Global Bidirectional Inverter Market Size, Share and Forecasts 2031

Key Findings

• Bidirectional inverters are power electronic devices capable of converting DC power to AC power and vice versa, enabling two-way energy flow between sources like batteries and the electrical grid.
• These inverters are critical components in energy storage systems, electric vehicles (EVs), renewable energy integration, and smart grid applications.
• The ability to facilitate vehicle-to-grid (V2G) and grid-to-vehicle (G2V) functionalities positions bidirectional inverters as essential enablers for future decentralized and flexible energy systems.
• Market growth is driven by increasing adoption of energy storage solutions, rising EV penetration, and demand for grid stability and energy management in smart grids.
• Technological advances include enhanced power conversion efficiency, improved thermal management, compact designs, and embedded communication protocols for grid integration.
• Leading companies include ABB, Schneider Electric, Siemens, Sungrow Power Supply, and Delta Electronics.
• Asia-Pacific leads the market owing to strong renewable energy installations, EV demand, and government incentives promoting energy storage and smart grid technologies.
• R&D is focusing on high-frequency switching, silicon carbide (SiC) and gallium nitride (GaN) devices integration, and enhanced control algorithms for grid support services.
• The market is transitioning from simple energy conversion units to intelligent devices providing ancillary grid services and demand response capabilities.

Market Overview

Bidirectional inverters serve as the backbone of modern energy systems by enabling seamless two-way power flow between distributed energy resources and the grid. They allow energy stored in batteries or EVs to be fed back into the grid when needed, supporting grid stability, peak shaving, and emergency power supply.These inverters play a pivotal role in integrating renewable energy sources such as solar and wind, balancing supply and demand dynamically. By facilitating vehicle-to-grid (V2G) and grid-to-vehicle (G2V) interactions, bidirectional inverters support the evolution toward decentralized, resilient, and sustainable energy networks.The rising focus on smart grids and energy storage systems is driving demand for advanced bidirectional inverters that combine high efficiency, reliability, and communication capabilities to interact with grid management platforms.

Bidirectional Inverter Market Size and Forecast

The global bidirectional inverter market was valued at USD 2.4 billion in 2025 and is expected to reach USD 7.8 billion by 2032, growing at a CAGR of 16.5% during the forecast period.Market expansion is supported by increasing electric vehicle adoption, growing renewable energy capacity, government initiatives to modernize grid infrastructure, and rising investment in energy storage systems worldwide.

Future Outlook For Bidirectional Inverter Market

Looking ahead, the bidirectional inverter market is set to benefit from the increasing convergence of renewable energy integration, smart grid development, and electrification of transport.Emerging technologies such as silicon carbide (SiC) and gallium nitride (GaN) power devices will enable higher switching frequencies and greater efficiency, reducing system size and improving thermal performance.Bidirectional inverters will evolve into intelligent energy management hubs capable of providing grid ancillary services such as frequency regulation, voltage support, and demand response.Additionally, proliferation of V2G-enabled electric vehicles and decentralized energy resources will drive innovation in inverter communication protocols and cybersecurity features.

Bidirectional Inverter Market Trends

• Rise of Vehicle-to-Grid (V2G) Technology:V2G systems allow EVs to discharge stored energy back to the grid during peak demand, leveraging bidirectional inverters to optimize energy use, reduce grid stress, and generate additional revenue for EV owners.
• Integration with Renewable Energy and Storage Systems:Bidirectional inverters enable smooth energy flow between renewable generation, battery storage, and the grid, facilitating higher penetration of variable renewables while maintaining grid stability.
• Adoption of Wide Bandgap Semiconductor Devices:SiC and GaN devices are increasingly integrated into inverter designs, offering higher efficiency, faster switching speeds, and compact module sizes to meet evolving power electronics requirements.
• Smart Grid and IoT Connectivity:Advanced communication protocols and IoT integration allow bidirectional inverters to interact with grid operators and energy management systems in real time, supporting demand response and predictive maintenance.

Bidirectional Inverter Market Growth Drivers

• Increasing Electric Vehicle Penetration:The expanding EV market creates demand for bidirectional inverters to support V2G and G2V functionalities, enabling energy exchange between vehicles and the grid for optimized load management.
• Expansion of Energy Storage Systems:Growth in residential, commercial, and utility-scale battery storage projects necessitates efficient bidirectional inverters to manage charging and discharging cycles effectively.
• Government Policies and Incentives:Global policies aimed at carbon reduction, grid modernization, and renewable integration encourage deployment of advanced bidirectional inverter technologies in various energy sectors.
• Rising Focus on Grid Stability and Resilience:Bidirectional inverters contribute to grid services such as frequency regulation, voltage support, and black start capability, addressing the challenges posed by variable renewable energy sources.

Challenges in the Bidirectional Inverter Market

• High Initial Investment and Complexity:Bidirectional inverter systems, especially those integrated with advanced communication and control features, require significant upfront costs and complex installation, limiting adoption in some markets.
• Interoperability and Standardization Issues:Lack of uniform standards for communication and grid interconnection protocols can hinder seamless integration of bidirectional inverters with diverse grid infrastructure and devices.
• Thermal Management and Reliability Concerns:Efficiently managing heat dissipation in compact inverter designs remains challenging, affecting long-term reliability and performance under fluctuating load conditions.
• Cybersecurity Risks:Increasing connectivity of inverters to IoT and grid networks raises concerns about data security and vulnerability to cyber-attacks, necessitating robust security frameworks.

Bidirectional Inverter Market Segmentation

By Type

• String Bidirectional Inverters
• Central Bidirectional Inverters
• Module-Level Bidirectional Inverters

By Application

• Electric Vehicles and Charging Stations
• Residential Energy Storage Systems
• Commercial and Industrial Energy Storage
• Utility-Scale Energy Storage and Grid Support
• Renewable Energy Integration

By End-user Industry

• Automotive
• Energy and Utilities
• Commercial and Industrial
• Residential
• Smart Grid Operators

Leading Players

• ABB Ltd.
• Schneider Electric SE
• Siemens AG
• Sungrow Power Supply Co., Ltd.
• Delta Electronics, Inc.
• Huawei Technologies Co., Ltd.
• SMA Solar Technology AG
• Eaton Corporation plc
• TMEIC Corporation
• KACO new energy GmbH

Recent Developments

• ABBlaunched a new line of high-efficiency bidirectional inverters tailored for EV charging stations, enabling seamless V2G integration and improved grid services.
• Schneider Electric introduced smart bidirectional inverters with embedded IoT connectivity for enhanced energy management in commercial and residential storage applications.
• Siemensdeveloped advanced grid-supportive bidirectional inverter solutions incorporating SiC technology for higher efficiency and reliability.
• Sungrow PowerSupply expanded its bidirectional inverter portfolio targeting utility-scale energy storage projects with enhanced communication protocols.
• Delta Electronics announced collaboration with automotive manufacturers to integrate bidirectional inverters into next-generation EV charging infrastructure supporting fast charging and V2G capabilities.