Global Oil Immersed Shunt Reactor Market Overview
As per MRFR analysis, the Oil Immersed Shunt Reactor Market Size was estimated at 11.61 (USD Billion) in 2022. The Oil Immersed Shunt Reactor Market Industry is expected to grow from 12.2(USD Billion) in 2023 to 18.99 (USD Billion) by 2032. The Oil Immersed Shunt Reactor Market CAGR (growth rate) is expected to be around 5.04% during the forecast period (2024 - 2032).
Key Oil Immersed Shunt Reactor Market Trends Highlighted
The Oil Immersed Shunt Reactor Market is experiencing significant growth attributed to rising demand for electricity transmission and distribution, increasing industrialization, and expanding renewable energy sectors. Key market drivers include the growing emphasis on grid stability, the need for efficient power transmission, and supportive government policies promoting renewable energy integration. Moreover, advancements in power electronics and the development of smart grids are creating new opportunities for the oil-immersed shunt reactor market. Recent trends include the adoption of compact and modular designs, as well as the incorporation of advanced monitoring and control systems, enhancing grid reliability and efficiency. Strategic partnerships mergers and acquisitions are shaping the competitive landscape, with key players focusing on expanding their global reach and product offerings in response to market demands.
Source: Primary Research, Secondary Research, MRFR Database and Analyst Review
Oil Immersed Shunt Reactor Market Drivers
Increasing Demand for Reliable and Efficient Power Transmission
The growing demand for reliable and efficient power transmission is a major driver of the Oil Immersed Shunt Reactor Market Industry. As the world's population continues to grow, so too does the demand for electricity. This increased demand is putting a strain on existing power grids, which are often not equipped to handle the increased load. Oil immersed shunt reactors help to stabilize the voltage on power lines, reducing the risk of outages and improving the overall efficiency of the grid.This makes them an essential component of any modern power system. The increasing demand for renewable energy sources is also driving the growth of the Oil Immersed Shunt Reactor Market. Renewable energy sources, such as solar and wind power, are often intermittent, meaning that they can't always be relied upon to generate electricity. Oil immersed shunt reactors help to smooth out the fluctuations in renewable energy output, making it more reliable and easier to integrate into the grid.This is helping to accelerate the transition to a more sustainable energy future. Finally, the growing trend of urbanization is also contributing to the growth of the Oil Immersed Shunt Reactor Market Industry. As more and more people move to cities, the demand for electricity is increasing. This is putting a strain on existing power grids, which are often not equipped to handle the increased load. Oil immersed shunt reactors help to stabilize the voltage on power lines, reducing the risk of outages and improving the overall efficiency of the grid.This makes them an essential component of any modern power system.
Technological Advancements
Technological advancements are another major driver of the Oil Immersed Shunt Reactor Market Industry. In recent years, there have been a number of significant advancements in the design and manufacture of oil-immersed shunt reactors. These advancements have resulted in reactors that are more efficient, more reliable, and more compact than ever before. One of the most significant technological advancements in recent years has been the development of new materials for use in oil-immersed shunt reactors.These new materials have improved the electrical and thermal properties of reactors, making them more efficient and more reliable. They have also made reactors more compact, which is important for applications where space is limited. Another significant technological advancement has been the development of new manufacturing techniques. These new techniques have improved the quality and consistency of reactors, making them more reliable and longer lasting.They have also reduced the cost of manufacturing reactors, making them more affordable for a wider range of applications.
Government Regulations
Government regulations are also playing a role in the growth of the Oil Immersed Shunt Reactor Market Industry. In many countries, governments are implementing regulations that require utilities to use oil-immersed shunt reactors to improve the reliability and efficiency of their power grids. These regulations are helping to drive the demand for reactors, and they are also providing a level of certainty for manufacturers.
Oil Immersed Shunt Reactor Market Segment Insights
Oil Immersed Shunt Reactor Market Installed Capacity Insights
The Oil Immersed Shunt Reactor Market is segmented by Installed Capacity into 'Below 50 MVAR', '50-100 MVAR', '100-150 MVAR', and 'Above 150 MVAR'. Among these segments, the 'Below 50 MVAR' segment held the largest market share in 2023, accounting for approximately 40% of the Oil Immersed Shunt Reactor Market revenue. The '50-100 MVAR' segment is expected to follow closely behind, with a market share of around 30%. The '100-150 MVAR' and 'Above 150 MVAR' segments are expected to account for the remaining market share.The growth of the 'Below 50 MVAR' segment can be attributed to the increasing demand for shunt reactors in distribution networks. These reactors are used to compensate for the reactive power demand of inductive loads, such as motors and transformers. The '50-100 MVAR' segment is also expected to witness significant growth due to the increasing adoption of shunt reactors in transmission networks. These reactors are used to control voltage levels and improve power quality. The '100-150 MVAR' and 'Above 150 MVAR' segments are expected to witness moderate growth due to the increasing demand for shunt reactors in large-scale industrial applications.These reactors are used to compensate for the reactive power demand of heavy machinery and equipment. Overall, the Oil Immersed Shunt Reactor Market is expected to witness steady growth in the coming years, driven by the increasing demand for shunt reactors in various applications.
Source: Primary Research, Secondary Research, MRFR Database and Analyst Review
Oil Immersed Shunt Reactor Market Voltage Insights
The Oil Immersed Shunt Reactor Market is segmented by voltage into Below 132 kV, 132-220 kV, 220-400 kV, and Above 400 kV. Among these segments, the 220-400 kV segment held the largest market share in 2023, accounting for around 40% of the Oil Immersed Shunt Reactor Market revenue. The growth of this segment can be attributed to the increasing demand for shunt reactors in the voltage range of 220-400 kV for power transmission and distribution applications. The Below 132 kV segment is also expected to witness significant growth during the forecast period, owing to the rising demand for shunt reactors in low-voltage applications.
Oil Immersed Shunt Reactor Market Reactor Type Insights
The Oil Immersed Shunt Reactor Market segmentation by Reactor Type can be divided into Dry-Type, Oil-Immersed, Air-Core, and Liquid-Filled. Among these, the Oil-Immersed segment held the largest market share in 2023, accounting for approximately 45.2%. The growth of this segment can be attributed to the increasing demand for reliable and efficient power transmission and distribution systems. Oil-immersed shunt reactors offer several advantages, such as high efficiency, low maintenance requirements, and long service life, making them a preferred choice for various industrial applications.The Dry-Type segment is expected to witness significant growth in the coming years, owing to its compact design and ability to operate in harsh environmental conditions. Additionally, the growing adoption of renewable energy sources, such as solar and wind power, is expected to drive the demand for dry-type shunt reactors for grid integration and voltage regulation.
Oil Immersed Shunt Reactor Market Core Material Insights
The Oil Immersed Shunt Reactor Market is segmented by Core Material into Amorphous Core, Crystalline Core, and Grain-Oriented Silicon Steel. In 2023, the Grain-Oriented Silicon Steel segment held the largest market share at 65.69%, followed by Crystalline Core with 23.58% and Amorphous Core with 10.73%. The market growth for each segment is projected to be driven by factors such as increasing demand for shunt reactors in power transmission and distribution networks, rising investments in renewable energy projects, and the need for efficient power factor correction.
Oil Immersed Shunt Reactor Market Insulation Type Insights
The Oil Immersed Shunt Reactor Market is segmented by Insulation Type into Paper Insulation, Resin Insulation, and Silicone Insulation. Paper Insulation held the largest market share in 2023, accounting for around 40% of the Oil Immersed Shunt Reactor Market revenue. Paper Insulation is a traditional and cost-effective insulation material that has been used in shunt reactors for many years. It is made from layers of Kraft paper that are impregnated with oil. Resin Insulation is a newer type of insulation material that is gaining popularity due to its superior electrical and thermal properties.It is made from a synthetic resin that is poured into the reactor tank and cured. Silicone Insulation is another newer type of insulation material that is known for its high temperature resistance and long lifespan. It is made from a silicone rubber that is applied to the windings of the reactor. The demand for Oil Immersed Shunt Reactors with Resin Insulation and Silicone Insulation is expected to grow in the coming years due to their superior properties.
Oil Immersed Shunt Reactor Market Regional Insights
The regional segmentation of the Oil Immersed Shunt Reactor Market provides insights into the market's performance in different geographic regions. North America is expected to hold a significant market share due to the presence of developed economies with high electricity consumption and increasing investments in grid infrastructure. Europe is another major region with a high demand for oil-immersed shunt reactors for voltage regulation and power factor correction. The Asia-Pacific region is projected to witness substantial growth, driven by rapid industrialization and expanding power grids.South America and the Middle East and Africa (MEA) are also expected to contribute to the market growth, with increasing investments in renewable energy and grid modernization projects. The Oil Immersed Shunt Reactor Market segmentation data indicates that North America is anticipated to generate revenue of 6.9 billion USD by 2028, while Europe is projected to reach 5.3 billion USD. The APAC region is estimated to register a CAGR of 6.3% during the forecast period, reaching 4.9 billion USD by 2028. South America is expected to contribute 1.2 billion USD, and MEA is projected to generate 1.7 billion USD by 2028.
Source: Primary Research, Secondary Research, MRFR Database and Analyst Review
Oil Immersed Shunt Reactor Market Key Players And Competitive Insights
Major players in Oil Immersed Shunt Reactor Market are focusing on expanding their global presence by establishing new manufacturing facilities and acquiring local companies. They are also investing in research and development to improve the efficiency and performance of their products. Leading Oil Immersed Shunt Reactor Market players are adopting various strategies to gain a competitive edge, such as offering customized solutions, providing value-added services, and forming strategic alliances with other companies in the industry. The Oil Immersed Shunt Reactor Market is expected to witness significant growth in the coming years due to increasing demand for electricity and rising investment in renewable energy projects.A leading player in the Oil Immersed Shunt Reactor Market is Siemens. The company offers a wide range of oil immersed shunt reactors, which are used to regulate voltage levels in electrical power systems. Siemens has a strong global presence and a well-established reputation for providing high-quality products and services. The company is committed to innovation and is continuously investing in research and development to improve the performance of its products. Siemens is also focused on expanding its global reach through strategic acquisitions and partnerships.A major competitor in the Oil Immersed Shunt Reactor Market is ABB. The company offers a comprehensive portfolio of oil-immersed shunt reactors, which are designed to meet the specific needs of customers. ABB has a strong global presence and a well-established reputation for providing high-quality products and services. The company is committed to innovation and is continuously investing in research and development to improve the performance of its products. ABB is also focused on expanding its global reach through strategic acquisitions and partnerships.
Key Companies in the Oil Immersed Shunt Reactor Market Include
- Siemens AG
- Arteche Group
- Sumec People's Electrical Equipment Group
- Emotron AB
- LG Electronics
- General Electric Company
- CG Power
- ABB Ltd.
- CESI S.p.A.
- Mitsubishi Electric Corporation
- Eaton Corporation
- Toshiba Corporation
- Hitachi, Ltd.
- Schneider Electric
- Hyundai Electric Energy Systems
Oil Immersed Shunt Reactor Market Industry Developments
The Oil Immersed Shunt Reactor Market is projected to reach USD 18.99 Billion by 2032 from an estimated USD 12.2 Billion in 2023, at a CAGR of 5.04% during the forecast period. Rising investments in renewable energy sources, increasing electricity demand, and growing adoption of smart grids are key factors driving market growth. Recent news developments in the market include Siemens Energy's launch of a new line of oil-filled shunt reactors and ABB's acquisition of GE's Industrial Solutions business, which includes its oil-immersed shunt reactor product line. These developments indicate a growing emphasis on innovation and consolidation in the industry.
Oil Immersed Shunt Reactor Market Segmentation Insights
- Oil Immersed Shunt Reactor Market Installed Capacity Outlook
- Below 50 MVAR
- 50-100 MVAR
- 100-150 MVAR
- Above 150 MVAR
- Oil Immersed Shunt Reactor Market Voltage Outlook
- Below 132 kV
- 132-220 kV
- 220-400 kV
- Above 400 kV
- Oil Immersed Shunt Reactor Market Reactor Type Outlook
- Dry-Type
- Oil-Immersed
- Air-Core
- Liquid-Filled
- Oil Immersed Shunt Reactor Market Core Material Outlook
- Amorphous Core
- Crystalline Core
- Grain-Oriented Silicon Steel
- Oil Immersed Shunt Reactor Market Insulation Type Outlook
- Paper Insulation
- Resin Insulation
- Silicone Insulation
| Report Attribute/Metric |
Details |
| Market Size 2022 |
11.61 (USD Billion) |
| Market Size 2023 |
12.2 (USD Billion) |
| Market Size 2032 |
18.99 (USD Billion) |
| Compound Annual Growth Rate (CAGR) |
5.04% (2024 - 2032) |
| Report Coverage |
Revenue Forecast, Competitive Landscape, Growth Factors, and Trends |
| Base Year |
2023 |
| Market Forecast Period |
2024 - 2032 |
| Historical Data |
2019 - 2022 |
| Market Forecast Units |
USD Billion |
| Key Companies Profiled |
Siemens AG, Arteche Group, Sumec People's Electrical Equipment Group, Emotron AB, LG Electronics, General Electric Company, CG Power, ABB Ltd., CESI S.p.A., Mitsubishi Electric Corporation, Eaton Corporation, Toshiba Corporation, Hitachi, Ltd., Schneider Electric, Hyundai Electric Energy Systems |
| Segments Covered |
Installed Capacity, Voltage, Reactor Type, Core Material, Insulation Type, Regional |
| Key Market Opportunities |
Growing demand, Infrastructure expansion, Smart grid initiatives, Technological advancements, and Renewable energy integration |
| Key Market Dynamics |
Rising demand for renewable energy, increasing power grid infrastructure, technological advancements, government initiatives and growing industrialization |
| Countries Covered |
North America, Europe, APAC, South America, MEA |
Frequently Asked Questions (FAQ) :
The Oil Immersed Shunt Reactor Market is expected to reach a valuation of 18.99 Billion USD by 2032, exhibiting a CAGR of 5.04% during the forecast period of 2024-2032.
Asia-Pacific is projected to dominate the Oil Immersed Shunt Reactor Market throughout the forecast period, owing to the rapid industrialization and growing demand for electricity in the region.
Oil Immersed Shunt Reactors are primarily used for voltage regulation, power factor correction, and harmonic filtering in electrical power systems.
Key players in the Oil Immersed Shunt Reactor Market include ABB, Siemens, Schneider Electric, General Electric, and Toshiba.
The Oil Immersed Shunt Reactor Market is anticipated to grow at a CAGR of 5.04% from 2023 to 2032.
Factors driving the growth of the Oil Immersed Shunt Reactor Market include increasing demand for electricity, growing industrialization, and the need for efficient voltage regulation and power factor correction.
Challenges faced by the Oil Immersed Shunt Reactor Market include intense competition, stringent regulations, and technological advancements.
Key trends in the Oil Immersed Shunt Reactor Market include the growing adoption of smart grid technologies, the increasing use of renewable energy sources, and the demand for compact and efficient reactors.
The COVID-19 pandemic had a moderate impact on the Oil Immersed Shunt Reactor Market, leading to temporary disruptions in supply chains and project delays.
The Oil Immersed Shunt Reactor Market is expected to witness steady growth over the forecast period, driven by increasing demand for electricity and the need for efficient voltage regulation and power factor correction.
