Chinese Transformers Become Hot Commodity in Global Market

The humble transformer has emerged as a sought-after product in overseas markets, with robust export growth reflecting its rising global competitiveness, according to official data.

Customs data shows that the total export value of transformers in 2025 exceeded 64.6 billion yuan, a year-on-year increase of nearly 36 percent. The average export price per transformer reached 205,000 yuan, rising by about one-third compared with the previous year. Many transformer manufacturers are fully loaded with orders, and some orders for data centers have been scheduled until 2027.

The booming overseas demand has laid a solid foundation for the growth of China’s transformer exports. Developed countries in Europe and North America are in the cycle of upgrading their power grid facilities, while emerging markets are accelerating power grid investment with the increasing electricity consumption and rising proportion of clean energy power generation. Meanwhile, the accelerated construction of computing infrastructure such as overseas data centers has further boosted the demand for transformers.

Amid fierce global competition, China, as the world’s largest transformer producer, has stood out due to three core advantages, which also explain the underlying logic of "Made in China" gaining a firm foothold in the international market.

The first advantage is "speed", derived from an integrated industrial chain. China has built the world’s most complete transformer production system, covering raw materials such as copper and aluminum, as well as components including iron cores and tap changers, accounting for about 60 percent of global production capacity. The close connection and independent control of the industrial chain enable Chinese enterprises to respond quickly to market changes, with a delivery cycle much shorter than the 18 months to 2 years of European and American manufacturers.

This competitive edge brought by a complete industrial system is not unique to the transformer industry. For instance, the supporting industrial system for robots has been increasingly improved, and robots made in the Yangtze River Delta have achieved 100 percent localization of core components, reducing costs by 40 percent. In 2025, China’s industrial robot exports exceeded imports for the first time.

The second advantage is "adaptability", stemming from the accurate grasp and satisfaction of market demand. Innovation is reflected not only in technological upgrading but also in the dynamic adaptation of products to market needs. To meet the environmental protection requirements of European and American markets, vegetable oil transformers have been developed; to adapt to the needs of data centers, solid-state transformers with small footprint and high efficiency have been created. By focusing on customized production and refinement, China’s transformer industry has grown rapidly by addressing customer pain points.

This market-oriented strategy has been proven effective in many sectors. Multifunctional heaters that can heat tea on the top and warm up from four sides are popular in the Japanese and South Korean markets, while cranes equipped with desert tires and Mars fire extinguishers are well-received in the Middle East, demonstrating that following market trends and meeting demand can open up broader space for "Made in China".

The third advantage is "reliability", supported by the empowerment of domestic application scenarios. The upgrading of domestic power grids and the construction of computing infrastructure have provided a "training ground" for transformer enterprises to tackle technological challenges. During the 14th Five-Year Plan period, the State Grid put into operation the "Eight AC and Eight DC" UHV projects, helping China gain technological discourse power in the fields of UHV and intelligent transformers.

China’s large-scale market and diverse application scenarios allow "Made in China" products to fully verify their reliability and practicality domestically before entering the global market. This advantage has also supported the development of other industries, such as the low-altitude economy and wind power.

The strong export performance of transformers shows that China’s industrial foundation, innovation capacity and scenario advantages have given enterprises sufficient confidence in international competition. It also proves that by strengthening internal capabilities and promoting industrial upgrading, "Made in China" can remain invincible regardless of changes in the global market.