Distribution Transformer Market to thrive due to increasing demand for electricity

distribution transformer market

The distribution transformer market is projected to expand at a compound annual growth rate (CAGR) of 6.46% from US$14.470 billion in 2021 to US$22.422 billion in 2028.

The prime factors propelling the distribution transformer market growth are the increasing demand for electricity, aging infrastructure, renewable energy integration, technological advancements, government regulations, expanding applications, rising healthcare expenditures, growing demand for personalized medicine, and strategic partnerships and collaborations.

Distribution transformers are a crucial component of the electrical power distribution system, responsible for transforming high-voltage electricity from transmission lines to lower voltages suitable for distribution to end users, such as homes, businesses, and industrial facilities. They play a vital role in ensuring the reliable and efficient delivery of electricity to consumers. The outlook for the distribution transformer market remains positive. The factors driving market growth are expected to continue to exert influence, leading to a steady increase in demand for distribution transformers in the foreseeable future.

The industry is at the forefront of a collaborative and innovation-driven revolution. In January 2022, Franklin Electric unveiled the ‘INCON® Distribution Transformer Monitor’, a cutting-edge solution for monitoring the performance of low-voltage transformers.

Based on the mounting type, the distribution transformer market is divided into pad-mounted and pole-mounted. Pad-mounted distribution transformers are expected to experience the fastest growth in the coming years. Pad-mounted transformers are enclosed in a vault, making them safer and more aesthetically pleasing than pole-mounted transformers, especially in urban areas and residential neighborhoods. Pad-mounted transformers are less susceptible to vandalism, weather damage, and animal interference, resulting in lower maintenance costs compared to pole-mounted transformers.

Based on the phase, the distribution transformer market is divided into a single phase and three phases. The three-phase distribution transformer segment is expected to experience higher growth compared to the single-phase segment. Three-phase transformers are primarily used in industrial applications due to their higher power handling capacity compared to single-phase transformers. As industrialization and manufacturing activities continue to expand, the demand for three-phase transformers is expected to grow accordingly.

Based on the end-user, the distribution transformer market is divided into residential, commercial, and industrial. Among the three end-user segments, the industrial segment is expected to experience the highest growth in the distribution transformer market over the coming years. The global trend towards industrialization, particularly in developing nations, is driving the demand for electricity in the industrial sector. This is leading to an increased need for distribution transformers to distribute electricity to industrial facilities. The increasing automation and electrification of industrial processes are further fueling the demand for distribution transformers. These processes require a reliable and efficient supply of electricity, which distribution transformers can provide.

Based on Geography, Asia Pacific is poised to dominate the distribution transformer market. Asia Pacific is the fastest-growing region in the world, experiencing rapid economic development and urbanization. This growth is driving a surge in electricity demand, which is putting pressure on the existing power infrastructure. As a result, there is a growing need for distribution transformers to expand and upgrade the electricity distribution network. A significant portion of the distribution transformer infrastructure in the Asia Pacific is aging and nearing the end of its lifespan. This is creating a need for replacements and upgrades to ensure the reliability and efficiency of the electricity distribution system.

As a part of the report, the major players operating in the distribution transformer market, that have been covered are CG Power & Industrial Solution Ltd. (Tube Investments of India Limited), General Electric, Hyosung Heavy Industries, MGM Transformer Company, Siemens, Southwest Electric Co (Ultralife Corporation), Transcon Industries (Quantic Electronics), Virginia Transformer Corporation.

View a sample of the report or purchase the complete study at https://www.knowledge-sourcing.com/report/distribution-transformer-market

This analytics report segments the distribution transformer market on the following basis:

  • 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