Global computing power construction accelerates; China's transformer factory orders are booked until 2027

Currently, the global AI computing power construction is entering a period of explosive growth, with high-power and highly stable power supply becoming the “lifeline” of computing clusters. Electric power equipment transformers are upgrading to become the core infrastructure of computing power. Journalists’ investigations in Guangdong, Jiangsu, and other regions in China found that many transformer factories are already operating at full capacity, with some orders for data center-related business already scheduled until 2027.

In Foshan, Guangdong, an electrical equipment company’s production line is running at full capacity, with warehouses and parking lots filled with transformers awaiting delivery.

The head of the R&D center at a Guangdong Foshan electrical company introduced that in less than a month after the start of the year, orders increased by 70-80% year-on-year, and the production line has been operating at full capacity from day one.

The explosive growth of global AI computing centers has made transformers a scarce resource. Delivery cycles in the US market have already extended from 50 weeks to 127 weeks. At another electrical equipment company in Foshan, the core product, dry-type transformers mainly used in data centers and other scenarios, has also seen a rapid increase in export orders.

Full capacity production is also seen in the Yangtze River Delta. In a transformer factory in Jiangsu, product orders are already scheduled until the end of 2027, including the recent shipment of China’s first fully insulated ultra-high voltage large-capacity transformer to the North American market.

Data shows that there are approximately 3,000 transformer companies in China. By 2025, China’s transformer exports are expected to reach a total value of 64.6 billion yuan, an increase of nearly 36% over 2024.

Cai Yiqing, Secretary-General of the Power Equipment Branch of the China Electricity Council: China has become the world’s largest transformer producer, building the most complete transformer manufacturing system globally, with independent and controllable full industry chain capabilities, with a capacity accounting for about 60% of the global total.

(Source: CCTV News)