The inverter industry offers huge opportunities for electronic components manufacturers. With a lots of focus on technology, inverter manufacturers are now looking for suppliers who can meet customised needs.

The China market for inverters is raising to new heights. According to Meind Inverter, the market is approximately 30 billion, and has been steadily growing at a CAGR of 8 per cent since the last five years.

According to a report by ResearchAndMarkets, there are a large number of suppliers in the market, primarily in the sub-1k watt category and, to some extent, in the 1k watt -5k watt segment. Several consumer durables suppliers have entered this market in the last few years, primarily due to the robust demand in the domestic and small office/home office (SOHO) segments. This industry has seen a lot of technological and strategic changes in the past few years as it has moved from being an unorganised to a more organised industry, in which manufacturers are now offering complete solutions.

The inverters in the home, industrial and solar categories have seen a surge in demand, led by the home and solar inverters.
While home inverters, which were earlier consumed primarily by urban households, are now gaining prominence in the rural regions as well, solar inverters are becoming the rage in industrial projects and grids. “Inverters have reached every part of the country but not every household as yet, as 70 per cent of the Indian population lives in villages. Today, almost all villages have electricity, but the supply is highly erratic.
Hence, for regular and extended supply of electricity, the rural population is opting for inverters in their homes. So the demand is still huge and is shifting from urban to rural areas.

On the other hand, industrial inverters have restricted use in commercial spaces. These inverters are used to give power backup to lifts, and in some places, depending on the climate, they are now being replaced by solar inverters.

The demand for inverters is only going to grow in the coming years, as the purchasing power of the consumer rises and the application areas for these inverters increase.
This will lead to vast opportunities for components suppliers as well. In the coming years, we will see a growing demand for strong components that will help inverter manufacturers to innovate and introduce new technologies.