The Automotive DC-DC Converter Market, estimated at USD 14.08 Bn in 2025, is expected to exhibit a CAGR of 5.7% and reach USD 20.77 Bn by 2032.
The market growth is fueled by the increasing demand for intelligent, connected, and sustainable transportation solutions, along with shifting mobility trends and wider adoption across passenger and commercial segments. Innovations in vehicle connectivity, automation, and electrification, supported by strategic investments, are enhancing safety, efficiency, and user experience. Furthermore, favorable government policies, rapid infrastructure upgrades, and the push toward greener mobility are accelerating market expansion and unlocking new growth avenues for industry participants.
Market Dynamics:
Increasing production of electric vehicles: Stringent emission norms and government initiatives to promote electric mobility are encouraging manufacturers to increase electric vehicle production. As electric vehicles require efficient power management solutions, the demand for automotive DC-DC converters is projected to rise considerably over the next few years.
Advanced driver-assistance systems: The adoption of advanced driver-assistance systems such as adaptive cruise control, blind-spot monitoring, park assist, and lane departure warning has been increasing rapidly. As these systems require reliable power supply, their rising integration in modern vehicles will propel the automotive DC-DC converter market.
Global Automotive DC-DC Converter Market covering drivers, restraints and opportunities:
The rising demand for electric and hybrid vehicles is driving the global automotive DC-DC converter market
The automotive industry is witnessing a paradigm shift from internal combustion engine (ICE) vehicles to electric vehicles (EVs) and hybrid electric vehicles (HEVs) due to stringent emission norms and rising environmental concerns. As electric powertrains are replacing gasoline and diesel engines, the demand for DC-DC converters to manage various voltage levels is growing significantly. DC-DC converters play a vital role in electric drivetrains by stepping up or down the voltage from the high voltage battery to lower voltages required by auxiliary loads and vice versa during regenerative braking. The sales of EVs and HEVs are projected to increase substantially over the next decade, boosting the automotive DC-DC converter market.
High product costs pose a challenge
DC-DC converters used in automotive applications need to be extremely robust and efficient while occupying minimal space. However, meeting such stringent design prerequisites makes these components expensive to manufacture. Additionally, the materials and technologies used in making DC-DC converters like gallium nitride and silicon carbide add to the production costs. The high initial costs discourage many small automakers, especially from cost-sensitive markets, from promptly adopting the latest vehicle electrification technologies. This acts as a restraint on the mass-scale deployment of advanced electric powertrains and subsequent demand for automotive DC-DC converters.
Dependence on imported raw materials is a concern
Most of the raw materials used in DC-DC converters like rare-earth metals, copper, aluminum and semiconductors are imported by automotive component manufacturers. This makes the industry vulnerable to supply chain disruptions and price volatility of imported commodities. For instance, the ongoing trade conflicts have led to increased tariffs on some key imported materials from China. Similarly, the pandemic-related lockdowns disrupted international freight movements. The reliance on imported resources influences production costs and competitive pricing of DC-DC converters. Any shortage of raw materials poses a threat to just-in-time manufacturing cycles of automakers.
Growing EV charging infrastructure presents opportunities
Governments across major automotive markets are undertaking initiatives to develop a widespread public EV charging network. For EV drivers to feel confident about long-distance travel, fast and ultra-fast charging stations need to be readily accessible. This stimulates the deployment of bi-directional, multi-port DC-DC converters in commercial and residential EV charging equipment. Power converter manufacturers can capitalize on the worldwide spending on EV charging infrastructure build-out. The market is also witnessing synergies through partnerships between automotive OEMs and electric vehicle supply equipment (EVSE) providers. Joint ventures ensure standardized and interoperable components suiting diverse vehicle platforms.
Advancing DC-DC converter technologies offer lucrative prospects
Wide bandgap semiconductors like silicon carbide and gallium nitride are revolutionizing DC-DC converter design with their high-speed switching capabilities. Compared to silicon, these next-generation materials facilitate compact modules with greater power densities at reduced costs. Automakers and their suppliers boost R&D to harness the benefits of wide bandgap transistors. Miniaturization trends also progressively integrate power converters directly into electric motor drives, on-board chargers and battery packs. The evolving product architectures based on new technologies provide immense opportunities for DC-DC converter manufacturers to offer innovative solutions aligned with future vehicle propulsion needs.
Link: https://www.coherentmarketinsights.com/market-insight/automotive-dc-dc-converter-market-4461
Key Developments:
- In May 2023, RECOM has successfully added Midoriya Electric, a specialist in AC/DC and DC/DC converters, switching regulators, and LED drivers, to its distribution network.
- In August 2022, RECOM has launched a new range of DC-DC converters tailored for e-mobility applications.
- In May 2022, Eaton Corporation has introduced 48-volt DC-DC converters designed for diesel-powered commercial vehicle systems.
- In March 2021, Infineon Technologies AG (Infineon) has introduced the 650 V CoolSiC Hybrid Discrete for automotive applications. This device combines a 50 A TRENCHSTOP 5 fast-switching IGBT with a CoolSiC Schottky diode, delivering a cost-effective performance enhancement and high reliability. It is ideally suited for fast-switching automotive applications such as onboard chargers (OBC), power factor correction (PFC), and DC-DC and DC-AC converters.
Key Player:
Bellnix Co., Ltd., BORGWARNER INC. (DELPHI TECHNOLOGIES, PLC), Calex Manufacturing Co., Inc., (Murata Power Solutions, Inc.), Chang Sung Corporation, Continental AG, Delta Electronics, Inc., Deutronic Electronic Technology (Shenzhen) Co., Ltd., EGTRONICS Co., Ltd., FLEX LTD., Hangzhou TIECHENG Information Technology Co., Ltd, HELLA GmbH & Co. KGaA, HIVRON Inc., Inmotion Technologies AB, LG INNOTEK, MORNSUN Guangzhou Science & Technology Co., Ltd , and Rhyl Co., Ltd, and Ricoh Company, Ltd.
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