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Power Electronics Market Size to Reach $40 Bn by 2031 Growing at 7.24% CAGR, Backed by Electrification and Renewables, Says Mordor Intelligence

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Hyderabad, Jan. 07, 2026 (GLOBE NEWSWIRE) -- According to Mordor Intelligence, the power electronics market is poised for steady expansion, driven by accelerating adoption across the automotive, industrial, and energy sectors. The market is expected to grow from USD 26.84 billion in 2025 to USD 28.78 billion in 2026, and is forecast to reach USD 40.81 billion by 2031, registering a CAGR of 7.24% during the 2026–2031 period.

This growth outlook reflects rising demand for efficient power conversion, voltage regulation, and thermal management solutions as industries transition toward electrification, automation, and renewable energy systems. Continued advancements in semiconductor materials such as silicon carbide (SiC) and gallium nitride (GaN) are reshaping the power electronics industry, enabling higher efficiency, compact system designs, and improved performance across a wide range of applications.

Power Electronics Market Trends Shaping Next-Gen Energy Systems

Renewable Energy Infrastructure Modernization

Across parts of Asia, large solar and wind projects are upgrading their power conversion systems to improve efficiency and reliability in demanding environments. Newer inverter technologies are better suited for high temperatures and continuous operation, helping renewable plants maintain stable output while meeting local regulatory and cost expectations.

Telecom Network Expansion Driving Power Efficiency

The rollout of advanced mobile networks is increasing the need for power components that deliver higher efficiency with lower heat generation. Telecom operators are prioritizing compact, high-performance solutions to support dense urban deployments, while long-term supplier partnerships are helping stabilize supply and reduce deployment risks

Regional Market Insights

Asia-Pacific continues to strengthen its position as a key growth hub for power electronics, supported by strong government backing for semiconductor manufacturing, electric mobility, and local supply chains. Investments across manufacturing, packaging, and research ecosystems are helping regional players improve availability, reduce costs, and respond faster to demand from automotive and renewable energy applications.

North America remains an important market, driven by innovation-led demand from data centers, electric vehicles, and advanced energy systems. Supportive policies and public–private funding are encouraging expansion of next-generation manufacturing capabilities, while defense-led research is enabling technology advancements that are increasingly finding their way into commercial power electronics applications.

Table of Content (Partial) - Power Electronics Industry

1. INTRODUCTION

2. RESEARCH METHODOLOGY

3. EXECUTIVE SUMMARY

4. MARKET LANDSCAPE

5. MARKET SIZE AND GROWTH FORECASTS (VALUE)

6. COMPETITIVE LANDSCAPE

7. MARKET OPPORTUNITIES AND FUTURE OUTLOOK

For details on other market segments and the full table of contents, visit -

https://www.mordorintelligence.com/industry-reports/power-electronics-market?utm_source=globenewswire

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About Mordor Intelligence

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