Electric Vehicle Inverter Market Trends

Electric Vehicle Inverter Market Overview

Electric Vehicle Inverter Market Size was valued at USD 4,312.8 million in 2022. The Electric Vehicle Inverter Market industry is projected to grow from USD 5,779.4 Million in 2023 to USD 21,197.9 million by 2032, exhibiting a compound annual growth rate (CAGR) of 15.5% during the forecast period (2023 - 2032).  An electric vehicle power inverter is a device that converts the Direct Current (DC) power used in an electric vehicle motor to Alternate Current (AC). Electric vehicle power inverters have wider application in electric vehicles. The converted current is further utilized by motors to operate compatible devices and sensors, which utilize AC current for their operation. Moreover, in electric vehicles, the power can be utilized for plug-in outlets and other standard 120-volt devices.

As per Analyst at MRFR, “The market dynamics overview for inverters for the electric vehicle (EV) market is primarily driven by the growing consumer shift towards electric vehicles, supported by government schemes for promoting electric mobility and technological advancements in inverters for EVs. Additionally, there is growing investment in EV infrastructure, including charging stations, which will further boost the demand for inverters.

Figure 1: Electric Vehicle Inverter Market Size 2019-2032 (Usd Million)

Source: Secondary Research, Primary Research, MRFR Database, and Analyst Review

Electric Vehicle Inverter Market Trends

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  Growing Demand For Renewable Energy Sources Such As Solar And Wind Power

  
  

The growing demand for renewable energy sources such as solar and wind power is driven by several factors, such as the need to reduce carbon emissions, the decreasing cost of production, and government initiatives. For instance, The Government of India is implementing the Production Linked Incentive (PLI) Scheme under the National Programme on High-Efficiency Solar PV Modules for achieving domestic manufacturing capacity of Giga Watt (GW) scale in High-Efficiency Solar PV modules, with an outlay of Rs. 24,000 crores. This scheme has provision for a production-linked incentive (PLI) to the selected solar PV module manufacturers for five years post-commissioning on the manufacture and sale of high-efficiency solar PV modules. Renewable energy sources are considered cleaner and more sustainable alternatives to conventional energy sources, contributing to their increasing popularity.

Moreover, renewable energy sources are abundant and widely available, making them a reliable energy source. The renewable energy market is expected to grow significantly in the coming years, creating lucrative opportunities for businesses and investors. Investing in renewable energy sources can help companies reduce their carbon footprint, save costs in the long run, and contribute to a sustainable future. Furthermore, as the demand for renewable energy sources continues to grow, businesses can develop innovative products and solutions to cater to this market, creating a competitive advantage and driving growth.

Electric Vehicle Inverter Market Segment Insights

Inverter for EV Inverter Insights

Based on inverter, the Electric Vehicle Inverter Market has been segmented into SiC and IGBT. IGBT would be the majority shareholder in 2022, contributing around 92.8 % to the market revenue. IGBTs (Insulated Gate Bipolar Transistors) play a crucial role in electric vehicles by converting DC power from batteries into AC power to drive electric motors. These inverters are known for their high efficiency, fast switching speeds, and ability to handle high voltages and currents, making them ideal for EV applications. The market drivers for IGBT EV inverters include the increasing demand for electric vehicles due to environmental concerns and government regulations promoting sustainable transportation.

Inverter for EV Power Insights

Based on power, the Electric Vehicle Inverter Market has segmented into Up to 100 kW, 101-300 kW, 301-600 kW and 601 kW & above. The 100 kW EV held the largest market share in 2022, as these are primary sources for gathering information in the OSINT domain. 100 kW EV inverters are the increasing demand for electric vehicles globally. As more countries and consumers shift towards sustainable transportation solutions, the need for efficient and reliable inverters to power electric vehicles grows. Government incentives, stricter emission regulations, and advancements in battery technology are also driving the adoption of electric vehicles, consequently boosting the market for up to 100 kW EV inverters as a crucial component in the electrification of transportation.

Inverter for EV Vehicle Propulsion Insights

Based on vehicle propulsion, the Electric Vehicle Inverter Market is segmented into BEVs, HEVs, PHEVs and FCEVs. BEV’s held the majority share in 2022. Battery Electric Vehicles (BEVs) utilize inverters to convert the direct current (DC) power from the vehicle's battery into alternating current (AC) power to drive the electric motor. The market drivers for BEV inverters include the increasing global demand for electric vehicles due to environmental concerns and government regulations promoting clean energy transportation solutions. Technological advancements in power electronics, such as wide-bandgap semiconductors like silicon carbide and gallium nitride, are driving efficiency improvements in inverters, leading to better performance and range for electric vehicles.

Figure 2: Electric Vehicle Inverter Market, By Vehicle Propulsion, 2022 Vs 2032 (Usd Million)

Source: Secondary Research, Primary Research, MRFR Database, and Analyst Review

Inverter for EV Vehicle Category Insights

Based on vehicle category, the Electric Vehicle Inverter Market has been segmented into passenger cars and commercial vehicles. The passenger cars held the majority share in 2022. In passenger cars, an EV inverter is a critical component that converts the direct current (DC) stored in the vehicle's battery into alternating current (AC) to power the electric motor. This conversion is essential for controlling the speed and torque of the motor, enabling smooth acceleration and efficient operation of the electric vehicle. One driver for the advancement of EV inverters in passenger cars is the ongoing quest for increased energy efficiency and range. Improving the inverter's efficiency extends the driving range of electric vehicles on a single charge, making them more practical for everyday use. Additionally, advancements in EV inverter technology help reduce energy losses during power conversion, leading to improved overall performance and lower operating costs for electric vehicle owners.

Inverter for EV Regional Insights

By Region, the study provides market insights into North America, Europe, Asia-Pacific, Middle East and Africa and South America. Asia-Pacific accounted for ~ 57 % of Electric Vehicle Inverter Market in 2022. Asia-Pacific is likely to be the largest contributor to the Electric Vehicle Inverter Market. This includes the China, Japan, India, South Korea and rest of Asia-Pacific. The Asia-Pacific region is witnessing significant growth in the adoption of electric vehicles, driven by factors such as government initiatives, environmental concerns, and technological advancements. As a result, the demand for EV inverters in this region has been on the rise.

Several key players in the automotive industry, including established manufacturers and new entrants, are actively involved in developing and producing EV inverters in the Asia-Pacific market. These companies are investing in research and development to enhance the efficiency and performance of EV inverters, making them more suitable for a wide range of electric vehicles. The Asia-Pacific EV inverter market is characterized by intense competition, with players focusing on product differentiation, cost optimization, and strategic partnerships to gain a competitive edge.

The Europe EV inverter market is a rapidly growing industry that is expected to experience significant growth in the coming years. The development of the European EV inverter market can be attributed to various factors, such as the increasing demand for electric vehicles, government incentives, and technological advancements. Key players in the European EV inverter market include major automotive manufacturers and specialized inverter manufacturers focusing on EV technology. These companies are investing in research and development and training programs to enhance EV inverters' efficiency, reliability, and performance.

Figure 3: Electric Vehicle Inverter Market Size By Region 2022 Vs 2032

Source: Secondary Research, Primary Research, MRFR Database, and Analyst Review

Further, the major countries studied in the market report are the U.S., Canada, Mexico, Germany, UK, France, Italy, Spain, China, Japan, and India.

Inverter for EV Key Market Players & Competitive Insights

The Electric Vehicle Inverter Market is distinguished by the presence of numerous global, regional, and local players catering to the Radiator technologies that are evolving at a rapid pace. Furthermore, the Increasing demand due to industrial automation, and rise in number of smart city projects are further driving the growth of Electric Vehicle Inverter Market during the forecast period.

The Electric Vehicle Inverter Market is extremely competitive, with players competing, partnering, and investing heavily in research and development to gain a significant market share. The market is moderately fragmented with rising competition, increasing collaborative partnerships, and other strategic decisions to achieve operational efficiency. During the study, MRFR has analyzed some of the major players in the Electric Vehicle Inverter Market who have contributed to the market growth includes Dana Incorporated, UQM Technologies, GKN Automotive, Magna International, Valeo, BorgWarner Inc., AISIN CORPORATION, Hitachi Astemo, Ltd., ZF Friedrichshafen, among others.

These players focus on expanding and enhancing their product portfolio and services to remain competitive and increase their customer base. Additionally, these players are focusing on partnerships & collaborations to expand their business and customer base to enhance their market position.

Key Companies in the Electric Vehicle Inverter Market include.

• Dana Incorporated


• UQM Technologies


• GKN Automotive


• Magna International


• Valeo


• BorgWarner Inc.


• AISIN CORPORATION


• Hitachi Astemo, Ltd.


• ZF Friedrichshafen


• Others

Inverter for EV Industry Developments

In May 2024, ABB acintroduced a cutting-edge package specifically designed for electric buses. This package includes the AMXE250 motor and HES580 inverter. The newly developed propulsion package represents a substantial advancement in cleaner and more sustainable transportation solutions. It has been meticulously designed to ensure optimal efficiency, reliability, and accessibility for the industry. The HES580, the first 3-level inverter available for electric buses, is known for its exceptional energy efficiency and power output. The HES580 inverter, when compared to traditional 2-level inverters, achieves a considerable reduction of up to 75 percent in motor harmonic losses. This reduction greatly reduces heat dissipation and maximizes energy conservation.

In June 2024, Uno Minda, a major supplier of lighting, switching, acoustics, and seating solutions to global automobile companies, revealed that it has partnered with Suzhou lnovance Automotive to produce and sell specific high voltage electric vehicle products for passenger and commercial vehicles in India. The available electric car products include of the Charging Control Unit (CCU), EV inverter, EV motors, and advanced 3-in-1 electric drive systems (e-Axle) for the next generation.

Electric Vehicle Inverter Market Segmentation

Inverter for EV Inverter Outlook

• SiC


• IGBT

Inverter for EV Power Outlook

• Up to 100 kW


• 101-300 kW


• 301-600 kW


• 601 kW & Above

Inverter for EV Vehicle Propulsion Outlook

• BEVs


• HEVs


• PHEVs


• FCEVs

Inverter for EV Vehicle Category Outlook

• Passenger Cars


• Commercial Vehicles

Inverter for EV Regional Outlook

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  Brazil
  
  


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  Argentina
  
  


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  Rest of South & Central America