Insulating varnish is a crucial insulation material based on polymer-based polymers, capable of curing into an insulating film or solid insulation under specific conditions. It is one of the essential raw materials indispensable in the production process of electronic transformers.

In the early 21st century, solvent-based insulating varnishes virtually dominated the entire market share of the electronic transformer industry. However, these solvent-based varnishes contain significant amounts of both "benzene-based and non-benzene-based" organic solvents, emitting a strong, irritating odor. Not only are they environmentally unfriendly, but they also pose serious safety risks. Their highly flammable and explosive nature has led to numerous safety incidents, including fires and explosions, at many electronic transformer companies.

New to Eco-Friendly Insulating Coatings  

DADIYUAN Becomes a Leading Enterprise in China

Frequent safety incidents not only result in financial losses for electronic transformer companies, but the evaporation of organic solvents also poses serious health risks to production workers. As a result, many industry insiders are now turning to environmentally friendly, solvent-free insulation coatings as a safer, greener alternative to traditional solvent-based paints.

In fact, solvent-free insulating varnishes had already emerged abroad at that time, while domestically, only a handful of companies possessed the specialized expertise to produce such products. As a result, domestic electronic transformer manufacturers relying on environmentally friendly and safe solutions often had no choice but to depend on imports.

Understanding the challenges faced by electronic transformer companies at the time, in 2008, Zhang Mengqiang (now Chairman of Guangdong DADIYUAN New Materials Co., Ltd.) decided to develop and produce eco-friendly, solvent-free insulation coatings and environmentally safe, water-based insulation paints—providing the electronic transformer industry with a green, sustainable, and health-conscious production environment!

Speaking about the early days of entrepreneurship, Zhang Mengqiang described the determination behind their R&D efforts at the time as "putting everything on the line." He candidly shared: "Back in 2008, DADIYUAN was already among the frontrunners in China for developing solvent-free and water-based insulating paints. Thanks to strong support from the national government, we were firmly committed to pursuing this path. Yet, as with any emerging innovation, skepticism naturally arose—right from the start, even our downstream customers, such as electronic transformer manufacturers, remained cautious about our product development and production."

Craftsmanship-driven management “ Chronic illness ”

Customer Raises Questions, Cleverly Resolved

Recalling the early days of development, Zhang Mengqiang shared with reporters: "As one of the first domestic companies to develop solvent-free and water-based insulating varnishes, we often had to overcome most of the technical challenges in this field. Back then, the issue we faced first was the conflict between core loosening and the solderability of electronic transformer pins. At the time, while we managed to solve the core loosening problem by tweaking our formulation and refining our manufacturing processes, the solderability challenge re-emerged during the tinning stage—creating an inherent contradiction that made it impossible to address both issues simultaneously. But we refused to give up. It took us nearly 10 years of relentless research and innovation to crack this tough technical hurdle. Finally, by 2018, we had achieved a breakthrough: the magnetic cores became stable and robust, and the solderability issue was resolved. Only then did our solvent-free and water-based insulating varnishes gradually begin mass production."

Solving technical challenges in product development and ensuring reliable product performance doesn’t automatically earn the trust of electronic transformer companies. In common perception, water conducts electricity and cannot provide insulation—so many electronic transformer manufacturers at the time questioned whether water-based insulating coatings could truly deliver effective insulation, and whether their use might ultimately compromise the quality of the finished electronic transformers.

Zhang Mengqiang stated: "From a technical perspective, many customers remain skeptical. That’s why we’ve moved beyond just theoretical explanations and started offering direct product testing services—specifically tailored for electronic transformer manufacturers, as well as their downstream clients like control board companies. By providing real-world test results, we can clearly demonstrate whether our products meet the industry standards for solderability and electrical performance."

"At the time, our strategy was to collaborate with two benchmark companies for testing. The results showed that our solvent-free and water-based insulating paints delivered product performance on par with traditional solvent-based paints—while being significantly safer and more environmentally friendly. With the endorsement from these industry leaders, more and more customers became eager to try our products and ultimately came to trust and appreciate their quality. This is how the market for eco-friendly, solvent-free insulating paint and eco-friendly, water-based insulating paint gradually began to open up."

A new breakthrough!

New product tackles the challenge of inductance variation in electronic transformers

In South China, electronic transformers have been significantly affected by "Huinan weather," leading to noticeable changes in their inductance levels. To address this challenge, DADIYUAN introduced a brand-new water-based insulating varnish for electronic transformers—DRD9660-1501—in the second half of 2021. This innovative water-based coating dramatically enhances the transformers' resistance to prolonged water immersion, effectively resolving the issue of inductance fluctuations even under extreme high-temperature, high-humidity conditions—or in submerged environments. Such problems have traditionally been difficult to solve with conventional solvent-based insulating paints.

According to reports, the company's previously used DRD9660-1501 water-based electronic transformer insulation coating achieved a 100% pass rate in tests that were nearly demanding—specifically, the rigorous "Double 85" test and a 1,000-hour water immersion test. The "Double 85" test involves aging electronic transformers under controlled environmental conditions of 85°C temperature and 85% humidity, while the water immersion test subjects the transformers to continuous submersion in water for 1,000 hours—both of which are extreme reliability assessments designed to evaluate how well the water-based insulation coating can withstand harsh conditions of high heat, high humidity, and prolonged exposure to moisture. These results demonstrate that DADIYUAN's water-based insulation coatings significantly enhance moisture and water resistance, even surpassing those of traditional solvent-based products.

Zhang Mengqiang stated that passing this test has given us tremendous confidence. We believe the next five years will see rapid growth in the electronic transformer sector for water-based insulating coatings, with market share potentially reaching 80%.

The journey of research and development continues without pause.  

Achieving impressive results

DADIYUAN’s relentless dedication to research and development has led to several impressive achievements. Notably, the company boasts its own proprietary brand, "DRDDADIYUAN," along with multiple patented inventions in water-based polymer materials. DADIYUAN was the first to successfully develop the third-generation, fully eco-friendly waterborne insulating varnish, marking groundbreaking advancements both in technology and market applications. In 2017, the company was recognized as a member enterprise by the National Technical Committee on Insulating Materials and the National Association of Insulating Materials. In 2020, Zhang Mengqiang was appointed as a member of the National Technical Committee for Standardization of Insulating Materials, directly contributing to the revision and formulation of various insulating varnish standards. Additionally, in 2018, DADIYUAN obtained UL180 (Class H) insulation certification from UL in the U.S. for its insulating varnish products—and is now on the verge of securing UL (Class F) insulation system certification, further solidifying its commitment to safety and quality standards.

Zhang Mengqiang stated: "From a national strategic perspective, achieving the dual carbon goals will undoubtedly accelerate the transformation of enterprises toward green and environmentally friendly production practices. From a safety standpoint, solvent-free and water-based insulating paints emit no irritating odors and are non-flammable and non-explosive, significantly reducing the risk of safety incidents. Economically speaking, due to the highly volatile nature of solvent-based insulating paints, manufacturers often need to use larger quantities of solvents to meet the demands of electronic transformers. In contrast, solvent-free and water-based insulating paints boast stable product characteristics, requiring only minimal amounts to satisfy demand—potentially cutting costs for electronic transformer companies by as much as one-third to two-thirds. These are all key advantages of DADIYUAN products. Moving forward, we will continue to innovate and expand our eco-friendly solvent-free and water-based insulating paint solutions, leveraging the power of our Weibo platform to actively support the nation’s ambitious goal of green, low-carbon production!"

Today, DADIYUAN solvent-free and water-based insulating varnishes can be found across various electronic component fields—such as electronic transformers, magnetic cores, and chokes—as well as in applications like new-energy motors, industrial motors, household appliance motors, and electromagnetic wire insulation. While solvent-based insulating varnishes have long dominated the electronic transformer industry, we are excited—and confident—that DADIYUAN will continue to forge its own legacy in the eco-friendly coatings sector, ultimately paving the way for a future where environmentally friendly insulating varnishes capture 80% of the market share.