The global traction transformer market is expected to reach around US$ 1 billion by 2028.

The rise in global demand for traction transformers is a result of the rising price of fossil fuel and increased air pollution concerns, which lured more countries towards using electric trains rather than diesel locomotives. 

In addition, rapid urbanisation and globalisation have increased congestion on roads which is making electric trains an attractive and feasible alternative. As a result, demand for high-speed trains has been rising, which underpinned demand for traction transformers.

The market demand for traction transformers is largely driven by the growth in the railway industry and the increasing demand for a time-efficient network of communication worldwide. Countries such as India and Brazil are trying to upgrade their railway networks and have started new high-speed train projects. 

A traction transformer is basically an electrical device used in locomotives. It replaced the old fossil-fuel traction system. It is an integral part of the electrical traction system which transfers energy by electromagnetic induction from one circuit to another.

The production and design of traction transformers are mainly customised for rolling stock suppliers, maintenance firms and railway network operators. However, the complex nature of the design and high system costs is a barrier to market growth.