In this paper, the cost-effective design of output reactor which is USCD to suppress the over-voltage at the m motor terminal in the Adjustable Speed Drives(ASD) application is proposed. In the elevator drive svstem. the R IXlwer cable length is relatively shorter than other ASD applications and then the over voltage at the motor terminal depends on the frequency characteristics of the output reactor at the over voltage operating frequency. The over-voltage suppression mechanism of output reactor in ASD application is analyzed and the dominant parameters of output reactor for the over-voltage supression are extracted. Using these as the design values and considering the high frequency characteristics of iron core in the reactor. a new c cost-effective structure of output reactor is proposed. Experimental results of the conventional reactor and the p proposed reactor with a l5kW induction motor are given to verify the propoSLD scheme.