According to a report published by Valuates Reports, the Global EV Traction Inverter Market was valued at USD 15290 Million in 2023 and is anticipated to reach USD 94760 Million by 2030, witnessing a CAGR of 26.0% during the forecast period 2024-2030.
The EV Traction Inverter Market is Segmented by Type (Low Voltage (24 to 144V), High Voltage (144 to 800V)) and by Application (Passenger Car, Commercial Vehicle, Low-Speed Vehicle).
Major Factors Driving the Growth of EV Traction Inverter Market:
The global demand for electric cars (EVs) is fuelling the growth of the EV Traction Inverter market, as customers and governments place a greater emphasis on environmental responsibility and lower emissions. Essential parts of electric vehicles (EVs) are traction inverters, which transform DC power from the battery into AC power to run the electric motor. Power electronics technological developments like the creation of silicon carbide (SiC) and gallium nitride (GaN) semiconductors have greatly increased inverter performance and efficiency, which has further accelerated market expansion. The need for traction inverters is also anticipated to rise in the upcoming years due to rising EV infrastructure investments and EV manufacturers' expanding manufacturing capabilities.
Trends Influencing the Growth of The EV Traction Inverter Market:
For passenger electric cars (EVs) to operate effectively and efficiently, high-voltage traction inverters are essential. These inverters provide high power output and improved vehicle performance by converting the direct current (DC) from the battery into alternating current (AC), which powers the electric motor. It is anticipated that high-voltage traction inverters will become more common as customer demand for electric vehicles (EVs) with greater acceleration and longer range develops. The necessity for effective energy conversion, which directly affects the vehicle's range and overall driving experience, is what's driving this need. The EV traction inverter market is developing due in large part to the increasing demand for high-performance EVs.
In the EV industry, low-voltage traction inverters are becoming more and more crucial, particularly for smaller electric cars and hybrid models. Because these inverters are made to withstand lower power levels, light-duty applications and affordable EV solutions can benefit from their use. Low-voltage traction inverters are becoming more and more in demand as urban mobility options like electric scooters and small electric automobiles become more popular. They are a desirable alternative for producers looking to create reasonably priced EVs due to their capacity to offer effective power conversion at reduced costs. The market for EV traction inverters is expanding generally, and this trend is substantially boosting that growth.
One of the main factors propelling the market's expansion is the usage of EV traction inverters in commercial vehicles, including delivery vans, trucks, and buses. Strong and dependable power systems are necessary for commercial trucks to manage large loads and extended operating hours. By offering improved performance and effective power conversion, EV traction inverters satisfy these requirements. The transition to electric powertrains is happening faster because of the commercial transportation sector's effort to cut carbon emissions and increase fuel economy. The need for high-performance EV traction inverters is anticipated to soar as more logistics and transportation firms switch to electric fleets, propelling market expansion.
The market for EV traction inverters is expanding due in large part to the development of EV charging infrastructure. A strong and extensive network of charging stations reduces range anxiety in electric car users and encourages the uptake of EVs. Public charging networks and fast-charging stations are being developed with significant financial support from both public and commercial sectors. The need for EV traction inverters is expected to rise as more people contemplate buying EVs as charging stations become more widely available. The market is being driven by this expanding infrastructural support, which is necessary for electric vehicles to operate well.
The market for EV traction inverters is expanding as a result of economies of scale and declining production costs. Manufacturers are seeing increased economies of scale as the amount of electric cars produced rises, which lowers the cost of EV components like traction inverters. Reduced costs are also a result of better manufacturing methods and technological developments. Customers benefit from these cost reductions, which raise the affordability and accessibility of electric automobiles. As EV traction inverters become more affordable, more car sectors should be able to use them, which is predicted to drive market expansion.
EV Traction Inverter Market Share Analysis:
The substantial uptake of electric cars in the US and Canada is the main factor propelling the growth of the EV traction inverter market in North America. Strong governmental assistance for EV adoption is provided to the area, including tax breaks and subsidies. Furthermore, the market is expanding because of the existence of significant EV manufacturers like GM and Tesla, who are extensively investing in cutting-edge traction inverter technology. The market is further supported by North America's sophisticated charging infrastructure and rising customer awareness of environmental sustainability. The need to reduce reliance on fossil fuels and carbon emissions at the regional level is another major reason propelling the EV traction inverter market's growth.
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