Electricity demand rises as transformer supply struggles to keep pace

The demand for electricity is rising sharply, but the supply of transformers, essential for power distribution, is lagging. Lead times for transformers have increased significantly, with larger units now taking up to 210 weeks to deliver. The shortage is driven by rising raw material costs and limited domestic production. Only 20% of transformer demand in the U.S. is met locally, and labor shortages hinder manufacturing capacity. Efforts to boost domestic production have not yet resulted in increased output. As the need for electricity grows, the transformer supply issue remains a critical challenge for the power industry.