North America Transformer Service Market Report and Forecast 2024-2032

North America Transformer Service Market Outlook

The North America transformer service market is expected to grow at a CAGR of 5.5% between 2024 and 2032 and reach around USD 13.60 billion by 2032.

Key Takeaways

• A significant percentage of the installed transformers across North America has exceeded the end of their useful service life of 25-40 years.

• The USA is home to around 200,000 ageing power transformers, while it also witnesses the installation of over 2,000 new transformers annually.

• Canada is a significant producer of transformers, globally.

• Growing demand for electricity and the scaling up of renewable energy efforts aid the demand for power transformers and related services in North America.

Transformers play a vital role in the efficient transmission of electricity for consumers, thereby ensuring the seamless operation of the economy. As a result, consumers across North America are investing in transformer services to ensure continuous power supply. The adoption of services, like predictive maintenance, assists consumers in minimising transformer downtime by monitoring the transformers remotely.

Some of the factors driving the North America transformer service market growth are an ageing grid infrastructure, growing demand for electricity, and the adoption of digital maintenance services to reduce transformer downtime.

Key Trends and Developments

Expansion of the renewable energy sector and frequent occurrences of power outages drive the North America transformer service market development.

North America Transformer Service Market Trends

Notably, significant power disruptions in the United States are caused by natural occurrences such as hurricanes, heat waves, and wildfires. As the effects of global warming intensify, the country is projected to witness a rise in power outages, particularly due to its ageing power grid. As a result, stakeholders are expected to invest in the modernisation of the grid providing an opportunity for transformer-related services.

Market Segmentation

North America Transformer Service Market Report and Forecast 2024-2032 offers a detailed analysis of the market based on the following segments:

Field services are sub-divided into testing, start up and installation, annual maintenance, acceptance testing, and commissioning whereas engineering services are categorised into short circuit testing, power quality audits, and arc flash studies.

In application, power distribution services are divided into field services, field start up and commissioning of new equipment, modernisation, disaster recovery, extended warranty services, safety and risk management, testing, decommissioning, and vibration analysis. While power source equipment service is segmented into power system studies, consulting and advisory services, design engineering, arc flash studies, power quality studies, power factor correction studies and harmonic analysis, and others.

Field services are widely adopted to perform routine diagnostics of transformers

Service providers offer schedule field services, incorporating routine diagnostics, preventive maintenance, and scheduled testing such as DGA (dissolved gas analysis) to guarantee the smooth functioning of transformers. Electrical field services encompass a range of preventive actions conducted to avert malfunction or breakdown of electrical systems, ensuring safety and minimising operational disruptions in commercial and industrial environments.

According to the transformer service market in North America, comprehensive engineering service providers deliver a wide spectrum of analyses while consistently refining processes to align with regulatory and customer requirements. These offerings encompass transformer analyses, process enhancements, and investigative undertakings, among other domains.

According to the North America transformer service market analysis, in the power sector, SCADA systems are now widely used by various companies for on-site and remote monitoring transformers. Service providers take the responsibility of supervising transformer health, environmental conditions, and even underground vault status. The emergency services provided by the service providers comprise tasks such as transformer leak repair, complete replacement of transformer gaskets, spill cleanup and recovery, and fault analysis.

As the transformer nears the end of its operational lifespan or if it fails testing and cannot be effectively repaired, the potential for accidents during its continued operation rises. In such instances, adherence to appropriate decommissioning guidelines becomes imperative, particularly concerning the transformer's designed operational lifespan. Service providers often offer customised decommissioning services to meet specific needs. It includes off-site services, on-site services, and transformer oil services.

Power source equipment service is expected to hold a significant North America transformer service market share

The power source equipment segment is a crucial contributor to North America transformer service market growth. Power system studies are essential to ensure the transformers are robust and dependable. The services carried out identify the flaws or safety risks and rectify them under all operating conditions.  The advancements in transformer technology are necessitating design engineering services to ensure good quality which further improves its functioning.

Power distribution services also contribute to the North America transformer service market development. Power distribution service providers provide a range of services that encompass the entire energy supply journey, spanning from transmission to distribution. Their objective is to reduce both customer resource consumption and tied-up capital within the subsequent stages of the power value chain. Power distribution systems are engaged in dismissing the power into different circuits as per requirements. As the system has multiple operations, there are chances of occurrence of delay due to the interrupted power supply hampering the process. This necessitates the employment of transformer services to ensure the proper functioning of power distribution systems.

Competitive Landscape

The range of transformer services offered by market participants can differ in terms of technician expertise, the variety of services provided to clients, and pricing.

Other key players in the North America transformer service market include Taurus Power and Controls, Inc., Potomac Testing, Electrical Reliability Services, Integrated Power Services, and General Electric Company, among others.

North America Transformer Service Market Analysis by Region

The United States of America is expected to hold a significant share in the market driven by an ageing transformer infrastructure

According to the North America transformer service market analysis, an ageing transformer infrastructure across the United States creates opportunities for modernisation, repair, and replacement transformer services. Further, climate change drives the need for greater infrastructural investment and the demand for transformers to prevent and reduce power outages, as well as support the USA’s transition to renewable energy.

According to the North America transformer service market report, as the development of renewable energy infrastructure is crucial to foster a prospering economy, Canada supports governmental spending on new transmission lines. Consequently, the installation of transmission lines aids the demand for new transformers and the need for transformer services. Further, Canada is a significant manufacturer of transformers globally. The Canadian transformer sector is expanding at a rapid rate and is a significant contributor to the country’s total electrical manufacturing revenue.

Key Highlights of the Report

Our Top Selling Reports

Saudi Arabia Silica Sand Market

Seismic Services Market

Semiconductor Market

Textile Market

Tobacco Market

Trade Finance Market

Vegetable Oil Market

Potato Starch Market

Roofing Market

Saudi Arabia Hvac Market

North America Transformer Service Market Report Snapshots

North America Transformer Service Market Size

North America Transformer Service Market Trends

North America Transformer Service Market Regional Analysis

North America Transformer Service Companies