Power Factor

Power Factor (PF) is an important parameter in AC power systems that measures the efficiency of electrical equipment. It is defined as the ratio of active power (kW) to apparent power (kVA), with a value between 0 and 1. In foreign trade, especially in the export of electromechanical products such as motors, transformers, generators, and UPS, power factor is often written into contracts or technical annexes as a key performance indicator. Customers usually require the power factor to be no less than a certain value (e.g., 0.8, 0.9), because a low power factor leads to reduced grid efficiency, increased line losses, and possible electricity bill penalties. Note: Different countries or customers may have different testing standards and conditions for power factor (such as load rate), which must be clarified in the contract; power factor is different from efficiency—efficiency is the ratio of active power output to active power input, while power factor reflects the utilization degree of apparent power. In addition, for equipment containing harmonics, it is necessary to distinguish between displacement power factor and total power factor. Foreign trade practitioners should accurately understand this term to avoid returns or claims due to non-compliant technical parameters.