Automotive Inverter Market Breakdown: Why Silicon Carbide (SiC) is Dominating by 2025

The global automotive inverter market is on the brink of significant transformation. As the automotive industry continues to shift towards electrification, inverters have become central to improving the performance, efficiency, and overall operation of electric and hybrid electric vehicles (EVs and HEVs). Automotive inverters convert direct current (DC) power from a vehicle’s battery into alternating current (AC), which powers the electric motor and drives the vehicle. These critical components play a vital role in vehicle propulsion systems, influencing factors such as energy efficiency, thermal management, and overall vehicle performance.

According to Persistence Market Research, the global automotive inverter market size is projected to be valued at US$ 6.46 billion in 2025 and is expected to reach US$ 32.2 billion by 2032, growing at a compound annual growth rate (CAGR) of 25.8% during the forecast period from 2025 to 2032. This growth is fueled by innovations like vehicle-to-grid (V2G) systems, the advent of bi-directional inverters, and the increasing use of wide-bandgap semiconductors. These factors present significant opportunities for both the automotive and energy sectors, shaping the future of the automotive inverter market.