APAC transformers market to reach $27.39b in 2028

The region will lead the global growth.

A forecast made by GlobalData showed that the global transformers market will reach $51.33b in 2028, which will be driven by the Asia-Pacific region.

According to its report “Transformers Market Size, Share and Trends Analysis by Technology, Installed Capacity, Generation, Key Players and Forecast, 2023-2028,” APAC power transformers market is estimated to reach $12.74b in 2028, whilst distribution transformers will reach $14.65b in the same year.

GlobalData noted that in 2023, the region emerged as the market leader, fueled by increased commercial activity in Southeast Asia and substantial asset demands in China and India.

The expected market growth will be driven by grid development plans, renewable integration, and reliability concerns over asset end-of-life, the analytics company said.

“Policies, economic and social factors, and environmental concerns are prompting the utilisation of technologies and techniques that support low-carbon power generation,” said GlobalData Senior Power Analyst Bhavana Sri Pullagura.

“New grid networks are being constructed to sustain the growing demand for power and upgrades are being undertaken to enhance grid adaptability to rapidly altering market conditions,” the expert added.

Pullagura said global generation capacities are gradually being expanded amidst a growing power demand. Power generation sources are also placing more emphasis on renewable energy to be sustainable.

“This shift is propelling the adoption of advanced transformers that meet stringent safety standards for grid maintenance. Additionally, inadequate infrastructure to support escalating power demands, shifts in power generation sources, thriving economies, insufficient power evacuation facilities, and increased use of distributed technologies in low voltage networks are all factors contributing to the emergence of viable transformer markets,” Pullagura added.