Transformer market: companies and costs?

This data-file aims to tabulate helpful data on the grid-scale transformer market, covering the sizes (tons), costs ($12/kW is typical) and companies in the space, from large industrial conglomerate to smaller-scale producers and niche specialists.


What is a transformer? A transformer is needed to step up or down the voltage at every inter-connection point in the grid, to an exact, pre-specified level.

Transformer market growth? We estimate a c100% increase in transformer capacity (in MW terms) in a typical mature grid, such as the US or Europe by 2050. But the number of transformers could rise by 30x, due to changes in the typical sizes of generation facilities.

Specifically, we have aimed to disaggregate the costs of transformers across ten different categories, including the use of input materials, such as steel and copper.

We have also profiled companies in the transformer space, illustrating a competitive market, split between large capital goods companies, emerging Chinese companies and pure-plays.

The space is also competitive. Leading players include capital goods conglomerates such as ABB, Siemens, GE, Schneider, which may be able to market end-to-end integrated solutions to customers. But there has also been a rush of new Chinese players. So the tranformer industry may require further consolidation, which is starting.

Another interesting company is Cliffs, the only US-based manufacturer of electrical grade steel, discussed in our research note here.

The transformer market, transformer companies and transformer costs are tabulated in this data-file as a useful reference for decision-makers. Our overview of the transformer industry is published here and our top conclusions on power grids are published here.

Copyright: Thunder Said Energy, 2019-2024.