HVDC Transmission Market Forecasts to 2030 - Global Analysis By Type (Overhead, Subsea, Mixed, Underground and Other Types), Component, Project, Technology, Application, End User and By Geography

According to Stratistics MRC, the Global HVDC Transmission Market is accounted for $13.7 billion in 2024 and is expected to reach $25.9 billion by 2030 growing at a CAGR of 11.2% during the forecast period. In order to minimize energy losses and enable asynchronous power grid connections, high voltage direct current (HVDC) transmission is a technique that effectively transports electricity across vast distances. For distribution, it converts AC to DC and back again via converters. Because HVDC requires less conductors and produces less electromagnetic interference, it is advantageous for cables that are submerged and underwater. Power flow is regulated and renewable energy sources are integrated to stabilize system operations.

According to Global Wind Energy Council, the global total offshore wind accounted for 64 GW, with an annual growth rate of 14% compared to the previous year. Thus, with the increasing power generation from offshore wind, the use of the HVDC submarine power transmission system is expected to increase.

Market Dynamics:

Driver:

Increasing deployment of renewable energy

In order to minimize energy loss, HVDC technology is perfect for long-distance transmission of electricity from remote renewable sources like offshore wind farms and solar installations to urban centers. Through improved voltage management and stability, it helps to maintain grid stability and makes the seamless integration of fluctuating renewable energy sources possible. Because intermittent renewable energy generation calls for sophisticated grid management systems, this stability is essential as nations move toward cleaner energy sources.

Restraint:

Complex installation processes

Potential investors and utilities may be discouraged from implementing HVDC systems due to the substantial financial investment required for specialist equipment. Furthermore, lengthier project schedules brought on by the complexity of HVDC installations can result in higher project costs and uncertainties. Investment in HVDC developments may be further discouraged by these issues. As a result, when thinking about implementing HVDC technology, these variables must be taken into account.

Opportunity:

Growing need for interconnecting fragmented power grids

The power grid industry is greatly impacted by High Voltage Direct Current (HVDC) technology, which promotes the deployment of renewable energy sources, facilitates interconnections, and improves grid connectivity. By facilitating effective power transfer between areas with differing frequencies, HVDC technology raises system efficiency and dependability. HVDC systems offer a workable way to transfer electricity from distant generation sites to metropolitan areas, helping fragmented grids achieve sustainability goals and cut carbon emissions as they attempt to integrate renewable energy sources.

Threat:

High initial costs

Utilities may be discouraged from using HVDC solutions since HVDC systems are typically more expensive than conventional AC systems, particularly for shorter distances. Exorbitant upfront costs raise financial risk as well since they can make investors reluctant to commit to HVDC projects. Furthermore, the high capital needs might keep smaller businesses out of the HVDC market, which would limit competition and innovation, impede technological developments, and raise costs because there wouldn't be as many different competitors in the market.

Covid-19 Impact:

The COVID-19 pandemic adversely affected the HVDC transmission market by causing delays in project timelines and supply chain disruptions. Additionally, financial uncertainties prompted many utilities to postpone or scale back investments in infrastructure projects. However, as economies recover and the demand for efficient energy transmission increases, the market is expected to rebound, driven by ongoing investments in renewable energy integration and grid modernization efforts.

The overhead segment is expected to be the largest during the forecast period

The overhead segment is predicted to secure the largest market share throughout the forecast period because HVDC transmission lines are a more appealing alternative because they require less money to establish than subterranean cables. They are essential for transporting power from distant renewable energy sources to populated areas with high demand because they have a greater capacity to carry power, which enables them to carry higher amounts of electricity over longer distances.

The interconnecting grids segment is expected to have the highest CAGR during the forecast period

The interconnecting grids segment is projected to witness substantial growth during the estimation period as it enhances grid resilience and reliability in times of peak demand or emergency. Effective integration of renewable energy sources, such as offshore wind farms and solar projects, is made possible by this technology, which also helps with the shift to greener energy sources and satisfies urban energy demands. The need for HVDC solutions is being driven by this technology propelling the growth of the market.

Region with largest share:

During the projected timeframe, the North America region is expected to have the largest market share due to North America's expanding industrial sector and population, which has prompted the use of cutting-edge transmission technologies like HVDC. The integration of renewable energy projects, especially solar and wind makes HVDC essential for tying remote locations into the current electrical system.

Region with highest CAGR:

Asia Pacific is anticipated to witness the highest rate of growth during the forecast period due to rapid urbanization and industrial growth in Asia Pacific countries like China and India, HVDC technology is crucial for long-distance transmission. HVDC systems are essential as renewable energy sources like solar and wind are being included into the current grid. HVDC technology adoption is fueled by government policies and programs that support renewable energy and modernize the electrical grid.

Key players in the market

Some of the key players in HVDC Transmission Market include ABB Ltd, American Superconductor Corporation , ATCO Electric Ltd., C-EPRI Electric Power Engineering Co. Ltd, General Electric Company, Hitachi Energy, Hvdc Technologies Ltd., LS Electric Co. Ltd., Mitsubishi Electric Corporation, Nexans SA, NR Electric Co., Ltd., Prysmian Group, Siemens AG, Toshiba Corporation and Transgrid Solutions Inc.

Key Developments:

In October 2024, ABB announced that it has signed an agreement to acquire Fodisch Group, a leading developer of advanced measurement and analytical solutions for the energy and industrial sectors.

In May 2024, ABB announced it has signed an agreement to acquire Siemens' Wiring Accessories business in China. The acquisition will broaden ABB's market reach and complement its regional customer offering within smart buildings.

In April 2024, GE Aerospace announced its official launch as an independent public company defining the future of flight, following the completion of the GE Vernova spin-off. GE Aerospace will trade on the New York

Types Covered:

• Overhead
• Subsea
• Mixed
• Underground
• Other Types

Components Covered:

• Converter Stations
• Transmission Cables
• Electrodes
• Control & Protection Systems
• Reactive Power Supplies
• Other Components

Projects Covered:

• Point-to-Point Transmission
• Back-to-Back Stations
• Multi-terminal Systems
• Other Projects

Technologies Covered:

• Voltage Source Converter (VSC)
• Line Commutated Converter (LCC)
• Capacitor Commutated Converter (CCC)
• Other Technologies

Applications Covered:

• Bulk Power Transmission
• Interconnecting Grids
• In-feed Urban Areas
• Other Applications

End Users Covered:

• Electric Utilities
• Renewable Energy
• Mining & Resource Extraction
• Data Centers
• Transportation
• Cross-Border Electricity Trading
• Other End Users

Regions Covered:

• North America
  • US
  • Canada
  • Mexico
• Europe
  • Germany
  • UK
  • Italy
  • France
  • Spain
  • Rest of Europe
• Asia Pacific
  • Japan
  • China
  • India
  • Australia
  • New Zealand
  • South Korea
  • Rest of Asia Pacific
• South America
  • Argentina
  • Brazil
  • Chile
  • Rest of South America
• Middle East & Africa
  • Saudi Arabia
  • UAE
  • Qatar
  • South Africa
  • Rest of Middle East & Africa

What our report offers:

• Market share assessments for the regional and country-level segments
• Strategic recommendations for the new entrants
• Covers Market data for the years 2022, 2023, 2024, 2026, and 2030
• Market Trends (Drivers, Constraints, Opportunities, Threats, Challenges, Investment Opportunities, and recommendations)
• Strategic recommendations in key business segments based on the market estimations
• Competitive landscaping mapping the key common trends
• Company profiling with detailed strategies, financials, and recent developments
• Supply chain trends mapping the latest technological advancements

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  • Comprehensive profiling of additional market players (up to 3)
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• Regional Segmentation
  • Market estimations, Forecasts and CAGR of any prominent country as per the client's interest (Note: Depends on feasibility check)
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