Asia Pacific Distribution Transformer Market Size - By Core (Closed, Shell, Berry), Installation (Outdoor, Indoor), Cooling (Dry Type, Oil Immersed), Insulation (Gas, Oil, Solid, Air), Mounting (Pad, Pole), Application, Phase, Winding, Rating & Forecast, 2024 – 2032

Asia Pacific Distribution Transformer Market Size

Asia Pacific Distribution Transformer Market was valued at USD 9.5 billion in 2023 and is estimated to register at a CAGR of over 5.5% between 2024 and 2032. Rapid urbanization and industrialization across the region have led to increased electricity demand, necessitating the expansion and modernization of electrical infrastructure, including distribution transformers. The growing emphasis on renewable energy sources, such as wind and solar power, has created a need for efficient distribution transformers to integrate these intermittent energy sources into the grid. According to the National Bureau of Statistics (NBS) of China, renewables accounted for more than 47% of the nation's total electricity generation capacity in 2022.
 

Furthermore, government initiatives promoting energy efficiency and grid reliability have spurred investments in advanced distribution transformer technologies. In addition the adoption of smart grid solutions and the development of electric vehicle charging infrastructure are also contributing to the distribution transformer business expansion in the Asia Pacific region, as they require sophisticated transformers to manage and distribute power efficiently.

COVID– 19 Impact

The COVID-19 pandemic disrupted supply chains, leading to production delays and affecting the Asia Pacific distribution transformer market. However, increased reliance on remote work and digital transformation accelerated the need for stable power supply, fostering investments in modern distribution transformers for grid reliability. The market showed resilience and adapted to pandemic challenges by leveraging technological advancements, though initial disruptions had a short-term impact on growth.
 

Asia Pacific Distribution Transformer Market Trends

The Asia Pacific distribution transformer industry is experiencing several noteworthy trends. There is a strong emphasis on energy efficiency and grid modernization, driving demand for more advanced and environmentally-friendly distribution transformers. Additionally, the push towards urbanization and industrialization in the region is fueling the expansion of distribution networks, further stimulating the demand for distribution transformers. These trends collectively signify a growing market that is increasingly focused on sustainability, reliability, and technological innovation.
 

Asia Pacific Distribution Transformer Market Analysis

The shell core distribution transformers segment exceeding USD 3.3 billion in 2022 and is projected to reach USD 6 billion by 2032, due to increasing electricity demand, infrastructure development, and the need for efficient power distribution. These transformers, known for their compact design and reliability, are being widely adopted across the region to enhance energy distribution networks, improve energy efficiency, and meet regulatory standards.
 

The two-winding distribution transformers segment crossed USD 5 billion in 2022 and is expected to exhibit a CAGR of more than 5% through 2032. These transformers play a crucial role in power distribution networks by stepping down high-voltage electricity for safe distribution to end-users. The increasing demand for reliable electricity supply, infrastructure development, and modernization of existing power grids are driving the market. Moreover, factors like energy efficiency and environmental concerns are promoting the adoption of advanced two-winding transformers with improved features.
 

Based on installation, the Pacific distribution transformer market from outdoor installations crossed USD 4.9 billion in 2022. These transformers are integral components in power distribution networks, placed in outdoor substations. The market growth is driven by the region's increasing electricity demand due to urbanization and industrialization.
 

The oil insulated distribution transformers held a major market share of over 58% owing to the numerous advantages offered by the technology. Their high dielectric strength and excellent cooling properties ensure reliable and efficient operation. Furthermore, the oil-insulated transformers are cost-effective, as they are relatively inexpensive to manufacture and maintain, making them a preferred choice for power distribution systems, particularly in areas with challenging operating conditions and high-performance demands.
 

Asia Pacific distribution transformer market is witnessing substantial growth in the segment of pad-mounted distribution transformers. This growth is primarily driven by urbanization, increasing construction activities, and the need for reliable power distribution in populated areas. Pad-mounted transformers are preferred due to their compact design, making them suitable for urban environments with limited space. Additionally, they are safer, more aesthetically pleasing, and require less maintenance compared to traditional pole-mounted transformers. As utilities and industries invest in modernizing power distribution infrastructure, the demand for pad-mounted distribution transformers continues to rise, contributing significantly to market growth in the Asia Pacific region.
 

The Asia Pacific distribution transformer market is experiencing notable growth in the utility sector. This growth is propelled by the increasing demand for electricity to support economic development, urbanization, and infrastructure expansion across the region. Utilities are investing in upgrading and expanding their distribution networks to meet this growing demand. Moreover, there is a growing emphasis on improving energy efficiency and grid reliability, which leads to the replacement of older transformers with more modern, efficient units. These factors, coupled with government initiatives to strengthen power infrastructure, are driving the demand for distribution transformers in the utility sector, contributing significantly to market growth.
 

India distribution transformer market valuation is anticipated to surpassed USD 2.8 billion in 2022 and predicted to hit USD 5.2 billion by 2032, owing to country’s rapid urbanization and industrialization, which in turn is increasing the electricity demand, thus necessitating the expansion and modernization of the power distribution infrastructure. Additionally, government initiatives such as "Make in India" and "Power for All" are promoting domestic manufacturing of transformers, reducing imports and boosting the market.
 

Asia Pacific Distribution Transformer Market Share

Among the prominent players listed, ABB is a major market leader in the Asia Pacific distribution transformer. ABB's extensive portfolio of innovative and high-quality transformers, coupled with its commitment to sustainable solutions and advanced technologies, positions the company as a dominant force in the region. ABB's strong presence and expertise in power distribution infrastructure make it a go-to choice for utilities and industries in Asia Pacific, contributing significantly to the company's substantial market share and influence in the region.
 

The major contenders in the Asia Pacific distribution transformer industry include:

• Siemens
• General Electric
• Mitsubishi Electric Corporation
• Hitachi Energy Ltd.
• ABB
• Schneider Electric
• Toshiba Energy Systems & Solutions Corporation
• Elsewedy Electric
• Eaton Corporation
• CG Power & Industrial Solutions Ltd.
• IMEFY GROUP
• Voltamp
• ORMAZABAL
• Hitachi Energy Ltd.
• HYOSUNG  HEAVY  INDUSTRIES

Asia Pacific Distribution Transformer Market News:

• In May 2021, Elsewedy Electric made a significant move by acquiring a 95% stake in CG Power Systems Indonesia, a prominent electrical transformer manufacturer. This strategic acquisition marked Elsewedy Electric's inaugural investment in Southeast Asia, facilitating its expansion in the region's market. Through this acquisition, the company not only broadened its customer base but also solidified its market position in the transformer industry.
   
• In March 2021, Siemens Energy unveiled plans to install 22 distribution transformers for the first phase of the “Yuhuan offshore wind power project” in Taizhou, China. This wind farm boasts a capacity of 300 MW and will provide green energy to approximately 240,000 households annually. Siemens Energy's involvement in this project enabled the optimization of power supply in the Yangtze River delta. Moreover, it bolstered the company's market presence in the region and expanded its project portfolio within the transformer industry.
   

This Asia Pacific distribution transformer market research report includes in-depth coverage of the industry with estimates & forecast in terms of Units and “USD Million” from 2019 to 2032, for the following segments:

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By Core

• Closed
• Shell
• Berry

By Winding

• Two - Winding
• Auto - Transformer

By Installation

• Outdoor
• Indoor

By Cooling

• Dry Type
• Oil Immersed

By Insulation

• Gas
• Oil
• Solid
• Air
• Others

By Phase

• Single Phase
• Three Phase

By Rating

• ≤ 2.5 MVA
• 2.6 MVA to 10 MVA
• > 10 MVA

By Mounting

• Pad
• Pole
• Others

By Application

• Residential & Commercial
• Utility
• Industrial

The above information has been provided for the following countries:

• China
• Japan
• South Korea
• India
• Australia