Current Transformers Market, at a 6.37% CAGR, is expected to grow from USD 1.887 billion in 2025 to USD 2.570 billion in 2030.
Current transformers (CTs) are electrical devices that are used to measure the current flowing through a conductor. They work on the principle of electromagnetic induction, where a primary conductor (which carries the current to be measured) is passed through a magnetic core, which induces a current in a secondary winding that is proportional to the current in the primary conductor. CTs are essential components of modern electrical systems, and they play a critical role in ensuring the safe and efficient operation of electrical equipment and systems. Various factors are driving the global current transformer market, such as the rising demand for electricity, growth of the renewable energy industry, expansion of smart grid infrastructure, increasing industrial automation, and other related factors.
Current transformers (CTs) play a crucial role in renewable electricity generation by measuring and monitoring the current flowing through the electrical systems of renewable energy sources. The growing electricity consumption is increasing the demand for current transformers. For instance, data from the International Energy Agency (IEA) indicates that global electricity consumption in 2020 was recorded at 24,901.4 TWh (Terawatt hours). The same source indicates that the electricity consumption in France increased from 450.8 TWh in 2020 to 474.0 TWh in 2021, and electricity consumption in the United States of America increased from 4,109.4 TWh to 4,212.1 TWh within the same period. The rising electricity generation from renewable energy sources such as wind and solar power is also driving the growth of the current transformers, as they help to ensure the safe and efficient operation of renewable electricity generation systems by measuring and monitoring the current flow. For instance, the global share of electricity generated from renewable sources was recorded at 28% in 2021, according to IEA data. Similarly, data from the U.S. Energy Information Administration indicates that 12% of the total electricity consumption in the United States was generated from renewable sources in 2021. In Germany, solar electricity generation increased from 44,383.0 GWh (Gigawatt hours) to 49,992.0 GWh between 2019 and 2021, as per the International Energy Agency. The same source indicates that solar electricity generation in France increased from 12,227.0 GWh to 15,095.0 GWh during the same period. In addition to this, IEA data also indicates that wind electricity generation in Russia increased from 331.0 GWh to 1,241.0 GWh, and in Italy, this number increased from 20,202.0 GWh to 20,789.0 GWh between 2019 and 2021. Thus, it can be concluded that as electricity consumption and generation is increasing, the current transformer market will experience growth.
The growth of the current transformer market in the Asia-Pacific region is driven by increasing renewable energy generation. For instance, IEA data shows that around 7.7% of renewable sources were used in the final energy consumption in Japan in 2019. Similarly, as per the same source, in China and India, this number was recorded at 14.4% and 32.9% respectively for the same year. In addition to this, IEA data also shows that India’s solar electricity generation increased from 50,614.0 GWh (Gigawatt hours) to 61,291.0 GWh between 2019 and 2020. Wind electricity in Japan rose from 7,617.0 GWh in 2019 to 9,874.0 GWh in 2021 as per the same source. In addition, the demand for current transformers in the region is being driven by the growing investments in the development of power grids. This is because current transformers are essential components in power grids that are used for various purposes such as measuring and monitoring the flow of electrical power for metering, protective relaying, power quality monitoring, and load management. For instance, in February 2023, the board of India's Power Grid Corporation authorized an investment of more than Rs. 803 crores towards multiple electricity transmission projects across the country. In June 2022, an investment of over 500 billion yuan ($74.5 billion) was announced by the State Grid Corporation of China for power grid projects, including the development of ultra-high voltage power transmission projects. In May 2022, plans were announced by the Japanese government to establish a fund of 20 trillion yen ($155 billion) to encourage investments in new power grid technology, energy-efficient homes, and other technologies aimed at reducing the country's carbon emissions. Therefore, the expansion of the current transformer market in this region is linked to the convergence of these factors.
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