Dry Type Transformer Market by Technology (Cast Resin, Vacuum Pressure Impregnated), Voltage (Low (<1 kV), Medium (1–36 kV), High (Above 36 kV)), Phase (Single, Three), Application (Industrial, Commercial, Utilities) Region - Global Forecast to 2028
[192 Pages Report] The global dry type transformer market size in terms of revenue was estimated to be worth $6.6 billion in 2023 and is poised to reach $9.2 billion by 2028, growing at a CAGR of 6.8% from 2023 to 2028. Upgradation of ageing power infrastructure, rising investments in the transmission and distribution network (T&D), stringent government regulations to reduce carbon emissions and increasing electrification rate across various countries are few of the factors accelerating the growth of dry type transformer market. The market for dry type transformer is projected to benefit greatly from the rising expansion of smart electricity grids and networks.
To know about the assumptions considered for the study, Request for Free Sample Report
To know about the assumptions considered for the study, download the pdf brochure
Dry Type Transformer Market Dynamics
Driver: Increasing demand for energy efficiency
The growing demand for energy efficiency has emerged as a pivotal driver behind the rapid expansion of the dry type transformer market. As nations worldwide grapple with the challenges posed by climate change and the need to reduce carbon emissions, there has been a significant shift towards sustainable energy consumption practices. The increasing demand for energy efficiency contributes to the wide adoption of dry type transformers. According to the International Energy Agency (IEA), the global energy demand is expected to grow by 1.8% annually between 2021 and 2030. In 2022, global investments in energy efficiency reached USD 560 billion, an increase of 16% in 2021, and is expected to continue to grow in the coming years. Several countries have adopted various steps for increasing energy efficiency. For instance, American households receive a tax credit to cover up to 10% of the cost of energy-efficient improvements. In 2021, the European Commission amended its eco-design and energy labeling regulations to include new requirements for various products. Dry-type transformers are more energy efficient because they do not use oil to cool the windings, which eliminates a significant source of energy loss.
Restraint: Higher cost of dry type transformers as compared to oil-filled transformers
The growth of the dry type transformers market is influenced by various factors, and one significant challenge it faces is the comparatively higher cost of dry type transformers in comparison to their oil-filled counterparts. This cost differential has been a restraining factor in the widespread adoption of dry type transformers across various industries and applications. The initial investment required for dry type transformers can be notably higher due to the specialized materials, advanced insulation, and manufacturing processes involved in their production. Dry-type transformers also need materials that can conduct and dissipate heat well. Aluminum or copper conductors with special coatings or designs help transfer heat away from the windings. Copper is an expensive metal because of its limited availability. According to CNBC, the world is facing a copper deficit. Chile, the world’s largest copper producer, recorded a year-on-year decline of 7% in November 2022. Such challenges in raw materials could negatively impact the growth of the market.
Opportunities: Expansion of global power grid infrastructure
With the shift towards cleaner energy sources and the integration of decentralized power generation, there's a growing need for transformers that can efficiently handle varying loads and manage power fluctuations. Dry-type transformers excel in this aspect, offering the versatility and robustness required to support the diverse energy mix of modern grids. As nations adopt smart grid technologies and grid modernization strategies, the demand for adaptable and high-performance transformers will escalate, providing a significant opportunity for companies specializing in dry-type transformers. The global expansion of electrical infrastructure presents significant growth opportunities for the dry-type transformers market and the companies operating within this sector. As countries across the world continue to invest in upgrading and expanding their electrical grids to meet the rising energy demand and integrate renewable energy sources, the demand for efficient and reliable transformers is set to surge. According to WorldBank, about 56% of the population lives in cities, and this trend is expected to grow with the urban population more than doubling its current size by 2050. Urbanization leads to the growth of infrastructure. The demand for safe and reliable electrical solutions increases with the growing construction of high-rise buildings and commercial complexes. Dry-type transformers are a safe and efficient way to distribute power in urban areas, as they do not use oil and are, therefore, less likely to catch fire or pollute the environment.
Challenges: Limitations in power ratings and preference of oil-filled transformers
Dry-type transformers offer superior properties, such as fire safety and environmental friendliness, but have lower power ratings than oil-filled transformers because dry-type transformers do not rely on oil for dissipating heat, so most of the dry-type transformers can handle only smaller power loads. Dry-type transformers may have relatively incur higher losses at higher power ratings than oil-filled transformers. The lower power ratings of dry-type transformers can be challenging in applications requiring large amounts of power, such as in power plants and substations. Dry-type transformers face stiff competition from oil-filled transformers. However, with the growing environmental focus and complex regulatory frameworks, the demand for dry-type transformers is projected to increase in the coming years.
Dry type transformer Market Ecosystem
In this market, prominent companies stand out as well-established and financially stable providers of dry type transformer products and services. With years of experience, these companies boast a diverse product portfolio, cutting-edge technologies, and robust global sales and marketing networks. Their proven track record in the industry positions them as reliable and trusted partners for customers seeking dry type transformer solutions. These companies have demonstrated their ability to adapt to market dynamics and consistently deliver high-quality products and services, making them leaders in meeting the demands of the oil and gas sector. Prominent companies in this market include Schneider Electric (France), Siemens Energy (Germany), Hitachi, Ltd. (Japan), Eaton (Ireland), TOSHIBA CORPORATION (Japan).
The medium voltage segment, by voltage, is expected to be the largest market during the forecast period.
This report segments the dry type transformer market based on voltage into different types: low voltage, medium voltage, and high voltage. The medium voltage segment is expected to be hold the largest share during the forecast period. Industries demand reliable and efficient power delivery at medium voltage levels. Dry type transformers are utilised in a variety of industrial applications, including manufacturing plants, factories, and processing facilities.
By phase, single phase is expected to be the fastest growing during the forecast period.
This report segments the dry type transformer market based on phase into two segments: single phase and three phase. The single phase segment is expected to be the fastest growing during the forecast period. The growth is attributed by the widespread adoption of dry type transformers in low voltage distribution applications. Single-phase power is typically employed in residential and commercial areas with modest power demand. Its tiny and self-contained design, which enables simple indoor installation without the need for specialized ventilation systems, is one of its main advantages. For smaller loads, it might be more economical to install single-phase systems due to lower equipment costs and simplified installation.
“Asia Pacific: The largest region in the dry type transformer market.”
Asia Pacific is expected to be the largest region in the dry type transformer market between 2023–2028, followed by Europe and North America. Asia Pacific has been leading the market. Urbanization and population growth have resulted in the need for vast infrastructure development, which has propelled the energy demand across the region. This has further resulted in an energy demand-supply gap, resulting in a power supply shortage. Electricity shortage is expected to support market growth as it can be attributed to the increasing demand for power leading to the installation of new substations and increasing the demand for dry type transformers. The regional dry type transformer market is experiencing growth due to the presence of leading solution providers like Kirloskar Electric Company (India), Voltamp (India) and CG Power & Industrial Solutions Ltd. (India) also contribute to the market's development by creating opportunities for dry type transformer projects.
Key Market Players
The market is dominated by a few major players that have a wide regional presence. The major players in the dry type transformer market include Schneider Electric (France), Siemens Energy (Germany), Hitachi, Ltd. (Japan) ,Eaton (Ireland), TOSHIBA CORPORATION (Japan). Between 2018 and 2023, Strategies such as new product launches, contracts, agreements, acquisitions, and expansions are followed by these companies to capture a larger share of the market.
Get online access to the report on the World's First Market Intelligence Cloud
- Easy to Download Historical Data & Forecast Numbers
- Company Analysis Dashboard for high growth potential opportunities
- Research Analyst Access for customization & queries
- Competitor Analysis with Interactive dashboard
- Latest News, Updates & Trend analysis
Request Sample Scope of the Report
Get online access to the report on the World's First Market Intelligence Cloud
- Easy to Download Historical Data & Forecast Numbers
- Company Analysis Dashboard for high growth potential opportunities
- Research Analyst Access for customization & queries
- Competitor Analysis with Interactive dashboard
- Latest News, Updates & Trend analysis
Report Metric |
Details |
Market size available for years |
2021–2028 |
Base year considered |
2022 |
Forecast period |
2023–2028 |
Forecast units |
Value (USD Million); Volume (Units) |
Segments Covered |
Dry Type Transformer Market by Technology, Voltage, Phase, Application, and Region. |
Geographies covered |
Asia Pacific, North America, Europe, South America, and Middle East & Africa. |
Companies covered |
Schneider Electric (France), Siemens Energy (Germany), Eaton (Ireland), Hitachi Ltd. (Japan), TOSHIBA CORPORATION (Japan), General Electric (US), Fuji Electric Co., Ltd. (Japan), CG Power & Industrial Solutions Ltd. (India), Kirloskar Electric Company (India), HYOSUNG HEAVY INDUSTRIES (South Korea), Hammond Power Solutions (US), VOLTAMP (India), WEG (Brazil), TMC TRANSFORMERS S.P.A. (Italy), Hanley Energy (Republic of Ireland), alfanar Group (Germany), Efacec (Portugal), TBEA Co., Ltd. (China), JST Power Equipment, INC. (US), Raychem RPG Private Limited (India), RPT Ruhstrat Power Technology GmbH (Germany), Delta Star Power Manufacturing Corp. (Philippines) |
This research report categorizes the market based on technology, voltage, phase, and application, and region.
On the basis of technology, the dry type transformer market has been segmented as follows:
- Cast Resin
- Vaccum Pressure Impregnated
On the basis of voltage, the market has been segmented as follows:
- Low Voltage
- Medium Voltage
- High Voltage
On the basis of application, the market has been segmented as follows:
- Industrial
- Commercial
- Utilities
- Others
On the basis of phase, the market has been segmented as follows:
- Single Phase
- Three Phase
On the basis of region, the market has been segmented as follows:
- North America
- Europe
- Asia Pacific
- South America
- Middle East & Africa
Recent Developments
- In April 2023, Eaton acquired 49 % of stake in Jiangsu Ryan Electrical Co. Ltd. , a manufacturer of power distributrion transformers and dry type transformers. This acquisition will help the company to better serve the customers globally.
- In September 2022, Hitachi, Ltd. introduced RESIBLOC, a rail dry-type traction transformer with voltage upto 25 kV. These transformers are used to power the train's brakes, signaling system, and communication equipment.
- In April 2022, Seimens introduced CAREPOLE, an innovative dry-type single-phase transformer for pole applications. It is a cast-resin distribution transformer which will be installed in the distribution grid. This product was introduced for American Market.
- In October 2021, Hitachi, Ltd. completed the expansion of its Bland, Virginia manufacturing facility, the leading producer of dry-type transformers in North America. This expansion provides the additional production capacity to support new manufacturing capabilities
Frequently Asked Questions (FAQ):
What is the current size of the dry type transformer market?
The current market size of the dry type transformer market is USD 6.3 billion in 2022.
What are the major drivers for the dry type transformer market?
Growing expansion of power grid infrastructure and transition towards sustainable energy consumption practices has emerged as some of major drivers for the dry-type transformers market.
Which is the largest region during the forecasted period in the dry type transformer market?
Asia Pacific is expected to dominate the dry type transformer market between 2023–2028, followed by Europe and North America.
Which is the largest segment, by technology, during the forecasted period in the dry type transformer market?
Cast Resin segment is expected to be the largest market during the forecast period. Cast Resin Technology can assist lower transformer noise levels due to winding encapsulation, making it ideal for noise-sensitive areas.
Which is the fastest growing segment, by phase, during the forecasted period in the dry type transformer market?
Single Phase is expected to be the fastest growing market during the forecast period. The widespread adoption of dry type transformers in low voltage distribution applications is expected to drive the single phase type segment in the forecasted period.
To speak to our analyst for a discussion on the above findings, click Speak to Analyst
The study involved major activities in estimating the current size of the dry type transformer market. Exhaustive secondary research was done to collect information on the peer and parent markets. The next step was to validate these findings, assumptions, and sizing with industry experts across the value chain through primary research. Both top-down and bottom-up approaches were employed to estimate the total market size. Thereafter, market breakdown and data triangulation were used to estimate the market size of the segments and subsegments.
Secondary Research
This research study on the dry type transformers market involved the use of extensive secondary sources, directories, and databases, such as Hoover’s, Bloomberg, Factiva, IRENA, International Energy Agency, and Statista Industry Journal, to collect and identify information useful for a technical, market-oriented, and commercial study of the market. The other secondary sources included annual reports, press releases & investor presentations of companies, white papers, certified publications, articles by recognized authors, manufacturer associations, trade directories, and databases.
Primary Research
The dry type transformer market comprises several stakeholders, such as dry type transformer manufacturers, technology providers, and technical support providers in the supply chain. The demand side of this market is characterized by the rising demand for dry type transformers in various applications such as industrial, commercial, utilities, and others. The supply side is characterized by rising demand for contracts from the industrial sector and mergers & acquisitions among big players. Various primary sources from both the supply and demand sides of the market were interviewed to obtain qualitative and quantitative information. Following is the breakdown of primary respondents:
To know about the assumptions considered for the study, download the pdf brochure
Market Size Estimation
Both top-down and bottom-up approaches were used to estimate and validate the total size of the dry type transformer market. These methods were also used extensively to estimate the size of various subsegments in the market. The research methodology used to estimate the market size includes the following:
- The key players in the industry and market have been identified through extensive secondary research, and their market share has been determined through primary and secondary research.
- The industry’s value chain and market size, in terms of value, have been determined through both primary and secondary research processes.
- All percentage shares, splits, and breakdowns have been determined using secondary sources and verified through primary sources.
Dry type transformer Market Size: Top-Down Approach
To know about the assumptions considered for the study, Request for Free Sample Report
Dry type transformer Market Size: Bottom-Up Approach
Data Triangulation
After arriving at the overall market size from the above estimation process, the total market has been split into several segments and subsegments. Data triangulation and market breakdown processes have been employed to complete the overall market engineering process and arrive at the exact statistics for all the segments and sub-segments, wherever applicable. The data has been triangulated by studying various factors and trends from both the demand- and supply sides. Along with this, the market has been validated using both the top-down and bottom-up approaches.
Market Definition
Dry type transformers are transformers that do not use any liquid to dissipate heat. The coils in dry type transformers are insulated with a gaseous or dry medium. Dry Type transformers are divided into two types: Cast Resin Dry Type Transformers and Vacuum Pressure Impregnated Transformers (VPI). Cast Resin Dry Type Transformers are transformers that use a solid cast resin, typically epoxy, to insulate and protect its primary and secondary windings. Whereas Vacuum Pressure Impregnated (VPI) transformers are the transformers that use a vacuum and pressure process to impregnate the coils with a resin. Stringent environmental regulations, fire safety, easy installation, low maintenance are some of the factors driving the market.
The dry type transformers market comprises revenues of companies generated by year-on-year installation of dry type transformers by major manufacturers for major applications such as commercial, industrial, utilities and other applications.
Key Stakeholders
- Energy Regulators
- Consulting companies in the energy and power sector
- Distributors of dry type transformers
- Governments and research organizations
- Power equipment and garden tool manufacturers
- Dry type transformers manufacturers
- Spare parts and component suppliers
Objectives of the Study
- To define, describe, segment, and forecast the dry type transformer market size, by technology, voltage, phase, and application, in terms of volume & value.
- To forecast the market size across five key regions, namely, North America, Europe, Asia Pacific, Middle East & Africa, and South America, along with the country-level market sizes, in terms of value
- To provide detailed information about the key drivers, restraints, opportunities, and industry-specific challenges influencing the growth of the dry type transformers market
- To strategically analyze the market with respect to individual growth trends, prospects, and contributions of each segment to the market
- To provide information pertaining to the supply chain, trends/disruptions impacting customer business, market map, pricing of portable power stations, and regulatory landscape pertaining to the market
- To strategically analyze the micromarkets1 with respect to individual growth trends, upcoming expansions, and their contributions to the overall market
- To analyze opportunities for stakeholders in the market and draw a competitive landscape for market players.
- To benchmark players within the market using the company evaluation quadrant, which analyzes market players on various parameters within the broad categories of business and product strategies.
- To compare key market players with respect to the market share, product specifications, and applications
- To strategically profile key players and comprehensively analyze their market ranking and core competencies2
- To track and analyze competitive developments in the market, such as sales contracts, agreements, investments, expansions, product launches, alliances, mergers, partnerships, joint ventures, collaborations, and acquisitions.
Available Customizations:
With the given market data, MarketsandMarkets offers customizations according to the specific requirements of companies. The following customization options are available for the report:
Product Analysis
- Product Matrix, which provides a detailed comparison of the product portfolio of each company
Company Information
- Detailed analyses and profiling of additional market players
Growth opportunities and latent adjacency in Dry Type Transformer Market