The global electric vehicle power inverter market size is expected to rise at a CAGR of 11% in the forecast period. Growing popularity of electric vehicles and increase in demand for small electric vehicles is expected to trigger the market growth in the coming years.
A power inverter is an electrical device that converts AC voltage to DC output and vice versa. The purpose of power inverters depend on the application and end-use. Power inverter is a major component in electric vehicles that converts kinetic energy into potential energy. Commercially, the rising concern of battery failures in electric vehicles has daunted vehicle manufacturers and therefore several methods of optimization are likely to enhance energy consumption in vehicles. The stringent emission standards across the globe, automakers are shifting gradually towards producing electric and hybrid vehicles. Government subsidies in form of tax and bonus payments have encouraged the population to switch towards electric vehicles. Apart, vehicle manufacturers are consistently working towards generating energy efficient products. In this feat, power inverters have gained a huge traction and attention among automakers. This has not only led in a sustainable environment but also improves the vehicle quality in terms of space and weight occupancy of the vehicle.
Increasing Demand for Electric Vehicles is Supplementing the Market Growth
The growing demand for electric vehicle is growing rapidly across the world. Due to the growing concerns for environment degradation, the governments across various nations are empowering the use of power inverters to lessen the dependency on exhaustible energies.
In addition, presence of OEMs and aftermarket players are likely to encourage a significant market development. Adoption of technological advancements in power electronics is expected to supplement the market growth in the coming years. The rise in incorporation of electric motors and inverters in electric vehicles is anticipated to boost the market growth in the forecast period.
Power fluctuation in electric motors due to generation of opposite polarities poses a big threat to motors used in the heavy commercial vehicles. Also, power failure and power fuse are some of genuine concerns faced by end-users. Therefore, this is expected to restrain the market development in the forecast period.
As the trend of automation is growing all across the world, the demand for E-mobility services is likely to strengthen in the coming years. It is also predicted, by 2040 more than 60% car sales and global fleet will be electric. Therefore, EU countries have already begun to set target and expectations to create a charging infrastructure across European regions.
The segmentation for electric vehicle power inverter market is based on propulsion type, and vehicle type.
Propulsion Type Insights:
Battery Electric Vehicle to Retain a High Share
Propulsion type is categorized as plug-in hybrid vehicle, and battery electric vehicle. The battery electric vehicle is expected to hold a significant share and retain a dominant position in the global market. Manufacturers are emphasizing on producing user friendly vehicles that are pretty low in maintenance and incur low expense for any fixes.
Vehicle Type Insights:
Commercial Vehicles to Account For a Significant Share
Vehicle type is further categorized as commercial and passenger cars. Commercial vehicles have gained a high share in the global market attributing to the rise in pollution and growing concerns for vehicle maintenance in the commercial space.
Based on regional segmentation, the electric vehicle power inverter market comprises North America, South America, Europe, Asia Pacific, Middle-East, and Africa.
Asia Pacific is the Leading Market for Electric Vehicle
The Asia Pacific market for electric vehicle power inverters is anticipated to remain dominant in the forecast period attributing to the presence of key players and rapid growth in the regional markets. China is the leading region for electric components and accounts for 60% of the market in Asia Pacific. High production cycle, strong consumer base, and technological availability are some of the major growth factors.
Europe is the fast growing market for electric vehicle power inverter attributing to the significance of electric vehicles and growing commercial aspect of electric motors. Moreover, the government norms and regulations are likely to encourage the market growth in Europe.
Some of the key players mentioned in the electric vehicle power inverter market report include Continental AG, DENSO Corporation, Mitsubishi Electric Corporation, Calsonic Kansei Corporation, and Robert Bosch GmbH. The key players are adopting mergers and acquisitions, strategic partnerships, and mutual collaborations to expand in geographical markets. For instance, Mitsubishi Electric Corporation declared that it has accomplished the construction of new plants by investing around 62 Billion that is capable of producing generators, motors and spare equipment for hybrid and electric vehicles.