Asia and Middle East to drive transformer market to $19bn by 2020
A new research conducted by GlobalData has shown that the global power transformer market is expected to rise from the present $10.3 bn to $19.7 bn in 2020 and the key market drivers will come from China, India and the Middle East.
The countries’ extensive power plant capacity additions and the requirement to improve access to electricity are driving the power transformer market and economic growth according to analysts at GlobalData.
Their report states that although the global power transformer market is highly fragmented, seven leading companies accounted for more than 50 per cent of its share in 2012, with the biggest four being ABB (12 %), TBEA (11 %), Siemens (10 %) and Alstom Grid (7 %).
Sowmyavadhana Srinivasan, GlobalData’s senior power analyst, said: “The growth of global electricity demand is driving the construction of new power plants, as is the need to improve the connectivity of the electricity grid and ensure that demand is met.”
However, the report cautions that there could be a restraint on the market in the foreseeable future because of pricing pressures on power transformer companies, along with an increase in raw material costs and the global economic slowdown.