The growth in the pad-mounted transformer market is supported by large investments planned for upgradation and expansion of power transmission & distribution networks across globe. Developing countries are expanding their power grid networks to meet the growing demand for electricity from industries, as well as connecting the rural sector to the power grid for domestic use. Large industries are coming up in developing countries like China, and India due to industrialization and are expected to create a good demand for pad-mounted transformers.
Industrial end users are expected to grow at the highest rate in the end user segment. The key driving factor will be favorable government policies for the growth of industries in various countries such as Mexico, China, Brazil, and India. The U.S. has come up with new norms for the efficiency of distribution transformers which will be implemented from 1st January, 2016. More efficient pad-mounted transformers will reduce electricity wastage and thereby increase savings in terms of power and capital. This new policy reform is expected to drive the pad-mounted transformer market in the U.S.
The three phase pad-mounted transformer market is estimated to grow at the highest rate in the segmentation on the basis of phase. The key driving factor for this market is the increase in power consuming appliances in the residential sector which requires high capacity pad-mounted transformers.
Asia Pacific is the largest market by size and is estimated to grow at the highest rate due to high demand for power products from China. High economic growth rate of China has created a good demand for power distribution products such as pad-mounted transformers.