Air Core Variable Shunt Reactor Market Size - By Phase, By End Use, Growth Forecast 2024 – 2032

Air Core Variable Shunt Reactor Market Size

The global air core variable shunt reactor market size was valued at USD 320.7 million in 2023 and is projected to grow at a CAGR of 9% from 2024 to 2032. The increased reliance on renewable energy has prompted a need for more advanced grid stability technologies. Proper voltage management is essential in dealing with changes in power during transmission. There is a rise in expenditures on smart grids and renewing the infrastructure. The reliability and flexibility of air core reactors is improving due to advanced technology. 
 

The growing energy demand from emerging markets is set to increase the robustness of electrical grids. According to the information released by the US energy administration, renewable sources accounted for around 20% of 2021 US electricity generation, which makes it imperative for shunt reactors.

Air Core Variable Shunt Reactor Market Trends

The demand for the air core variable reactor has the potential to stabilize the grid while the shift towards clean energy is underway. Investment into smart grids and modernization of power infrastructure further endorse the adoption of reactors since they provide better efficiency and flexibility. Global market trends shows that firms are concentrating more on low carbon alternatives for clean energy. The European Commission REPowerEU plan is one such initiative with the target of increasing the EU’s renewable energy share in region to 45% by 2030 and reflects the will to modernize the grid and its stability. Along with the developments in voltage regulating equipment, the transition to renewable energy sources is also boosting further market growth.
 

Air Core Variable Shunt Reactor Market Analysis

The three phase air core shunt reactors market is forecast to exceed USD 450 million by 2032. This growth is caused by the requirement for grid stability which is caused by the increasing use of renewable energy sources such as the wind and solar systems which lead to fluctuations in grid voltages. Simultaneously, other important factors contributing to demand, include the development of outdated transmission systems, increased investments in intelligent grid systems, and the transition toward oil-free systems that are environmentally friendly. The market is also influenced by technological advances that enhance the efficiency, reliability, and flexibility of shunt reactors.
 

The air core variable shunt reactor market is categorized by end use which further subcategorized between electric utilities and the renewable energy industry. The renewable energy end use industry is expected to contribute an annual growth of over 11.5% CAGR through 2032. Moreover, improvements in renewable energy grid infrastructure coupled with modernization programs for existing energy grids is expected to further enhance the growth in demand for renewable energy and enhance the. Advancement in grid stability systems and aggressive campaigns for promotion of oil-free solutions are also found to be aiding in growth in the market of this renewable sector type.
 

The Asia Pacific air core variable shunt reactor market will exceed USD 380 million by 2032, owing to the rapid uptake of renewable seamlessly integration into cities as well as urbanization and industrialization processes. Enhancements in the satisfactory use of power quality, the growing power distribution requirements, and the need for consistent and stable voltage regulation triggers growth in the market. The advances in air core reactor designs provide increased efficiency and lowered maintenance requirements foster wide acceptance of air core variable shunt reactors. China, India, and Japan are working on expansion of their power grids to incorporate an increased electricity demand and other renewable sources.
 

The growth of the U.S. air core variable shunt reactor market is spurred by the growing investments in renewable energy integration and grid modernization. The increased use of wind and solar energy increases the demand for reactive power management and voltage regulation. Furthermore, the increasing focus on improving energy efficiency and enhancing grid resiliency, coupled with the regulations that facilitate the integration of renewable energy, are the main drivers in the growth of the market.
 

Air Core Variable Shunt Reactor Market Share

General Electric Company holds significant share in the air core variable shunt reactor industry, using its expertise in grid solutions and other techniques. GE's products are widely in use for voltage regulators and reactive power management devices on grids with a large share of renewable energy sources. The focus of the company on modernization, development and provision of efficient power solutions makes it a key player in the world international support of grid stability and modernization processes.
 

Air Core Variable Shunt Reactor Market Companies

Some of the key players operating across the air core variable shunt reactor industry are:

• Coil Innovation
• GE
• GETRA
• Hilkar
• Hitachi Energy
• Hyosung Heavy Industries
• MindCore Technologies
• Nissin Electric
• Phoenix Electric
• SGB SMIT
• Shrihans Electricals
• Siemens Energy
• TMC Transformers
• Toshiba Energy Systems & Solutions
   

Air Core Variable Shunt Reactor Industry News

• In August 2024, Hitachi Energy was awarded a significant contract by Svenska kraftnat to amplify the power grid infrastructure of Sweden. The project entailed the supply of shunt reactors and transformers that are essential in stabilizing the voltage, increasing the reliability of the grid, and providing the much-needed upgrade. This upgrade enabled Sweden to take an almost step-free transition to renewable energy as the electricity usage increased rapidly. Modern Technology developed and utilized by Hitachi Energy stood at the core of the enhancement and reinforcement of Sweden’s Energy Transmission system.
   
• In June 2021, Hitachi Energy, also known as Hitachi Electric Power Grid, released new floating offshore wind power technology for their transformers and shunt reactors. The Transformers along with the Shunt reactors overcome challenges faced in deep waters and the marine environments as well. This technology proves beneficial over the old options as it increases both efficiency as well as a decrease in costs. This advancement allowed Hitachi energy further broaden their offshore sector as well as provide cutting edge wind generation power solutions.
   

This air core variable shunt reactor market research report includes an in–depth coverage of the industry with estimates & forecast in terms of revenue in USD Million from 2021 to 2032, for the following segments:

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Market, By Phase

• Single phase
• Three phase

Market, By End Use

• Electric utility
• Renewable energy

The above information has been provided for the following regions and countries:

• North America
  • U.S.
  • Canada
• Europe
  • UK
  • Germany
  • France
  • Italy
  • Russia
• Asia Pacific
  • China
  • India
  • Japan
  • Australia
• Middle East & Africa
  • Saudi Arabia
  • UAE
  • Qatar
  • South Africa
• Latin America
  • Brazil
  • Argentina