Turkey's Astor Energy to buy factory in Zaragoza, Spain

Istanbul-listed Astor Enerji A.Ş., Turkey’s leading manufacturer of transformers and switching equipment, announced plans to establish its first international production facility in Spain in 2025, focusing initially on distribution transformers to address global supply chain bottlenecks. The move follows surging demand driven by grid modernization, electric vehicle infrastructure, and data center expansion, which have pushed waiting times for transformers to as long as four years in some markets.

CFO Olcay Dogan stated the company aims to leverage Spain’s strategic location to serve European clients while preparing for a subsequent U.S. expansion, aligning with regional efforts to reduce reliance on Chinese technology and boost domestic manufacturing.

Astor’s domestic operations are also expanding, with a second factory in Ankara set to begin production in April or May 2026, part of a $200 million investment. The company has secured a €75 million seven-year loan in advanced negotiations with a European bank and is funding further growth through retained earnings. Despite operating at 95% capacity, Astor has raised prices by 30% in dollar terms over three years, reflecting its strong market position.

Globally, the transformer market is projected to grow from $40 billion in 2024 to $51 billion by 2028, according to research firm GlobalData. Astor’s international expansion comes as it ranks 25th in R&D investment among Turkish firms and has completed high-profile projects, including a 27.5 million kWh solar plant in Ankara and collaborations on 675 MVA transformer production. The company also recently entered the electric vehicle charging sector through its Astor Şarj initiative.