Global Grid-Forming Inverter Market Size is valued at USD 723.32 Mn in 2024 and is predicted to reach USD 1657.64 Mn by the year 2034 at a 8.8% CAGR during the forecast period for 2025-2034.
Key Industry Insights & Findings from the Report:
A grid-forming inverter is a key component in electrical grids and renewable energy systems. It controls voltage and frequency, ensuring grid stability and reliable power distribution. It's essential for integrating renewables, managing energy storage, and responding to grid disturbances, making it a crucial element in modern power systems. Using grid-forming inverters, electric vehicles can contribute to the power system by balancing loads, regulating frequencies, and meeting peak demand.
The market for grid-forming inverters is projected to expand most rapidly in the central inverter subsegment. In order to effectively incorporate the sizable power output from large-scale renewable energy projects like utility-scale solar farms and wind farms into the electricity system, high-capacity central grid-forming inverters are required. Furthermore, the grid voltage and frequency are all that are required of grid-forming inverters. Therefore, simpler control algorithms and hardware can be used.
However, market growth is hampered by the strict regulatory criteria for safety and the lack of norms and etiquette. In order to ensure safe and reliable functioning, a set of regulations known as "grid codes" have been established. Usually, they outline the standards that must be met regarding the electrical output and inverter communication protocols. Due to the added complexity inherent in actively controlling the grid voltage and frequency, grid-forming inverters are more complex than grid-forming inverters. Because of this, we need sophisticated controllers.
The COVID-19 epidemic has repercussions on economies, businesses, and factories around the world. Customers' consumption and demand patterns are changing as a result of the pandemic, which has had a major impact on the grid-forming inverter market during the epidemic by restricting imports and exports. Because of this, businesses all across the world were able to flourish.
The Grid-forming inverter market is segmented based on power rating, voltage, type, and application. Based on power rating, the market is segmented into below 50 KW, 50–100 KW, and above 100 KW. By voltage, the market is segmented into 100–300 V, 300–500 V, and above 500 V. By type, the market is segmented into micro inverters, string inverters, and central inverters. The application segment comprises solar PV plants, wind power plants, energy storage systems, and electric vehicles.
The 500 V grid-forming inverter market is expected to hold a major global market share in 2024. 500 V includes enormous solar arrays and wind turbines. These inverters can integrate the generated electricity into the grid efficiently and handle huge power capacities. Due to the rising popularity of large-scale renewable energy projects and the consequent demand for high-capacity inverters, the market for above-500 V grid-forming inverters was expanding rapidly.
The 50-100 KW segment is projected to grow rapidly in the global grid-forming inverter market. 50-100 KW inverters are crucial to safely and effectively incorporating renewable energy sources into the grid. In the commercial and industrial sectors, grid-forming inverters in the 50–100 kW range provide an optimal balance between capacity and cost, especially in countries like the US, Germany, the UK, China, and India.
The European grid-forming inverter market is expected to record the maximum market share in revenue in the near future. It can be attributed to the fact that grid stability and renewable energy integration are improved through energy storage, which allows for the discharging of stored renewable energy during times of high demand. Policies and regulations are being introduced and updated by governments to make it easier to integrate renewable energy sources into the grid. In addition, Asia Pacific is estimated to grow rapidly in the global grid-forming inverter market. Support for renewable energy integration, grid modernization, and grid stability and resilience are all receiving more attention as the world moves toward a more sustainable energy future.
| Report Attribute | Specifications |
| Market Size Value In 2024 | USD 723.32 Mn |
| Revenue Forecast In 2034 | USD 1657.64 Mn |
| Growth Rate CAGR | CAGR of 8.8% from 2025 to 2034 |
| Quantitative Units | Representation of revenue in US$ Mn and CAGR from 2025 to 2034 |
| Historic Year | 2021 to 2024 |
| Forecast Year | 2025-2034 |
| Report Coverage | The forecast of revenue, the position of the company, the competitive market structure, growth prospects, and trends |
| Segments Covered | Voltage, Power rating, Type, and application |
| Regional Scope | North America; Europe; Asia Pacific; Latin America; Middle East & Africa |
| Country Scope | U.S.; Canada; U.K.; Germany; China; India; Japan; Brazil; Mexico ; France; Italy; Spain; South Korea; South East |
| Competitive Landscape | Huawei Technologies Co., Ltd., Sungrow, Solar Technology Ag, Power Electronics S.L., Fimer Group, Solaredge Technologies, Fronius International Gmbh, Goodwe, Enphase Energy, Schneider Electric, General Electric, Delta Electronics, Inc., Kaco New Energy, Tmeic, Gamesa Electric, Delphi Technologies, Sensata Technologies, Inc., Altenergy Power System Inc., Growatt New Energy, Tbea Xinjiang Sunoasis |
| Customization Scope | Free customization report with the procurement of the report and modifications to the regional and segment scope. Particular geographically competitive landscape. |
| Pricing And Available Payment Methods | Explore pricing alternatives that are customized to your particular study requirements. |
Grid-Forming Inverter Market By Power Rating-
Grid-Forming Inverter Market By Voltage
Grid-Forming Inverter Market By Type
Grid-Forming Inverter Market By Application
Grid-Forming Inverter Market By Region-
North America-
Europe-
Asia-Pacific-
Latin America-
Middle East & Africa-
This study employed a multi-step, mixed-method research approach that integrates:
This approach ensures a balanced and validated understanding of both macro- and micro-level market factors influencing the market.
Secondary research for this study involved the collection, review, and analysis of publicly available and paid data sources to build the initial fact base, understand historical market behaviour, identify data gaps, and refine the hypotheses for primary research.
Secondary data for the market study was gathered from multiple credible sources, including:
These sources were used to compile historical data, market volumes/prices, industry trends, technological developments, and competitive insights.
Primary research was conducted to validate secondary data, understand real-time market dynamics, capture price points and adoption trends, and verify the assumptions used in the market modelling.
Primary interviews for this study involved:
Interviews were conducted via:
Primary insights were incorporated into demand modelling, pricing analysis, technology evaluation, and market share estimation.
All collected data were processed and normalized to ensure consistency and comparability across regions and time frames.
The data validation process included:
This ensured that the dataset used for modelling was clean, robust, and reliable.
The bottom-up approach involved aggregating segment-level data, such as:
This method was primarily used when detailed micro-level market data were available.
The top-down approach used macro-level indicators:
This approach was used for segments where granular data were limited or inconsistent.
To ensure accuracy, a triangulated hybrid model was used. This included:
This multi-angle validation yielded the final market size.
Market forecasts were developed using a combination of time-series modelling, adoption curve analysis, and driver-based forecasting tools.
Given inherent uncertainties, three scenarios were constructed:
Sensitivity testing was conducted on key variables, including pricing, demand elasticity, and regional adoption.