Traction Inverter Market Forecast to 2028 – COVID-19 Impact and Global Analysis – by Propulsion (BEV, HEV, PHEV, and Others), Voltage (Up to 200V, 200 to 900V, and 900v and above), Technology (IGBT, MOSFET, and Others), Vehicle (Passenger Cars, Commercial

Traction Inverter Market Forecast to 2028 – COVID-19 Impact and Global Analysis – by Propulsion (BEV, HEV, PHEV, and Others), Voltage (Up to 200V, 200 to 900V, and 900v and above), Technology (IGBT, MOSFET, and Others), Vehicle (Passenger Cars, Commercial Vehicles, and Others)

The Traction Inverter Market is expected to grow from US$ 13128.48 million in 2021 to US$ 39140.79 million by 2028. It is estimated to grow at a CAGR of 17.2% from 2022 to 2028.

The traction inverter is located between the high voltage system battery and the electric motor in the high voltage electrical system of a car, truck, or bus. The motor is driven by converting the DC power from the HV system into three AC output phases. A vital part of an EV, the inverter and motor work together to determine the dynamics, performance, and driving experience. The effectiveness of the motor and traction under all driving conditions, including acceleration, steady state, and energy recovery into the battery through regenerative braking, directly affects a vehicle’s range. Power integrations provide gate drivers and power supply ICs for the automotive-qualified traction inverter, which increases efficiency while reducing cost and space requirements and ensuring functional safety. Packages meet the most recent criteria for vehicles upgrading to 800 V designs with reinforced isolation and longer creepage distance.

One of the main causes that present an opportunity for industry growth is the notable increase in the demand for electric and hybrid electric vehicles worldwide. Due to the rise in demand for higher levels of integration and increased power density across electric vehicles, automotive manufacturers and suppliers are increasing their production. Accordingly, the automotive traction inverter market is expected to increase due to the rising demand for lithium-ion batteries. The majority of the plug-in hybrids and electric vehicles make use of lithium-ion batteries. The production of automotive lithium-ion batteries increased by 33% in 2020. Additionally, several technical developments, like the WBG devices, primarily SiC and GaN, boost market expansion. The Si-IGBT is preferably used across the automotive industry owing to its affordability, efficiency, and short circuit capacity. In addition, the stringent regulatory reforms backed by the government and market players present lucrative opportunities for increasing demand for traction inverters with regard to rising electric car production. The automotive traction inverter market is expected to evolve with additional factors, such as rising awareness among the consumers, OEMs, and numerous suppliers brought by stringent government laws, which will further encourage the adoption of the automotive traction inverters in the global market.

The traction inverter market is segmented into propulsion type, vehicle type, voltage type, technology type, and geography. Based on propulsion type, the automotive traction inverter market is segmented into BEV, HEV, PHEV, and others. Based on voltage type, the automotive traction inverter market is segmented into up to 200V, 200 to 900V, and 900V and others. Based on technology type, the automotive traction inverter market is segmented into IGBT, MOSFET, and others. Based on vehicle type, the automotive traction inverter market is segmented into passenger cars, commercial vehicles, and others. The market is divided into five regions- North America, Europe, Asia-Pacific, Middle East & Africa, and South America.

The key companies operating in the field of traction inverter market that are profiled in the report include BorgWarner Inc., Delphi Technologies, Siemens AG, Mitsubishi Electric Corporation, Toshiba Corporation, Hitachi Ltd., Voith GmBH, Infineon Technologies AG, Denso, and Continental AG

Impact of COVID-19 Pandemic on Traction Inverter Market

Due to the widespread COVID – 19, the entire automotive industry came to a halt with minimal resources to foresee the future. The pandemic rise has kept the vehicle sector under intense strain due to demand and supply factors. Due to lockout restrictions, the auto sector witnessed a demand and supplied shock with limited time to recovery. The exports of Chinese auto parts and accessories, which form the primary sources of the world’s vehicle production, also faced significant challenges from supply to destination. OEM assembly in North America, Europe, and Asia was hampered due to China’ supply deficit. With US$ 11.7 billion in Chinese exports of vehicle parts and accessories, the UShas been the country that was most vulnerable to disruption. Followed by the US, Japan noticed US$ 3.2 billion of China’s export disruption. Additionally, Germany, followed by South Korea and Mexico, faced similar problems, affecting the developments in the automotive industry. Traction inverter manufacturers faced numerous problems owing to these causes, impacting the growth of automotive traction inverter market.

Considering the sales of electric vehicles, growth was exponential despite the global pandemic shrinking the market for non-electric vehicles. 2.2 million electric vehicles were sold in 2019, making up just 2.5% of all automobile sales worldwide, despite a decline in the entire automotive industry to 3 million, accounting for 4.1% of all vehicle sales. Sales of electric vehicles tripled to 6.6 million in 2021, accounting for over 9% of the world’s auto market. In 2021, electric cars alone accounted for all the net rise in global auto sales.

Thus, the negative effects of COVID-19 were largely seen on the automotive traction inverter market, but only felt for a brief period. By late 2022, it is projected that the market will have recovered quickly and that there will be a large market for traction inverters following the pandemic. This is because more market participants are reevaluating their plans and developing prompt solutions to stabilize their supply chains and gain traction.

The overall traction inverter market size has been derived using primary and secondary sources. To begin the research process, exhaustive secondary research has been conducted using internal and external sources to obtain qualitative and quantitative information about the market. The process also serves the purpose of obtaining an overview and forecast concerning all the market segments. Also, primary interviews were conducted with industry participants to validate data and gain more analytical insights into the topic. Participants in this process are industry experts such as VPs, business development managers, market intelligence managers, national sales managers, and external consultants such as valuation experts, research analysts, and key opinion leaders, specializing in the automotive traction inverter market.

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