Report Overview

Saudi Arabia Power and Distribution Transformer Market - Industry Trends & Forecast Report, 2030

Saudi Arabia Power and Distribution Transformer Market size was estimated to be worth USD 1.38 billion in 2023. During the forecast period between 2024 and 2030, Saudi Arabia Power and Distribution Transformer Market size is projected to grow at a CAGR of 6.43%, reaching a value of USD 2.34 billion by 2030. Major growth factors for Saudi Arabia Power and Distribution Transformer Market include rapid urbanization and industrialization owing to economic diversification and rising investment in the expansion of non-oil-based sectors, such as mining, manufacturing, and petrochemicals. In addition, rising investment in the renewable energy sector is further boosting the need for new power generation infrastructure, which is anticipated to drive Saudi Arabia Power and Distribution Transformer Market over the forecast period.

Power and Distribution Transformer – Overview

Power and distribution transformers are electrical devices used to transfer electrical energy from one circuit to another, typically at different voltage levels. Power transformers are primarily employed in power generation stations and substations to step up or step-down voltages for efficient transmission and distribution over long distances. They handle high power levels and are designed to withstand high voltage levels. Distribution transformers, on the other hand, are used to deliver electrical energy to end-users at lower voltage levels, typically in residential, commercial, and industrial areas. They play a crucial role in maintaining a safe and reliable electricity supply by regulating voltage and reducing electrical losses during distribution.

Saudi Arabia Power and Distribution Transformer Market

Growth Drivers

Rapid Urbanization and Industrialization

The Kingdom of Saudi Arabia's increasing industrialization and urbanization are driving significant growth in the power and distribution transformer industry. Saudi Arabia has been making large investments in a variety of other industries, such as manufacturing, infrastructure, and construction, to lessen their reliance on the oil industry. This has increased the demand for a stable electrical grid. The demand for new residential and commercial buildings is also being driven by population growth, prompting the government to invest in an effective power distribution network to guarantee a steady supply of electricity.

Challenges

Stringent Regulatory Framework and Compliance

Saudi Arabia has established clear policies about environmental sustainability and energy efficiency. Manufacturers, suppliers, and end users in the power and distribution transformer sector, however, may find it difficult to navigate these restrictions. For instance, the Saudi Energy Efficiency Center (SEEC) has regulations for all kinds of electrical appliances and equipment, including transformers. For improved energy performance, transformer makers must thus develop and manufacture their products to match those requirements. In addition, as the Kingdom works to lessen its carbon impact, enterprises that manufacture power and distribution transformers must adhere to laws on greenhouse gas emissions.

Saudi Arabia Power and Distribution Transformer Market

Segmental Coverage

Saudi Arabia Power and Distribution Transformer Market – By Type

Based on type, Saudi Arabia Power and Distribution Transformer Market is segmented into power transformers and distribution transformers. The distribution transfer segment holds a larger share in Saudi Arabia Power and Distribution Transformer Market. Electrical energy from the main distribution circuit is stored in this type of transformer and then transferred to a smaller distribution circuit. It lowers the high-voltage energy produced by power plants to a level that is acceptable for distribution to final consumers, who are residential, commercial, and industrial.

Saudi Arabia Power and Distribution Transformer Market – By Rating

On the basis of rating, Saudi Arabia Power and Distribution Transformer Market is divided into 650 kVA, 651–2500 kVA, and above 2500 kVA segments. The above 2500 kVA segment accounts for the highest market share in the market. Power and distribution transformers of this capacity are deployed in large-scale industrial sectors such as construction and oil & gas. The "Above 2500 kVA" category represents Saudi Arabia's need for a strong power infrastructure to accommodate the country's growing industrial sector and fulfill the Kingdom's growing electrification-related energy needs.

Saudi Arabia Power and Distribution Transformer Market – By Application

Based on application, Saudi Arabia Power and Distribution Transformer Market is split into power utilities and industrial segments. The industrial sector dominates Saudi Arabia Power and Distribution Transformer Market. Saudi Arabia has been significantly investing in the expansion of non-oil based industries, such as tourism, construction, renewable energy, information technology, and others, which is anticipated to boost the power demand in the upcoming years. Power transformers are used in industrial sectors to guarantee accurate, risk-free, and safe power utilization.

Competitive Landscape

Key players in Saudi Arabia Power and Distribution Transformer Market include Siemens AG, ABB Ltd, General Electric Company, Mitsubishi Electric Corporation, Schneider Electric, The Saudi Transformers Company Ltd, United Transformers Electric Company, Toshiba Corporation, Electric Industries Company, and Hitachi Group. To further enhance their market share, these companies employ various strategies, including mergers and acquisitions, partnerships, joint ventures, license agreements, and new product launches.

Recent Developments

• In February 2024 – Voltamp Energy, a power, distribution, and specialty transformer manufacturing company based in Oman, announced a joint venture with Al Sharif Holding Group, a real estate and construction company based in Saudi Arabia, to establish a high voltage power transformer manufacturing company in Saudi Arabia.

Scope of the Report

By Type

• Power Transformer

• Distribution Transformer

By Rating

• 650 kVA

• 651–2500 kVA

• Above 2500 kVA

By Cooling System

• Dry Type    

• Liquid Type

By Application

• Power Utilities

• Industrial

1. Research Framework
   1. Research Objective
   2. Product Overview
   3. Market Segmentation
2. Executive Summary
3. Saudi Arabia Power and Distribution Transformer Market Insights
   1. Industry Value Chain Analysis
   2. DROC Analysis
      1. Growth Drivers
         1. Infrastructure Development & Economic Diversification
         2. Rising Electricity Demand
         3. Increasing Focus on grid Modernization
      2. Restraints
         1. High Initial Costs
         2. Fluctuating Oil Prices
         3. Competition from International Players
      3.  Opportunities
         1. Growing Trend of Smart Transformers with Remote Monitoring and Self-Regulation Capabilities
         2. Government Initiatives Promoting Energy-Efficient Transformers
         3. Government Support for Local Transformer Production
      4. Challenges
         1. Lack of Skilled Personnel for Transformer Installation, Maintenance, and Repair
         2. Increasing Use of Smart Transformers raises Concerns about Cyberattacks
   3. Technological Advancements/Recent Developments
   4. Regulatory Framework
   5. Porter’s Five Forces Analysis
      1. Bargaining Power of Suppliers
      2. Bargaining Power of Buyers
      3. Threat of New Entrants
      4. Threat of Substitutes
      5. Intensity of Rivalry
4. Saudi Arabia Power and Distribution Transformer Market: Marketing Strategies
5. Saudi Arabia Power and Distribution Transformer Market Overview
   1. Market Size & Forecast, 2019–2030
      1. By Value (USD Billion)
   2. Market Share & Forecast
      1. By Type
         1. Power Transformer
         2. Distribution Transformer
      2. By Rating
         1. 650 kVA
         2. 651–2500 kVA
         3. Above 2500 kVA
      3. By Cooling System
         1. Dry Type    
         2. Liquid Type
      4. By Application
         1. Power Utilities
         2. Industrial
6. Competitive Landscape
   1. List of Key Players and Their Products
   2. Saudi Arabia Power and Distribution Transformer Company Market Share Analysis, 2023
   3. Competitive Benchmarking, By Operating Parameters
   4. Key Strategic Developments (Mergers, Acquisitions, Partnerships)
7. Impact of Escalating Geopolitical Tensions on Saudi Arabia Power and Distribution Transformer Market
8. Company Profiles (Company Overview, Financial Matrix, Competitive landscape, Key Personnel, Key Competitors, Contact Address, and Strategic Outlook, and SWOT Analysis)
   1. Siemens AG
   2. ABB Ltd
   3. General Electric Company
   4. Mitsubishi Electric Corporation
   5. Schneider Electric
   6. The Saudi transformers Company Ltd
   7. United Transformers Electric Company
   8. Toshiba Corporation
   9. Electric Industries Company
   10. Hitachi Group
   11. Other prominent players
9. Key Strategic Recommendations
10. Research Methodology
    1. Qualitative Research
       1.  Primary & Secondary Research
    2.    Quantitative Research
    3.    Market Breakdown & Data Triangulation
       1.  Secondary Research
       2.  Primary Research
    4.    Breakdown of Primary Research Respondents
    5.    Assumptions & Limitations

*Financial information of non-listed companies can be provided as per availability.

**The segmentation and the companies are subject to modifications based on in-depth secondary research for the final deliverable.

List of Figures

Figure 1       Saudi Arabia Power and Distribution Transformer Segmentation

Figure 2       Saudi Arabia Power and Distribution Transformer Market Value Chain Analysis

Figure 3       Company Market Share Analysis, 2023

Figure 4       Saudi Arabia Power and Distribution Transformer Market Size, By Value (USD Billion), 2019–2030

Figure 5       Saudi Arabia Power and Distribution Transformer Market Share, By Type, By Value (USD Billion), 2019–2030

Figure 6       Saudi Arabia Power and Distribution Transformer Market Share, By Rating, By Value (USD Billion), 2019–2030

Figure 7       Saudi Arabia Power and Distribution Transformer Market Share, By Cooling System, By Value (USD Billion), 2019–2030    

Figure 8       Saudi Arabia Power and Distribution Transformer Market Share, By Application, By Value (USD Billion), 2019–2030

List of Tables      

Table 1        Saudi Arabia Power and Distribution Transformer Market Size, By Value (USD Billion), 2019–2030

Table 2        Saudi Arabia Power and Distribution Transformer Market Share, By Type, By Value (USD Billion), 2019–2030

Table 3        Saudi Arabia Power and Distribution Transformer Market Share, By Rating, By Value (USD Billion), 2019–2030

Table 4        Saudi Arabia Power and Distribution Transformer Market Share, By Cooling system, By Value (USD Billion), 2019–2030

Table 5        Saudi Arabia Power and Distribution Transformer Market Share, By Application, By Value (USD Billion), 2019–2030

Table 6        Siemens AG Company Overview

Table 7        Siemens AG Financial Overview

Table 8        ABB Ltd Company Overview

Table 9        ABB Ltd Financial Overview

Table 10      General Electric Company: Company Overview

Table 11      General Electric Company Financial Overview

Table 12      Mitsubishi Electric Corporation Company Overview

Table 13      Mitsubishi Electric Corporation Financial Overview

Table 14      Schneider Electric Company Overview

Table 15      Schneider Electric Financial Overview

Table 16      The Saudi transformers Company Ltd Company Overview

Table 17      The Saudi transformers Company Ltd Financial Overview

Table 18      United Transformers Electric Company: Company Overview

Table 19      United Transformers Electric Company Financial Overview

Table 20      Toshiba Corporation Company Overview

Table 21      Toshiba Corporation Financial Overview

Table 22      Electric Industries Company: Company Overview

Table 23      Electric Industries Company Financial Overview

Table 24      Hitachi Group Company Overview

Table 25      Hitachi Group Financial Overview