The market is booming, but the real competition in high-end technology is just beginning.
“The global automotive boost inductor market is projected to reach 66.25 billion RMB by 2031, with a CAGR of 6.2% (2025-2031),” according to the latest QYResearch report.
As the global new energy vehicle (NEV) market continues to expand, inductors—a fundamental electronic component—are quietly becoming the “unsung heroes” of the industry.
Market Experiences Explosive Growth
The rapid development of the NEV industry is driving rapid expansion in the upstream electronic components market. QYResearch’s latest study indicates a steady growth trajectory for the global automotive boost inductor market.
Another report from LP Information shows that the global market for automotive metal inductors reached approximately $1.81 billion in 2024 and is expected to grow to $2.644 billion by 2031, with a CAGR of 5.7% from 2025 to 2031.
The Chinese market is particularly noteworthy. Zhang Yongwei, Vice Chairman and Secretary-General of the China EV100, revealed that China’s NEV sales, including both domestic demand and exports, are expected to reach about 16.5 million units in 2025, representing a growth rate of approximately 30% and a penetration rate of around 55%.
This signifies that NEVs have transitioned from being an “alternative” to a mainstream choice in the automotive market, leading to a surge in demand for core components like inductors.
Inductor’s Role Undergoes Key Transformation
In traditional vehicles, inductors were primarily used in basic functions like infotainment systems. In NEVs, inductors have become core components of the powertrain.
Power inductors are crucial for managing power delivery and converting voltage levels in various applications, including motor drives, battery management systems (BMS), and power converters. They help improve energy conversion efficiency and ensure stable operation by smoothing electrical signals.
Specifically, the number of inductors used per NEV has exceeded 120 units, covering key modules like BMS, onboard chargers (OBC), and motor drives. For instance, BMS requires current sensing inductors with an accuracy of ±0.5%, while OBC relies on metal powder core inductors to achieve conversion efficiencies up to 98%.
Clear Direction for Technological Evolution
As performance requirements for NEVs increase, inductor technology is also advancing rapidly, primarily in three directions:
Higher Frequencies: The rapid development of 5G communication and IoT is increasing the demand for high-frequency inductor performance. A report from Zhongyan Puhua Research predicts the high-frequency inductor market will exceed 75 billion RMB by 2030.
Miniaturization: The trend towards smaller, thinner, and lighter electronic devices demands smaller inductor sizes. By 2030, chip inductors are expected to capture over 80% market share.
Higher Performance: The harsh operating environments in NEVs require inductors with greater temperature tolerance and reliability. For example, eVTOL propulsion motors in the low-altitude economy require high-temperature inductors capable of operating at 200°C.
Shifting Competitive Landscape
Globally, major players in the automotive boost inductor market include Panasonic, Bourns, Analog Devices, TDK Electronics, and Hitachi.
Chinese domestic manufacturers are also rising rapidly, such as Shanghai Yingfeng Electronics, Shijiazhuang Tonhe Electronics, Shenzhen Sunlord Electronics, and Codaca Electronics.
China’s inductor industry has developed a multi-dimensional competitive landscape focusing on “material innovation — process breakthroughs — application deployment.” Domestic companies are achieving import substitution in mid-to-low-end products through technological advancements, significantly increasing the localization rate.
For example, Sunlord Electronics focuses on automotive electronics and communication equipment, competing through differentiated products like ultra-small RF inductors. Microgate Technology specializes in 5G RF and NEV sectors, leading the mainland Chinese market in molded inductor shipments.
Future Opportunities and Challenges
Looking ahead, further advancements in NEV technology will bring both opportunities and challenges for the inductor industry.
Next-Generation Battery Technology: New battery technologies like solid-state batteries are accelerating towards mass production, with small-scale automotive applications expected around 2027-2028. This demands higher performance from inductors.
Intelligence Demands: As vehicle intelligence accelerates, the penetration rate of L2+ ADAS in passenger vehicles is expected to approach 65% by 2025. These intelligent systems require large quantities of high-performance inductors for stable operation.
AI Integration: 2025 is a critical year for AI integration in vehicles, bringing transformative changes. Combining AI with inductor design is emerging as a new trend, using machine learning to optimize winding structures, improve inductance (L) and quality factor (Q), and shorten R&D cycles.
The 6.2% CAGR is just the beginning. As NEVs become more intelligent and connected, the application scenarios for inductors will further expand.
Companies that have invested early in high-frequency, miniaturization, and high-performance technologies will gain a leading edge in this industrial transformation.
The path forward is clear: by closely following technology trends and deeply cultivating niche markets, inductor companies can ride the wave of the NEV revolution.