With the surge in AI computing power, China's transformer exports are poised for a massive increase.

Surveys conducted in regions such as Guangdong and Jiangsu, China, reveal that a large number of transformer manufacturing plants are currently operating at full capacity; notably, orders for data center-related business segments are already booked through 2027. Currently, the global build-out of AI computing power—a key driver for core stocks in the sector—has entered a phase of explosive growth. High-power, highly stable power supply has become the "lifeline" for computing clusters, and power equipment transformers are rapidly evolving into a core component of computing infrastructure. The explosive growth of global AI computing centers has rendered transformers a scarce resource; in the U.S. market, delivery lead times have already stretched from 50 weeks to 127 weeks. Data indicates that my country's transformer industry comprises approximately 3,000 enterprises. By 2025, the total value of my country's transformer exports is projected to reach 64.6 billion RMB—an increase of nearly 36% compared to 2024.

According to media reports, North America faces a significant overall power supply deficit, a gap that is being further exacerbated by the surging demand for AI Data Centers (AIDCs). According to Wood Mackenzie's annual supply-and-demand estimates for North America, the current supply deficits for power transformers and distribution transformers have reached 30% and 6%, respectively. Furthermore, imported products are expected to account for 80% of the power transformer supply and 50% of the distribution transformer supply in the United States. The average export price of Chinese transformers has risen from $12,000 per unit in 2020 to $20,800 per unit in 2025; prices for high-end models have doubled, suggesting that transformer exports are poised to experience simultaneous growth in both volume and price.

By Insulation & Cooling Medium – Coating Compatibility, to define transformer cores

Oil‑Immersed

Most common for power and distribution. GO requires insulation coatings resistant to hot transformer oil (thermal stability up to 120°C+), high interlaminar resistance, and hydrolysis resistance.

Dry‑Type

Air‑cooled, used indoors or in fire‑sensitive areas. Coatings must withstand higher temperatures (class F/H insulation) and, for open environments, enhanced corrosion protection. Low‑loss GO maintains efficiency without liquid cooling.

Common Coating Need

Both benefit from insulation coatings that preserve low core loss after stress‑relief annealing.