(MENAFN- GlobeNewsWire - Nasdaq) Key market opportunities in the Saudi Arabia dry type transformer market include grid decarbonization demand, development in data centers and smart cities, integration with renewable projects, and adoption of smart transformers.Dublin, Nov. 24, 2025 (GLOBE NEWSWIRE) -- The "Saudi Arabia Dry Type Transformer Market Outlook - Forecast Trends, Market Size, Share and Growth Analysis Report (2025-2034)" report has been added to ResearchAndMarkets's offering.
The Saudi Arabia dry type transformer market was valued at USD 217.60 Million in 2024. The market is expected to grow at a CAGR of 6.60% during the forecast period of 2025-2034. Saudi Arabia's grid decarbonisation roadmap has significantly elevated the demand for dry type transformers compatible with fluctuating load conditions. As a result, the market is expected to reach a value of USD 412.32 Million by 2034.
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Dry type transformers play a crucial part in the data centers due to their fire safety, low maintenance, and compact installation features, critical for mission-critical environments. The Saudi Arabia dry type transformer industry is picking up rapid momentum owing to the surging developments and innovation being done in the various data centers across the region.
Dry-type transformers have become ideal due to their fire-resistant, low-maintenance features, and suitability for indoor use. As NEOM emphasizes sustainability and cutting-edge infrastructure, such large-scale developments is expected to drive significant demand across Saudi Arabia's growing data center and smart city ecosystems.
Additionally, the pro-active thrust of the government through Vision 2030 is projecting goals for industrial and energy infrastructure while positioning dry type transformers as the foundation for diverse utility and commercial developments. Furthermore, technologies such as smart transformers with IoT-based sensors and predictive maintenance are being embraced in new projects, particularly in mega-cities like NEOM and Red Sea Project areas.
Growing Integration with Smart Grids
Upgraded transformers with smart, dynamic energy networks are shaping the overall Saudi Arabia dry type transformer market dynamics. Dry type transformers are becoming an integral part of smart grid systems, particularly in metropolitan energy centres. In the King Salman Energy Park, for example, AI-controlled dry transformers are pilot-tested for real-time voltage regulation and self-diagnosis. This improves grid operations and their responsiveness, aligning with the Kingdom's target of renewable capacity by 2030.
Safety Standards & Fire-Resistant Infrastructure
The increased demand for fire-resistant and eco-friendly infrastructure has fuelled the Saudi Arabia dry type transformer market growth. These transformers, unlike oil-immersed ones, reduce the risk of fire, especially in closed indoor environments. Saudi ARAMCO's recent refinery expansion includes cast resin dry type transformers due to their self-extinguishing properties. Moreover, the Civil Defence Authority has started encouraging commercial complexes to install low-flammability transformers.
Surge in Data Centers and Digital Infrastructure
As Saudi Arabia positions itself as the Middle East's digital hub, transformers are seeing heavy deployment in hyperscale data centres, boosting the overall demand in the Saudi Arabia dry type transformer market. Dry type units are being installed in Riyadh's Qiddiya and NEOM's Oxagon technology city for continuous power supply. Due to the transformers' compact nature, low maintenance requirements, and dust-resistant design, these are well-suited for controlled environments. Additionally, government incentives for data infrastructure development further boost transformer installations in these zones.
Growing Adoption of Modular Power Systems in Renewable Projects
Renewable energy has spurred the need for decentralized, modular power distribution systems, accelerating the Saudi Arabia dry type transformer market development. Dry type transformers are best suited for solar farms and wind farms as they are temperature-resistant and inverter-friendly. Projects like the Dumat Al Jandal wind farm have integrated dry type units into their transmission layout. This modularity allows for efficient energy management and grid integration in harsh desert conditions.
Public-Private Partnerships in Utility Infrastructure Development
Public-private partnerships (PPPs) are driving massive utility upgrades, boosting the dry type transformer demand in Saudi Arabia. In 2023, the Saudi Power Transformer Company (SPTC) doubled its high-voltage transformer production from 70 to 150 units, following a directive from the Saudi Electricity Company (SEC). This expansion, supported by the Public Investment Fund (PIF), underscores a strategic move to bolster local manufacturing capabilities and meet the growing demand for reliable power distribution in Saudi Arabia. These partnerships promote the use of advanced transformer units to reduce water and energy loss. PPPs not only bring capital investments but also foster technology transfers, encouraging local manufacturers to innovate beyond traditional product lines.
Competitive Landscape
Saudi Arabia dry type transformer market players prioritize innovation to meet regional demands, focusing on enhanced safety features like fire resistance and thermal protection tailored for harsh desert environments. Companies are forging technology partnerships to develop smart transformers with IoT-enabled digital monitoring for predictive maintenance and real-time performance tracking. Localised manufacturing hubs reduce lead times and customize products for regional conditions. This blend of advanced safety, digital integration, and desert-adapted design positions market players to serve growing infrastructure needs in sectors such as energy, data centres, and industrial applications across the region.
Saudi Arabia dry type transformer companies also find untapped opportunities in retrofitting old systems with AI-enabled dry transformers, especially in legacy industrial zones. Moreover, growing investments in renewable energy projects and the expansion of smart grids are further propelling the need for advanced, low-maintenance transformer solutions.
Schneider Electric SE
Established in 1836, France-based Schneider Electric has become a leader in digital energy solutions. In Saudi Arabia, the company is focused on driving the adoption of IoT-compatible dry type transformers with integrated EcoStruxure systems for predictive monitoring. They are also developing heat-resistant enclosures to cater to the high temperatures of desert installations.
alfanar Group
Founded in 1976 and headquartered in Saudi Arabia, alfanar has introduced a series of cast resin dry transformers with anti-corrosion coatings appropriate for coastal applications. The company also focuses on local production under Vision 2030 for the development of indigenous industries.
Bahra Electric Group
Bahra Electric, founded in 2008 and headquartered in Jeddah, focuses on high-performance transformers designed for the GCC climate. Their new VPI models are being deployed in Red Sea resorts, emphasizing sand-resistant architecture. The company is also venturing into modular plug-and-play designs for renewable installations.
CHINT Group
Founded in 1984, CHINT is based in Wenzhou, China. Their Saudi operations are now targeting the mid-voltage segment with smart transformer units that integrate with solar PV setups. CHINT has formed joint ventures with local firms to streamline installation and aftersales, optimizing cost-efficiency in large-scale energy rollouts.
Other key players in the market are Eaton Corp., Hitachi Ltd., and Fuji Electric Co., Ltd., among others.
Key Highlights of the Saudi Arabia Dry Type Transformer Market Report:
Historical performance and accurate forecasts through 2034, integrating Vision 2030-linked infrastructure plans and grid resilience targets. Insights into product innovations including epoxy-resin encapsulated transformers and energy-efficient VPI (Vacuum Pressure Impregnation) models suited for high-temperature desert environments. In-depth competitive landscape profiling global OEMs like ABB and Siemens, alongside rising local players capitalising on government procurement preferences. Regional analysis mapping transformer demand hotspots in NEOM, Qiddiya, and Red Sea developments, along with grid upgrades in Asir and Eastern Province. Investment-focused outlook featuring CAPEX trends in metro rail, renewable parks, and industrial corridors.
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