Transformer Market size is estimated to grow at a CAGR of 6% during 2025-2031. The Transformer Market is predominantly driven by the increasing investments in smart grid infrastructure and the growing demand for electricity. The rise in urbanization and industrialization has also led to the construction of new power plants, which has further stimulated the growth of the transformer market. Technological advancements such as the development of smart transformers, which are equipped with sensors to manage energy demand and supply, have further contributed to the growth of the market. Furthermore, the adoption of renewable energy sources such as wind and solar power has increased the demand for transformers, as they are required for power transfer from renewable sources to the grid.
The Transformer Market is facing several challenges that are hampering its growth. The industry is highly competitive, with several players vying for market share, which has led to price wars and limited profitability. The fluctuating prices of raw materials such as copper and aluminum have also added to the challenges faced by the transformer market. Technological advancements have led to the development of new and more efficient transformers, which has further increased the competition. Finally, governments are implementing policies to reduce carbon emissions, which has led to a shift towards renewable energy and further impacted the growth of the transformer market.
The Transformer Market is dominated by several key players, including ABB Ltd, Siemens AG, Crompton Greaves Ltd, General Electric Company, and Mitsubishi Electric Corporation. These companies have a significant market share and are continuously investing in research and development to stay ahead of the competition. The companies are also expanding their global footprint by entering new markets and acquiring smaller players to increase their market share.
Governments across the world are implementing policies to promote renewable energy, reduce carbon emissions, and improve energy efficiency. The European Union has set a target of reducing greenhouse gas emissions by 40% by 2031, which has led to a shift towards renewable energy and energy-efficient infrastructure. The Indian government has also set a target of achieving 195 GW of renewable energy by 2022 and is taking steps to increase energy efficiency and reduce carbon emissions. In the United States, the Department of Energy has implemented several policies to promote renewable energy and energy efficiency, including tax incentives and research funding for renewable energy projects.
The transformer market is poised for significant growth and transformation in the coming years, driven by increasing demand for energy-efficient solutions and the rising adoption of renewable energy sources. With the global push towards sustainable energy and smart grid technologies, there is a burgeoning need for transformers that can handle variable power loads and ensure efficient distribution. Technological advancements, such as solid-state transformers, are expected to revolutionize the market by offering enhanced reliability and reduced energy losses. Furthermore, the integration of IoT and digital monitoring systems in transformers will facilitate predictive maintenance and real-time performance monitoring, thereby improving the overall efficiency of power systems.
The report offers a comprehensive study of the subsequent market segments and their leading categories.
According to Ravi Bhandari, Research Head, 6wresearch, the closed-type transformer market is experiencing significant growth driven by increasing demand for reliable and efficient electrical infrastructure. These transformers are known for their robust design, which protects them from environmental factors such as dust and moisture, making them particularly suitable for industrial applications. With rising industrialization and urbanization, particularly in emerging economies, the need for durable power systems is more critical than ever. Moreover, the closed-type transformers provide enhanced safety features and reduced maintenance costs, which appeal to businesses looking to optimize their operational efficiency.
Power transformers are critical components in the transformer market, serving as pivotal devices that enable the efficient transmission and distribution of electrical energy. They are designed to handle high power levels, typically used to step up or step-down voltage levels in power generation plants or between distribution networks. The demand for power transformers is driven by the growing need for energy in both urban and rural areas, as well as the push for reliable and sustainable energy sources. Innovations in transformer technology, focusing on improving efficiency and reducing losses, are reshaping the market, with advancements in materials and design playing a crucial role.
Auto-transformers have increasingly gained recognition in the transformer market due to their efficiency and cost-effectiveness. An auto-transformer is a type of electrical transformer that shares a single winding to act as both the primary and secondary sides, unlike traditional transformers which use separate windings. This design minimizes the amount of conductor material needed and reduces the size and weight of the transformer. As a result, auto-transformers are often more economical and capable of greater power transfer efficiency.
The utility of transformers in the market is pivotal for efficient energy distribution and management. Transformers are essential components in the electrical grid, enabling the transfer of electricity between circuits at various voltage levels. They ensure that energy is transmitted over long distances with minimal loss, thus playing a crucial role in providing reliable power supply to urban and rural areas alike. Moreover, with the growing emphasis on renewable energy sources, transformers have become even more critical, integrating solar and wind power into the existing grid infrastructure. Their ability to adapt to different output requirements makes them indispensable in supporting the modern power system's flexibility and scalability.
The oil-immersed transformer market is witnessing significant growth driven by increasing energy demands and the expansion of electrical grids worldwide. These transformers are heavily utilized in power distribution networks due to their efficiency and reliability in handling high voltage applications. The dielectric oil used in these transformers serves dual purposes: it provides cooling and electrical insulation. Emerging economies are seeing a surge in infrastructure development, further boosting the demand for oil-immersed transformers. Additionally, advancements in technology have led to the development of more efficient transformer designs, which expand their applicability and enhance their performance in diverse environmental conditions.
The three-phase transformer market is witnessing significant growth driven by increasing demand for efficient power distribution systems and rising industrialization. These transformers are crucial in transferring electrical energy in three-phase systems, which are commonly used in power transmission and industrial applications due to their high efficiency and ability to handle large voltage loads. Technological advancements, coupled with an increased focus on renewable energy integration, are further propelling the market as these transformers play a key role in integrating wind and solar power into the electrical grid.
The transformer market is witnessing a significant evolution with the transition from 11 MVA to 60 MVA transformers. This shift is driven by the growing demand for reliable and efficient power systems in various sectors, including industrial, commercial, and residential areas. Higher capacity transformers like the 60 MVA units are essential for handling larger loads and ensuring stable energy distribution in densely populated areas or energy-intensive industries. The adoption of 60 MVA transformers is also supported by advancements in technology that enable the production of more compact and efficient units, which contribute to reduced transmission losses and improved overall grid performance.
The Asia-Pacific (APAC) region is emerging as a crucial player in the transformer market. Driven by rapid urbanization and industrialization, countries such as China, India, and Japan are investing heavily in infrastructure development to support their expanding urban populations. This has led to an increased demand for transformers, crucial components in the efficient transmission and distribution of electricity. Additionally, the APAC region's growing focus on renewable energy sources is further propelling the market, as transformers are essential for integrating renewable energy into the existing power grid. With governments implementing favorable policies to boost power generation capacity and upgrade aging power grid infrastructure, the APAC transformer market is poised for significant growth in the coming years.
Market Scope and Segmentation
The report provides a detailed analysis of the following market segments:
By Core
By Product
By Winding
By Application
By Cooling
By Phase
By Rating
1 Executive Summary |
2 Introduction |
2.1 Key Highlights of the Report |
2.2 Report Description |
2.3 Market Scope & Segmentation |
2.4 Research Methodology |
2.5 Assumptions |
3 Transformer Market Overview |
3.1 Global Regional Macro Economic Indicators |
3.2 Transformer Market Revenues & Volume, 2021 & 2031F |
3.3 Transformer Market - Industry Life Cycle |
3.4 Transformer Market - Porter's Five Forces |
3.5 Transformer Market Revenues & Volume Share, By Regions, 2021 & 2031F |
3.6 Transformer Market Revenues & Volume Share, By Core, 2021 & 2031F |
3.7 Transformer Market Revenues & Volume Share, By Product, 2021 & 2031F |
3.8 Transformer Market Revenues & Volume Share, By Winding, 2021 & 2031F |
3.9 Transformer Market Revenues & Volume Share, By Application, 2021 & 2031F |
3.10 Transformer Market Revenues & Volume Share, By Cooling, 2021 & 2031F |
3.11 Transformer Market Revenues & Volume Share, By Phase, 2021 & 2031F |
3.12 Transformer Market Revenues & Volume Share, By Rating, 2021 & 2031F |
4 Transformer Market Dynamics |
4.1 Impact Analysis |
4.2 Market Drivers |
4.3 Market Restraints |
5 Transformer Market Trends |
6 Transformer Market, 2021-2031 |
6.1 Transformer Market, Revenues & Volume, By Core, 2021-2031 |
6.2 Transformer Market, Revenues & Volume, By Product, 2021-2031 |
6.3 Transformer Market, Revenues & Volume, By Winding, 2021-2031 |
6.4 Transformer Market, Revenues & Volume, By Application, 2021-2031 |
6.5 Transformer Market, Revenues & Volume, By Cooling, 2021-2031 |
6.6 Transformer Market, Revenues & Volume, By Phase, 2021-2031 |
6.7 Transformer Market, Revenues & Volume, By Rating, 2021-2031 |
7 North America Transformer Market, 2021-2031 |
7.1 North America Transformer Market, Revenues & Volume, By Core, 2021-2031 |
7.2 North America Transformer Market, Revenues & Volume, By Product, 2021-2031 |
7.3 North America Transformer Market, Revenues & Volume, By Winding, 2021-2031 |
7.4 North America Transformer Market, Revenues & Volume, By Application, 2021-2031 |
7.5 North America Transformer Market, Revenues & Volume, By Cooling, 2021-2031 |
7.6 North America Transformer Market, Revenues & Volume, By Phase, 2021-2031 |
7.7 North America Transformer Market, Revenues & Volume, By Rating, 2021-2031 |
8 Latin America Transformer Market, 2021-2031 |
8.1 Latin America Transformer Market, Revenues & Volume, By Core, 2021-2031 |
8.2 Latin America Transformer Market, Revenues & Volume, By Product, 2021-2031 |
8.3 Latin America Transformer Market, Revenues & Volume, By Winding, 2021-2031 |
8.4 Latin America Transformer Market, Revenues & Volume, By Application, 2021-2031 |
8.5 Latin America Transformer Market, Revenues & Volume, By Cooling, 2021-2031 |
8.6 Latin America Transformer Market, Revenues & Volume, By Phase, 2021-2031 |
8.7 Latin America Transformer Market, Revenues & Volume, By Rating, 2021-2031 |
9 Europe Transformer Market, 2021-2031 |
9.1 Europe Transformer Market, Revenues & Volume, By Core, 2021-2031 |
9.2 Europe Transformer Market, Revenues & Volume, By Product, 2021-2031 |
9.3 Europe Transformer Market, Revenues & Volume, By Winding, 2021-2031 |
9.4 Europe Transformer Market, Revenues & Volume, By Application, 2021-2031 |
9.5 Europe Transformer Market, Revenues & Volume, By Cooling, 2021-2031 |
9.6 Europe Transformer Market, Revenues & Volume, By Phase, 2021-2031 |
9.7 Europe Transformer Market, Revenues & Volume, By Rating, 2021-2031 |
10 Asia Pacific Transformer Market, 2021-2031 |
10.1 Asia Pacific Transformer Market, Revenues & Volume, By Core, 2021-2031 |
10.2 Asia Pacific Transformer Market, Revenues & Volume, By Product, 2021-2031 |
10.3 Asia Pacific Transformer Market, Revenues & Volume, By Winding, 2021-2031 |
Market Forecast By Core (Closed, Shell, Berry), By Product (Power Transformer, Distribution Transformer, Instrument Transformer, Others), By Winding (Two-Winding, Auto-Transformer), By Application (Residential & Commercial, Utility, Industrial), By Cooling (Dry-Type, Oil Immersed), By Phase (Single Phase, 3-Phase), By Rating (10 MVA, 11 MVA To 60 MVA, 61 MVA To 600 MVA, > 600 MVA), By Regions (North America, Latin America, Europe, Asia Pacific, Middle East, And Africa) And Competitive Landscape
Product Code: ETC150155 | Publication Date: Jul 2022 | Product Type: Report | |
Publisher: 6Wresearch | No. of Pages: 300 | No. of Figures: 90 | No. of Tables: 30 |
Global Transformer Market report thoroughly covers the market by various trends and segments. 6W tracks the transformer market for over 60 countries with individual country-wise market opportunity assessments and publishes the report titled Global Transformer Marketย outlook report annually.ย
Global Transformer Market report thoroughly covers the market by Core, Product, Winding, Application, Cooling, Phase, Rating, and Regions. The market report provides an unbiased and detailed analysis of the ongoing market trends, opportunities/high growth areas, and market drivers which would help the stakeholders to devise and align their market strategies according to the current and future market dynamics.
Global Transformer Marketย is anticipated to gain momentum during the upcoming years owing to the integration of renewable sources of energy. The increasing electrification program backed by rising initiatives by the government beholds theย Transformer Market Growth. Favorable government policies regarding the development of existing infrastructure are adding to the Transformer Market Share. Increasing focus on the integration of energy-efficient electricity supply sources drives the growth of the Transformer Market in the world. Moreover, the growing transformer manufacturing industry is also adding to the development of the industry. Various innovations in the technology coupled with a rising inclination toward renewable power are adding to the Transformer Market Share.
According to 6Wresearch, Global Transformer Market size is projected to register growth during 2021-2027.ย Rising government policies towards electrification in rural areas backed by growing concern for minimizing power theft adds to the Transformerย Marketย Revenue. Additionally, the new technological innovations trigger the potential growth of the Transformer Market in the world. The outbreak of COVID-19 led to the decline in the growth of the transformer market owing to the downfall in the power demand from industrial and commercial industries. The worldwide restrictions also led to the pause in the under-construction projects and delayed the upcoming projects further hampering the growth of the Transformer Market.
On the basis of insulation, the gas insulated segment is expected to dominate the market during the upcoming years on account of rising public and private investment in the expansion of grid infrastructure.
On the basis of region, the Asia-Pacific region is anticipated to account significant share owing to the shifting trends towards energy-efficient technologies.
The report provides a detailed analysis of the following market segments: