North America Shunt Reactor Market Size - By Phase (Single Phase, Three Phase), By Insulation (Oil Immersed, Air Core), By Product (Fixed Shunt Reactor, Variable Shunt Reactor), By End Use (Electric Utility, Renewable Energy) & Forecast, 2023 - 2032

North America Shunt Reactor Market Size

North America Shunt Reactor Market was valued at USD 340 million in 2022 and is likely to showcase CAGR of 5.6% from 2032 to 2032. The increasing demand for electricity and the need to maintain grid stability and voltage regulation in the power transmission and distribution networks contribute to market growth. For instance, as per U.S. Energy Information Administration (EIA), the net generation in U.S. by renewable sources in 2021 equaled over 563,682 thousand MWh, which is over 190% more than the net generation in 2011
 

Additionally, aging infrastructure and the need for grid modernization projects drive the replacement and installation of shunt reactors. Moreover, the growing emphasis on energy efficiency and reducing power losses in transmission and distribution systems further propels market expansion. As North America continues to evolve its power infrastructure and address grid challenges, the market is expected to witness sustained growth.

COVID– 19 Impact

The COVID-19 pandemic initially disrupted the North America shunt reactor market with delays in project execution and supply chain interruptions. However, the market showed resilience as utilities continued investments in grid infrastructure and renewable energy integration, accelerating the demand for shunt reactors. The pandemic underscored the importance of grid stability, and as the region focused on resilient energy systems, the market rebounded, with a growing need for reactive power compensation to address changing grid dynamics, ultimately driving growth.
 

North America Shunt Reactor Market Trends

The burgeoning emphasis on the integration of renewable energy sources and grid modernization, which requires efficient reactive power compensation, driving the adoption of shunt reactors. There's a focus on reducing transmission and distribution losses, and shunt reactors play a crucial role in enhancing grid efficiency. Additionally, advancements in shunt reactor technologies, including digital monitoring and control systems, are enhancing operational performance and reliability. Despite these emphasis on environmental sustainability is driving the development of eco-friendly shunt reactors.
 

North America Shunt Reactor Market Analysis

The three phase shunt reactors market is projected to exhibit a robust CAGR of over 6% through 2032. These reactors play a crucial role in enhancing grid stability, voltage control, and power quality in the region's power transmission and distribution networks. As the demand for a reliable and resilient grid infrastructure continues to grow, three phase shunt reactors are being increasingly employed to address the dynamic grid requirements, resulting in their significant contribution to the market's growth.
 

The market for oil-immersed shunt reactors in North America reached USD 200 million in 2022 and is expected to surge to over USD 330 million by 2032. These reactors are known for their ability to efficiently manage reactive power, enhance voltage stability, and mitigate system losses in the region's power transmission and distribution networks. Their robust performance and reliability make them a preferred choice for utilities looking to maintain grid stability and quality, which is crucial for a resilient power infrastructure. As North America continues to invest in grid modernization and renewable energy integration, oil-immersed shunt reactors are anticipated to significantly impact the market's growth trajectory.
 

Based on the product segmentation, the fixed shunt reactors market was worth USD 200 million in 2022 and is expected to register gains at nearly 4% up to 2032. These reactors are integral for providing reactive power compensation and maintaining grid stability in the region's power transmission and distribution networks. Their consistent and reliable operation aids in voltage control and supports a resilient power infrastructure. As North America continues to invest in grid modernization and renewable energy integration, fixed shunt reactors play a crucial role in sustaining grid reliability and are expected to have a substantial impact on the market's growth trajectory.
 

The electric utility sector captured significant market share of over 65% in 2022. These utilities are essential for providing reliable and stable electricity supply to residential, commercial, and industrial consumers. Shunt reactors are instrumental in maintaining grid stability, voltage control, and power quality, ensuring a resilient power infrastructure. As North America continues to evolve its power grid, invest in grid modernization, and integrate renewable energy sources, electric utilities increasingly rely on shunt reactors to manage reactive power and sustain a reliable electricity supply. This robust demand from the electric utility sector significantly influences the market's growth trajectory in North America.
 

U.S. shunt reactor market is anticipated to grow at a CAGR of over 5% through 2032, owing to the growing emphasis on grid modernization and the integration of renewable energy sources, such as wind and solar, has spurred the demand for shunt reactors to manage reactive power and voltage stability. The aging power infrastructure and the need for grid reliability and efficiency enhancements have led to the replacement and installation of shunt reactors. Additionally, the focus on reducing transmission and distribution losses and the enhancement of power quality further drive market growth.
 

North America Shunt Reactor Market Share

Hitachi Energy Ltd. has established itself as a dominant player in the market, commanding a significant market share. Their success is underpinned by a combination of cutting-edge technology, a robust product portfolio, and a strong commitment to delivering reliable and efficient solutions. This has earned them the trust of utilities and infrastructure developers across the region, solidifying their position as a leading provider of shunt reactor solutions in North America.

The major contenders in the North America shunt reactor industry include:

• Hyosung Heavy Industries
• General Electric
• Siemens Energy
• Toshiba Corporation
• Fuji Electric Co., Ltd.
• Nissin Electric Co., Ltd.
• Hitachi Energy Ltd.
• Elgin Power Solutions
• Shrihans Electricals Pvt. Ltd.
• WEG
• SGB SMIT
• CHINT Group
• MEIDENSHA CORPORATION
• JSHP Transformer
• Alstom

North America Shunt Reactor Industry News

• In March 2022, JSHP Transformer announced that it has completed the sale of its 11,000th unit of shunt reactors and transformers of 110kV to 525 kV voltage rating. The sale contract has marked the company’s significant presence in the transformer and shunt reactor market in around 77 countries. Furthermore, the sale further contributes to no catastrophic failures incurred by the company in over 35 years, which strengthens its presence in the industry.
   
• In May 2020, GE formed a strategic alliance with American Roll-On Roll-Off Carrier Group, a renowned RO-RO carrier involved in international trade. Through this collaboration, GE successfully transported three of its shunt reactors to Texas, U.S., where they were intended for a grid modernization project in the Pacific Northwest. This significant initiative is being undertaken by the U.S. Department of Energy (DOE) and aims to support Bonneville Power Administration (BPA) in realizing its long-term strategic objectives in the region. By facilitating the delivery of these shunt reactors, GE has not only strengthened its product presence nationwide but also bolstered its market share in the U.S.
   

This North America shunt reactor market research report includes in-depth coverage of the industry with estimates & forecast in terms of “USD Million” from 2019 to 2032, for the following segments:

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By Phase

• Single Phase
• Three Phase

By Insulation

• Oil Immersed
• Air Core

By Product

• Fixed
• Variable

By End Use

• Electric Utility
• Renewable Energy

The above information has been provided for the following countries:

• U.S.
• Canada