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Nef
Yes, the 110V side of the transformer does but other side of the supply is still at 230V per phase and has a neutral .
If you are using diesel generators then the motor is balanced and you have little choice to use earth as neutral but I've seen generators literally jump when their load side isn't balanced.
This was at outdoor gigs when all the PAR cans were turned on suddenly but it is an issue.
Power Factor correction is more due to capacitor loads than pure reactive loading.