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Among different solutions to increase flexibility of electricity system, grid interactive water heaters (GIWHs) can make a large contribution, against a relatively low cost. They can advantageously be used within a single building, a local energy community or within an entire distribution grid, thanks to the very fast response time, low cost, highly distributed resource and widely demonstrated technology. In the near future, the flexibility potential of GIWHs will certainly increase, thanks to the advantageous flexibility programs that have been implementing in some area of the world, with the aim of coordinating several million of GIWHs with the electricity network. In this study, we assess the potential value that the flexibility of GIWHs can bring to the electrical power system, compared to the other sources of flexibility, focusing on the US market, specifically California, Oregon and Washington. The GIWH technology and the main GIWH control strategies are described, highlighting the flexibility behaviour of GIWHs. An overview of the GIWH pilot programs currently developed in the US market is provided, and current available technologies are shown, both for new and for retrofit GIWH installations. Most of the papers discussed in the literature focus on different aspects of demand response (DR), but very few of them focus specifically on GIWHs, and none of them offers a review of GIWHs in the US context. The present work thus constitutes a research gap, and could help stakeholders to assess the US GIWH market evolution, identifying the potential value of GIWH flexibility. • Evaluating the potential value of GIWH flexibility in the electrical power system. • Describing control strategies and flexibility behaviour of GIWH. • Discussing the US regulatory context. • Discussing GIWH technologies for new and retrofit installations. • Analyzing GIWH pilot programs developed in the US. [ABSTRACT FROM AUTHOR]