Control Transformer Market - Forecast(2024 - 2030)

Control Transformer Market is forecast to reach $9.04 billion by 2025, growing at a CAGR 5.67% from 2020  to 2025. Control transformer provides stepped-down voltages to machine tool control devices to separate control circuits from all lighting and power circuits and allow ungrounded or grounded circuits to be worked. The use of control transformer is important for the control devices to work efficiently and safely. With the concern for safety in electrical equipment, the need for control transformers has increased considerably to prevent the equipment from any accidents. Control transformer is expected to play an important role in helping countries achieve their energy-efficiency goals, as energy saving is the primary feature of these devices. Utilities need to boost the efficiency of electricity and eventually increase the quality of power supplied to customers. Control transformer provides a high degree of secondary voltage stability in less time, which is expected to increase market growth over the forecast period of the control transformer.

 

During the forecast period the three phase segment is expected to grow at a CAGR 6.9%. Owing to improved performance in industrial applications compared to the single phase segment, the three-phase segment held the largest share of the control transformer market. The three phase controls the market, owing to the need for better performance in various applications. The three-phase control transformers are used to operate many general equipment in mining, power plants, chemical, and other industries, such as pumps, compressors, crushers, and other mechanical devices.

500-1000 VA Segment is expected to grow at a higher CAGR 8.2% during the forecast period. The control transformers are designed specifically for industrial applications where electromagnetic components such as relays, solenoids and magnetic motor starters are used. The 500-100 VA Control Transformers are designed to sustain high voltage inputs with efficiency. Basically, these control transformers are used for electrical devices & systems. With today's growing popularity of cost-saving benefits of high-voltage delivery of modern buildings, 500-1000 VA power transformers are projected to increase and this increase is anticipated to help in growth of control transformer market.

APAC currently dominates the global Control Transformer market with a share of more than 37.2%. Due to industrialization and infrastructural developments in China and India, the Asia Pacific market is projected to hold the largest share of the control transformer market. Power and distribution infrastructure gradation, aging equipment standby, growing heavy industry development, and renewable energy growth are some of the factors driving demand for control transformers in this region. The increasing need to expand and develop the existing transmission and distribution network to meet rising electricity demand is projected to lead to positive growth of the transformers market during the forecast period. Furthermore, evolving Asia-Pacific markets are expanding many prospects for the introduction of wind power capacity in these nations. Asia's offshore wind capacity is expected to rise 20 times to 43 GW, by 2027. Such factors will eventually fuel the growth of the control transformer market.

Electricity dependency and the proliferation of highly sensitive electrical equipment make it important to have reliable, high-quality power sources. Transient flickering and voltage instability are significant causes of system failure and operational disruption. Such interruptions can damage critical power equipment including transformers, switchgears, condensers, overhead lines, inductors. Operational losses of USD 80 billion per annum are sustained in the US due to power interruption. High maintenance and manufacturing costs, production delays, loss of revenue, late deliveries, idle workers and increased spoilage and scrap are among the major effects of voltage instability on operations. In addition, uncontrolled voltage stability can cause damage to sensitive electronic equipment by sudden accidents, long-term damage or industrial process interruptions. Control transformers minimize the possibility of voltage instability and ensure safe and reliable performance of the equipment.

Stability for secondary voltage in less time period is a key factor for the growth of the industrial Control Transformer. It helps in keeping the voltage driving system at a steady level when there is high current. It helps prevent issues like short circuiting and technological problems. Targets for electricity generation, increasing the introduction of emerging technology, increasing clean coal, and a share of renewable energy resources provide enormous opportunities for key players as they are significantly driving the need for control transformer for secondary voltage stability.

During the past few years, voltage regulation has become a major control issue, especially at distribution level and for a twofold reason. Voltage control is a function of voltage magnitude difference between a component's sending and receiving ends. The percentage voltage difference between no load and maximum load voltage distribution lines, transmission lines, and transformers is commonly used in power engineering. Control transformers depend upon other devices for voltage regulation which is a major concern and is anticipated to hinder the market growth of control transformer.

Technology launches, acquisitions, and R&D activities are key strategies adopted by players in Control Transformer Market. Control Transformer Market is expected to be dominated by major companies such as ABB, Siemens, Schneider Electric, Emerson Electric Co., Hammond Power Solutions (HPS), Dongan Electric Manufacturing Co., Eaton, GE, Hubbell, Rockwell Automation, Broadman Transformers, MCI Transformers.