Saudi Arabia Dry Type Transformer Market Outlook - Forecast Trends, Market Size, Share and Growth Analysis Report (2025-2034)

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.

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. For example, DataVolt’s USD 5 billion AI data center project in NEOM requires highly reliable, safe, and efficient power solutions. 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.

Key Trends and Recent Developments

April 2025

The Saudi Electricity Company (SEC) developed major infrastructure project to serve the kingdom's growing renewable energy network. The company has received competitive proposals for the development of a 380 kV substation in Mawqaq, Saudi Arabia's central region, as well as associated overhead transmission line (OHTL) projects. This development indicates demand for advanced dry type transformers to support renewable energy transmission in high-heat regions like Mawqaq, ensuring fire safety and low maintenance.

June 2024

Toshiba Energy Systems and Solutions Corporation installed and activated seven gas insulated transformers (GIT) at the Haram 2 and Haram 3 substations in Makkah, Saudi Arabia, making a substantial contribution to a safer, more reliable power supply. Saudi Electricity Company commissioned the project as a substantial upgrade to critical urban infrastructure used by millions of people, which included replacing oil-insulated transformers with seven GITs for 110 kV-class substations. This indicates a broader shift toward compact, safer alternatives, paving the way for wider dry type transformer adoption in dense, high-traffic urban grids.

April 2023

Engineering Dimensions, a Saudi Arabian company, announced plans to produce transformers and other electrical equipment on its own, bypassing a joint venture with Bangladesh's state-owned General Electric Manufacturing Company Limited (Gemco). This is expected to enhance domestic availability of dry type variants, reducing lead times and aligning with Saudi’s industrial localisation push under Vision 2030.

April 2022

Siemens Energy introduced CAREPOLETM, a novel dry-type single-phase transformer for pole applications. The new cast-resin distribution transformer, designed to meet the technological requirements of the American grid, offers a dependable and sustainable alternative to oil-filled transformers. This launch introduces opportunities to develop innovative dry-type solutions tailored for pole-mounted and decentralised applications, encouraging adoption in remote Saudi areas with limited maintenance access.

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 58.7GW 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.

Saudi Arabia Dry Type Transformer Industry Segmentation

The report titled “Saudi Arabia Dry Type Transformer Market Report and Forecast 2025-2034” offers a detailed analysis of the market based on the following segments:

Market Breakup by Technology

• Cast Resin
• Vacuum Pressure Impregnated

Key Insight: Cast resin transformers are significantly propelling the Saudi Arabia dry type transformers market value, due to the nation's push toward fire-resistant public infrastructure. These units also offer customization for specific verticals including temperature-sensitive hospital equipment or high-frequency airport systems. Manufacturers are offering resin formulations that adapt to load conditions, reflecting a move toward application-specific engineering.

Market Breakup by Voltage

• Low Voltage
• Medium Voltage
• High Voltage

Key Insight: Low voltage transformers occupy a substantial share in Saudi Arabia dry type transformers market revenue. Developers are now integrating low voltage dry transformers with IoT gateways for real-time energy monitoring in smart buildings. These allow for predictive maintenance, energy consumption tracking, and automatic load balancing, while offering a blend of safety and tech-forward design, which is particularly resonant with the digitally evolving region.

Market Breakup by Phase

• Single Phase
• Three Phase

Key Insight: Three-phase transformers dominate the dry type transformers market share in Saudi Arabia with a major share in revenue. These are being tailored with built-in diagnostics and cooling systems to suit desert climates. Moreover, the application of aluminum-wound coils specifically manufactured to minimize weight without sacrificing performance has made these transformers boost demand. This technology is becoming a norm in mega construction projects such as the Riyadh Metro and Vision 2030 city projects.

Saudi Arabia Dry Type Transformer Market Share

By Technology, Cast Resin Transformers Account for the Dominant Share of the Market

Cast resin transformers are gaining ground as per the Saudi Arabia dry type transformers market report because of their resistance to moisture and high mechanical strength. Employed in hospitals, shopping malls, and airports, these transformers are the ideal solution for places where continuous operation is needed. The recent hospital expansions by the Ministry of Health, such as in Jeddah and Riyadh, include cast resin units as they are safe and leave a low environmental footprint, even with high load fluctuations.

Vacuum pressure impregnated (VPI) transformers are also in high demand for their adaptability and reliability in unstable climatic areas. The Kingdom's large-scale irrigation projects of agriculture in Al-Jouf have begun to employ VPI transformers to contend with long-distance voltage drops. These transformers are suitable for dry, moisture-susceptible climates and are preferred where traditional transformers need frequent maintenance.

By Voltage, Low Voltage Transformers Represent the Largest Share of the Market Revenue

Low voltage dry type transformers are widely used in commercial buildings, telecom facilities, and residential developments, propelling the growth of the Saudi Arabia dry type transformers industry. Riyadh’s smart city pilot areas incorporate low voltage transformers with built-in harmonic filtering, enabling cleaner energy transmission. Their size, safety, and compatibility with energy-efficient systems make them ideal for urban installations.

Medium voltage dry type transformers have emerged to be the fastest-growing voltage category in the market due to the expanding use in renewable and industrial zones. Projects in the Eastern Province are leveraging these transformers for solar energy distribution and mid-size industrial load balancing. Their robust insulation systems and ability to operate with limited downtime under harsh temperatures have made them highly popular in these projects.

By Phase, Three-Phase Transformers Clock in a Significant Share of the Market

Three-phase dry type transformers, expected to grow at a CAGR of 7.3% over the forecast period, dominate in utility and industrial applications, primarily for their efficiency in high-load systems, fuelling the overall Saudi Arabia dry type transformers market revenue. In the Jubail industrial zone, these units support a wide range of applications, including chemical plants and export terminals. Their ability to handle unbalanced loads and deliver stable output makes them highly favourable for mission-critical operations.

With more remote and off-grid energy systems being deployed, single-phase dry type transformers are growing in terms of adoption. Particularly in rural electrification programmes and portable solar units in northern provinces, these transformers have become ideal due to ease of setup and lightweight construction. Their affordability also makes them popular for emerging SMEs in less developed regions.

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.