Global transformer market reached $12.5bn in 2011
Report shows Middle East and Asia-Pacific key drivers of growth
A report by GlobalData has found that revenue from the global transformer market reached US $12.5 billion in 2011, driven up by demand from the Middle East and Asia-Pacific region. The report suggests that investment in transformers has grown as increased investment in power infrastructure is boosted by economic growth and rapidly rising population growth.
GlobalData has forecast that the market is set to see significant future growth as well, with China, India and Russia expected to record significant growth in future. China and India's share of the transformer market is expected to increase to 45.6% in 2020, up from 36% last year. The two countries are set for huge transmission and distribution investment during this time period. China, for example, is planning to add 100,000 MW of installed power capacity between 2012 and 2017.
Russia’s market is also forecast to grow impressively, rising from $750 million in 2011 to $1.3 billion by 2020. Russia is planning to invest in its power grid to support greater power loads and to improve reliability.
Whilst the rate of new power transformer installations is slower in Europe and North America, GlobalData says that 70% of the installed transformers are over 25 years old and that the replacement market still holds promise for transformer companies. Global power transformer revenue is consequently forecast to grow to $22.8 billion in 2020.