U.S. Green Power Transformer Market (2025 - 2030) Size, Share & Trends Analysis Report By Type (Low Voltage, Medium Voltage), By Phase (Three Phase, Single Phase), By Application (Industrial & Commercial Use, Residential), And Segment Forecasts

Market Size & Trends

The U.S. green power transformer market size was valued at USD 200.7 million in 2024 and is anticipated to grow at a CAGR of 6.7% from 2025 to 2030. The growing use of renewable energy sources like wind and solar power has increased the need for green power transformers. These transformers are essential for efficiently transmitting and distributing electricity from renewable sources. The move toward adopting clean energy and updating the techniques used in traditional transformers is a major factor favoring the growth of the green power transformer market.

Governments around the world are implementing strict emission regulations and providing incentives for clean energy solutions, which further boosts the expected demand for sustainable and energy-efficient transformer technologies. For instance, DOE launched a rebate program to help entities replace aging and inefficient transformers with new, qualified energy-efficient models. This initiative aimed to reduce overall power consumption and emissions while cutting operational costs. Qualified applicants were eligible to receive up to USD 25,000 in rebates.

Governments and energy companies spend money on eco-friendly infrastructure to achieve climate goals, adding more solar, wind, and other renewable energy sources, which need efficient, low-pollution transformers to manage changing power levels and reduce energy waste. Transformers are designed to handle power fluctuations and variable loads, making them ideal for renewable energy generation. Furthermore, industrial and urban electrification creates additional demand for low-emission, high-efficiency transformer systems. Green transformer makers also have significant opportunities in developing areas where old power systems need to be upgraded.

There is a substantial rise in expected demand for these transformers because cities are growing and industries are using more electricity. New growth opportunities include smart transformers with digital monitoring and eco-friendly materials like ester fluids. Green power transformers help eradicate pollution through the usage of natural ester liquid. These new technologies help make the power grids more reliable, lower repair costs, and meet environmental regulations. The ecological benefits include reducing the noise levels to limit disturbances in ecologically sensitive regions.

Market Concentration & Characteristics

Designing and manufacturing green power transformers require advanced technological capabilities and substantial capital investment. As a result, the market shows a moderately high level of concentration, with a few major players, such as General Electric (GE), Siemens Energy USA, Schneider Electric USA, and Hitachi Energy, dominating the industry.

The U.S. green power transformer industry exhibits a moderately high degree of innovation. The industry is driven by the rise of renewable energy integration, efficient energy transmission and distribution, applications across industrial and commercial sectors, and reduced carbon footprint at a major scale. Companies are making significant investments to meet this demand and enhance the production of green power transformers domestically. For instance, Hitachi Energy invested USD 22.5 million to expand and modernize dry-type transformer manufacturing operations in Southwest Virginia, including a new 75,000 square-foot facility in Atkins, Virginia.These enhancements aimed to boost production capacity, support modernization efforts, and reinforce Hitachi Energy’s longstanding presence and continued growth in the region.

The U.S. green power transformer market is witnessing a moderate effort in mergers and acquisitions (M&A), with an aim of modernizing the electrical grids, integrating renewable energy sources, and addressing transformer shortages. These strategic activities are reshaping strategic collaborations, fostering innovation, and enhancing domestic manufacturing capabilities. For instance, in September 2024, Prolec GE Waukesha, Inc. expanded its capabilities by acquiring full ownership of Menk USA, a North American manufacturer specializing in cooling radiators for power grid transformers. The availability of substitutes for green power transformers is considered moderately high, as a significant portion of users continue to rely on traditional transformers powered by fossil fuels and nuclear energy. This makes the end user concentration moderately low as alternatives to green power transformers are widely available.

Type Insights

The medium voltage segment held the largest revenue share of 50.1% in 2024. A medium voltage transformer is used to step down the voltage from the higher voltage levels used in power distribution to the lower voltage levels required by customers. Medium-voltage transformers are becoming more popular because they are essential for connecting renewable energy sources and improving city power grids. Medium voltage transformers are commonly used in solar and wind projects to help move clean electricity efficiently from where it is generated to where it is required.

The low voltage segment is expected to grow at the fastest CAGR of 9.2% over the forecast period. A low-voltage green power transformer typically operates at voltages up to 1,000 volts (1 kV). These transformers are designed to convert higher voltage electricity to lower voltages, which are suitable for household appliances, lighting, heating systems, and small machinery. Low-voltage green power transformers are vital for delivering safe, efficient, and environmentally friendly electricity across various sectors. Their adoption supports the broader transition toward sustainable energy systems. The presence of prominent manufacturers, Eaton Corporation, Siemens USA, and MGM Transformer Company, of low-voltage transformers in the U.S. is expected to favor the growth of this segment.

Application Insights

The renewable energy integration segment held the largest revenue share in 2024. The demand for green power transformers is driven by the accelerating integration of renewable energy sources, such as solar and wind, into electrical grids. As countries aim to reduce carbon emissions and increase reliance on clean energy, the need for efficient transformers that can handle variable loads and reduce energy loss has become critical. Green power transformers connect renewable generation to transmission infrastructure while maintaining grid stability and improving overall efficiency. Replacing fossil fuel-based power plants with renewable energy sources significantly reduces greenhouse gas emissions. In the U.S., the use of renewables has increased significantly since 2010, but according to the government, even higher levels of renewable integration will be needed to achieve a net-zero economy by 2050.

Green power transformers are essential for both industrial and commercial applications. In the industrial sector, they are used in textile manufacturing, electronics production, and pharmaceutical manufacturing. In the commercial sector, they are commonly found in hospitals, office buildings, and shopping malls. As a result, the need for green power transformers in both industrial and commercial settings is expected to grow over the forecast period. Moreover, the goal of reducing carbon footprints and moving toward a more sustainable future is also expected to favor the demand for green power transformers in this segment.

Phase Insights

The three-phase transformer segment accounted for the highest share of the U.S. green power transformer market in 2024. Three-phase electrical systems are responsible for changing voltage levels. Three-phase green power transformers are widely utilized in utility-scale renewable energy projects, industrial operations, and commercial infrastructure. They can manage higher loads with enhanced efficiency, which makes them a popular choice in wind and solar farms.

The single phase segment is expected to record the fastest CAGR over the forecast period. This segment is expected to grow due to the use of renewable energy in homes and small businesses, where single-phase transformers are ideal due to their compact size and lower power requirements. The increasing adoption of rooftop solar systems, localized energy solutions, and supportive government policies are also expected to significantly assist the growth of this segment over the coming years.

Key U.S. Green Power Transformer Company Insights

Leading companies in the U.S. green power transformer industry, such as Siemens Energy, Schneider Electric, Hitachi Energy Ltd, and General Electric Company, are driving growth by investing in research and development, expanding manufacturing capabilities, and forming strategic partnerships. Some of them are expanding their medium-size transformers to improve grid resiliency, efficiency, and reliability, aiming for a sustainable energy future. In addition, these efforts aim to meet the growing demand and align with evolving energy efficiency regulations.

• Siemens Energy is trying to maximize the potential of the existing grids and embrace digitalization using AI, dynamic line ratings, and advanced grid-enhancing technologies.

• Schneider Electric provides energy management and automation solutions for homes, buildings, data centers, and industries. It focuses on sustainability, offering smart grid technology, electrical distribution systems, and renewable energy integration to enhance energy efficiency and reduce environmental impact.

Recent Developments

• In May 2025, Prolec GE announced a USD 140 million investment to double its medium power transformer manufacturing capacity at its facility in Goldsboro, North Carolina.

• In February 2025, at the 20th edition of Energy & Transformers Days event in Miami, Hitachi Energy launched Txellence, a premium range of transformers specifically designed to meet the evolving needs of nuclear power generation.

U.S. Green Power Transformer Market Report Scope

U.S. Green Power Transformer Market Report Segmentation

This report forecasts revenue at the country level and analyzes the latest industry trends in each sub-segment from 2018 to 2030. For this study, Grand View Research has segmented the U.S. green power transformer market report based on type, application, and phase.

• Type Outlook (Revenue, USD Million, 2018 - 2030)

  • Low Voltage

  • Medium Voltage

  • High Voltage

• Application Outlook (Revenue, USD Million, 2018 - 2030)

  • Renewable Energy Integration

  • Residential

  • Energy Transmission and Distribution

  • Industrial and Commercial Use

• Phase Outlook (Revenue, USD Million, 2018 - 2030)

  • Three Phase

  • Single Phase