Instrument Transformers Market Share, Size, Trends, Industry Analysis Report, By Type (Current, Potential, Combined); By Installation; By Voltage Type; By Application; By End-User Industry; By Region; Segment Forecast, 2024 - 2032
- Published Date:Feb-2024
- Pages: 118
- Format: PDF
- Report ID: PM4633
- Base Year: 2023
- Historical Data: 2019 – 2022
Report Outlook
The global instrument transformers market size was valued at USD 6.62 billion in 2023. The market is anticipated to grow from USD 6.96 billion in 2024 to USD 10.59 billion by 2032, exhibiting a CAGR of 5.4% during the forecast period
Industry Trends
Instrument transformers are essential components in AC systems for measuring electrical quantities such as voltage, current, power, energy, power factor, and frequency. These transformers are also used in conjunction with protective relays to safeguard power systems. The primary function of instrument transformers is to lower the voltage and current levels of AC systems. This is critical because power systems operate at very high voltage and current levels, which are not suitable for most measuring devices. By stepping down the voltage and current levels through instrument transformers, these quantities can be accurately measured and monitored, enabling effective management and control of power systems.
To Understand More About this Research: Request a Free Sample Report
The market is projected to grow significantly during the forecast period, driven by increasing demand for energy-efficient and reliable power transmission and distribution systems. The growing need for renewable energy sources and the expansion of existing grid infrastructure is also expected to drive the demand for instrument transformers. In addition, advancements in technology have led to the development of smart transformers, which offer advanced features such as real-time monitoring, predictive maintenance, and automation, further boosting the demand for instrument transformers.
However, the shift in instrument transformers industry trends toward decentralized power generation and distributed energy resources (DER) could reduce the demand for centralized power transmission and distribution systems, which negatively impacts the demand for instrument transformers. Despite this, the instrument transformers industry outlook remains positive. Governments around the world are investing heavily in upgrading their power infrastructure, and there is a growing trend towards the use of smart grids and smart cities, which require advanced metering infrastructure that includes instrument transformers.
Key Takeaways
- North America dominated the market and contributed over 35% of instrument transformers market share in 2023
- By installation category, the indoor segment is projected to grow with a lucrative CAGR over the instrument transformers market forecast period
- By voltage type category, the ultra-high voltage is expected to grow with a significant CAGR over the instrument transformers market forecast period
- By application category, the transformer and circuit breaker bushing segment dominated the global instrument transformers market size
What are the market drivers driving the demand for Instrument Transformers market?
The growing demand for energy efficiency drives instrument transformers market growth.
As global energy consumption continues to rise, there is mounting pressure on industries and governments to reduce their energy usage and carbon footprint. Instrument transformers play a crucial role in this effort by enabling accurate measurement and control of electrical parameters such as voltage, current, and power. Moreover, many countries have implemented regulations and standards that require companies to meet specific energy efficiency targets, further driving the adoption of instrument transformers. In addition, advancements in technology have led to the development of smart transformers with advanced features like real-time monitoring and remote control, making them even more efficient and attractive to consumers. Overall, the growing demand for energy efficiency is expected to continue propelling the growth of the instrument transformer market in the forthcoming years.
Which factor is restraining the demand for Instrument Transformers?
The high initial cost hampers the adoption of the instrument transformers.
The high initial cost of instrument transformers can be a significant barrier to their adoption, particularly for small-scale enterprises. The upfront expense of purchasing and installing these devices is usually expensive, especially when compared to regular measurement methods. This high initial investment makes it difficult for companies to justify the cost of adopting instrument transformers, especially if they are not sure of the potential benefits or return on investment. Also, the cost of maintenance and repair is high, which can further deter companies from adopting this technology. As a result, many companies may choose to stick with regular methods, even though they may be less accurate or efficient, simply because they are more affordable.
Report Segmentation
The market is primarily segmented based on type, installation, voltage type, application, end-user, and region.
|
By Type |
By Installation |
By Voltage Type |
By Application |
By End-User |
By Region |
|
|
|
|
|
|
To Understand the Scope of this Report: Speak to Analyst
Category Wise Insights
By Installation Insights
Based on installation analysis, the market has been segmented on the basis of indoor and outdoor. The indoor segment of the market is expected to experience significant growth during the assessment period due to the increasing demand for smart home automation systems, which require accurate and reliable power measurement devices such as current transformers and potential transformers. These devices enable real-time monitoring and control of energy consumption, leading to improved efficiency and reduced energy costs. Also, the growing adoption of renewable energy sources such as solar and wind power drives the need for precise power measurement solutions, further boosting the demand for instrument transformers.
Along with this, the development of smart grids and advanced metering infrastructure (AMI) technologies has increased the use of instrument transformers in indoor applications, including smart meters, energy management systems, and building automation systems. Overall, the rising focus on energy efficiency, sustainability, and smart living will continue to drive the growth of the indoor segment in the instrument transformers market.
By Voltage Type Insights
Based on voltage type category analysis, the market has been segmented on the basis of distribution voltage, extra high voltage, high voltage, sub-voltage, and ultra-high voltage. The ultra-high voltage segment is anticipated to grow with a significant CAGR over the assessment period due to the increasing demand for high-voltage direct current (HVDC) transmission systems. HVDC systems are utilized to transmit huge amounts of electricity to long distances with minor losses, making them ideal for interconnecting different regions and countries. Instrument transformers play an important role in these systems, providing accurate and reliable measurements of voltage and current to ensure efficient and safe operation. The growing need for renewable energy integration and the expansion of existing grid infrastructure has led to an increase in the number of HVDC projects worldwide, driving the demand for instrument transformers. As the industry trends toward renewable energy and grid modernization continue, the demand for instrument transformers in this segment is expected to remain significant.
By Application Insights
Based on application category analysis, the market has been segmented on the basis of transformer and circuit breaker bushing, metering & protection, switchgear assemblies, relaying, and others. The transformer and circuit breaker bushing segment accounted for the largest share of the market in 2023 due to the reason that these components are essential for ensuring the safe and efficient operation of electrical power systems. Transformers are used to step up or step down voltage levels, while circuit breakers protect against overloads and short circuits. The bushing component of these devices plays a critical role in insulating and supporting the conductive elements, making them reliable and durable. Also, advancements in smart grid technology have led to an increased need for intelligent with advanced features like remote monitoring and diagnostics, also contributing to the large instrument transformers market share of this segment.
Regional Insights
North America
The North American region emerged as the dominant player in the global instrument transformers market in 2023 due to the presence of advanced infrastructure and technology in countries such as the United States. These countries have well-established power grids and energy systems that require high-quality instrument transformers to ensure efficient and reliable operation. Also, the region has a strong presence of leading manufacturers and suppliers of instrument transformers, who are constantly innovating and introducing new products to meet the growing demand from various industries. The region's robust economy and favorable business environment have provided a fertile ground for investments and expansion, enabling companies to grow and expand their operations, thereby strengthening their position in the global market.
Asia Pacific
The Asia Pacific region's market is witnessing substantial growth due to the increasing demand for energy efficiency and grid reliability, which has led to the expansion of smart grid initiatives across various countries in the region. Instrument transformers play a crucial role in these initiatives as they enable accurate measurement and monitoring of electrical parameters, thereby improving power quality and reducing transmission losses. Also, the growing adoption of renewable energy sources such as wind and solar power, which require high-precision metering and control systems, is driving the demand for instrument transformers.
Competitive Landscape
The global instrument transformers market is dominated by a few key players that have established themselves as leaders in the industry. Some of the prominent companies include ABB Ltd., Siemens AG, Schneider Electric SE, and General Electric Company. These companies have a strong presence worldwide and offer a wide range of products and services that cater to diverse customer needs. They have vast distribution networks, robust research and development capabilities, and strong brand reach, which enables them to maintain their position in the market. The presence of these key players ensures that the market remains competitive and customers have access to cutting-edge technology and products.
Some of the major players operating in the global market include:
- ABB
- ARTECHE
- Bharat Heavy Electricals Limited
- CG Power & Industrial Solutions Ltd.
- CHINT Group
- General Electric
- Končar Instrument transformers Inc.
- Mitsubishi Electric Corporation
- NISSIN ELECTRIC Co.,Ltd.
- Pfiffner Group
- Schneider Electric
- Siemens Energy
- WEG
Recent Developments
- In September 2021, WEG agreed to acquire Balteau Produtos Elétricos Ltda., a Brazil-based company that specializes in producing instrument transformers and measuring sets.
- In June 2023, Straton Electricals introduced the cycloaliphatic cast resin instrument transformers. These transformers are designed to be type-tested and are ideal for outdoor applications. They come with several benefits over traditional oil-type transformers, including improved resistance to moisture and environmental contaminants.
- In December 2023, High Voltage Equipment (HVE) launched the 11kV pole-mounted ester fluid-insulated metering instrument transformer.
- In May 2022, Arteche and Hitachi Energy formed a new joint venture called Arteche Hitachi Energy Instrument Transformers S.L. The joint venture is majority-owned by Arteche, holding a 51 percent stake, while Hitachi Energy owns the remaining 49 percent.
Report Coverage
The Instrument Transformers market report emphasizes key regions across the globe to provide a better understanding of the product to the users. Also, the report provides market insights into recent developments and trends and analyzes the technologies that are gaining traction around the globe. Furthermore, the report covers an in-depth qualitative analysis pertaining to various paradigm shifts associated with the transformation of these solutions.
The report provides a detailed analysis of the market while focusing on various key aspects such as competitive analysis, type, installation, voltage type, application, end-user, and their futuristic growth opportunities.
Instrument Transformers Market Report Scope
|
Report Attributes |
Details |
|
Market size value in 2024 |
USD 6.96 billion |
|
Revenue Forecast in 2032 |
USD 10.59 billion |
|
CAGR |
5.4% from 2024 – 2032 |
|
Base year |
2023 |
|
Historical data |
2019 – 2022 |
|
Forecast period |
2024 – 2032 |
|
Quantitative units |
Revenue in USD billion and CAGR from 2024 to 2032 |
|
Segments Covered |
By Type, By Installation, By Voltage Type, By Application, By End-User, By Region |
|
Regional scope |
North America, Europe, Asia Pacific, Latin America; Middle East & Africa |
|
Customization |
Report customization as per your requirements with respect to countries, regions, and segmentation. |
Uncover the dynamics of the Instrument Transformers Market sector in 2024 with detailed statistics on market share, size, and revenue growth rate meticulously curated by Polaris Market Research Industry Reports. This all-encompassing analysis extends to a forward-looking market forecast until 2032, complemented by a perceptive historical overview. Immerse yourself in the profound insights offered by this industry analysis through a complimentary PDF download of the sample report.
FAQ's
The global instrument transformers market size is expected to reach USD 10.59 Billion by 2032
Key players in the market are ABB, ARTECHE, Bharat Heavy Electricals Limited, CG Power & Industrial Solutions Ltd., CHINT Group
North America contribute notably towards the global Instrument Transformers Market
Instrument Transformers Market exhibiting a CAGR of 5.4% during the forecast period
The Instrument Transformers Market report covering key segments are type, installation, voltage type, application, end-user, and region.
