Electric Vehicle Inverter Market Investment Opportunities & Benchmarks

Electric Vehicle Inverter Market Size, Trends and Competitive Strategies

The electric vehicle inverter market is anticipated to grow from USD 7.71 trillion in 2025 to USD 29.26 trillion by 2034, with a compound annual growth rate (CAGR) of 15.55% during the forecast period from 2025 to 2034.

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Introduction

The electric vehicle inverter market is a prominent sector of the automotive industry. This industry deals in manufacturing and distribution of electronic devices used to convert direct current (DC) into alternating current (AC). There are different types of inverters developed in this sector consisting of SiC and IGBT. These inverters are available in various power outputs consisting of up to 100 kW, 101-300 kW, 301-600 kW, 601 kW and above. It finds application in several types of vehicles such as BEVs, HEVs, PHEVs and FCEVs. The growing sales of electric vehicles in different parts of the world has boosted the growth of the electric vehicle inverter market. This market is expected to rise significantly with the growth of the EV industry in different parts of the world.

• According to the U.S. Department of Energy, around 1256646 EVs were sold in California during 2023 followed by Florida and Washington.

Highlights of the Electric Vehicle Inverter Market

• Asia Pacific held the dominant share of the electric vehicle inverter market due to the rising sales of electric vehicles in this region.
• Europe is expected to grow with a significant CAGR due to the rise in number of government initiatives aimed at strengthening the EV infrastructure in this region.
• The IGBT segment dominated the market due to its high-efficiency and superior voltage handling capability.
• The BEVs segment led the market due to the growing demand for luxury electric cars in European nations.

Electric Vehicle Inverter: Stats & Figures

• According to the International Energy Agency, around 16.1 million BEVs were sold in China during 2023.
• According to the U.S. Energy Agency, around 134753 electric vehicles were registered in New Jersey during 2023.
• According to the Our World in Data, around 93% of the new cars sold in Norway were electric during 2023.
• According to the Society of Manufacturers of Electric Vehicles, around 128445 electric vehicles were sold in India during October 2024.

Industry Leader Announcement

In May 2024, David Segbers, the product manager at ABB’s traction division made an announcement stating that,” We’re delighted to bring the first 3-level inverter for electric buses to the market. The motor-inverter package has been designed to work in perfect harmony and will bring significant energy efficiency gains for operators and OEMs alike.”

Geographical Insights

Asia Pacific held the largest share of the electric vehicle inverter market. The market is generally driven by the growing demand for hybrid vehicles in this region. Also, the rapid investment by government of several countries for strengthening the EV industry along with the presence of several EV manufacturers has boosted the industrial expansion.

In Asia Pacific, China is the major contributor of this industry. In China, the market is generally driven by the growing sales of BEVs along with well-established EV industry. Moreover, the government of China has invested heavily in the automotive industry and increased the awareness of EVs among the Chinese people to gain a competitive edge in the industry.

Competitive Landscape

The electric vehicle inverter market is a developing industry with the presence of several dominating players. Some of the crucial players in this industry consists of Dana Incorporated, UQM Technologies, GKN Automotive, Magna International, Valeo, BorgWarner Inc., AISIN CORPORATION, Hitachi Astemo, Ltd., ZF Friedrichshafen and some others. These companies are constantly engaged in developing advanced inverters for EVs and adopting various strategies to maintain their dominant position in this industry.

• According to the annual report of Dana Incorporated, the revenue of power technologies segment in 2022 was US$ 1141 million that increased to US$ 1243 million in 2023.

Electric Vehicle Inverter Market Segmentation

By Inverter 

• SiC
• IGBT

By Power

• Up to 100 kW
• 101-300 kW
• 301-600 kW
• 601 kW & Above

By Propulsion

• BEVs
• HEVs
• PHEVs
• FCEVs

By Category

• Passenger Cars
• Commercial Vehicles

By Region

• North America
• Europe
• Asia Pacific
• Latin America
• Middle East and Africa