Global Three Phase Shunt Reactor Market Overview
As per MRFR analysis, the Three Phase Shunt Reactor Market Size was estimated at 1.52 (USD Billion) in 2022. The Three Phase Shunt Reactor Market Industry is expected to grow from 1.58(USD Billion) in 2023 to 2.25 (USD Billion) by 2032. The Three Phase Shunt Reactor Market CAGR (growth rate) is expected to be around 4.01% during the forecast period (2024 - 2032).
Key Three Phase Shunt Reactor Market Trends Highlighted
The global three-phase shunt reactor market is expected to register significant growth due to the need for compensating reactive power in the electrical power systems. The increasing use of volt-variations in electrical power networks is the main reason for the market growth as renewable energy sources like solar photovoltaic and wind power generate fluctuations in the injections to the grid, hence requiring reactive power.
With respect to increases in the electricity supply, there remain opportunities in the growth of the power transmission and distribution systems. More so, shunt reactors are in high demand due to the application of HVDC in the transmission network which causes power frequency voltage distortion.
Current industrial market tendencies involve creation of more compact and efficient solutions with reduced losses such as cost effective shunt reactors. Combining digital solutions, such as sensors and control systems connected to the system based on monitoring, increases the efficiency of the shunt reactors because their control becomes more efficient. At the same time, the shift to new environmentally friendly materials and new manufacturing technologies is gaining momentum.
Source: Primary Research, Secondary Research, MRFR Database and Analyst Review
Three Phase Shunt Reactor Market Drivers
Increasing Demand for Renewable Energy Sources
The growing adoption of renewable energy sources, such as solar and wind power, is driving the demand for three-phase shunt reactors. These reactors help to stabilize the voltage and improve the power quality of the grid when renewable energy sources are integrated. As the world transitions to a more sustainable energy mix, the need for three-phase shunt reactors is expected to increase significantly, creating a major growth opportunity for the Three Phase Shunt Reactor Market Industry.
Expansion of the Power Grid Infrastructure
The expansion of the power grid infrastructure in developing countries is another key driver of the Three Phase Shunt Reactor Market Industry. As these countries invest in upgrading and expanding their power grids, the demand for three-phase shunt reactors is increasing. These reactors help to improve the efficiency and reliability of the power grid, reducing transmission losses and improving voltage stability.
Growing Demand from the Industrial Sector
The industrial sector is a major consumer of electricity, and the demand for three-phase shunt reactors from this sector is growing. These reactors help to improve the power quality and efficiency of industrial processes, reducing energy consumption and improving productivity. As the industrial sector continues to grow, the demand for three-phase shunt reactors is expected to increase.
Three Phase Shunt Reactor Market Segment Insights
Three Phase Shunt Reactor Market Voltage Rating Insights
The Three Phase Shunt Reactor Market is segmented by voltage rating, including Low Voltage (0.4kV - 1kV), Medium Voltage (1kV - 33kV), High Voltage (33kV - 132kV), Extra-High Voltage (132kV - 220kV), and Ultra-High Voltage (220kV and above). Among these segments, the Medium Voltage segment held the largest market share in 2023, accounting for around 35% of the global revenue. This dominance is attributed to the extensive use of medium voltage distribution networks in various applications, such as industrial facilities, commercial buildings, and infrastructure projects.
The High Voltage segment is expected to witness significant growth during the forecast period, with a CAGR of 4.5% from 2024 to 2032. This growth is driven by the increasing demand for shunt reactors in high-voltage power transmission systems to regulate voltage levels and improve power quality. This growth is attributed to the increasing demand for shunt reactors in various industries, including power generation, transmission, and distribution, as well as the growing need for voltage regulation and power quality improvement. The Asia-Pacific region is expected to be the largest market for shunt reactors, driven by the rapid expansion of power infrastructure and industrialization in the region.
Source: Primary Research, Secondary Research, MRFR Database and Analyst Review
Three Phase Shunt Reactor Market Phase Insights
The Three Phase Shunt Reactor Market is segmented by phase into Single Phase and Three Phase. The Three Phase segment is expected to hold a larger market share in 2024 and is projected to continue its dominance throughout the forecast period. The Three Phase segment is primarily driven by the increasing demand for efficient power transmission and distribution systems.
Three Phase shunt reactors are used to regulate voltage levels, improve power factor, and reduce transmission losses. The growing adoption of renewable energy sources, such as solar and wind power, is also contributing to the growth of the Three Phase segment as these systems require stable voltage regulation to ensure efficient operation.The Three Phase Shunt Reactor Market is expected to witness significant growth in the coming years, driven by increasing investments in grid infrastructure, rising demand for renewable energy sources, and the need for efficient power transmission and distribution systems.
Three Phase Shunt Reactor Market Cooling Type Insights
The Cooling Type segment of the Three Phase Shunt Reactor Market is segmented into Oil Immersed, Dry Type, Air Cooled, and Water Cooled. The Oil Immersed segment is expected to hold the largest market share in 2023, accounting for around 40% of the Three Phase Shunt Reactor Market revenue. The Dry Type segment is expected to grow at the highest CAGR during the forecast period, driven by the increasing demand for energy-efficient and environmentally friendly solutions. The Air Cooled segment is expected to account for a significant market share, owing to its low maintenance and operating costs.The Water Cooled segment is expected to witness moderate growth, primarily due to its high installation and operating costs.
Three Phase Shunt Reactor Market Application Insights
The application segment plays a crucial role in shaping the Three Phase Shunt Reactor Market landscape. Power Factor Correction emerged as the dominant segment in 2023, capturing a significant market share. This dominance is primarily attributed to the rising demand for efficient power utilization and reduced energy losses in various industries. The Voltage Regulation segment is projected to exhibit a steady growth rate during the forecast period, driven by the increasing need to maintain stable voltage levels in power distribution systems. Harmonic Filtering and Resonance Compensation applications are also gaining traction, supported by the growing adoption of renewable energy sources and the need to mitigate harmonics and resonance issues in electrical systems.
Three Phase Shunt Reactor Market Mounting Type Insights
The Three Phase Shunt Reactor Market is segmented by mounting type into floor mounted, wall mounted, and pole mounted. Among these, the floor mounted segment held the largest market share in 2023, and is expected to continue its dominance throughout the forecast period. This growth is attributed to the increasing demand for floor mounted shunt reactors in industrial applications, where they are used to improve power quality and reduce voltage fluctuations. The wall mounted segment is expected to witness significant growth over the forecast period, owing to the rising adoption of wall mounted shunt reactors in commercial and residential buildings. The pole mounted segment is expected to grow at a moderate pace, due to its increasing use in outdoor applications, such as substations and transmission lines.
Three Phase Shunt Reactor Market Regional Insights
The Three Phase Shunt Reactor Market is segmented into North America, Europe, APAC, South America, and MEA. Among these regions, APAC is expected to hold the largest market share in the coming years due to the increasing demand for electricity from developing countries such as China and India. The growing population and industrialization in these countries are leading to a surge in the demand for power, which in turn is driving the market for three-phase shunt reactors.
The Three Phase Shunt Reactor Market is expected to witness significant growth in the coming years. The market is expected to be driven by the increasing demand for electricity from developing countries and the need to improve the efficiency of power transmission and distribution systems. The growing adoption of renewable energy sources, such as solar and wind power, is also expected to contribute to the growth of the market, as these sources require shunt reactors to regulate voltage and improve grid stability.
Source: Primary Research, Secondary Research, MRFR Database and Analyst Review
Three Phase Shunt Reactor Market Key Players And Competitive Insights
Major players in Three Phase Shunt Reactor Market industry consistently invest in research and development to enhance their product offerings and stay ahead of the competition. Leading Three Phase Shunt Reactor Market players focus on strategic partnerships and acquisitions to expand their global reach and strengthen their market position. The Three Phase Shunt Reactor Market is characterized by intense competition, with established players vying for market share.
The competitive landscape is expected to remain dynamic, with new entrants emerging and existing players expanding their product portfolios. To gain a competitive edge, companies are emphasizing innovation, customer-centricity, and sustainability. Among the leading players in the Three Phase Shunt Reactor Market, ABB is a prominent name. The company has a strong global presence and offers a diverse range of shunt reactors. Its commitment to research and development has resulted in the introduction of advanced products, such as the SVC Light, which can mitigate voltage fluctuations and improve system stability. ABB's focus on customer satisfaction and its extensive service network have contributed to its success in the Three Phase Shunt Reactor Market.
A significant competitor in the Three Phase Shunt Reactor Market is Siemens. The company is known for its wide product portfolio, including shunt reactors designed for various applications. Siemens' focus on innovation has led to the development of cutting-edge technologies, such as the DVF series of reactors, which offer improved performance and reliability. The company's global presence and strong distribution network enable it to cater to the needs of customers worldwide. Siemens' commitment to sustainability also aligns with the growing market demand for eco-friendly solutions.
Key Companies in the Three Phase Shunt Reactor Market Include
- Siemens
- Mitsubishi Electric
- Larsen Toubro
- Bharat Heavy Electricals Limited
- Schneider Electric
- General Electric
- Eaton
- ABB
- Power Grid Corporation of India
- Hyundai Electric
- LS Industrial Systems
- Havells India
- Crompton Greaves
- Toshiba
- Hyosung Heavy Industries
Three Phase Shunt Reactor Market Industry Developments
The Three Phase Shunt Reactor Market is projected to reach USD 2.25 billion by 2032 from USD 1.58 billion in 2023, at a CAGR of 4.01% during the forecast period. The growth of the market is attributed to the increasing demand for electricity, the need for voltage regulation, and the growing adoption of renewable energy sources. Recent developments in the market include the launch of new products, such as the high-voltage shunt reactor by ABB, and the acquisition of GE's grid solutions business by Eaton. These developments are expected to further drive the growth of the market.Key players in the market include ABB, Siemens, GE, Eaton, and Toshiba. These players are focusing on developing new products and expanding their geographic reach to maintain their market share.
Three Phase Shunt Reactor Market Segmentation Insights
- Three Phase Shunt Reactor Market Voltage Rating Outlook
- Low Voltage (0.4kV - 1kV)
- Medium Voltage (1kV - 33kV)
- High Voltage (33kV - 132kV)
- Extra-High Voltage (132kV - 220kV)
- Ultra-High Voltage (220kV and above)
- Three Phase Shunt Reactor Market Phase Outlook
- Three Phase Shunt Reactor Market Cooling Type Outlook
- Oil Immersed
- Dry Type
- Air Cooled
- Water Cooled
- Three Phase Shunt Reactor Market Application Outlook
- Power Factor Correction
- Voltage Regulation
- Harmonic Filtering
- Resonance Compensation
- Three Phase Shunt Reactor Market Mounting Type Outlook
- Floor Mounted
- Wall Mounted
- Pole Mounted
| Report Attribute/Metric |
Details |
| Market Size 2022 |
1.52(USD Billion) |
| Market Size 2023 |
1.58(USD Billion) |
| Market Size 2032 |
2.25(USD Billion) |
| Compound Annual Growth Rate (CAGR) |
4.01% (2024 - 2032) |
| Report Coverage |
Revenue Forecast, Competitive Landscape, Growth Factors, and Trends |
| Base Year |
2023 |
| Market Forecast Period |
2024 - 2032 |
| Historical Data |
2019 - 2023 |
| Market Forecast Units |
USD Billion |
| Key Companies Profiled |
Siemens, Mitsubishi Electric, Larsen Toubro, Bharat Heavy Electricals Limited, Schneider Electric, General Electric, Eaton, ABB, Power Grid Corporation of India, Hyundai Electric, LS Industrial Systems, Havells India, Crompton Greaves, Toshiba, Hyosung Heavy Industries |
| Segments Covered |
Voltage Rating, Phase, Cooling Type, Application, Mounting Type, Regional |
| Key Market Opportunities |
Growing demand from renewable energy Increasing need for voltage control Surge in industrialization Technological advancements Government initiatives on grid modernization |
| Key Market Dynamics |
Rising energy demand grid infrastructure upgrades increasing renewable energy penetration growing industrial automation and government investments in power infrastructure |
| Countries Covered |
North America, Europe, APAC, South America, MEA |
Frequently Asked Questions (FAQ) :
The Three Phase Shunt Reactor Market is projected to reach USD 1.58 Billion in 2023.
The Three Phase Shunt Reactor Market is anticipated to grow at a CAGR of 4.01% from 2024 to 2032.
Asia Pacific is anticipated to dominate the market due to increasing investment in power transmission and distribution networks.
Key applications include voltage regulation, power factor correction, and network stability enhancement.
Major industry verticals include utilities, power generation, and industrial manufacturing.
Prominent players include ABB, Siemens, Schneider Electric, GE, and Toshiba.
Challenges include fluctuating raw material prices, intense competition, and stringent environmental regulations.
Challenges include fluctuating raw material prices, intense competition, and stringent environmental regulations.
The Three Phase Shunt Reactor Market is projected to reach USD 2.25 Billion by 2032.
Key trends include the adoption of smart grids, digitalization, and the integration of renewable energy sources.
