North America Transformer Market Size

Market factors drive the dynamics of North America’s transformer market in response to changes and shifting needs within that region’s power infrastructure. The main catalyst for the transformer market in North America is grid renovation.
In the case of infrastructure, aging and coupled with increasing integration renewable energy resource necessitates replacement and adaptation transformers to ensure reliability grid optimization.
Governments and utilities invest significantly in smart grid initiatives, thereby fostering the demand for advanced transformers that can accommodate multidigital technologies implementation as well contribute to improving the resilience of grids.
North America transformer market is primarily driven by the rise in share of renewable energy sources and energy transition. There has been a sharp increase in renewable energy projects especially wind and solar due to the region’s dedication towards reducing carbon emissions.
In these projects, transformers are important elements that ensure the effective transfer of energy from renewable sources. The development of utility-scale solar and wind projects has driven the need for large capacity transformers with better functionalities, helping to fuel energy transition in the region. Another major growth driver that is influencing the North America transformer market is electrification of transportation and specifically increasing popularity EVs.
The need to install EV charging infrastructure leads to the demand for deployment of distribution transformers, which have been responsible for effective and efficient power transmission. The demand for the transformer is increasing in parallel with investments by governments and industries into expanding EV charging network, demonstrating how electric vehicles will change regional power infrastructure.
A key issue in the North America transformer market is grid resilience and responding to threats posed by extreme weather events, hurricanes and wildfires. The inability of the area to adapt to natural disasters brings up transformers that are capable of functioning under extreme weather conditions and aid grid resilience. Transformer manufacturers are trying to innovate by coming up with designs that can be resilient and robust, incorporating elements such as insulation material upgrade or a protective coating coated transformers in an attempt to overcome adverse weather impacts.
Digitalization as well as smart technology is affecting North America transformer market. Advanced monitoring, communication and control features of smart transformers provide real time information on grid conditions to allow utilities in improving operational efficiency while proactively detecting faults for better management of the grid.