Abstract: Output power sharing and circulating current suppression have been the main subjects for parallel inverters. The equivalent output impedance of the inverters is designed to be resistive using dynamic virtual complex impedance, which can improve applicability of selected PV-QF droop control and decouple the active power and reactive power. The dynamic virtual complex impedance method is proposed to further suppress the circulating current and improve performance of the power sharing and dynamic response after analyzing the generation and influencing factors of the circulating current. The feasibility of the proposed method is verified by the simulation.