SUMMARYThis paper describes the influence of the magnetization characteristics of the materials on the iron loss of a wound-core three-phase transformer. In the analysis, the magnetization characteristics are approximated by a Fourier series, and it is assumed that the eddy current factor is proportional to the time-varying magnetic flux. Furthermore, the harmonic balance method, in which the zerophase-sequence and third harmonic components of flux density are taken into consideration, is used. From the results of numerical analysis, it is shown that iron loss decreases as the ratio of the eddy current loss to the iron loss of the material declines. The importance of nonlinearity of the magnetization characteristics of the materials in reducing the iron loss of a wound-core-type three-phase transformer is also shown. The analytical results agree roughly with the experimental results.