Medium Voltage Drives Market Size - By Power Range, By Drive, By Sales Channel, By Application, By End Use, Analysis, Share, Growth Forecast, 2025 - 2034

Medium Voltage Drives Market Size

The global medium voltage drives market was estimated at USD 1.9 billion in 2024. The market is expected to grow from USD 2.1 billion in 2025 to USD 3.7 billion in 2034, at a CAGR of 6.5%. Rising industrial demand for energy-efficient technologies and the increasing need for advanced motor control systems across multiple sectors are set to drive growth in industry. For instance, in May 2025, the U.S. firm ECM PCB Stator Tech which specializes on the design of electric motors, announced the development of a new servo motor with an integrated 50:1 gear ratio harmonic drive, achieving unrivalled torque density, compactness, and greater precision ECM will showcase their newly developed 'Eight Ball' motor solution at Automate 2025.
 

These systems, which regulate motor speed and torque, help boost energy efficiency, cut operational costs, and reduce emissions factors that will support broader product adoption. Significant investments in heavy-duty industrial applications, along with the development of new infrastructure projects featuring advanced machinery and large-scale HVAC systems, are expected to further strengthen market momentum.
 

For instance, in June 2024, ABB developed the world’s first medium voltage, speed-controlled motor concept, designed to greatly enhance energy efficiency and reduce carbon emissions. This groundbreaking solution combines complete speed control within a single, energy-efficient unit, addressing the fact that large motors account for 10% of global electricity consumption.
 

Ongoing use of advanced technological solutions, shifting focus towards energy efficiency due to more stringent energy efficiency regulations, increasing electricity consumption and growing demand for electricity utilization will support the improvement of the industry landscape. For instance, in May 2024, China's State Council introduced an action plan for the 2024-2025 period which focuses on boosting energy conservation and carbon emission reduction in alignment with the final stage of the 14th Five-Year plan. The plan outlines specific efficiency and emission reduction targets in the steel, petrochemicals, non-ferrous metals, and building materials sectors to aid in the accomplishment of China's 2030 emission targets, as set in the China 's carbon peak target.
 

Accelerating expenditure on heavy-duty industrial activities together with the ongoing construction of additional infrastructures incorporating modern technological gear, including extensive HVAC systems, will severely influence the business outlook. For example, in February 2025, Siemens acquired Michigan-based software company Altair and is investing more than USD 10 billion in U.S. operations. Across Fort Worth, Texas and Pomona, California the company has inaugurated new manufacturing facilities. Siemens will be ramping up the production of electrical devices like the power tools that they build, aiding critical industries, support AI industrial data-center systems that bolster the industrial AI leadership of the U.S.
 

Medium Voltage Drives Market Trends

The global market straddles robust growth propelled by rapid industrialization, increased acceptance of energy-efficient technologies, and unending breakthroughs in automation. Increased application of automation in industrial processes together with the proactive attitude of producers and government institutions towards the adoption of supportive manufacturing policies is likely to enhance the scope of the market.
 

For instance, the European Commission’s approval in April 2024 of the decarbonization initiative for industrial production in Germany to the tune of 2.4 billion USD. This change is meant to accelerate the transition to environmentally friendly industrial practices and it is part of the Green Deal Industrial Plan.
 

Additionally, the capital investment is significant, while the operational expenditure energy utilization during ultra-heavy processes doling decreases and is expected to further improve new opportunities for market development.
 

The drives market has been deeply impacted in multiple fronts by increasing expenses, shifting the competition landscape, and creating supply chain issues as a result of the imposed trade tariffs in April 2025. Under Section 301, the imposition of U.S. tariffs on Chinese goods resulted in drives and other electrical parts facing a 25% tariff. This will reduce demand in construction and manufacturing, which are sensitive to prices. The EU has inflicted tariff ranges of 10% to 35% on Chinese drive components causing a price squeeze in China. Additionally, Germany’s industrial addressable market is growing at 6.8% for drives and the drive market is being inflated further by the imbalance.
 

Medium Voltage Drives Market Analysis

• The global medium voltage drives industry was valued at USD 1.7 billion, USD 1.8 billion, and USD 1.9 billion in 2022, 2023, and 2024, respectively. Based on drive, the industry can be trifurcated into AC, DC and servo.
   
• The market for AC medium voltage drive is expected to surpass USD 2.9 billion by the year 2034. The demand for medium voltage AC drives is further accelerated due to the integration of IoT and other intelligent technologies. Rising investment focused on industrial automation along with the emergence of Industry 4.0 has boosted medium voltage AC drives due to advanced robotics and other technologies.
   
• For example, the U.S. Department of Energy issued 5 million USD in October 2024 to five projects focused on developing electric heating solutions for critical industrial sectors as part of the initiative for the electrification of process heat. Moreover, the Industrial Internet of Things (IIoT) is advancing system sizing, energy optimization, and other functions which are growing this industry.
   
• The market for DC medium voltage drives is projected to grow at a CAGR of over 5.5% by 2034, fueled by a combination of rising environmental consciousness, proactive government initiatives, and industry wide efforts to reduce carbon emissions. The global attention shifts toward sustainability and energy conservation, industries are increasingly turning to DC drives for their ability to deliver precise motor control and enhance energy efficiency in a wide range of applications, including manufacturing, transportation, and renewable energy systems.
   
• The market for servo drives is anticipated to witness significant growth, supported by the rising adoption of precision control in motion applications, which are increasingly used in industries including robotics, packaging, and electronics, where high accuracy and responsiveness are critical driving the business landscape.
   

• Based on the application, the medium voltage drives market is segmented into pump, fan, conveyor, compressor, extruder and others. The pump application is set to lead the industry with a major market share and to grow at a positive CAGR of over 6% through 2034.
• The continuous advancements in technology are enabling more accurate control of pump speed and output, resulting in greater efficiency and enhanced system management further strengthening the industry’s development. These drives also help minimize downtime and reduce maintenance costs from water distribution and wastewater treatment to irrigation, HVAC, and other industrial sectors.
   
• The fan application segment within the medium voltage drives market is anticipating to witness a CAGR of over 6.4% and capturing a significant market share driven by the furthers of medium voltage drives in fan systems across power generation, mining and HVAC industries. These drives offer improved energy consumption, accurate speed control, and lower mechanical strain on components, making them ideal for large centrifugal fans and exhaust fans.
   
• Conveyor market growth is tremendous due to higher demand from the cement industry and bulk material handlers, along with growing demand from the mining sector. MV drives are crucial in high-torque conveyor applications due to their efficiency, precise speed control, and energy savings in long-distance or heavy-duty operations. The increasing adoption of automation and digitalization alongside smart MV drives which offer Condition Based Monitoring along with Predictive Maintenance add to the efficiency and lower the total cost of ownership, further enhancing productivity and expanding the business landscape.
   
• On account of the evolution in energy efficiency standards, there is an increasing demand for medium voltage drives across compressors and heavy-duty industrial process optimization and maintenance. MV drives are becoming increasingly utilized in water treatment and power generation as well as in industries with severe high load compressor operations.
   
• Extruder applications are growing steadily because of the high requirements for torque and precise speed control in the plastics, rubber and food processing industries. Large extruders above 400 kW have better functionality offered by these systems, in over 20-30% energy saving in industries with the presence of powerfully controlled motors, encouraging manufacturers to upgrade extruders with efficient MV drives.
   

• The U.S. medium voltage drives market was evaluated at USD 262 million, USD 276.1 million, and USD 291.3 million in 2022, 2023, 2024, respectively. The industry is set to observe substantial growth backed by the spending on modernization and energy efficient infrastructure. The increasing need for dependable motor control solutions, coupled with government initiatives promoting energy-efficient technologies, is driving market expansion. Moreover, the growth of the market is further augmented by specific policy frameworks aimed at improving energy efficiency which foster advancements in technology.
   
• For instance, in October 2024, KPS Capital Partners bought Innomotics from Siemens for about USD 3.7 billion. The reason for the sale was to divest further parts of Siemens. This completes the shift in strategic focus for Siemens and enables Innomotics to flourish under new direction.
   
• Europe medium voltage drives market is projected to reach over USD 710 million by 2034, attributed by the growing focus on climate, industrial automation, and decarbonization. Adoption from wastewater, mining, and manufacturing industries is increasing to improve process efficiency, reduce maintenance expenses, and meet stringent environmental protection policies.
   
• Accelerated government policies aimed at energy conservation and sustainable industrial development in the Asia Pacific are driving demand for medium voltage drives. The rise in automation and smart manufacturing has created a demand for advanced drives capable of digital supervision, predictive maintenance, and monitoring.
   
• The Middle East and Africa medium voltage drives market is expected to experience a CAGR of over 8% by 2034, owing to the increased industrialization, infrastructure improvements, and a greater focus on energy efficiency in important industries. The ongoing expansion of oil and gas operations, mining activities, and the development of desalination plants in the region also enhance demand for durable and high-performance drive systems.
   

Medium Voltage Drives Market Share

The top 5 manufacturers are ABB, Danfoss, Siemens, Fuji Electric and Schneider Electric, are among the key contributors to the medium voltage drives industry, collectively accounting for above 30% of the market share. These firms hold a major share of the market, due to their sustained presence in the industry, perpetual innovations, and their well-developed strategic positions. These companies have longstanding expertise and global operations in power systems, sustainability, and the ability to provide integrated and bundled systems for industrial applications.
 

Medium voltage drives market manufacturers are strengthening their market control and satisfying requirements through implementation of new industry strategies. Reduction of competitive advantage through focus on technological advancement is being addressed first, through new spending to advanced drive systems with greater energy efficiency, performance, and compatibility with industrial automation systems. Market accessibility and tailored solution design is being achieved through strategic cooperation and partnership with OEMs, utilities, and end-users.
 

Medium Voltage Drives Market Companies

• ABB dominates the medium voltage drives industry, ranking first globally while simultaneously holding USD 32.9 billion revenue in 2024. Offering industry grade electronics and sophisticated software systems to improve process monitoring, control, energy management and reliability, the company’s medium voltage drives are heavily integrated in oil and gas, power generation, water and wastewater, mining and marine industries where high motor control performance is crucial.
   
• Danfoss is the industry leader in developing medium voltage drives. This company emphasizes clean technology innovation and agile design implementation including modular features and architecture. It is strategic in terms of low harmonic distortion and optimized cooling to minimize control and maintenance costs, more so, energy expenditure.
   
• Rockwell Automation focuses on delivering high-performance motor control technologies. The firm works to improve energy efficiency, system reliability, and productivity in oil and gas, mining, water treatment, and manufacturing industries. The annual revenue of the company is USD 8.2 billion.
   

Major industry players operating across industry consist of:

• ABB
• CG Power & Industrial Solutions
• Delta Electronics
• Danfoss
• Eaton
• Fuji Electric
• General Electric
• Hitachi Hi-Rel Power Electronics
• Ingeteam
• Johnson Controls
• Nidec Industrial Solutions
• Rockwell Automation
• Siemens
• Schneider Electric
• TMEIC
• TECO-Westinghouse
• WEG
• Yaskawa Electric
   

Medium Voltage Drives Industry News

• In April 2025, ABB’s next generation medium voltage drive, the ACS8080, and low voltage cabinet, the ACS880, was showcased and strapped attention for astonishing innovation and precision engineering. The presentation confirmed the company's commitment to pushing the energy efficiency limits and process control. As per the event, ABB also presented VDT, along with the latest versions of the ACS880 LV cabinet and the ACS8080 MV drive.
   
• In November 2024, Innomotics declared a partnership strategy with Danfoss Drives A/S aimed at jointly advocating for their expertise in advancing low and medium voltage drive technologies. The growing competition in global markets as well as the advanced level of demand have both these companies to develop in order for a wider range of products and services worldwide.
   
• In November 2024, ABB unveiled the ACS8080, its latest medium voltage air-cooled drive, marking a significant leap forward in industrial drive technology. The next generation drive, ACS8080, offers superior motor control, enhanced diagnostics at level of digital monitoring, and highly adaptive form-in addition to exceptional dependability. The drive enables condition monitoring and diagnostics that dramatically reduce troubleshooting and failure detection times, by up to ten-fold, across various industrial applications.
   
• In April 2024, Rockwell Automation also broadened its application scope in April 2024 by introducing Permenant Magnet Motors at their medium voltage PowerFlex 6000T VFDs, supporting greater versatility in industrial fan, non-regen pump, conveyor, and compressor applications. The PowerFlex 6000T VFDs deliver accurate motor control for the voltage range of 2.3 to 11 kV.
   

This medium voltage drives market research report includes in-depth coverage of the industry with estimates & forecast in terms of “Units” and “USD Million” from 2021 to 2034 for the following segments:

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Market, By Power range

• ≤ 1 MW
• 1 MW - 3 MW
• 3 MW - 7 MW
• > 7 MW

Market, By Drive

• AC
• DC
• Servo

Market, By Sales Channel

• Direct to end use
• Direct to machine builder
• Direct to systems integrator
• Distribution/partner

Market, By Application

• Pump
• Fan
• Cranes & hoists
• 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 region & countries:

• North America
  • U.S.
  • Canada
  • Mexico
• Europe
  • Germany
  • UK
  • France
  • Italy
  • Spain
• Asia Pacific
  • China
  • Japan
  • India
  • Australia
  • South Korea
  • Thailand
  • Singapore
  • Malaysia
  • Vietnam
  • Indonesia
• Middle East & Africa
  • Saudi Arabia
  • UAE
  • South Africa
  • Egypt
• Latin America
  • Brazil
  • Argentina