Electric Vehicle Power Electronics Market Report 2026

The electric vehicle power electronics market size has grown exponentially in recent years. It will grow from $16.52 billion in 2025 to $21.79 billion in 2026 at a compound annual growth rate (CAGR) of 31.9%. The growth in the historic period can be attributed to ev electrification growth, semiconductor advancements, need for efficient energy control, power density improvements, automotive electronics integration.

The electric vehicle power electronics market size is expected to see exponential growth in the next few years. It will grow to $64.99 billion in 2030 at a compound annual growth rate (CAGR) of 31.4%. The growth in the forecast period can be attributed to wide bandgap semiconductor adoption, higher voltage ev architectures, fast charging demand, smart power management, autonomous driving electronics. Major trends in the forecast period include adoption of silicon carbide power devices, integration of advanced battery management systems, growth of modular power electronics, demand for high-efficiency inverters, expansion of adas power electronics.

The government's initiative to balance environmental pollution is expected to propel the growth of the electric vehicle power electronics market going forward. Such initiatives aim to protect the environment and conserve natural resources while supporting other policy goals, including affordable energy and economic growth. Government policies help mitigate environmental pollution by promoting research, regulations, and adoption of efficient and sustainable power electronic systems in electric vehicles. For instance, in March 2023, according to the European Union Council, a Belgium-based government body, the Fit for 55 regulation was formally adopted, setting a target for all new cars and vans sold in the EU to become zero‑emission by 2035, with intermediate CO₂ emission reduction targets of 55% for cars and 50% for vans by 2030. Therefore, government initiatives to reduce environmental pollution are driving the growth of the electric vehicle power electronics market.

Major companies in the electric vehicle power electronics market are developing advanced power semiconductor solutions, such as high-voltage SiC modules, to enhance vehicle efficiency, reliability, and overall performance. High-voltage SiC modules integrate multiple semiconductor components into a single package, improving power density, reducing energy losses, and extending component lifetime in electric drivetrains. For instance, in November 2025, Wolfspeed Inc., a US-based semiconductor company, launched its 1200 V SiC six-pack power modules. These modules combine advanced Gen 4 SiC MOSFET technology with innovative packaging, delivering three times more power cycling capability at operating temperature and 15% higher inverter current capability compared to competing solutions. Designed for high-power EV applications, including heavy-duty and industrial vehicles, the modules improve energy efficiency, extend operational life, and reduce maintenance costs for fleet operators and OEMs.

In December 2023, Hitachi Energy further strengthened its position in the electric vehicle market through the acquisition of COET S.r.l., an Italy-based company specializing in power equipment for electric mobility, rail, and industry. This strategic acquisition enhances Hitachi Energy's global presence and expands its portfolio in high-power electric vehicle charging infrastructure, power electronics, and grid-edge solutions. By integrating COET S.r.l.'s expertise, Hitachi Energy aims to capitalize on the growing demand for electric vehicle power electronics and reinforce its leadership in the industry.

Major companies operating in the electric vehicle power electronics market report include Robert Bosch GmbH, Tesla Inc., Siemens AG, Hitachi Automotive Systems Ltd., Denso Corporation, Continental AG, Hyundai Kefico Corporation, Mitsubishi Electric Corporation, Asea Brown Boveri Groups, Toshiba Corporation, Toyota Industries Corporation, Valeo Corporation, Texas Instruments, Infineon Technologies AG, NXP Semi Conductors, Renesas Electronics, OnSemi, Microchip Technology, Vishay Intertechnology, Danfoss Corporation, Fuji Electronic Co. Ltd., Delphi Technologies, Hangzhou Tiecheng Information Technology, Electrodrive Powertrain Solution Pvt. Ltd.

Asia-Pacific was the largest region in the electric vehicle power electronics market in 2025. The regions covered in the electric vehicle power electronics market report include Asia-Pacific, South East Asia, Western Europe, Eastern Europe, North America, South America, Middle East, Africa. The countries covered in the electric vehicle power electronics market report include Australia, Brazil, China, France, Germany, India, Indonesia, Japan, Taiwan, Russia, South Korea, UK, USA, Canada, Italy, Spain.

The electric vehicle power electronics market consists of sales of wide-bandgap (WBG) semiconductors, automotive inverters, onboard chargers, electric motor controllers, and heat exchangers. Values in this market are ‘factory gate’ values, that is the value of goods sold by the manufacturers or creators of the goods, whether to other entities (including downstream manufacturers, wholesalers, distributors and retailers) or directly to end customers. The value of goods in this market includes related services sold by the creators of the goods.

The market value is defined as the revenues that enterprises gain from the sale of goods and/or services within the specified market and geography through sales, grants, or donations in terms of the currency (in USD unless otherwise specified).

The revenues for a specified geography are consumption values that are revenues generated by organizations in the specified geography within the market, irrespective of where they are produced. It does not include revenues from resales along the supply chain, either further along the supply chain or as part of other products.

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