Power Converter Market Research Report: By Power Type (AC to DC, DC to DC, DC to AC), By Application (Industrial Automation, Renewable Energy, Medical Devices, Automotive), By Power Range (Below 1 kW, 1-10 kW, 10-100 kW, Above 100 kW), By Cooling Type (Natural Cooling, Forced Air Cooling, Liquid Cooling), By Topology (Half-Bridge, Full-Bridge, Push-Pull) and By Regional (North America, Europe, South America, Asia Pacific, Middle East and Africa) - Forecast to 2032

Global Power Converter Market Overview

As per MRFR analysis, the Power Converter Market Size was estimated at 13.41 (USD Billion) in 2022. The Power Converter Market Industry is expected to grow from 14.11(USD Billion) in 2023 to 22.3 (USD Billion) by 2032. The Power Converter Market CAGR (growth rate) is expected to be around 5.22% during the forecast period (2024 - 2032).

Key Power Converter Market Trends Highlighted

According to the Global power converter market analysis and forecast for 2030, despite limited availability and high-cost alternatives being available, there is increasing demand for power conversion devices such as transformers, AC/DC adapters, power banks and other power sources. The electric vehicles market and the further deployment of renewable energy sources also come into play. Governments of different countries are also introducing strict emission control regulations which promote the market by encouraging the use of EVs and renewable energy. On top of that, the increasing consumption of power electronic devices and the need for energy efficiency and stability of the grid remain important forces driving the market. The integration of artificial intelligence (AI) and machine learning (ML) into power converters presents the opportunity for market growth by improving efficiency and reliability and offering real-time control. Additionally, the increased need for distributed power generation systems, such as microgrids and distributed generation, represents attractive investment opportunities for power converter suppliers. Such trends that were recently noted in the market include more attention to miniature and lightweight solutions as producers try to satisfy the need of the customers for portable and space-saving converters. Not to mention, the introduction of wide bandgap (WBG) based devices such as gallium nitride (GaN) and silicon carbide (SiC) would promote the design of next-generation energy-efficient and high-performance power converters. The upsurge in the use of wireless power transmission and charging technologies is another factor that the market is likely to benefit from advances in the years to come.

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

Power Converter Market Drivers

Rising Demand for Renewable Energy Sources

One of the key drivers of the Global Power Converter Market Industry is the adoption of renewable energy, such as solar and wind power. It is because both of those sources produce variable power output and need converters to make them steady and usable. Nowadays, there is a growing need for efficient and substantial solutions for power conversion to implement renewable energy into the grid system.

Technological Advancements and Innovation

The developments in power converter technology, such as the invention of wide bandgap semiconductors and the introduction of innovative topologies, among others, help in making power converters that are more efficient, smaller and cheaper in cost. These improvements are broadening the potential use of power converters for more applications, including electric vehicles, data centers and industrial automation.

Increasing Demand for Energy Efficiency

The growing emphasis on energy efficiency in various industries is driving the demand for power converters. Power converters play a crucial role in improving the energy efficiency of electrical systems by reducing power losses and optimizing energy usage. The adoption of energy-efficient power converters is expected to continue to grow as industries strive to reduce their carbon footprint and operating costs.

Power Converter Market Segment Insights:

Power Converter Market Power Type Insights

The Power Converter Market is segmented by Power Type into AC to DC, DC to DC, and DC to AC. AC to DC converters are expected to hold the largest market share in 2023 due to their wide range of applications in various industries, including consumer electronics, industrial automation, and telecommunications. DC to DC converters are projected to witness significant growth during the forecast period, owing to their increasing adoption in electric vehicles, renewable energy systems, and data centers. This growth can be attributed to the increasing adoption of AC to DC converters in electric vehicles, solar photovoltaic systems, and uninterruptible power supplies (UPS).DC to DC converters are expected to witness a steady growth rate during the forecast period, with a CAGR of 4.82%. The market for DC to AC converters is anticipated to expand at a CAGR of 5.58% from 2023 to 2032, reaching a value of USD 3.61 billion by 2032. This growth is driven by the rising demand for DC to AC converters in renewable energy applications, such as solar and wind power systems. The market growth for power converters is influenced by several factors, including the increasing adoption of renewable energy sources, the growing demand for electric vehicles, and the rapid advancements in power electronics technology.The market is expected to witness significant growth in emerging economies, such as China, India, and Brazil, due to the rising industrialization and urbanization in these regions. Key players in the Global Power Converter Market include ABB, Siemens, Schneider Electric, Eaton, and Mitsubishi Electric. These companies are focusing on developing innovative products and expanding their geographic reach to cater to the growing demand for power converters. The market is characterized by intense competition, with numerous small and medium-sized enterprises (SMEs) offering a wide range of products.

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

Power Converter Market Application Insights

The Global Power Converter Market is segmented by Industrial Automation, Renewable Energy, Medical Devices, and Automotive. Industrial Automation appears as the largest application segment, with over 30% of the Global Power Converter Market revenue, stimulated by the increased use of automation in manufacturing and process industries. As for the Renewable Energy segment, it is the fastest growing one, with over 10% CAGR demand, corresponding to the rising use of renewable energy sources, including solar and wind power. The Medical Devices application segment also appears significant, with over 20% of the Global Power Converter Market revenue, and is stimulated by the rising consumption of medical devices, including imaging systems, surgical equipment, and others.Finally, the related figures are the lowest for the Automotive application segment, with under 10% of the Global Power Converter Market revenue, and will also get higher in the future due to the increased use of electric vehicles.

Power Converter Market Power Range Insights

The Power Range segment plays a crucial role in the Global Power Converter Market, with each range catering to specific applications and industries. The 'Below 1 kW' range holds a significant market share due to its wide usage in consumer electronics, medical devices, and small-scale industrial applications. The '1-10 kW' range finds applications in power tools, telecommunications, and renewable energy systems, contributing to its steady growth. The '10-100 kW' range caters to medium-scale industrial applications, such as electric vehicles, robotics, and manufacturing.This range is expected to witness significant growth driven by the increasing adoption of automation and electrification in industries. The 'Above 100 kW' range serves high-power applications in sectors like power generation, transportation, and heavy machinery. With the growing demand for efficient and reliable power conversion solutions in these sectors, this range is anticipated to drive substantial revenue growth for the Global Power Converter Market in the coming years.

Power Converter Market Cooling Type Insights

The Global Power Converter Market is segmented by Cooling Type into Natural Cooling, Forced Air Cooling, and Liquid Cooling. Among these, the Forced Air Cooling segment is expected to hold the largest market share in 2023, accounting for around 45% of the Global Power Converter Market revenue. The Natural Cooling segment is projected to witness the highest growth rate during the forecast period, owing to its low cost and ease of implementation. Liquid Cooling is expected to gain traction in high-power applications, where heat dissipation is critical.The Global Power Converter Market segmentation provides valuable insights for market players to develop targeted strategies and optimize their product offerings. The data and statistics presented in this segment analysis can assist stakeholders in making informed decisions and identifying potential growth opportunities in the Global Power Converter Market industry.

Power Converter Market Topology Insights

The Global Power Converter Market segmentation by Topology into Half-Bridge, Full-Bridge, and Push-Pull provides valuable insights into the market dynamics. In 2023, the Half-Bridge topology held a significant market share, accounting for around 42% of the global revenue. The Full-Bridge topology is projected to grow at a CAGR of 5.5% during the forecast period, driven by its efficiency and reliability in high-power applications. Push-Pull topology, known for its simplicity and cost-effectiveness, is expected to witness steady growth in the coming years.The market data suggests that the increasing demand for power converters in industries such as automotive, industrial automation, and renewable energy is fueling the growth of the Topology segment.

Power Converter Market Regional Insights

The Global Power Converter Market is segmented geographically into North America, Europe, APAC, South America, and MEA. In 2023, North America accounted for the largest revenue share, owing to the presence of major market players and the increasing adoption of power converters in various industries. APAC is expected to be the fastest-growing region during the forecast period, driven by the rising demand for power converters in emerging economies such as China and India. Europe is also expected to witness significant growth, attributed to the increasing adoption of renewable energy sources and the growing electric vehicle market.South America and MEA are expected to have a moderate growth rate, owing to the increasing demand for power converters in industrial and infrastructure applications.

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

Power Converter Market Key Players And Competitive Insights:

The Power Converter Market industry’s major players are consistently concentrating their efforts on innovative developments and strategic alliances to gain a competitive position. The top leading players in the Power Converter Market are concentrating their resources on gaining a wider global presence and developing cost-effective solutions. The leading players are consistently concentrating on Research and Development activities to meet customers with the evolving demands. The Power Converter Market industry is currently driven by the increasing demand for power conversion systems and the increasing adoption of renewable sources of energy. The competitive forces in the Power Converter Market industry are expected to stay at a moderately fragmented level, with current market players and new market entrants striving for increased market shares.Major Market Players SummaryABB is a leading player in providing power and automation technologies, including power converters. The Company has a led market position with a wider global presence and a broad product portfolio of power converters. ABB is consistently focused on developing innovative solutions that can meet the evolving customer demands irrespective of the industry verticals. The Company is consistent in its Research and Development activities, thereby placing the Company in the lead in the enterprises towards technological advancements. ABB’s products provide reliability, efficiency, and robustness to endure long-term operations.Schneider Electric, known to be the global leader in energy management and automation offers the widest Power Converter Market portfolio comprising DC-DC converters, AC-DC converters, and DC-AC converters. The Company is aware of its corporate responsibilities and consistently focuses on innovation. Products from Schneider Electric are eminent proof to meet the highest efficiency and reliability standards. The Company pays greater attention to customer service support and offers wide programs of training and technical support services to meet customers with effective tuning of power converter performances.

Key Companies in the Power Converter Market Include:

• ABB


• Honeywell


• ParkerHannifin


• Schneider Electric


• Toshiba


• Vicor


• Vishay


• Rockwell Automation


• GE


• Siemens


• Emerson Electric


• TDK


• Mitsubishi Electric


• Phoenix Contact


• Wolfspeed

Power Converter Market Industry Developments

The global power converter market is projected to reach USD 22.3 billion by 2032, exhibiting a CAGR of 5.22% from 2024 to 2032. Increasing demand for renewable energy sources, growing adoption of electric vehicles, and advancements in power electronics technology are driving market growth. For e.g., In February 2023, ABB announced the launch of its latest power converter, the PCS100. This converter is designed for use in high-voltage direct current (HVDC) transmission systems and offers improved efficiency and reliability.

Power Converter Market Segmentation Insights

• Power Converter Market Power Type Outlook
  
  
  
  • AC to DC
  
  
  • DC to DC
  
  
  • DC to AC
  
  
  
  

• Power Converter Market Application Outlook
  
  
  
  • Industrial Automation
  
  
  • Renewable Energy
  
  
  • Medical Devices
  
  
  • Automotive
  
  
  
  

• Power Converter Market Power Range Outlook
  
  
  
  • Below 1 kW
  
  
  • 1-10 kW
  
  
  • 10-100 kW
  
  
  • Above 100 kW
  
  
  
  

• Power Converter Market Cooling Type Outlook
  
  
  
  • Natural Cooling
  
  
  • Forced Air Cooling
  
  
  • Liquid Cooling
  
  
  
  

• Power Converter Market Topology Outlook
  
  
  
  • Half-Bridge
  
  
  • Full-Bridge
  
  
  • Push-Pull
  
  
  
  

• Power Converter Market Regional Outlook
  
  
  
  • North America
  
  
  • Europe
  
  
  • South America
  
  
  • Asia Pacific
  
  
  • Middle East and Africa