How Big is the VFD Market | Industry Trends & Forecast 2025

Q: How does 6W market outlook report help businesses in making decisions?

6W monitors the market across 60+ countries Globally, publishing an annual market outlook report that analyses trends, key drivers, Size, Volume, Revenue, opportunities, and market segments. This report offers comprehensive insights, helping businesses understand market dynamics and make informed decisions.

Q: Do you also provide customisation in the market study?

Yes, we provide customisation as per your requirements. To learn more, feel free to contact us on sales@6wresearch.com

Code: MTA9766

Publication Date: Oct 2025

How Big is the VFD Market?

According to 6Wresearch internal database and industry insights, the VFD Market was estimated at USD 23.4 billion in 2024 and is projected to reach USD 38.7 billion by 2031, expanding at a CAGR of 7.4% during the forecast period 2025-2031.

There are numbers of factors which are contributing in the expansion of the market include rising demand for energy-efficient motor control systems, increasing adoption of automation in industries, growing usage in HVAC applications, and supportive government initiatives promoting energy savings.

Key Growth Drivers of the VFD Market

Rising demand for energy efficiency in industrial operations
Increasing adoption of automation and smart motor control systems
Growing use of VFDs in HVAC systems across commercial and residential sectors
Expansion of industrialization and manufacturing activities
Supportive initiatives to reduce energy consumption and carbon emissions

VFD Market Trends

VFD Market is witnessing strong growth with notable trends such as rising use of low-voltage and medium-voltage drives across multiple industries. Manufacturing and processing units demand for more compact and modular VFDs. The use of variable frequency drive with IoT and smart monitoring systems is becoming more popular.

Using regenerative drives is making things more efficient and cutting down on energy waste. VFDs are also more common in the water treatment, mining, and oil and gas industries. Also, more VFDs are being used in HVAC and renewable energy systems, which is creating more opportunities.

Emerging Developments in the VFD Market

VFD Market is evolving with technological advancements in drive design, including energy recovery and predictive maintenance capabilities. For better performance monitoring, manufacturers are focusing on drives that work with AI and the cloud. Automation companies and VFD manufacturers are working together to come up with better solutions.

More money is going into smart factories and Industry 4.0, which is pushing innovation. Therefore, it is becoming more important to make drives that are good for the environment and have low harmonic distortion. The growth of the market is also due to the rise of customized VFD solutions made for certain industries.