The interaction between load and grid has been one of important functions in the smart grid. Conventional converter control methods cannot well realize this interaction to support power grid when the frequency and voltage fluctuations occur. In this paper, the virtual synchronous machine technology is applied to three-phase PWM rectifier to realize the reasonable regulation of active power and reactive power. Combining with droop control, the proposed method can realize friendly interaction with power grid at the load side. The mathematical model of the virtual synchronous machine applied to three-phase PWM rectifiers is established. The mechanism and control block of the droop control with virtual synchronous machine technique are proposed and developed accordingly. Simulation and experimental results verify the effectiveness of the proposed method.