Active Harmonic Filter Market Size, Share and Trends 2025 to 2034

Several leading players in the active harmonic filter market are expanding their geographical presence through strategic initiatives such as acquisitions, collaborations, and new service launches. Companies are increasingly focusing on expanding their reach to meet global demand. This expansion is also supported by rising investment in utility upgrades, infrastructure modernization, and cross-border trade in advanced power quality technologies. As markets in the Asia Pacific, the Middle East, and Latin America accelerate industrial development, suppliers are strengthening distribution channels and establishing local support networks to capture new growth opportunities.

Several strategic investors are actively engaged in the market, thereby accelerating market growth during the forecast period. For instance, in November 2023, Hitachi Energy, a global technology leader that is advancing a sustainable energy future for all, announced that it is expanding its production in Smedjebacken and Ludvika, in the region of Dalarna in Sweden, as part of its plan to employ more than 2,000 additional people in the next two years, as previously announced. The expansion entails a new 3,300-square-meter factory in Smedjebacken and a 1,400-square-meter expansion in Ludvika that will increase production of advanced power electronic valves for use in high-voltage direct current (HVDC) transmission and power quality applications.

The power electronics segment dominates the active harmonic filter market, holding a majority share. The segments growth is driven by rising demand for energy efficiency, therapid adoption of electric vehicles, the incorporation of renewable energy sources, rapid advancements in semiconductormaterials, industrial automation, and IoT integration.

The control system / DSP controllers segment is the fastest-growing in the active harmonic filter market. DSPs are microprocessors designed to perform complex calculations on real-time signals at high speed, such as current and voltage waveforms. The performance of an active harmonic filter is mostly dependent on its control algorithms. The rise of AI, smart grids, and IoT in power systems has significantly increased demand for intelligent control solutions. DSPs enable the integration of advanced algorithms for diagnostics, monitoring, and remote-control capabilities.

The passive components segment is anticipated to expand rapidly. Passive components, such as reactors and capacitors, represent a crucial and reliable segment of the active harmonic filter market. Passive components are crucial, long-lasting, and do not require complex control systems, offering a reliable solution in industrial settings. They provide stable performance under heavy load conditions and are often preferred for environments that prioritize low maintenance and cost-effective harmonic mitigation.

The floor-standing/cabinet-type segment dominates the active harmonic filter market. Floor-standing units are specifically designed to handle the significant power loads and harmonic distortions generated by heavy industrial machinery and other high-power equipment. In large facilities, installing a high-capacity and floor-standing filter at a central point is often more efficient for managing cumulative harmonics across the entire network.

On the other hand, the rack-mounted segment is the fastest-growing in the active harmonic filter market. Rack-mounted systems help save valuable floor space. The segments growth is supported by the rising demand for modular, compact, and easily integrated power quality solutions, especially in space-constrained environments such as telecom facilities, data centers, and modern commercial buildings.

The wall-mounted segment is anticipated to grow rapidly. The segment growth is primarily driven by increasing demand for space-saving, compact, and easily installable solutions. In facilities where floor space is valuable or limited, wall-mounted units offer an efficient solution by freeing up floor space and maximizing vertical space.

The harmonic suppression segment is dominating the active harmonic filter industry, owing to the growing prevalence of nonlinear loads and the increasing demand for improved energy efficiency. Active harmonic filters are essential for harmonic suppression for numerous applications, mainly where non-linear loads are present and clean power is crucial.

The renewable energy integration segment is a significant, rapidly growing application area for the active harmonic filter market. The segments growth is primarily driven by the widespread adoption of renewable energy sources such as solar and wind. In wind farms, STATCOMs are being upgraded to act as active harmonic filters to mitigate voltage distortion and ensure compliance with grid standards. Active harmonic filters are widely used in large-scale solar installations to mitigate current harmonics and improve voltage stability.

The voltage stabilization segment is expected to grow rapidly, driven by rising reliance on electronics in the commercial and industrial sectors. Active harmonic filters contribute to voltage stabilization by improving overall power quality and ensuring a distortion-free voltage waveform for sensitive equipment. These filters effectively mitigate voltage disturbances by filtering current harmonics, thereby smoothing the voltage waveform and ensuring a stable power supply.

North America is the fastest-growing region in the active harmonic filter market. The regions growth is attributed to rapid industrialization, rising demand for improved power quality, increased investment in renewable energy sources, and the expansion of advanced manufacturing and industrial automation.

Moreover, the increasing focus on energy efficiency and the growing adoption of advanced electrical systems and smart technologies in sectors like data centers are anticipated to create substantial demand for harmonic mitigation solutions. Such a combination of factors is expected to drive the active harmonic filter market during the forecast period.

The country is experiencing significant market growth, supported by the established presence of numerous data centers, the expansion of renewable energy sources, the increasing adoption of modern technologies, and the rising need for stable power to support sensitive electronic equipment. The expansion of advanced manufacturing and industrial automation processes, which employ variable-frequency drives and nonlinear loads, necessitates greater use of active harmonic filters to protect sensitive equipment.

The demand is further strengthened by large-scale investments in power infrastructure upgrades aimed at improving reliability across commercial and industrial facilities. As more sectors adopt digital tools and energy-intensive machinery, maintaining a clean, stable electricity supply becomes essential to prevent disruptions and equipment wear.

The Europe region holds a substantial market share in the active harmonic filter market. The European region strongly focuses on sustainable energy management and ongoing industrial expansion. The growth is largely driven by stringent power quality regulations, increased focus on energy efficiency, rising demand from data centers, growing demand for improved power quality, and the rising need for sensitive equipment protection across various industrial and commercial sectors.

Germany Active Harmonic Filter Market Analysis

The German active harmonic filter market is experiencing significant growth, driven primarily by strict power quality regulations, a strong focus on industrial automation, increasing demand for enhanced power quality, and the increasing presence of data centers. The country government is increasingly enforcing power quality standards to ensure grid stability and energy efficiency.

In July 2025, Hitachi Energy, a global leader in electrification, announced a new deal worth up to $700 million USD with E.ON to deliver transformers across the German energy grid to bolster energy security, resilience, and affordability in the country. As part of the long-term agreement, Hitachi Energy will leverage its footprint, investments, and partnerships to secure capacity and lead industry efforts to address the global transformer shortage, a critical component of power grid infrastructure.

Supplies power electronics, drives, and harmonic mitigation solutions used across HVAC, industrial automation, and renewable energy sectors. Danfoss focuses on improving power stability, energy efficiency, and system performance in demanding environments.

Specializes in electromagnetic compatibility (EMC) and power quality solutions, including harmonic filters and active compensation systems. The company helps industrial customers achieve grid compliance and maintain stable electrical performance.

A leading global electronics manufacturer offering reactors, filters, and passive components for harmonic mitigation and power conditioning. TDK serves a wide range of sectors, including renewable energy, industrial drives, and data centers.

Provides power management technologies such as harmonic correction systems, active filters, and energy-efficient drives. Eaton supports commercial and industrial customers in improving voltage stability and meeting regulatory standards.

A global technology provider offering advanced harmonic filters, grid stabilization solutions, and power electronics for industrial and utility applications. ABB focuses on automation, renewable integration, and power reliability.

Delivers power quality and energy management solutions, including active harmonic filters and power factor correction equipment. Schneider supports digitalized and efficient infrastructure across commercial, industrial, and utility sectors.

Offers a comprehensive portfolio of power quality and automation products, such as filtering systems and smart grid technologies. Siemens helps improve system reliability, reduce harmonics, and stabilize high-load electrical networks.

A specialist in active harmonic filtering technology used in industrial plants, renewable energy installations, and commercial buildings. Comsys solutions enhance power quality and reduce disturbances in sensitive electrical environments.

Manufactures line reactors, harmonic filters, and power quality components designed to improve reliability in motor-drive and industrial applications. MTE supports OEMs, utilities, and manufacturing facilities worldwide.

Provides harmonic filters, power factor correction systems, and voltage stabilization equipment for industrial and commercial uses. Baron Power focuses on efficient, cost-effective power conditioning technologies.