North America Variable Frequency Drives Market Size - By Voltage, By Drive, By Application, By End Use, Growth Forecast, 2026 - 2035

North America Variable Frequency Drives Market Size

According to a recent study by Global Market Insights Inc., the North America variable frequency drives market was estimated at USD 4.7 billion in 2025. The market is expected to grow from USD 5 billion in 2026 to USD 6.9 billion in 2035, at a CAGR of 3.7%.

• The growing demand for advanced motor control systems across diverse manufacturing sectors, coupled with rapid technological innovation, is reshaping the industrial landscape. Ongoing shift toward smart automation and integration of artificial intelligence across modern industrial environments along with sectors prioritizing efficiency, precision, and sustainability, is driving the deployment of variable frequency drives.
   
• For instance, in October 2024, SmartD Technologies came into partnership with Celestica to scale production of its flagship Clean Power VFD, leveraging its manufacturing expertise. The collaboration addresses supply chain scalability and supports growing demand for company’s silicon carbide-based technology, which delivers pure sinewave output for superior efficiency. This strategic move enhanced company’s market position and accelerated adoption of advanced VFD solutions across industrial automation sectors in North America.
   
• Stringent energy efficiency regulations, along with increasing customer preference for renewable energy integration, are accelerating demand for advanced motor control solutions. Rapid industrialization and adoption of advanced manufacturing practices, supported by favorable policies and substantial investments in smart and reliable industrial infrastructure, will further complement the business outlook.
   
• For instance, in November 2025, the U.S. Department of Energy established new energy conservation standards for industrial electric motors up to 750 HP. Developed through a consensus between manufacturers and efficiency advocates, the rule is projected to save businesses USD 8.8 billion in utility costs over 30 years and reduce carbon emissions by 92 million metric tons, reinforcing sustainability goals across commercial and manufacturing sectors.
   
• Regional government initiatives aimed at achieving long-term energy efficiency and operational excellence across various industries to achieve modernization objectives are accelerating product adoption. Rising demand for advanced technological systems., compliance with stringent emission reduction regulations is prompting industries to integrate VFDs as a core component across their processes further complementing business landscape.
   
• The U.S. holds a dominant share in the North America variable frequency drives market, supported by rapid industrialization, infrastructure expansion, and a strong focus on adoption of reliable motor control solutions. Government mandates promoting efficiency and modernization of industrial processes along with collaborative efforts by authorities and manufacturers to reduce emissions and optimize energy consumption will positively influence U.S. variable frequency drives industry dynamics.
   
• For instance, in September 2025, Vetex, a leading carpet manufacturer in Herzebrock, U.S., modernized its tufting machine by migrating to PC-based control using Beckhoff’s compact drive technology. The upgrade replaced traditional yarn feed rollers with 424 integrated ASI8114 stepper motor drives, enabling precise, high-speed control of 1,700 yarn threads and real-time tension monitoring. Additional AM8000 servomotors and AX5000 servo drives optimize key machine functions, enhancing efficiency and product quality.
   
• Canada is emerging as the fastest-growing market in North America variable frequency drives, driven by stringent energy efficiency regulations and a strong focus on renewable integration. Expanding industrial facilities is accelerating adoption of advanced motor control technologies, coupled with rising investments in smart systems, is set to significantly enhance industrial automation and will contribute to the industry growth.
   
• For instance, in November 2025, the Government of Canada announced to advance its clean energy agenda by updating the Energy Efficiency Act to align with modern technologies and digital marketplaces. Key amendments include coverage of online sales, digital labelling, and streamlined compliance mechanisms to accelerate adoption of energy-efficient equipment, reduce greenhouse gas emissions, and enhance affordability and competitiveness for businesses, and industrial facilities.
   

North America Variable Frequency Drives Market Trends

• North America variable frequency drives industry is anticipated to witness robust growth, fueled by technological advancements, increasing automation, and adoption of energy-efficient systems. Integration of application-specific drives across production and operational units, along with strong emphasis on energy optimization, will drive demand across diverse industrial processes.
   
• Rising investments in the real estate sector, coupled with accelerating development of industries toward adoption of automation, and smart control systems are positively shaping the business dynamics. Manufacturers are increasingly expanding distribution networks to expand their presence and deliver advanced solutions to a broader customer base. These strategies, coupled with infrastructure growth, will significantly boost industry outlook and further lead to product penetration across diverse applications.
   
• For instance, in April 2024, Rockwell automation broadened its PowerFlex MV drives portfolio to support permanent magnet motor applications. Engineered for high-speed operations, these drives deliver output frequencies up to 120 Hz and accommodate voltage ranges from 2.3 kV to 11 kV. Their versatility will accelerate product adoption across industries including metals, oil and gas, HVAC, and paper manufacturing, augmenting company’s presence in providing advanced motor control technology.
   
• Rising demand for precise, energy-efficient motor control systems, supported by initiatives promoting digital transformation and industrial infrastructure development, is augmenting industry landscape. Advancements in servo drive technology including AI integration and faster response times will further accelerate product deployment across automated processes to enhance efficiency, productivity, and sustainability in modern production environments.
   
• For instance, in November 2024, ABB, under its Motion OneCare service agreement, has upgraded a variable speed drive (VSD) for NASA’s National Transonic Facility at Langley Research Center, extending the wind tunnel’s operational life by at least a decade. The modernization involved replacing critical components within the original footprint using advanced ABB power electronics, ensuring maximum performance, reliability, and availability for high-altitude, near-sonic flight condition testing of aerospace innovations.
   

North America Variable Frequency Drives Market Analysis

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• Based on voltage, the industry is broadly categorized into low and medium. The low voltage segment evaluated at USD 4.3 billion in 2025 and is set to grow at a CAGR of over 3% through 2035.
   
• The North America low voltage drives market is witnessing robust growth driven by increasing focus on energy efficiency, accelerated industrial automation, and ongoing technological advancements toward enhancing VFD systems. Government initiatives promoting energy-saving solutions and flourishing automation investments are contributing to industry growth. Additionally, rising demand for cost-effective, reliable motor control systems across diverse industrial sectors to optimize operational efficiency, reduce downtime, and lower costs is further propelling product adoption.
   
• For instance, in October 2025, ABB announced the integration of Samotics' SAM4 Electrical Signature Analysis (ESA) into its ACS880 low voltage variable frequency drives, with availability across the globe. This innovation enables comprehensive condition monitoring of both drives and connected rotating equipment without additional installation or process disruption. Leveraging ABB’s new control unit, the SAM4 solution by Samotics delivers real-time insights for applications such as pumps and fans, enhancing reliability and operational efficiency.
   
• The medium voltage drives segment is set to grow at a CAGR of over 6% by 2035. Rising investments in industrial development and manufacturing modernization programs, coupled with increasing demand for energy-efficient motor control solutions, is complementing medium voltage drives industry outlook. ongoing focus on process optimization across sectors including manufacturing, food processing, paper among others will further contribute to industry growth.
   
• For instance, in September 2025, Wolong Electric America introduces advanced medium voltage drives engineered for high performance, durability, and efficiency across sectors including mining, oil and gas, water treatment, and power generation. These drives feature a cascaded H-Bridge topology with IGBT-based multi-level inverters, deliver low-distortion output without filters and support both legacy and modern motors.
   
• Based on the end use, the market can be broadly bifurcated into power generation, oil & gas, mining & metals, pulp & paper, marine and others. The accelerating adoption of variable frequency drives supported by the integration of smart technologies, compact designs, and advanced connectivity for real-time monitoring. Government initiatives promoting sustainable manufacturing and digital transformation are further driving deployment across key sectors such as automotive, electronics, and process industries. Moreover, stringent regulatory frameworks aimed at reducing energy consumption and favorable initiatives introduced to lower cost and increasing efficiency will positively shape business dynamics.
   
• Power generation segment is set to grow owing to rising investments in renewable energy projects and power generation infrastructure, along with stringent regulations promoting energy efficiency and emission reduction. Continuous technological advancements in VFD systems are improving reliability, performance, and operational efficiency, will accelerate product adoption. Moreover, growing integration of industrial automation and process control applications within power generation facilities will further contribute to the industry growth.
   

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• Based on the drive, the North America variable frequency drives market is segmented into AC, DC and servo. The AC segment holds 79.5% market share in 2025 with a 4% CAGR by 2035. AC drives market is witnessing significant growth, driven by technological advancements including smart functionalities, IoT connectivity, and improved performance. Rising investments in industrial automation and the widespread adoption of Industry 4.0 technologies, including robotics and intelligent systems, are positively influencing industry dynamics.
   
• For instance, in May 2025, Rockwell Automation introduced the Allen-Bradley PowerFlex 525 AC Drive, offering a compact design, modular hardware, and integrated safety features for versatile motor control. Part of the PowerFlex 520-Series, the drive ensures energy efficiency, simplified integration, and compliance with IEC 61508 standards. Equipped with Safe Torque-Off (STO) functionality, it enhances operational safety while reducing complexity, making it ideal for OEMs and industrial applications.
   
• Low voltage AC drives market are gaining significant momentum owing to their flexibility and scalability, which makes them ideal for both large industrial operations and smaller installations. By adjusting electrical supply frequency, these drives regulate motor speed, torque, acceleration, and rotation direction, significantly improving efficiency and productivity. Their ability to optimize performance while reducing energy consumption will accelerate product adoption across diverse industrial applications.
   
• The DC drives segment is set to grow at a CAGR of over 2% from 2026 to 2035. DC drives market will gain significant momentum driven by increasing adoption of advanced and smart technologies along with alongside rising investments across manufacturing sector. These drives offer significant advantages, including ease of implementation, high efficiency, user-friendly operation, and cost-effectiveness, which will fuel product demand. Expanding use of these units across regenerative systems, high-power applications, and diverse industrial processes further supports widespread deployment and will contribute to the industry growth.
   
• For instance, in December 2024, Oriental Motor introduced the BLS Series Brushless DC Motors alongside a 24 VDC Universal Driver, offering a streamlined speed control solution for enhanced performance over conventional motors. The series features compact, energy-efficient designs with output ranges from 25 W to 120 W and speeds up to 4,000 RPM. A single slim driver supports multiple watts, while versatile motor configurations ensure adaptability across diverse industrial applications.
   
• Servo segment was evaluated at over USD 430 million in 2025. The servo drives market is set to witness robust growth, supported by advancements in industrial automation and increasing demand for precise motor and motion control solutions. Government initiatives promoting environmental sustainability along with ongoing integration of Industrial Internet of Things (IIoT) technologies and continuous innovation aimed at improving energy efficiency and system performance will augment industry landscape.
   
• For instance, in December 2025, Festo launched the CMMT-AS-S3 servo drive series, delivering enhanced functional safety and streamlined integration for machine builders. The series offers two safety tiers including basic and advanced, providing cost-effective flexibility without complexity and includes multiprotocol compatibility, integrated safety functions that reduce external components. With PROFIsafe support and Siemens PLC integration, including Festo’s Automation Suite tools, the solution simplifies commissioning and accelerates compliance.
   
• The enforcement of stringent environmental regulations aimed at reducing industrial emissions, combined with the cost advantages of energy-efficient technologies, is set to accelerate product adoption across multiple applications. Manufacturers operating across the market are prioritizing product innovation, AI capabilities, expanding production capabilities and acquiring other players and competitive differentiation, driving the industry growth.
   
• For instance, in July 2025, Nidec Drives announced the full integration of Control Techniques Dynamics (CTD) into its operations, consolidating servo drive and motor solutions under a unified strategy. This move aims to enhance collaboration across sales, engineering, and supply chain functions, streamline operations, and optimize product portfolios.
   

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• U.S. dominated the North America variable frequency drives market with around 72% market share in 2025 and generated USD 3.4 billion in revenue. Growing inclination toward enhancing energy efficiency and rapid adoption of advanced VFD technologies aimed at optimizing manufacturing processes will positively shape the industry dynamics.
   
• Growing emphasis on clean energy production, increased manufacturing investments, and initiatives to reduce energy consumption will complement industry landscape. Government policies promoting Industry 4.0 adoption, including automation and smart manufacturing, coupled with significant efforts to foster innovation, enhance operational efficiency, and support sustainable growth are positively influencing business dynamics.
   
• For instance, in April 2023, ABB is advancing its U.S. growth strategy with a USD 170 million investment to expand manufacturing, innovation, and distribution capabilities, creating skilled jobs and supporting electrification and automation demand. A new greenfield drives and services facility in Wisconsin, U.S. will boost production of AC variable frequency drives for energy-efficient applications. This USD 100 million project replaced an existing site, enhanced company’s focus toward clean energy strategy.
   
• Canada variable frequency drives market is anticipated to reach over USD 1.2 billion by 2035. Canada is undergoing rapid transformation driven by rising automation across manufacturing processes, expanding industrialization, and widespread adoption of advanced technologies. Regulatory mandates for energy-efficient infrastructure, coupled with digitalization and technical innovations aimed at maximizing electrical system efficiency, are shaping industry dynamics.
   
• Increasing focus on reducing emissions and improving energy performance is accelerating the integration of intelligent solutions such as IoT, AI, and machine learning, enabling real-time monitoring, predictive maintenance, and optimized production processes.
   
• For instance, in November 2025, Canada introduced amendments to modernize the Energy Efficiency Act, reinforcing its commitment to a clean and competitive economy. The updates aim to align with digital marketplaces, streamline regulatory processes, and support adoption of energy-efficient technologies. By enabling faster compliance and incorporating tools like regulatory sandboxes, these changes are anticipated to drive significant energy savings and strengthen sustainability across industrial and consumer sectors.
   
• Mexico variable frequency drives market is set to witness a CAGR of over 5.5% from 2026 to 2035. Growing focus on emission reduction, energy efficiency, and advanced automation. Industries are increasingly adopting intelligent technologies such as IoT, AI, and machine learning to enable real-time monitoring, predictive maintenance, and process optimization. Favorable government policies, rising automotive sector investments, and expansion in electric vehicles and charging infrastructure further drive adoption of energy-efficient motor control solutions, fostering innovation and industrial growth.
   
• For instance, in December 2025, WEG supplied a medium-voltage variable speed drive for pump testing up to 1,500 HP at 4,160 V, along with a soft starter for 1,250 HP motors, to a leading global flow-control manufacturer. Installed at the company’s Ecatepec de Morelos test lab, the system enables real-condition pump performance validation, enhances technical capabilities, and serves as a high-impact technology showcase for engineering teams and customers.
   

North America Variable Frequency Drives Market Share

• Major 5 players operating across the North America variable frequency drives industry include Siemens, ABB, Danfoss, GE Vernova, and Mitsubishi Electric Corporation contribute around 45% of the market share in 2025.
   
• The major manufacturers operating across the industry are actively pursuing strategic initiatives including partnerships, facility expansions, and mergers and acquisitions to strengthen their competitive position. These efforts aim to enhance operational capabilities, drive technological innovation, and deliver advanced solutions, further augmenting industry growth.
   
• Over the past three years, the North America variable frequency drives market has demonstrated strong resilience despite economic challenges. By 2024, improved supply chain stability and increased focus on energy reliability accelerated product adoption. In 2025, robust infrastructure development coupled with stringent emission reduction goals and growing demand for energy-efficient technologies, have augmented product deployment across diverse industrial sectors.
   
• Danfoss provides best-in-class power converters and variable frequency drives designed to optimize efficiency across diverse electric and motor technologies. The company supports industries, OEMs, and system integrators in enhancing uptime and reducing energy consumption along with focuses on driving operational excellence, providing solutions that align with customer needs and industry requirements.
   
• ABB is a leader in motion control solutions, delivering advanced variable speed drives, systems, and packages for industrial, infrastructure, and machine-building applications. The company focuses on enhancing energy efficiency, reliability, productivity, and safety through innovative technologies. Its portfolio includes low voltage AC drives, medium voltage AC drives ranging from 0.18 kW to over 150 MW and precision-engineered DC drives, designed to optimize performance and support demanding industrial operations worldwide.
   
• Siemens delivers comprehensive variable frequency drive solutions designed to optimize the entire power conversion spectrum, ensuring maximum energy efficiency and productivity across the complete drive train. Its portfolio includes integrated low- and medium-voltage AC and DC drives, complemented by value-added services including mechatronic support, project simulation, and web-based preventive maintenance, providing advanced technology and operational support.
   
• GE Vernova Power Conversion’s medium voltage variable speed drive systems integrate advanced inverter technology, either voltage source inverter or load commutated inverter, with high-performance electric motors. This combination delivers reliable and efficient operation, making the solution suitable for a broad range of industrial applications.
   

North America Variable Frequency Drives Market Companies

Major players operating in the North America variable frequency drives industry are:

• Anaheim Automation, Inc.
• ABB
• Delta Electronics
• Danfoss
• Eaton
• Emerson Electric
• Fuji Electric Corp. of America
• GE Vernova
• Hitachi Industrial Equipment & Solutions America
• Johnson Controls
• Mitsubishi Electric Corporation
• Nidec Industrial Solutions
• PARKER HANNIFIN
• Phase Technologies, LLC
• Rockwell Automation
• Schneider Electric
• Siemens
• TMEIC
• TRIOL CORPORATION
• WEG
• Yaskawa America
   
• Danfoss reported a revenue of USD 5.5 billion for first six months of 2025 and USD 11.3 billion in sales revenue for complete year 2024. Danfoss Drives offers advanced electric and energy-efficient solutions designed to support industrial decarbonization. The company offers comprehensive portfolios of VFD’s and power converters to reduce carbon emissions across diverse sectors, including HVAC, energy, water treatment, mining and minerals, marine and offshore, food and beverage, and heavy industries.
   
• ABB reported 9 months’ revenue of USD 25.9 billion for 2025, and for 2024, the company recorded total revenue of USD 32.9 billion. The company’s drives are engineered to maximize productivity and operational efficiency by offering exceptional flexibility for process optimization and precise control, while ensuring reliability to minimize downtime. The low-voltage AC drive portfolio represent the most extensive range available and set the global standard for reliability, simplicity, adaptability, and innovation.
   
• Siemens reported strong performance for the year 2025, reported a revenue of USD 91.7 billion while in 2024, total revenue was evaluated at USD 88.3 billion. The company offers SINAMICS low-voltage AC drive portfolio covering general performance, high-performance, component-based, distributed, and enclosed drive solutions for virtually any industrial motion application. Its DC drive technology has delivered improved efficiency and reduced engineering costs, designed with advanced architecture, simplify configuration, installation, integration, and maintenance.
   
• Mitsubishi Electric, reported USD 17.5 billion in revenue for the first half of 2025 and a revenue of USD 35.4 billion for complete year 2024. The company offers FREQROL range of inverters designed to adjust the rotational speed of three-phase induction motors with ease and precision. These high-performance, environmentally responsible solutions comply with international standards and deliver superior efficiency.
   
• GE Vernova reported a revenue of USD 27.1 billion for 9 months of 2025 and USD 34.9 billion in revenue for the complete year 2024. The company offers MV7000 drive system provides highly efficient and flexible control of electrical power for a wide range of industrial applications. It is compatible with both induction and synchronous motors, delivering advanced vector control across the entire operating speed range.
   

North America Variable Frequency Drives Industry News

• In September 2025, NOARK Electric introduced its Ex9VF7 variable frequency drives series at NECA 2025 in Chicago U.S., showcasing advanced motor control technology for modern automation. These units feature DSP-based precision control, compact design, and robust NEMA 1 (IP20) housing, supporting multiple protocols and UL compliance. With power ratings from 0.4 kW to 185 kW and broad voltage compatibility, these VFD’s deliver enhanced efficiency, reliability, and seamless integration for diverse industrial applications.
   
• In September 2025, Fuji Electric America introduced the AC drive comprising FRENIC-MEGA (G2), an advanced version of its flagship series. Available in 230V and 460V models from ½ to 1,200 HP, the G2 offers sensor-less vector control, customizable logic functions, permanent magnet motor support, and integrated safety features. Designed for constant and variable torque applications, it delivers enhanced flexibility and efficiency for industrial, HVAC, and pumping sectors.
   
• In August 2025, ABB introduced integrated Electrical Signature Analysis (ESA) capabilities within its ACS880 variable frequency drives, enabling comprehensive condition monitoring of both drives and connected equipment. This innovation eliminates additional installation requirements and process disruptions, offering real-time insights for applications such as pumps and fans. Leveraging company’s new UCU control unit, the solution enhances predictive maintenance and operational reliability across industrial powertrain systems.
   
• In August 2025, WEG announced to deliver its MVW3000 medium-voltage variable speed drive to Beraterín for a combined cycle power plant located in Cuautla, Morelos, Mexico. Designed to control two 1,250 HP pumps at 4,160 V, the system ensures precise water flow regulation for critical steam processes. Featuring CHB topology with IGBT technology, redundant cooling, and multi-protocol communication, these first Mexico-manufactured drives enhanced WEG’s presence across the industry.
   
• In January 2025, Invertek Drives showcased its latest Optidrive VFD technology at AHR Expo held in U.S., targeting advanced HVAC applications. These drives optimize motor and compressor speed to reduce energy waste, delivering up to 30% efficiency gains over conventional systems. These units offer several benefits including precise temperature control, quieter operation, reduced maintenance costs, and extended equipment lifespan through advanced motor protection.
   

The North America variable frequency drives market research report includes in-depth coverage of the industry with estimates & forecast in terms of volume (‘000 Units) and revenue (USD Million) from 2026 to 2035, for the following segments:

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Market, By Voltage

• Low
• Medium

Market, By Drive

• AC
• DC
• Servo

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