Harmonic Filter Market - Size, Share, Industry Trends, and Forecasts (2025-2032)

By Product Type:

Based on product type, the market is segmented into active, passive, and hybrid.

Trends in the product type:

• The advancements in power electronics, digital signal processing, and control algorithms are resulting in more efficient and economical solutions for harmonic solutions.
• An ongoing increase in the need for power quality, a heightened reliance on equipment, the growing automation of industrial processes, and data-driven decision-making facilitated by the use of sensitive electronic devices are anticipated to drive significant growth in the global market throughout the forecast period.

The passive segment accounted for the largest revenue share of 56.12% in the year 2024.

• The segment growth can be attributed by the widespread use of uninterruptible power supply (UPS) devices, variable frequency drives (VFDs) for motors, transformers, rectifiers, and other related technologies.
• The affordability offered by passive harmonic mitigating solutions, particularly for fixed-frequency harmonic mitigation, coupled with their increasing application in medium to high voltage scenarios, is anticipated to further boost need in this segment.
• In the equipment framework of the IT sector, front-end power supply units and VFDs are recognized for drawing harmonic currents, necessitating the use of passive filters to keep current and voltage distortion within safer thresholds.
• Manufacturers prefer passive solutions because they entail lower initial expenses and require little maintenance. Sectors such as manufacturing, oil and gas, and commercial real estate play a major role in driving the need for such type of solutions, as they emphasize the importance of stable power quality to prevent equipment damage and improve operational efficiency.
• In May 2020, Schaffner introduced its latest ecosine max passive harmonic mitigation solution series. These innovative filters are crafted to effectively reduce excessive harmonics in highly demanding applications. The new ecosine max filter series, including models FN3472/73, FN3480/81, FN3470/71, and FN3482/83, is available for both 400 VAC and 480 VAC, accommodating 50 Hz and 60 Hz networks, and is built on the company's ecosine platform. This series serves as the essential passive power quality solution for higher power ranges (250KW-500KW) found in challenging drive applications.
• Thus, factors and developments, such as growing adoption of uninterruptible power supply (UPS) devices would further drive the future of harmonic filter market growth.

The active segment is anticipated to register the fastest CAGR during the forecast period.

• The active segment is projected to expand significantly in the upcoming years, driven by the rising intricacy of electrical systems and the need for flexible solutions.
• Active filters offer instantaneous harmonic compensation, adjusting dynamically to fluctuating load conditions while adeptly handling a broader spectrum of harmonic frequencies. The increasing incorporation of cutting-edge technologies, including automation and renewable energy sources, fuels the need for these smart systems.
• Moreover, their capacity to lower overall energy expenses by reducing losses places them in a strong position within markets that prioritize sustainability and efficiency.
• For instance, in September 2023, Quality Energy, a manufacturer of power quality and energy efficiency solutions based in Australia, has unveiled a new series of active filters. These filters feature high input impedance and remarkably low output impedance. The filters exhibit a high input impedance coupled with an extremely low output impedance.
• These factors and analysis would further drive the harmonic filter market demand during the forecast period.

By Phase:

Based on phase, the market is segmented into single phase and three phase.

Trends in the phase:

• Three-phase filters are the most utilized, primarily in industrial and commercial sectors, owing to their effectiveness in handling the power produced by three-phase electrical systems. They play a vital role in large-scale operations, including manufacturing facilities and power grids, to facilitate seamless and efficient power distribution.
• Further, single-phase filters remain significant for applications with lower power demands, such as residential neighbourhoods or smaller commercial environments.

The three phase segment accounted for the largest revenue share in the year 2024.

• In 2024, the three-phase segment dominated the market, largely owing to its widespread application in industrial and commercial sectors.
• Three-phase systems offer enhanced power distribution efficiency and are particularly suited for powering large motors and heavy equipment. Sectors like manufacturing, mining, and energy generation depend on these systems to ensure operational effectiveness and reduce downtime.
• The dependable nature and stability of three-phase setups, along with their capacity to manage greater loads without considerable voltage loss, render them the favoured option for extensive operations.
• Thus, factors and developments, such as growing dependency on power quality and electronic devices for attaining operational efficiencies, and advancements in filter technology are driving the harmonic filter market growth.

The single phase segment is anticipated to register the fastest CAGR during the forecast period.

• The single-phase segment is expected to expand swiftly throughout the forecast period, fuelled by its growing use in residential and light commercial settings, where efficient power management is essential for smaller loads.
• The rise of smart homes and IoT devices is boosting the requirement for single-phase solutions, as these systems easily blend into compact infrastructures.
• Additionally, the continuing transition to renewable energy sources, including solar panels and wind turbines, typically supports single-phase setups, thereby increasing their attractiveness in the market.
• These factors and analysis in the single phase segment would further create the need for harmonic mitigating solutions during the forecast period.

By Voltage:

Based on voltage, the market is segmented into low, medium, and high.

Trends in the voltage:

• The growing need for superior power quality, fuelled by the sensitivity of contemporary electronic devices, is compelling sectors such as data centers, healthcare, and advanced manufacturing to implement filters for dependable operations.
• Moreover, the swift rise of renewable energy sources, especially solar and wind, which rely on power electronic converters, is generating a significant need for harmonic mitigation challenges to tackle challenges related to grid integration.

The low segment accounted for the largest revenue share in the year 2024 and it is expected to register the highest CAGR during the forecast period.

• Data centers, manufacturing facilities, commercial structures, and industrial equipment are key sectors where low-voltage filters are utilized to safeguard delicate electronics from voltage irregularities induced by harmonics.
• In both commercial and residential settings, low-voltage filters play a crucial role in maintaining the stability of electrical systems and protecting equipment from damage. As the use of renewable energy sources increases and the number of electronic devices grows, the need for low-voltage filters is projected to stay strong.
• These factors and analysis in the low voltage segment would further drive the harmonic filter market trends during the forecast period.

By Application:

Based on application, the market is segmented into data centers, ship propulsion, wind turbines, tunnel ventilation, motor drives, factory automation equipment, HVAC installations, offices and commercial buildings, medical equipment, water and wastewater treatment facilities, fan and pump applications, and others.

Trends in the application:

• The commercial sector includes a diverse array of establishments like office complexes, retail outlets, healthcare facilities, and schools. As reliance on electronic devices and delicate machinery continues to grow in these settings, the need for harmonic mitigation solutions is increasing. These filters play a crucial role in reducing harmonic distortions produced by nonlinear loads, thereby ensuring the efficient functioning of equipment and safeguarding electrical systems from potential damage.
• Within the industrial realm, harmonic distortion presents a considerable obstacle, primarily stemming from heavy machinery, motor drives, and automated systems. Industrial operations frequently rely on nonlinear loads, which can generate harmonics within the electrical network, causing voltage variations and potential equipment failures. Consequently, industries are progressively allocating resources toward harmonic mitigation strategies to ensure operational efficiency and adhere to regulatory standards.

The data centers segment accounted for the largest revenue in the year 2024 and it is expected to register the highest CAGR during the forecast period.

• Harmonic mitigating solutions are increasingly being incorporated into data center monitoring and control systems, enabling real-time analysis and optimization.
• Operators of data centers are focusing on harmonic mitigation solutions that not only enhance power quality but also lead to significant energy savings.
• By efficiently addressing harmonics, they play a crucial role in preserving the integrity of power systems, ensuring dependable and effective operations. Their function goes beyond merely improving power quality; they also aid in energy conservation by optimizing the performance of electrical equipment. As data centers embrace more advanced technologies, the need for harmonic mitigation solutions is anticipated to rise, fuelled by the necessity for improved power quality and operational efficiency.
• For instance, HPS Centurion passive filters are designed for data centers to mitigate harmonic currents created by non-linear loads. It improves power quality by concurrently reducing harmonics and upgrading true power factor.
• Thus, growing advanced monitoring control and integration with power management systems in data centers, would further drive the global market during the forecast period.

By End Use:

Based on the end use, the market is segmented into manufacturing, energy & utilities, metal & mining, healthcare, paper & pulp, construction, marine, IT & telecom, and others.

Trends in the end use:

• The increasing automation of industrial processes and the digitalization of various sectors are driving the need for harmonic mitigation solutions.
• The growing adoption of renewable energy sources is creating need harmonic mitigation solutions in various end use industries.

The manufacturing segment accounted for the largest revenue in the year 2024 and it is expected to register the highest CAGR during the forecast period.

• Heavy equipment such as stamping presses, rolling mills, and extruders frequently utilize rectifiers that generate harmonics. To alleviate these harmonics and avoid power quality challenges, these filters are employed in the large manufacturing units.
• For a comprehensive solution to harmonic challenges throughout the manufacturing plant, harmonic filters can be positioned at the main power distribution panel, enhancing the power supply for all linked devices.
• These filters are becoming increasingly favoured due to their capacity to dynamically react to fluctuating harmonic levels by actively injecting harmonic currents to negate the distortions, thus providing improved adaptability to different loads.
• These developments are anticipated to further drive the need for harmonic mitigation solutions in the global market during the forecast period.