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Transformer Insulation Market worth $9.68 billion by 2030 - Exclusive Report by MarketsandMarkets™

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MarketsandMarkets

10 Oct, 2025, 10:58 GMT

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DELRAY BEACH, Fla., Oct. 10, 2025 /PRNewswire/ -- The report 'Transformer Insulation Market by Material (Liquid, Solid Insulation), Voltage Class, Type (Liquid Filled, Dry-type Transformer), End-use Industry (Electrical Utilities, Data Centers, Oil & Gas, Power), and Region - Global Forecast to 2030', transformer insulation market is projected to be valued at USD 6.97 billion in 2025 and USD 9.68 billion by 2030, exhibiting a CAGR of 6.8% during the forecast period.

Browse in-depth TOC on 'Transformer Insulation Market'
335 - Tables
54 - Figures
274 - Pages

Download PDF Brochure: https://www.marketsandmarkets.com/pdfdownloadNew.asp?id=128579433

The increasing electricity consumption due to urbanization, industrial growth, and other electrical devices augments the demand for transformer insulation systems. Emerging economies, such as China and India, are emerging as major hubs for the transformer insulation market due to the substantial investments in infrastructure and improvements in the electrical grid to expand electricity access. The switch to renewable energy sources, such as solar and wind, also increases the demand for insulation in the transformer insulation market, due to the need for insulation to regulate load changes and power quality in smart grids. Sustainability goals also increase demand for environmentally friendly, fire-friendly insulation, especially dry-type insulation for urban settings and data center builds. In developed regions, aging power infrastructure requiring refurbishment can use insulation with improved electrical and thermal properties and reduced flammability for better reliability.

Solid insulation segment is expected to record the highest CAGR between 2025 and 2030.

The transformer insulation market is dominated by solid insulation due to its affordability and versatility. Materials such as cellulose paper, pressboard, and advanced composites deliver exemplary dielectric strength and thermal stability in high voltage and high temperature situations. They have become a common choice for dry-type transformers adopted in urban locations, data centers, and renewable energy systems as they are considered safe and do not pose a risk of leaking fluids such as mineral oil. The demand for smart transformer converters from AC to DC for solar and wind projects will increase the use of solid insulation due to their compact size and weight, for the same performance characteristics as their insulating fluids. Advancements in the polymer sciences, such as nanotechnology, improve solid insulation's mechanical and electrical properties and offer longer service life. The requirements for eco-friendly and low-maintenance approaches to insulating will drive solid insulation to retain its position as the most advanced insulating system.

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Power industry segment is anticipated to capture the largest share of the transformer insulation market in 2025.

The power industry is a significant end-use industry for the transformer insulation market. The power sector is vital to power generation, transmission, and distribution, and therefore requires heavy-duty and reliable transformer insulation. Rapid urbanization and industrialization drive increased global energy consumption. There is a pressing need for substantial power grid infrastructure, especially in developing economies, including China and India, where large-scale grids are being developed. On the other hand, renewables have introduced heater variations in voltage, requiring more advanced insulation to manage these higher voltages and keep the grid stable. In addition, the power industry's continuous use of fresh transformers using insulating material, like cellulose and composite materials, keeps the demand high. In developed regions, aging power infrastructure requires revitalization/upgrades with high-performance insulation to increase efficiency and reliability. Since there is a concern about sustainability and energy efficiency increasing, the power sector will require a commitment to implementing eco-friendly insulation, as both liquid-filled and dry-type transformers will remain common. The power industry has a strong hold on the market.

North America is likely to be the second-largest region in the transformer insulation market during the forecast period.

North America is the second-largest transformer insulation market due to its sophisticated power infrastructure, strong investments in grid modernization, and rising integration of renewable energy. The US and Canada advance the market by investing heavily in upgrades to outdated electrical grids and electricity distribution systems, which require insulation materials with improved performance to improve the efficiency and reliability of transformers. The emphasis on integrating solar energy, wind energy, and other renewable forms of energy into the energy mix often requires high-performance insulation materials to accommodate variable load and high voltage requirements of renewable systems. Continual investments in renewable technologies also coincide with the more restrictive standards in the environmental space governing the use of insulation materials that are not environmentally friendly or non-fire-resistant. This allows approval of eco-friendly, fire-resistant insulation products, including dry-type systems applicable to urban and industrial settings. In addition, with the economy remaining one of the strongest industrial sectors in the world, the demand for electric vehicle infrastructure is a driving force for transformers to provide a reliable supply to electric vehicle applications. Furthermore, market growth is supported by developments in insulation systems and technologies such as composite insulation systems using nanotechnology. North America has become a pivotal player in the global transformer insulation market due to the strong growth in these segments of the industry, in the field of transformer insulation.

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Key players

The transformer insulation market report comprises key manufacturers, such as DuPont (US), 3M (US), Hitachi Energy Ltd (Switzerland), Krempel GmbH (Germany), WEG (Brazil), Huntsman International LLC (US), Weidmann Electrical Technology AG (Switzerland), Ahlstrom (Finland), delfortgroup AG (Austria), Nordic Paper (Sweden), TOMOEGAWA CORPORATION (Japan), and ALTANA AG (Germany), among others.

Get access to the latest updates on Transformer Insulation Companies and Transformer Insulation Market Size

Browse Adjacent Market: Foam and Insulation Market Research Reports & Consulting

Related Reports:

Dry Transformer Insulation Market  - Global Forecast to 2030

Electrical Insulation Materials Market - Global Forecast to 2027

HVAC Insulation Market  - Global Forecast to 2030

 Subsea Thermal Insulation Material market - Global Forecast to 2030

OEM Insulation Market  - Global Forecast to 2030

About MarketsandMarkets™

MarketsandMarkets™ has been recognized as one of America's best management consulting firms by Forbes, as per their recent report.

MarketsandMarkets™ is a blue ocean alternative in growth consulting and program management, leveraging a man-machine offering to drive supernormal growth for progressive organizations in the B2B space. We have the widest lens on emerging technologies, making us proficient in co-creating supernormal growth for clients.

Earlier this year, we made a formal transformation into one of America's best management consulting firms as per a survey conducted by Forbes.

The B2B economy is witnessing the emergence of $25 trillion of new revenue streams that are substituting existing revenue streams in this decade alone. We work with clients on growth programs, helping them monetize this $25 trillion opportunity through our service lines - TAM Expansion, Go-to-Market (GTM) Strategy to Execution, Market Share Gain, Account Enablement, and Thought Leadership Marketing.

Built on the 'GIVE Growth' principle, we work with several Forbes Global 2000 B2B companies - helping them stay relevant in a disruptive ecosystem. Our insights and strategies are molded by our industry experts, cutting-edge AI-powered Market Intelligence Cloud, and years of research. The KnowledgeStore™ (our Market Intelligence Cloud) integrates our research, facilitates an analysis of interconnections through a set of applications, helping clients look at the entire ecosystem and understand the revenue shifts happening in their industry.

To find out more, visit www.MarketsandMarkets™.com or follow us on Twitter, LinkedIn and Facebook.

Contact:
Mr. Rohan Salgarkar
MarketsandMarkets™ INC.
1615 South Congress Ave.
Suite 103, Delray Beach, FL 33445
USA: +1-888-600-6441
Email: sales@marketsandmarkets.com
Visit Our Website: https://www.marketsandmarkets.com/

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