An electric drive system includes a permanent magnet machine having a rotor and a stator and a power converter electrically coupled to the permanent magnet machine and configured to convert a DC link voltage to an AC output voltage to drive the permanent magnet machine. The power converter includes a plurality of silicon carbide switching devices having a voltage rating that exceeds a peak line-to-line back electromotive force of the permanent magnet machine at a maximum speed of the permanent magnet machine.