Distribution Transformer Market Size, Share, Opportunities, And Trends By Mounting Type (Pad-Mounted, Pole-Mounted), By Phase (Single Phase, Three Phase), By End-User (Residential, Commercial, Industrial), And By Geography - Forecasts From 2023 To 2028

  • Published : Oct 2023
  • Report Code : KSI061615314
  • Pages : 132

The global distribution transformer market was evaluated at US$14.470 billion for the year 2021, and the market is set to expand at a CAGR of 6.46%, thereby reaching a market size of US$22.422 billion by the year 2028.

The market expansion is attributable to the increasing use of smart grid technologies. Over the projected period, the rising global need for sustainable energy is also anticipated to drive up the demand. Additionally, as a result of the rise in energy production, there are more power plants, which means that to provide electricity to customers, new distribution transformers are needed. According to the U.S. Energy Information Administration, the United States produced 4,243 terawatt-hours (TWh) of energy in total in 2022, up almost 3% from 2021.

Rise in government initiatives

Growing government initiatives, investments, and new product launches are further boosting the global distribution transformer market growth. The government of the United Kingdom declared in September 2021 that it would invest US$ 1.2 billion in green initiatives and renewable energy in India to support its goal of 450 GW of renewable energy by 2030, which will boost the nation's electricity production. Additionally, China's State Grid Corporation committed over 461 billion yuan in 2020 to the advancement of smart grid technologies. Such advancements in technologies increase the need for distribution transformers, supporting the expansion of global distribution transformer industry. Additionally, in August 2023, the U.S. Department of Energy announced US$20 million in funding for the construction of energy-efficient distribution transformers and expanding product systems that employ machinery with electric motors, such as pumps, air compressors, and fans.

Increasing demand for electricity

The demand for dependable and effective electricity distribution infrastructure is being driven by expanding urbanization, population growth, and rising living standards. Substantial amounts of energy are needed in industrial buildings to run HVAC systems, heavy machinery, and manufacturing processes. By scaling down the voltage from the distribution grid to levels consistent with the needs of industrial equipment, distribution transformers play a significant role in providing power to industrial enterprises safely and effectively.

The need for distribution transformers is driven by the expanding demand for energy in the residential and industrial sectors. For instance, according to the United Nations Environment Programme's 2020 Global Status Report for Structures and Construction, residential structures utilized 22% of the world's power in 2020. Further, in 2022, according to the Nuclear Energy Agency (NEA), the primary, secondary, and tertiary sectors in China consumed 114.6 TWh, 5,700.1 TWh, and 1,485.9 TWh, respectively.

India is anticipated to be the fastest-growing country in the Asia-Pacific region

The rising energy requirements in industries, expansion of transmission and distribution networks, and the growth of the renewable energy sector are majorly driving the distribution transformer market growth. Favorable government policies are also one of the key reasons propelling the distribution transformer market growth of distribution transformers in the country. For instance, in February 2022, the Indian government approved projects valued at USD 4.12 billion (INR 308.02 billion) under the Integrated Power Development Program. These projects are aimed at enhancing sub-transmission and distribution networks in urban areas within the country. The growing electricity generation, and efforts to replace or refurbish aging distribution transformers, coupled with increased access to electricity are driving the distribution transformer market in India. According to the Ministry of Power, the total electricity generation including renewable sources was 1,381.9 billion units in 2020-21 which increased to 1,624.2 billion units in 2022-23.

Market Key Developments

  • In February 2023, Servokon unveiled a 16,000 KVA power and distribution transformer, marking a significant advancement towards the Indian government's goal of modernizing the nation's power infrastructure and achieving energy independence.
  • In January 2023, the "INCON® Distribution Transformer Monitor" was introduced by Franklin Electric. It offers meter-grade accurate performance monitoring of high-value, mission-critical, low voltage pad mount transformers as well as traditional pole top transformers.

Distribution Transformer Market Scope:


Report Metric Details
Market Size Value in 2021
US$14.470 billion
Market Size Value in 2028
US$22.422 billion
Growth Rate CAGR of 6.46% from 2021 to 2028
Base Year 2021
Forecast Period 2023 – 2028
Forecast Unit (Value) USD Billion
Segments Covered Mounting Type, Phase, End-User, and Geography
Regions Covered North America, South America, Europe, Middle East and Africa, Asia Pacific
Companies Covered CG Power & Industrial Solutions Ltd., General Electric, HYOSUNG HEAVY INDUSTRIES, MGM Transformer Company, Siemens, Southwest Electric Co, Transcon Industries, Virginia Transformer Corporation
Customization Scope Free report customization with purchase



  • By Mounting Type
    • Pad-Mounted
    • Pole-Mounted
  • By Phase
    • Single Phase
    • Three Phase
  • By End-User
    • Residential
    • Commercial
    • Industrial
  • By Geography
    • North America
      • United States
      • Canada
      • Mexico
    • South America
      • Brazil
      • Argentina
      • Others
    • Europe
      • Germany
      • United Kingdom
      • France
      • Spain
      • Others
    • Middle East and Africa
      • Saudi Arabia
      • UAE
      • Others
    • Asia Pacific
      • China
      • Japan
      • South Korea
      • India
      • Australia
      • Others

Frequently Asked Questions (FAQs)

The distribution transformer market is estimated to grow at a CAGR of 6.46% during the forecast period.
The distribution transformer market is estimated to reach a market size of US$22.422 billion by 2028.
Distribution Transformer Market was valued at US$14.470 billion in 2021.
The Asia-Pacific region will account for a major share of the distribution transformer market owing to the increased industrialization, and electricity consumption in countries like China and India.
The growing demand for electricity in the residential and industrial sectors is expected to boost the distribution transformer market growth.


1.1. Market Overview

1.2. Market Definition

1.3. Scope of the Study

1.4. Market Segmentation

1.5. Currency

1.6. Assumptions

1.7. Base, and Forecast Years Timeline


2.1. Research Data

2.2. Assumptions


3.1. Research Highlights


4.1. Market Drivers

4.2. Market Restraints

4.3. Porter’s Five Force Analysis

4.3.1. Bargaining Power of Suppliers

4.3.2. Bargaining Power of Buyers

4.3.3. Threat of New Entrants

4.3.4. Threat of Substitutes

4.3.5. Competitive Rivalry in the Industry

4.4. Industry Value Chain Analysis


5.1. Introduction

5.2. Pad-Mounted

5.3. Pole-Mounted


6.1. Introduction

6.2. Single Phase

6.3. Three Phase


7.1. Introduction

7.2. Residential

7.3. Commercial

7.4. Industrial


8.1. Introduction

8.2. North America

8.2.1. By Mounting Type

8.2.2. By Phase

8.2.3. By End-User

8.2.4. By Country United States Canada Mexico

8.3. South America

8.3.1. By Mounting Type

8.3.2. By Phase

8.3.3. By End-User

8.3.4. By Country Brazil Argentina Others

8.4. Europe

8.4.1. By Mounting Type

8.4.2. By Phase

8.4.3. By End-User

8.4.4. By Country Germany UK France Spain Others

8.5. Middle East and Africa

8.5.1. By Mounting Type

8.5.2. By Phase

8.5.3. By End-User

8.5.4. By Country Saudi Arabia UAE Others

8.6. Asia Pacific

8.6.1. By Mounting Type

8.6.2. By Phase

8.6.3. By End-User

8.6.4. By Country China Japan South Korea India Australia Others


9.1. Major Players and Strategy Analysis

9.2. Market Share Analysis

9.3. Mergers, Acquisitions, Agreements, and Collaborations

9.4. Vendor Competitiveness Matrix


10.1. CG Power & Industrial Solution Ltd. (Tube Investments of India Limited)

10.2. General Electric

10.3. Hyosung Heavy Industries

10.4. MGM Transformer Company

10.5. Siemens

10.6. Southwest Electric Co (Ultralife Corporation)

10.7. Transcon Industries (Quantic Electronics)

10.8. Virginia Transformer Corporation

CG Power & Industrial Solution Ltd. (Tube Investments of India Limited)

General Electric

Hyosung Heavy Industries

MGM Transformer Company


Southwest Electric Co (Ultralife Corporation)

Transcon Industries (Quantic Electronics)

Virginia Transformer Corporation