Converter Transformer Market: Current Analysis and Forecast (2022-2028)

A converter transformer is usually designed to increase the eddy current loss and withstand DC voltage. All the converter transformers are equipped with the electrostatic screen linked on the ground between secondary and primary windings. The screen is used to reduce the capacitive effect caused by the secondary windings and at the same time reduce the transmission of the interference. The converter transformers come in mainly three categories: three phases two winding, single-phase three winding, and single-phase two winding. Additionally, the converter transformer is used to convert DC to AC at one end and AC to DC on the other end. Furthermore, the increasing demand for proficient power transmission solutions, the increasing demand for grid technologies as well as the government infrastructure are expected to propel the market growth for the converter transformer. The concern towards optimized & efficient power generation and offshore wind farm power generation will impact the market in a positive way. The initial cost of set-up is restricting the market. However, the implementation of the technologies such as AI and IoT will lower the total cost of installation in the future. The higher urbanization along with industrialization around the world increases the demand for energy from other alternatives such as green energy and others which somehow will increase the demand for the converter transformer.

The Converter Transformer Market is expected to grow at a steady rate of around 15% owing to the increasing demand for proficient power transmission solutions and increasing grid electrification across the world.

There are several major companies in the market offering innovative converter transformers solutions and continuously working towards sustainable solutions. For instance, GE renewable energy grid solution units are working to launch the flexible transformer that prevents the grid from the contingencies grid failure, power failure, and many others.

Based on product, the market is segmented into monopolar, bipolar, back-to-back, and multi-terminal. The multi-terminal segment is expected to show higher market growth during the forecast period owing to its adoption for the power distribution application. Additionally, the multi-terminal converter transformer has three terminal configurations which make it suitable for three different voltage levels. Furthermore, the multi-terminal converter transformer has the added advantage to convert high-level DC voltage into multiple throughputs which will propel the market for the multi-terminal segment in the future.

Based on power rating, the market is categorized into below 500kW, 501kW-999kW, 1000kW-2000kW, and above 2000kW. The 501kW-999kW segment is expected to show significant market growth owing to its utilization in the wind power station, frequency regulation, and grid side with others. Also, the efficiency rate of the 501kW-999kW is 98.7% and consumes low power for the operations along with features such as active power and reactive power adjustment which would significantly contribute to the market expansion of the segment.

Based on the application, the converter transformer market is segmented into oil & gas industries, grid interconnection, and wind farms. The grid interconnection holds a significant position in the market for the year 2021 and is expected to remain to continue during the forecast period due to the increasing demand for power, aging infrastructure of the power grid, increasing electricity cost, and power conservation. Additionally, the efficient power generation from the grid required smart converter transformers which eventually propel the market in the coming time.

Based on the voltage level, the converter transformer market is segmented into up to 200kV, 201kV-400kV, 401kV-600kV, 601kV-800kV, and above 800kV. The 401kV-600kV segment is expected to show significant market potential during the forecast period due to the increasing price of petroleum products, rapid industrialization, and surging demand for offshore wind farm power generation.

For a better understanding of the market adoption of the Converter Transformer industry, the market is analyzed based on its worldwide presence in the countries such as North America (U.S., Canada, Rest of North America), Europe (Germany, U.K., France, Spain, Italy, Rest of Europe), Asia-Pacific (China, Japan, India, Rest of Asia-Pacific), Rest of World. Asia-Pacific is anticipated to grow at a substantial CAGR during the forecast period. This is mainly due to the rapid industrialization and increasing demand for electricity coupled with the increasing population. In addition, technological advancements such as the integration of the IoT, AI, and ML continuously optimize the operation cost. Also, major players in the market continue to invest in R&D to provide efficient converter transformers.

Some of the major players operating in the market include: General Electric, Kirloskar Electric Company Limited, Shandong Power Equipment Company Limited, Mitsubishi Electric, Bharat Heavy Electricals Limited, Crompton Greaves Ltd., Xian XD Transformers Co. Ltd., Toshiba Corporation, Siemens AG, and ABB Ltd.