North America AC Drives Market Size – By Voltage, By Application, By End-Use, Analysis, Share, Growth Forecast, 2025 - 2034

North America AC Drives Market Size

North America AC drives market size in 2024 was valued at USD 3.6 billion and is estimated to grow at a CAGR of 4.1% from 2025 to 2034. Rising demand for energy-efficient motor control solutions is increasing, driven by technological advancements will complement the industry landscape.
 

Growing automation, rising investments for industrial development and favorable initiatives toward enhancing the manufacturing processes will fuel the product adoption. Additionally, ongoing initiatives to modernize existing systems and a shift towards reducing energy consumption are positively influencing the market outlook.
 

Stringent emission mandates implemented by regulatory authorities across various industrial processes to limit carbon emissions and reduce environmental impacts will stimulate the industry outlook. For instance, The Environmental Protection Agency put forward new proposals in May 2023 to regulate carbon dioxide emissions from power plants that use fossil fuels. These proposals, made under the Clean Air Act, aim to set emission limits based on control technologies that are both cost-effective and currently available. The proposed rules would apply to various types of power plants, including new gas-fired turbines, existing coal and oil-fired units, and certain gas-fired turbines already in operation.
 

North America AC Drives Market Trends

North America AC drives industry is anticipated to witness significant growth driven by ongoing technological progress and stringent regulations promoting energy-efficient systems across various industries. Increasing investments in industrial development, supportive government policies, and strict regulations promoting energy efficiency will complement the industry landscape. For instance, in February 2024, the U.S. EPA introduced new emissions standards for heavy-duty vehicles. These standards will apply to vehicles starting with model year 2032 and will begin phasing in from 2027. The phase-in process updates specific GHG standards and fuel efficiency requirements for medium and heavy-duty vehicle engines.
 

North America AC Drives Market Analysis

Low voltage segment is anticipated to grow over USD 4.7 billion by 2034. This growth is primarily attributed to the increased demand for energy-efficient units in the industrial automation sector, driven by stringent government regulations aimed at promoting environmental sustainability. The rising need for uninterrupted and reliable power supply to offset growing electricity consumption, together with the implementation of strict energy efficiency regulations, is anticipated to boost product deployment. Furthermore, manufacturers are continuously developing advanced variable frequency drives with integrated sensors and connectivity features to enhance operational efficiency, shaping the low voltage AC drives business dynamics.
 

North America AC drives market from power generation segment is anticipated to witness a CAGR of over 4% by 2034. Rising investments in renewable energy projects and power generation infrastructure, coupled with growing awareness and regulatory mandates for energy efficiency and emissions reduction, is complementing the industry landscape. Ongoing technological advancements in AC drive technology, resulting in improved performance, reliability, and efficiency, are further accelerating product adoption. Additionally, the expansion of industrial automation and process control applications in power generation facilities further contributes to the industry growth.
 

U.S. AC drives market is set to grow over USD 3.6 billion by 2034. Ongoing development of industrial infrastructure along with rising demand for advanced motor control solutions will complement the industry landscape. Increased funding for infrastructure projects, together with favorable government policies toward industrial development is shaping the industry's landscape.
 

Stringent mandates toward energy efficiency and consumption along with flourishing investments toward energy intensive applications will positively influence the U.S. variable frequency drives industry outlook. For instance, in October 2024, the U.S. Department of Energy has allocated USD 149.87 million for 67 energy-saving projects across federal facilities. This funding, part of the AFFECT grant program, aims to reduce emissions, improve efficiency, and create jobs. The initiative supports the goal of achieving net-zero emissions in federal buildings by 2045. Moreover, increased R&D initiatives to introduce advance technologies along with ongoing technological advancements to enhance the operational advantages of manufacturing processes, will accelerate the product deployment.
 

North America AC Drives Market Share

Major players in the market are pursuing strategic activities to strengthen their market position. These initiatives include forming partnerships, expanding facilities, and engaging in mergers and acquisitions. By implementing these strategies, companies aim to enhance their market presence and foster industry growth through the development of advanced technologies further shaping the North America variable frequency drives business dynamics.
 

North America AC Drives Market Companies

Major players operating across the industry include:

• ABB
• Danfoss
• Delta Electronics
• Eaton
• Emerson Electric
• Fuji Electric
• GE Vernova
• Invertek Drives
• Johnson Controls
• Nidec Motor
• Omron
• Parker Hannifin
• Rockwell Automation
• Schneider Electric
• Siemens
• TMEIC
• WEG
• Yaskawa
   

North America AC Drives Industry News

• In April 2024, Rockwell expanded the capabilities of its PowerFlex medium voltage drives to accommodate permanent magnet motor applications. These drives now support high-speed operations, featuring an output frequency of 120 Hz and voltage ranges from 2.3 kV to 11 kV. The enhanced PowerFlex MV drives serve a wide array of industries, including HVAC, oil and gas, metals, and paper.
   
• In January 2024, Invertek Drives Ltd. demonstrated the benefits of variable frequency drives (VFD) technology at the AHR Expo, held in Chicago, U.S. The company highlighted its Optidrive Eco and Optidrive Coolvert drives at the event. The Coolvert drive provides accurate control of BLDC and PM Rotary and Scroll compressors, adjusting compressor speed based on changing system requirements.
   

The North America AC drives market research report includes in-depth coverage of the industry with estimates & forecast in terms of “’000 Units” and “USD Million” from 2021 to 2034 for the following segments:

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Market, By Voltage

• Low
• Medium

Market, By Application

• Pump
• Fan
• Conveyor
• Compressor
• Extruder
• Others

Market, By End-Use

• Oil & gas
• Power generation
• Mining & metals
• Pulp & paper
• Marine
• Others

The above information has been provided for the following countries:

• U.S.
• Canada
• Mexico