This paper presents a high-efficient and cost effective three-phase AC/DC-DC/AC power conversion system with a single two-switch type active Auxiliary Resonant DC Link (ARDCL) snubber circuit, which can minimize the total power dissipation. The active ARDCL snubber circuit is proposed in this paper and its unique features are described. Its operation principle in steady-state is discussed for the three phase AC/DC-DC/AC converter, which is composed of PWM rectifier as power factor correction (PFC) converter, sinewave PWM inverter. In the presented power converter system not only three-phase AC/DC PWM rectifier but also three-phase DC/AC inverter can achieve the stable ZVS commutation for all the power semiconductor devices. It is proved that the proposed three-phase AC/DC-DC/AC converter system is more effective and acceptable than the previous from the cost viewpoint and high efficient consideration. In addition, the proposed two-switch type active auxiliary ARDCL snubber circuit can reduce the peak value of the resonant inductor injection current in order to maximize total system actual efficiency by using the improved DSP based control scheme. Moreover the proposed active auxiliary two-switch ARDCL snubber circuit has the merit so that there is no need to use any sensing devices to detect the voltage and current in the ARDCL sunbber circuit for realizing soft-switching operation. This three-phase AC/DC-DC/AC converter system developed for UPS can achieve the 1.8% higher efficiency and 20dB lower conduction noise than those of the conventional three-phase hard-switching PWM AC/DC-DC/AC converter system. It is proved that actual efficiency of the proposed three-phase AC/DC-DC/AC converter system operating under a condition of soft switching is 88.7% under 10kw output power.