HS Code:
The category 'Exceeding 1,000 kVA' typically falls under HS Code 8504.23, which refers to liquid dielectric transformers with a power handling capacity exceeding 1,000 kVA. These transformers are critical components in high-voltage power transmission and distribution systems, used primarily in industrial, utility, and infrastructure applications. They are essential for stepping up or stepping down voltage levels in power grids, renewable energy projects, and large-scale industrial operations. Global trade in this category is influenced by demand for energy infrastructure development, renewable energy integration, and industrial growth.
Total Trade Volume
USD 3.2 billion
Data from 2022
Source
United Nations Comtrade Database
USD 850 million
26.6% of total trade
Increasing
USD 620 million
19.4% of total trade
Stable
USD 480 million
15.0% of total trade
Increasing
USD 350 million
10.9% of total trade
Increasing
USD 280 million
8.8% of total trade
Stable
Average Rate
5.8%
Highest Rate
12% (applied by certain developing countries to protect domestic industries)
Lowest Rate
0% (under free trade agreements such as EU-US or ASEAN)
Growing demand for renewable energy infrastructure
Increased need for high-capacity transformers to integrate wind and solar power into national grids, driving trade volumes in regions with renewable energy projects.
2021-2023
Shift toward energy-efficient and eco-friendly transformers
Manufacturers are adapting to stricter environmental regulations, influencing trade patterns as countries prioritize imports of compliant products.
2020-2022
Supply chain disruptions due to geopolitical tensions
Delays and cost increases in the supply of raw materials like copper and steel have affected production and export capacities of major players.
2022
The US government has allocated significant funding for grid modernization, increasing demand for high-capacity transformers and boosting imports.
November 2021
Expected to drive a 15-20% increase in imports of transformers exceeding 1,000 kVA over the next 5 years.
The EU has introduced policies to support renewable energy projects, necessitating advanced transformer technologies for grid stability.
July 2021
Increased trade flows within and into the EU, especially from China and South Korea.
China imposed restrictions on the export of critical raw materials used in transformer manufacturing, affecting global supply chains.
October 2022
Potential price hikes and supply shortages for transformers globally, prompting diversification of supply sources.