Traction Transformer Market Size, Share & Trends Analysis Report By Mounting Position, By Voltage Network (AC Systems, DC Systems), By Rolling Stock (Electric Locomotives, High-Speed Trains), By Region, And Segment Forecasts, 2023 - 2030

Traction Transformer Market Size, Share & Trends Analysis Report By Mounting Position, By Voltage Network (AC Systems, DC Systems), By Rolling Stock (Electric Locomotives, High-Speed Trains), By Region, And Segment Forecasts, 2023 - 2030

Traction Transformer Market Growth & Trends

The global traction transformer market size is expected to reach USD 1.99 billion by 2030, according to a study by Grand View Research, Inc., progressing at a CAGR of 6.5from 2023 to 2030 Fast pace of modern lives and surging demand for high-speed commute options are promoting several changes in rail infrastructure across the globe, including shift to technologically advanced electric locomotives. This trend is anticipated to provide a significant push to the market over the forecast period.

Furthermore, favorable government initiatives, including introduction of various policies, funding for high-speed locomotives, and implementation of safer technologies in trains, are leading to positive developments in the global rail infrastructure sector. Increasing expenditure on comfortable and convenient traveling are also encouraging several developments in rail infrastructures worldwide. These transformations are likely to result in greater demand for traction transformers in the next few years.

Growing environmental concerns regarding power consumption, costly and unsafe locomotives, noise pollution, and dependence on crude oils are impelling adoption of traction systems. Furthermore, expansion of rail transport networks for better traffic management, saving time required for commute, and providing cost-efficient services are stirring up their demand in rail systems globally.

Worldwide, rising number of rail projects is translating into increased adoption and implementation of traction transformers on a large scale. Presence of a limited number of market players offering these products has resulted in fierce competition. Resultant concentration of projects and revenue in hands of a select few companies, which often results in risk of efficiently managing supply and demand, can challenge the growth of the market over the forecast period.

Traction Transformer Market Report Highlights

• Traction transformers provide several benefits over conventional fossil-fuel based traction systems, including rapid acceleration, space availability, cost-efficiency, light-weight, and low power consumption
• Based on voltage network, the alternative current (AC) systems segment held the largest market share in 2022. The demand for AC traction systems is driven by increased adoption of electric locomotives for long-distance travel routes
• Based on mounting position, the machine room segment is poised to exhibit a CAGR of 7.5% over the forecast period. The growth of the segment can be attributed to maximum flexibility and low maintenance offered by equipment mounted in machine rooms
• Based on rolling stock, the electric locomotives segment commanded the highest revenue share in 2022. Upswing in the demand for electrified rail systems has played a pivotal role in high demand for electrical locomotives over the years
• Asia Pacific dominated the market and accounted for the largest revenue share of 31.3% in 2022 and is expected to grow at the fastest CAGR over the forecast period
• These market players are engaged in offering differentiated product portfolio and in entering private-public partnerships to withstand competition. For instance, recently ABB was awarded contracts by governing bodies for the development of metro infrastructure across major metropolitan cities.

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