Solid State Transformer Market

• Increase in the number of electric vehicles is driving market growth

The Global Solid State Transformer Market Industry is witnessing a surge in demand driven by the transition towards renewable energy sources. Governments worldwide are implementing policies to reduce carbon emissions, which has led to increased investments in solar and wind energy. Solid state transformers facilitate the integration of these renewable sources into the grid by providing efficient power conversion and management. For instance, in 2024, the market is projected to reach 0.13 USD Billion, reflecting the growing emphasis on sustainable energy solutions. This trend is expected to continue, as the industry adapts to the evolving energy landscape.

By Region, the study delivers market insights into North America, Europe, Asia-Pacific, and the Rest of the World. The North American solid state transformer market will dominate this market, owing to the technological enhancement and increasing investments in smart grids and energy systems that are estimated to augment the market demand. In addition, various contracts led by the players to fuel low carbon energy generation are expected to enhance the market outlook in the region positively.

Further, the US solid state transformer market held the largest market share, and the Canada solid state transformer market was the fastest-growing market in the European region.

Further, the major countries studied in the market report are The U.S., Canada, German, France, the UK, Italy, Spain, China, Japan, India, Australia, South Korea, and Brazil.

Figure 2: Solid State Transformer Market Share By Region 2022 (%)

Source: Secondary Research, Primary Research, MRFR Database, and Analyst Review

Europe solid state transformer market accounts for the second-largest market share owing to the presence of key companies such as Siemens AG and Alstom that is presumed to propel the adoption of solid state transformer in the European region. Further, the German solid state transformer market held the largest market share, and the UK solid state transformer market was the fastest-growing market in the European region.

The Asia-Pacific solid state transformer market is expected to grow at the fastest CAGR from 2023 to 2032. This is due to the increasing investment in smart grid technology and the increasing electricity demand, leading to the expansion of investment in power infrastructure across the region. Moreover, China solid state transformer market held the largest market share, and the Indian solid state transformer market was the fastest-growing market in the Asia-Pacific region.

Leading market players are investing heavily in research and development to expand their product lines, which will help the solid state transformer market grow even more. Market participants are also undertaking various strategic activities to expand their global footprint, with important market developments including new product launches, contractual agreements, mergers and acquisitions, higher investments, and collaboration with other organizations. The global solid state transformer industry must offer cost-effective items to expand and survive in a more competitive and rising market climate.

Manufacturing locally to minimize operational costs is one of the key business tactics manufacturers’ use in the global solid state transformer industry to benefit clients and increase the market sector. Major players in the solid state transformer market, including ABB Ltd. (Switzerland), Alstom SA (France), Siemens AG (Germany), General Electric Co. (U.S.), and others, are attempting to increase market demand by investing in research and development operations.

GE Renewable Energy generates renewable energy. The Company develops, installs, and manages wind and hydropower electricity-generating projects. GE Renewable Energy serves customers worldwide. In July 2021, GE Renewable Energy Grid Solutions' business secured multiple orders to supply 765 kV transformers, such as solid-state transformers and reactors, in India. The contracts have been approved by Power Grid Corporation of India. As part of the contract, GE will supply 13 units of 765 kV transformers and about 32 units of 765 kV reactors.

Gridwise Alliance Inc was founded in 2004. The company's line of business includes providing business consulting services on a contract or fee basis. It is an American organization representing a range of the energy supply chain, from utilities to large tech companies to academia, venture capitalists, and emerging tech companies. In December 2020, GridWise Alliance in the United States launched its comprehensive Policy Framework for Grid Investments in Economic Recovery, which outlines the need for USD 50 billion in federal spending for grid modernization.