The Impact of Transformer Exports on China’s Grain-Oriented Electrical Steel Market
Since the beginning of this year, China’s transformer industry has benefited from multiple structural growth drivers, including the global energy transition, the rapid expansion of AI infrastructure, and accelerating investment in power grids. As a result, both the value and volume of China’s transformer exports have increased by more than 40% year on year, maintaining a strong growth trajectory. However, smaller and mid-sized transformer manufacturers continue to face challenges in expanding into overseas markets due to certification barriers, limited distribution channels, and relatively weak financial capabilities. Many of these companies remain more dependent on the domestic market or on subcontracting and secondary orders from larger exporters. Copper and GOES Remain Key Cost Drivers for Transformers Copper and grain-oriented electrical steel (GOES) are two of the principal raw materials used in transformer manufacturing. Copper typically accounts for more than 35% of to...