Power Semiconductor Market Global Report 2026

The power semiconductor market size has grown strongly in recent years. It will grow from $51.05 billion in 2025 to $54.34 billion in 2026 at a compound annual growth rate (CAGR) of 6.4%. The growth in the historic period can be attributed to the increasing demand for efficient power conversion systems, the growing adoption of semiconductor devices in electronic applications, the rising expansion of consumer electronics manufacturing, the increasing use of power semiconductors in industrial equipment, and the growing electrification of automotive systems.

The power semiconductor market size is expected to see strong growth in the next few years. It will grow to $68.67 billion in 2030 at a compound annual growth rate (CAGR) of 6.0%. The growth in the forecast period can be attributed to rising demand for electric vehicle power electronics, increasing adoption of SiC- and GaN-based power semiconductor devices, growing deployment of renewable energy systems, expanding demand for high-efficiency power management solutions, and rising adoption of intelligent power control systems. Major trends in the forecast period include growing adoption of wide-bandgap semiconductor technologies, increasing demand for high-efficiency power conversion devices, rising integration of advanced power management solutions, expansion of compact and high-power-density semiconductor designs, and increasing development of power devices with enhanced thermal management.

The growing demand for electric vehicles (EVs) is expected to propel the growth of the power semiconductor market going forward. Electric vehicles are automobiles that operate using electric motors powered by energy stored in rechargeable batteries rather than conventional internal combustion engines. The rising demand for EVs is driven by stringent emission regulations, as governments worldwide are implementing stricter carbon reduction targets to address climate change and promote sustainable transportation. Power semiconductors support electric vehicles by efficiently managing, controlling, and converting high-voltage power within the drivetrain, thereby improving energy efficiency, increasing battery range, and enhancing overall vehicle performance. For instance, in January 2025, according to Cox Automotive, a US-based system software company, full-year electric vehicle sales reached 1.3 million units in 2024, representing a 7.3% increase compared with the revised figures for 2023. Therefore, the increasing demand for electric vehicles (EVs) is supporting the growth of the power semiconductor market.

Companies operating in the power semiconductor market are focusing on developing innovative solutions, such as wide bandgap silicon carbide devices, to improve energy efficiency, accelerate switching speeds, and enhance performance in high-voltage and high-temperature applications such as EVs and renewable energy systems. Wide bandgap silicon carbide (SiC) devices are power semiconductor components manufactured from silicon carbide material that can function at higher voltages, temperatures, and switching speeds with greater efficiency compared with conventional silicon-based devices. In October 2024, NoMIS Power Corporation, a US-based power electronics company, launched its first 1200V SiC MOSFETs targeting high-voltage power conversion applications. The devices are designed to provide rugged and reliable performance using advanced SiC material engineering and innovative device architecture to optimize switching efficiency and durability. Additionally, these MOSFETs are intended for applications in electric vehicle onboard chargers, fast-charging infrastructure, motor drives, solar photovoltaic inverters, energy storage systems, and solid-state power control applications, supporting the transition toward more efficient and electrified energy systems.

In June 2024, Renesas Electronics Corporation, a Japan-based semiconductor manufacturing company, acquired Transphorm Inc. for an undisclosed amount. Through this acquisition, Renesas Electronics Corporation aims to strengthen its gallium nitride (GaN) power semiconductor portfolio, broaden its wide-bandgap semiconductor capabilities, improve power efficiency solutions for automotive and industrial applications, and accelerate the advancement of next-generation power conversion technologies. Transphorm Inc. is a US-based semiconductor company that designs and manufactures GaN power semiconductors for high-efficiency power conversion across electric vehicle, renewable energy, industrial, and data centre applications.

Major companies operating in the power semiconductor market are Infineon Technologies AG, Texas Instruments Incorporated, STMicroelectronics N.V., onsemi, Analog Devices Inc., Renesas Electronics Corporation, Mitsubishi Electric Corporation, Toshiba Electronic Devices And Storage Corporation, Fuji Electric Co. Ltd., NXP Semiconductors N.V., ROHM Co. Ltd., Microchip Technology Incorporated, Vishay Intertechnology Inc., Monolithic Power Systems Inc., Semikron Danfoss Elektronik GmbH & Co. KG, Sanken Electric Co. Ltd., CRRC Times Electric Co. Ltd., Littelfuse Inc., Shindengen Electric Manufacturing Co. Ltd., Wolfspeed Inc., Diodes Incorporated, Power Integrations Inc., Magnachip Semiconductor Corporation, Navitas Semiconductor Corporation, NoMIS Power Corporation.

Asia-Pacific was the dominating region in the power semiconductor market in 2025. Asia-Pacific is expected to be the rapidly growing region in the forecast period. The regions covered in the power semiconductor market report are Asia-Pacific, South East Asia, Western Europe, Eastern Europe, North America, South America, Middle East, Africa.

The countries covered in the power semiconductor market report are Australia, Brazil, China, France, Germany, India, Indonesia, Japan, Taiwan, Russia, South Korea, UK, USA, Canada, Italy, Spain.

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