Electric Power Transmission Equipment Market Size, Share & Trends, 2033

Electric Power Transmission Equipment Market Overview

The Electric Power Transmission Equipment Market size was valued at USD 24585.73 million in 2024 and is expected to reach USD 32923.39 million by 2033, growing at a CAGR of 3.3% from 2025 to 2033.

The electric power transmission equipment market encompasses the manufacture and deployment of critical infrastructure components that facilitate the transfer of electricity from generation plants to distribution networks and end consumers. Globally, the installed base of power transformers exceeds 2 million units, with average capacities ranging from 5 MVA to 1000 MVA depending on voltage levels and application. Transmission equipment such as switchgear accounts for over 35% of the total equipment value in power grids. By 2024, global transmission lines length exceeded 200 million circuit kilometers, highlighting the scale of infrastructure supporting electrical power flow. Technological advancements have driven the adoption of high-voltage equipment rated from 69 kV up to 1,200 kV, particularly in emerging markets investing heavily in grid expansion. Countries with extensive renewable integration are adopting smart transformers and advanced switchgear with digital monitoring features, with over 50% of newly installed transformers in Asia-Pacific featuring IoT-enabled capabilities. Market volumes for equipment such as circuit breakers reached approximately 12 million units worldwide in 2023, indicating the critical role of protection and control devices in grid stability.

Key Findings

Driver: Increasing demand for reliable and efficient power transmission due to rapid urbanization and grid modernization initiatives globally.

Top Country/Region: Asia-Pacific dominates the electric power transmission equipment market with over 45% share of new installations in 2023.

Top Segment: Transformers constitute the largest segment, representing nearly 50% of total market volume by equipment type.

Electric Power Transmission Equipment Market Trends

The electric power transmission equipment market is witnessing a paradigm shift driven by smart grid technologies and increasing integration of renewable energy sources. By 2024, approximately 35% of installed transformers worldwide are equipped with monitoring sensors enabling predictive maintenance, reducing downtime by up to 25%. The increasing deployment of ultra-high voltage (UHV) transmission lines, which carry voltages above 800 kV, has expanded to over 70,000 circuit kilometers globally, mainly in China and India. Modular switchgear designs are gaining traction due to their reduced installation time and enhanced safety features. The global switchgear installed base crossed 150 million units in 2023, with gas-insulated switchgear (GIS) accounting for 30% of new switchgear installations, favored in urban environments due to compact size. The transition from oil-filled to dry-type transformers is notable, with dry-type transformers comprising 15% of new transformer installations in North America and Europe, largely driven by environmental regulations.

Digital substations integrating automation and remote control systems are expected to represent 40% of new substation projects in 2024, boosting equipment demand such as intelligent electronic devices (IEDs) and smart transformers. Additionally, the global push for decarbonization has accelerated the incorporation of renewable energy, with wind and solar power plants increasing their share of grid-connected capacity to over 35% in several developed countries. This shift requires advanced transmission equipment capable of handling variable power flows and grid stability, influencing the development of flexible AC transmission systems (FACTS) devices, which had over 5,000 MW capacity installed worldwide by 2023. Investment in grid resilience and disaster-proof equipment is another trend; for example, seismic-resistant transformers and switchgear installations have increased by 20% in earthquake-prone regions such as Japan and California. Furthermore, the adoption of superconducting transmission cables, although still in pilot stages, has seen installation lengths exceed 5 kilometers globally, promising near-zero transmission losses.

Electric Power Transmission Equipment Market Dynamics

DRIVER

Growing demand for smart grid modernization and renewable energy integration.

The ongoing global transition towards renewable energy sources, such as solar and wind, necessitates extensive grid modernization and expansion. In 2023 alone, over 300 GW of renewable generation capacity was added worldwide, increasing the need for advanced transmission equipment capable of accommodating fluctuating power output. Governments worldwide have initiated smart grid projects that integrate digital communication technology with transmission equipment; over 2,000 smart grid pilot projects are active globally as of 2024. The surge in electric vehicle (EV) adoption, expected to surpass 30 million units in 2024, also intensifies the demand for reliable transmission infrastructure to support increased electricity consumption.

RESTRAINT

High capital costs and long project lead times for transmission infrastructure upgrades.

Despite growing demand, the electric power transmission equipment market faces hurdles in the form of high upfront investment requirements. Typical high-voltage transmission projects cost between 1.2 to 2 million USD per kilometer, with lead times extending up to 5 years due to regulatory approvals and land acquisition challenges. Additionally, aging grid infrastructure, often installed 30-50 years ago, requires extensive retrofitting rather than simple replacement, complicating project execution. Budget constraints in developing countries limit the pace of transmission capacity enhancements, with some utilities spending less than 5% of their budgets on grid modernization annually.

OPPORTUNITY

Rising investments in emerging economies and digital substation technologies.

Emerging markets in Asia, Africa, and Latin America are expected to drive future equipment demand due to ongoing rural electrification and urbanization programs. For instance, India plans to add over 400,000 circuit kilometers of transmission lines by 2030. The adoption of digital substation technology, featuring IEC 61850 protocols and cloud-based monitoring, offers utilities improved operational efficiency and reduced maintenance costs. More than 1,500 digital substations are projected to be commissioned globally by 2025. This opens opportunities for manufacturers to supply innovative, IoT-enabled equipment and software solutions.

CHALLENGE

Technical complexities in integrating legacy systems with modern grid technology.

Integrating new transmission equipment with existing legacy grids remains a technical challenge. Many substations operate with equipment that is over 40 years old and lacks digital communication capabilities. Retrofitting these systems to incorporate smart monitoring devices and advanced protection schemes requires careful engineering to prevent system instability. Additionally, varying technical standards across countries pose interoperability issues, delaying equipment deployment. Grid operators also face challenges in managing power quality and reliability during the transition, especially in regions with high renewable penetration where voltage fluctuations can reach ±10%.

Electric Power Transmission Equipment Market Segmentation

The electric power transmission equipment market is segmented primarily by type and application. By type, the market includes transformers, switchgear, and other equipment such as circuit breakers and insulators. Transformers dominate the type segment, accounting for nearly 50% of equipment installed globally. By application, the segments include fossil fuel-fired power plants, renewable energy sources, and other industrial and commercial uses. Renewable energy applications have surged, with over 40% of new transmission equipment deployed to accommodate solar and wind power facilities. Fossil fuel-fired power plants, while still significant, are witnessing slower equipment growth due to energy transition policies.

By Type

Transformers: remain the cornerstone of power transmission systems, with global installed units exceeding 2 million. Power transformers operating at voltage levels from 69 kV to 1,200 kV are essential for stepping up generation voltages to transmission levels and stepping down for distribution. Distribution transformers, typically rated between 25 kVA to 500 kVA, account for 40% of new installations, especially in urban and semi-urban regions. Technological advancements have led to the development of amorphous steel core transformers, which reduce no-load losses by up to 70%, contributing to overall grid efficiency.
Switchgear: equipment, including circuit breakers, disconnectors, and relays, are critical for controlling and protecting transmission networks. The global installed base of switchgear is estimated at over 150 million units. Gas-insulated switchgear (GIS) accounted for 30% of new installations in 2023, preferred in densely populated areas for their compactness. Vacuum circuit breakers are also widely used, with over 20 million units installed globally, offering high reliability and low maintenance requirements.
Others: This category includes insulators, conductors, surge arresters, and transformers’ auxiliary equipment. High-voltage insulators globally number over 1 billion units, made primarily from porcelain and polymer composites. Surge arresters protect transformers and switchgear from voltage spikes, with an estimated 5 million units installed worldwide. Advanced conductor materials, such as aluminum conductor composite core (ACCC), have increased transmission capacity by 50% compared to traditional conductors, and installation lengths exceed 100,000 kilometers.

By Application

Fossil Fuel Fired Power: Equipment used in fossil fuel power plants, including coal and natural gas, accounts for approximately 45% of the transmission equipment market. The installed base includes transformers rated between 110 kV and 765 kV. Despite the rise of renewables, many countries rely on fossil fuel plants for baseload power, requiring reliable transmission infrastructure.
Renewable Energy: applications are rapidly growing, comprising over 40% of new transmission equipment installations. Wind farms alone contributed to connecting over 150 GW of capacity to grids worldwide by 2024, demanding specialized transformers and switchgear capable of managing variable power flows. Solar photovoltaic (PV) plants require inverters and step-up transformers typically rated between 33 kV and 220 kV, with installations exceeding 250 GW globally.
Others: applications include industrial complexes, railways, and urban infrastructure projects. These applications utilize distribution transformers and medium-voltage switchgear extensively, with installations exceeding 3 million units in industrial zones globally.

Electric Power Transmission Equipment Market Regional Outlook

The electric power transmission equipment market shows diverse regional performance shaped by infrastructure maturity, policy initiatives, and energy demand patterns. Asia-Pacific leads in volume, driven by China and India’s extensive grid expansion, rural electrification, and renewable energy integration projects. Europe exhibits steady modernization of aging grids with increased smart grid implementations, supported by regulatory incentives. North America focuses on upgrading and digitalizing its transmission network, with approximately 60% of substations being over 30 years old. The Middle East & Africa region is rapidly expanding its transmission capacity, with over 20,000 circuit kilometers of new lines constructed in the last five years, propelled by urbanization and industrialization.

North America

holds a significant market share with over 200,000 circuit kilometers of transmission lines. The U.S. alone operates more than 55,000 substations, with a substantial portion undergoing modernization to support renewable energy targets exceeding 30% of total generation by 2024. Investments in grid digitalization are increasing, with smart transformers and automated switchgear installations reaching 40% of new projects. Canada is also expanding transmission capacity, targeting an increase of 15,000 kilometers by 2030 to connect remote renewable sources.

Europe

electric power transmission equipment market is characterized by grid stability and integration of cross-border transmission networks. The continent has over 250,000 circuit kilometers of high-voltage transmission lines, with Germany, France, and the UK leading in smart grid deployments. In 2023, more than 500 new digital substations were commissioned, representing 20% of the region’s total substations. The EU’s Green Deal targets significant electrification, driving demand for transformers capable of handling increasing renewable capacities exceeding 40% of total electricity consumption.

Asia-Pacific

dominates with over 45% of global transmission equipment installations in 2023. China alone installed 50,000 kilometers of ultra-high voltage (UHV) transmission lines, the largest network globally, supporting over 1,200 GW of generation capacity. India’s grid spans approximately 450,000 circuit kilometers, with ambitious plans to add over 400,000 kilometers by 2030. Japan and South Korea focus on upgrading aging equipment with digital and seismic-resistant features, while Southeast Asian countries invest in rural electrification, increasing transformer installations by 10% annually.

Middle East & Africa

region is rapidly developing transmission infrastructure with over 20,000 kilometers of new high-voltage lines constructed between 2019 and 2024. Saudi Arabia and UAE are investing heavily in smart grid technologies, with nearly 300 digital substations commissioned across the region. Africa’s transmission network is expanding to improve grid connectivity and reliability, with transformer installations growing by 15% yearly due to electrification projects in countries such as Nigeria and South Africa.

List of Top Electric Power Transmission Equipment Companies

Hitachi (ABB)
Siemens
GE
Schneider Electric
Eaton
BHEL
TBEA
HYOSUNG
China XD Group
Mitsubishi Electric
Toshiba
Crompton Greaves
SPX Transformer Solutions
Fuji Electric
Shanghai Electric
Baoding Tianwei

Hitachi (ABB): is recognized for its wide portfolio, including ultra-high voltage transformers rated up to 1,200 kV and digital substations deployed in over 50 countries.

Siemens: specializes in gas-insulated switchgear and smart grid solutions, with an installed base exceeding 30 million switchgear units globally.

Investment Analysis and Opportunities

Investment in the electric power transmission equipment market is driven by the global push toward grid modernization, renewable energy integration, and electrification in emerging economies. In 2023, capital expenditures on transmission equipment installations exceeded 40 billion USD worldwide, with Asia-Pacific accounting for nearly 50% of total investments. Governments in India and China have allocated over 60 billion USD combined toward transmission infrastructure expansion through 2030, focusing on ultra-high voltage lines and smart substations. Private sector investments are increasing, particularly in digital technologies and IoT-enabled transmission equipment. More than 1,200 utilities globally have initiated smart grid projects incorporating real-time data analytics and asset management software, increasing demand for advanced transformers and switchgear. Public-private partnerships are facilitating rural electrification projects in Africa and Latin America, with annual transformer installations growing by 12% in these regions.

The rise of electric vehicles (EVs) and electrification of transport sectors presents a significant opportunity. For instance, the U.S. Department of Energy plans to invest over 7 billion USD by 2030 in grid infrastructure to support EV charging networks, translating into increased demand for transmission upgrades. Additionally, the surge in offshore wind farms in Europe and Asia requires specialized transmission equipment, including submarine cables and transformers, with offshore capacity reaching 70 GW globally. Furthermore, investments in resilient infrastructure to mitigate climate change impacts are rising. Approximately 25% of new transformers installed in the last two years are designed to withstand extreme weather events such as floods and heatwaves. Investment in advanced materials such as amorphous steel cores and high-temperature superconductors is gaining momentum, promising efficiency gains of 10-15% over conventional equipment.

New Product Development

Manufacturers in the electric power transmission equipment market are focusing on innovations that enhance efficiency, reliability, and smart grid compatibility. In 2023, several new transformer models featuring amorphous core technology were launched, reducing core losses by up to 70% compared to traditional silicon steel designs. These transformers are increasingly adopted in distribution networks, improving overall grid efficiency. In switchgear, the introduction of vacuum and gas-insulated hybrid circuit breakers capable of handling voltages up to 800 kV has expanded operational flexibility. For example, Siemens launched a new SF6-free gas-insulated switchgear model in 2023, reducing greenhouse gas emissions by 99%. Additionally, digital substations equipped with IEC 61850 communication protocols and AI-based predictive maintenance systems are gaining adoption, with over 500 units commissioned worldwide in the past year.

The integration of IoT sensors in transformers and switchgear allows real-time monitoring of temperature, vibration, and load, enabling utilities to reduce unplanned outages by 30%. Hitachi (ABB) introduced a transformer monitoring system capable of analyzing over 1,000 data points per minute, facilitating advanced diagnostics. New compact transformers designed for urban environments reduce footprint by 25%, catering to space-constrained substations. Superconducting cables and fault current limiters are being developed to enhance transmission capacity without building new lines. Projects involving superconducting cable installations have increased by 50% since 2022, with pilot lines operational in Japan, South Korea, and the U.S. Furthermore, manufacturers are developing smart switchgear with embedded cybersecurity features to prevent grid vulnerabilities, addressing increasing digital threats.

Five Recent Developments

Siemens commissioned the world’s largest ultra-high voltage gas-insulated switchgear (GIS) substation in China, rated at 1,100 kV, supporting 10 GW of renewable integration in 2023.
Hitachi (ABB) introduced a new generation of digital transformers equipped with IoT sensors capable of real-time diagnostics and cloud-based monitoring, deployed in over 30 countries by early 2024.
GE launched an SF6-free high-voltage circuit breaker system, reducing greenhouse gas emissions by 99%, installed in several European grids in 2023.
Schneider Electric unveiled AI-powered grid asset management software integrated with its switchgear and transformers, resulting in a 20% reduction in maintenance costs for utilities during 2023.
TBEA commissioned a 1,200 kV ultra-high voltage direct current (UHVDC) transformer in China, enabling power transfer over 3,000 kilometers with minimal losses, operational since late 2023.

Report Coverage of Electric Power Transmission Equipment Market

The electric power transmission equipment market report provides a comprehensive analysis of the global market landscape, encompassing equipment types, applications, and regional performance. It covers transformers, switchgear, and auxiliary equipment, detailing technical specifications such as voltage ratings, capacity, and design innovations. The report includes data on installed base volumes, deployment statistics, and adoption rates of smart grid technologies. It analyzes market dynamics including drivers like renewable energy integration and grid modernization programs, alongside restraints such as capital expenditure challenges and technical integration complexities. Segmentation analysis evaluates equipment by type—transformers, switchgear, others—and by application sectors such as fossil fuel-fired power plants, renewable energy, and industrial use.

Regional outlooks cover North America, Europe, Asia-Pacific, and Middle East & Africa, highlighting infrastructure development, regulatory impacts, and investment trends. The report identifies leading companies, their market shares, and recent product developments, offering insight into competitive strategies. Furthermore, the report discusses investment opportunities focusing on emerging technologies such as digital substations, IoT-enabled equipment, and superconducting transmission cables. It also covers innovation trends including energy-efficient transformers, SF6-free switchgear, and AI-driven asset management solutions. The comprehensive coverage equips stakeholders with data-driven insights necessary for strategic decision-making in the evolving electric power transmission equipment market.