According to the problems about zero-sequence circulating current existed in parallel T-type three-level power converter systems, the equivalent model of zero-sequence circulating current was proposed in this paper. The zero-sequence circulating current was divided into three types according to different exciting sources, namely, conduction zero-sequence circulating current, switching zero-sequence circulating current, hybrid zero-sequence circulating current. Firstly, a scheme sharing neutral buses was proposed to reduce the conduction zero-sequence circulating current. Secondly, a parallel scheme based on improved LCL filter was proposed to reduce high frequency component of switching and hybrid zero-sequence circulating current. And a zero-sequence modulation control method based on proportion resonant controller was used to reduce low frequency component of switching and hybrid zero-sequence circulating current. Finally, parallel T-type three-level power converter systems rated 500 kW were build. Simulation results verify the correctness of reduction methods of zero-sequence circulating current.