Distribution Transformer Market to See Incredible Growth During 2025

Distribution Transformer Market: Overview

In order to make AC power distribution feasible, invention of a practical efficient transformer was necessary, therefore a system using distribution transformers was commercially implemented in the early 1900s. A distribution transformer provides final voltage transformation in the electric power distribution system, reducing the voltage used in the distribution lines to the level used by the customer. The most common application of distribution transformers is in the utility sector.

The distribution transformer market is witnessing effervescent product innovations to curb energy losses, a major concern associated with power generation and transmission due to high influence by energy efficiency norms. Innovations in recent years include the launch of transformers with amorphous metal distribution transformers and hexaformers. The distribution transformer market is also witnessing a shift towards Dry Type Distribution Transformers from Oil Filled Distribution Transformers. Rising concerns over carbon emissions and the need to develop energy-efficiency, has in turn directed manufacturers to look for materials which are energy-efficient for transformer components.

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Distribution Transformer Market: Trends and Prospects

Micro and macro factors by in large affect the sale of equipment, hence driving the market for distribution transformers. One of the major factors is the surge in population, which has stimulated the use of electricity and power by domestic users as well as the commercial and industrial market. Construction of a new building and facility requires installation of new distribution transformers for that particular grid/area. Certain transformers also need to be done away with, as they wear out over the years that drive up the sales for new ones.

Moreover, one of the chief reasons to install distribution transformers at a certain point is that, it reduces power wastage and controls the cost of energy loss. On the other hand, the key market factors such as electrical contractors, vendors, and distributors lack awareness of the most resourceful transformers, which acts as a restraint in most regions. Also, many project/building owners, abstain themselves from installing efficient transformers, as the cost of installation and equipment purchase is borne by them, and the perks of low power bill are enjoyed by the tenants, hence limiting the growth. Furthermore, energy-efficient distribution transformers are rarely a stock item. In most cases, they need to be custom-made depending on the requirement of the project or geographical area.

Distribution Transformer Market: Segment Overview

Classification of the distribution transformer market is mainly done on the basis of various factors namely; voltage class, and Basic impulse Insulation Level (BIL), type of insulation (dry-type or liquid-immersed), mounting location (pad, pole or underground vault), and number of phases (three-phase or single-phase). Under voltage class, transformer capacity is subjected to its purpose – in case of Commercial and Industrial (C&I) phases, the transformer installed has to be a high capacity one, however a lower capacity transformer works well for domestic phases, depending on the geographical location.

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Distribution Transformer Market: Key Market Players

General Electric, Siemens AG, Kirloskar Electric Company Ltd., Crompton Greaves Ltd., and Eaton Corp are a few key players of the distribution transformers market.

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