The Global Transformer Oil Market was valued at US$ 1.34 billion in 2020 and is predictable to reach US$ 2.71 billion by 2030 which is projected to reach a CAGR of 7.3 % during the forecast period from 2021- 2030.
Transformer oil is a mineral insulating or cooling oil derived from crude petroleum consisting of numerous hydrocarbons. It is used in electrical transformers serving as a coolant that remains stable at higher temperatures and delivers excellent electrical insulation, high resistivity, higher dielectric strength, chemical stability, minimal power loss, prevents oxidation among others.
The rising expansion of power grids for meeting the increasing energy demand is the prime reason driving the global transformer oil market. Owing to meet the energy demand with the increasing industrialization and urbanization the government has started the initiative to increase the expansion of grids and aims to deliver uninterrupted power supply which is expected for the market growth. Prevention from oxidation and electrification of rural areas with rising investment in the power distribution and transmission stimulates the transformer oil market share during the forecast period. However, the adaption of dry transformers and fluctuating oil prices are the reasons hampering the market growth
Furthermore, rising environmental consciousness has shifted for the adoption of safer and greener and safer products such as bio-based oils for transformers formed from renewable raw materials such as vegetable oils are gaining more attention owing to their eco-friendliness and biodegradable nature. In addition, the emphasis on rural electrification in developing economies like India and China is expected for the growth of the global transformer oil market during the forecast period.
The Global Transformer Oils Market is segmented by oil type, function, application, end-user, and region. Based on oil type, it is categorized into mineral oil, silicone, and bio-based. Mineral oil is further bifurcated into naphthenic and paraffinic. By function, it bifurcates into an insulator, lubricant, cooling agent, and chemical stabilizer. Application segment is categorized into reactor, switchgear, and transformer (power and cooling transformer). By end-user segment, the transformer oil market is bifurcated into power generation, transmission & distribution, railways & metros, and others. Based on regional insights, transformer oil market is categorized into North America (US, Canada, Mexico, Rest of America), Asia Pacific (India, China, Rest of Asia Pacific), Europe (UK, Germany, Russia, Rest of Europe) and Rest of the world (Latin America and Middle East & Africa).
Prominent players inducing the Global Transformer Oil Market are Exxon Mobil Corporation, Ergon Inc., Sinopec Lubricant Company, PetroChina Company Limited, Chevron Corporation, Petro-Canada, Lubrita, Gulf Oil International, Cargill Incorporated, Calumet Specialty Products Partners L.P., Hyrax Oil Sdn Bhd., Valvoline Cummins, Royal Dutch, Repson, Nynas AB, APAR Industries, Savita Oil Technologies Limited, M&I Materials Limited, Gandhar Oil, Phillips 66 Company, Dow, Hydrodec Group plc, Sasol, San Joaquin Refining Co., Engen Petroleum Limited among others.
Market Segmentation and Scope of the Global Transformer Oil Market
Global Transformer Oil Market is segmented by oil type, function, application, end-user, and region.
By Oil Type
Prominent players in the Global Transformer Oil Market: