A new market study on the global transformer market outlook for the period 2017-2023 has been made available.
According to Stratistics MRC, the global transformer oil market is accounted for $2.12 billion in 2016 and expected to grow at a CAGR of 8.2% to reach $3.68 billion by 2023.
The factors driving the market growth include modernization of existing transformers, renewable power generation capacity expansion, new investments in the power sector in south Asia & Africa, and growing demand from original equipment manufacturers.
However, the main constraints faced by the market are corrosive nature of sulphur present in transformer oil, deterioration of transformer oil due to moisture ingress and increasing demand for dry type transformers, as well as volatility in crude oil prices, which also presents a challenge to the market.
Increasing demand of bio-based transformer oil and corrosion-free transformer oil will provide ample opportunity for the market to grow.
Mineral oil based segment is anticipated to show attractive growth due to easy availability and its good oxidative stability and high-temperature viscosity characteristics. However, the bio-based oil is expected to grow lucratively due to environmental benefits.
Asia Pacific is the largest market due to the presence of emerging markets India and China. There is a growing demand for transformer oil in North America and Europe.
Some of the key players in the market are Mitsubishi Heavy Industries, ABB, Aevitas, Alstom, Apar Industries Limited, Asia Electrical Power Equipment (Shenzhen), Royal Dutch Shell, Clean Oil Services, Cargill Incorporated, Dow Corning, Gulf Oil Middle East, Interpower International, Electrical Oil Services, ERFA Industries Group, ExxonMobil Corporation and Eaton Corporation.
Source: Report Linker