PUBLISHER: The Business Research Company | PRODUCT CODE: 1675555
PUBLISHER: The Business Research Company | PRODUCT CODE: 1675555
A high-voltage direct current (HVDC) transmission system involves converting alternating current (AC) into direct current (DC) and transmitting it through high-voltage cables. It is used to draw power from offshore wind farms or locations where power must be delivered over great distances.
The primary types of high-voltage direct current (HVDC) transmission systems include monopolar, bipolar, homopolar, back-to-back, and multi-terminal. Monopolar HVDC refers to high-voltage transmission systems using direct current for sending electrical power over long distances. Various technologies involved include line-commutated converters (LCC), voltage-source converters (VSC), and capacitor-commutated converters (CCC). Capacity ranges from up to 400 KV, 401-800 KV, and above 800 KV, deployed in modes such as overhead, underground, subsea, and combination. These systems are used in applications such as interconnecting grids, infeed urban areas, connecting offshore wind, and others.
The high voltage direct current (HVDC) transmission system market research report is one of a series of new reports from The Business Research Company that provides high voltage direct current (HVDC) transmission system market statistics, including high voltage direct current (HVDC) transmission system industry global market size, regional shares, competitors with a high voltage direct current (HVDC) transmission system market share, detailed high voltage direct current (HVDC) transmission system market segments, market trends and opportunities, and any further data you may need to thrive in the high voltage direct current (HVDC) transmission system industry. This high voltage direct current (HVDC) transmission system market research report delivers a complete perspective of everything you need, with an in-depth analysis of the current and future scenario of the industry.
The high voltage direct current (HVDC) transmission system market size has grown rapidly in recent years. It will grow from $11.7 billion in 2024 to $12.95 billion in 2025 at a compound annual growth rate (CAGR) of 10.7%. The growth in the historic period can be attributed to long-distance power transmission, integration of renewable energy, interconnection of power grids, overcoming transmission constraints, enhanced grid reliability.
The high voltage direct current (HVDC) transmission system market size is expected to see rapid growth in the next few years. It will grow to $19.27 billion in 2029 at a compound annual growth rate (CAGR) of 10.4%. The growth in the forecast period can be attributed to renewable energy integration, smart grid development, electrification of transportation, continued cross-border grid interconnections, focus on grid resilience and reliability. Major trends in the forecast period include digitalization and control systems, advancements in HVDC technology, energy storage integration, grid interconnection and cross-border transmission, electrification of transportation.
The high-voltage direct current (HVDC) transmission system market is witnessing growth driven by the rising demand for electricity. The increase in electricity demand globally, reported by the International Energy Agency, is expected to drive a 5% increase in worldwide electricity demand in 2021 and a 4% increase in 2022. The Energy Information Administration's data on the total US electricity consumption in 2022 further highlights the growth in demand. The escalating demand for electricity is fueling the growth of the high-voltage direct current (HVDC) transmission system market.
The growth of the high-voltage direct current (HVDC) transmission system market is expected to be propelled by the increasing frequency of cross-border power trading. This trading involves the exchange of electricity between countries or regions, facilitated by interconnectors or transmission lines that link adjacent power grids. HVDC systems play a crucial role in enabling efficient and reliable electricity transmission over long distances between nations. For instance, in November 2023, the International Trade Administration, a U.S.-based government agency, reported that in 2022, the UK significantly increased its use of renewable energy, drawing from a diverse mix of electricity generation sources: 38.4% from gas, 28.8% from wind and solar, 14.7% from nuclear, 12.7% from other renewables, 1.7% from coal, and 3.7% from other sources. That year, the UK also exported more electricity than it imported. Consequently, the rising trend of cross-border power trading is driving the expansion of the HVDC transmission system market.
Strategic partnerships and collaborations are also a key trend in the high-voltage direct current (HVDC) transmission system market. Key players are actively pursuing partnerships to reinforce their positions. For instance, in November 2022, Hitachi Energy Ltd., a Switzerland-based manufacturer and developer of power transformers, collaborated with Equinor ASA, a Norway-based company focused on offshore operations. This collaboration aims to develop standardized base designs for high-voltage DC and AC transmission systems connecting offshore wind farms. In May 2023, Pattern Energy Group LP, a US-based developer and operator of utility-scale wind and solar power facilities, partnered with Hitachi Energy Ltd. to harness the SunZia Transmission Project's energy potential using Hitachi's HVDC technology.
Major companies in the HVDC transmission system market are focusing on strategic investments in research to reinforce their positions. A strategic investment is an allocation of resources made with the intention of achieving long-term goals aligned with an organization's overall strategy. In August 2023, the United States Department of Energy, a US-based Government department, and the Office of Electricity (OE) announced plans to finance research initiatives driving innovation and cost reduction in high-voltage direct current (HVDC) voltage source converter (VSC) transmission systems. This funding supports the DOE's HVDC COst Reduction (CORE) Initiative, aiming for a 35% reduction in HVDC system costs by 2035 to promote widespread adoption of this technology.
In February 2023, Mitsubishi Electric Corporation, a Japan-based manufacturer of electrical and electronic products, acquired Scibreak AB for an undisclosed amount. This strategic move strengthens Mitsubishi's global high-voltage direct current (HVDC) system business, utilizing Scibreak's direct current circuit breaker (DCCB) technology to lead market commercialization in the field. Scibreak AB, a Sweden-based developer of DCCB technologies for HVDC systems, complements Mitsubishi's objectives.
Major companies operating in the high voltage direct current (HVDC) transmission system market include Siemens AG, General Electric Company, Mitsubishi Electric Corporation, Schneider Electric SE, ABB Ltd, Prysmian S.p.A., TBEA Co., Ltd., Nexans SA, Toshiba Energy Systems & Solutions Corporation, China Electric Power Equipment and Technology Co., Ltd., ATCO Ltd., LS Electric Co. Ltd., Bharat Heavy Electricals Ltd., Jiangnan Group Limited, China XD Group, Hyosung Heavy Industries Corporation, XJ Electric Co., Ltd., Adani Transmission, NKT A/S, NR Electric Co. Ltd., Rongxin Power Electronic Co., Ltd., American Superconductor Corporation, Hitachi Energy, Furukawa Electric Co. Ltd., TransGrid Solutions Inc., C-EPRI Electric Power Engineering Co. Ltd., Alstom SA, TransWest Express LLC, CTC Global Corporation, VSC Technologies AG
Europe was the largest region in the global high voltage direct current (HVDC) transmission system market in 2024. Asia-Pacific is expected to be the fastest-growing region in the forecast period. The regions covered in the high voltage direct current (hvdc) transmission system market report are Asia-Pacific, Western Europe, Eastern Europe, North America, South America, Middle East, Africa.
The countries covered in the high voltage direct current (hvdc) transmission system market report are Australia, Brazil, China, France, Germany, India, Indonesia, Japan, Russia, South Korea, UK, USA, Canada, Italy, Spain.
The high voltage direct current (HVDC) transmission system market includes revenues earned by entities by providing engineering, design, installation, and maintenance services. The market value includes the value of related goods sold by the service provider or included within the service offering. The high voltage direct current (HVDC) transmission system market consists of sales of converters, transformers, circuit breakers, control systems, and cables. Values in this market are 'factory gate' values, that is the value of goods sold by the manufacturers or creators of the goods, whether to other entities (including downstream manufacturers, wholesalers, distributors and retailers) or directly to end customers. The value of goods in this market includes related services sold by the creators of the goods.
The market value is defined as the revenues that enterprises gain from the sale of goods and/or services within the specified market and geography through sales, grants, or donations in terms of the currency (in USD, unless otherwise specified).
The revenues for a specified geography are consumption values that are revenues generated by organizations in the specified geography within the market, irrespective of where they are produced. It does not include revenues from resales along the supply chain, either further along the supply chain or as part of other products.
High Voltage Direct Current (HVDC) Transmission System Global Market Report 2025 from The Business Research Company provides strategists, marketers and senior management with the critical information they need to assess the market.
This report focuses on high voltage direct current (hvdc) transmission system market which is experiencing strong growth. The report gives a guide to the trends which will be shaping the market over the next ten years and beyond.
Where is the largest and fastest growing market for high voltage direct current (hvdc) transmission system ? How does the market relate to the overall economy, demography and other similar markets? What forces will shape the market going forward? The high voltage direct current (hvdc) transmission system market global report from the Business Research Company answers all these questions and many more.
The report covers market characteristics, size and growth, segmentation, regional and country breakdowns, competitive landscape, market shares, trends and strategies for this market. It traces the market's historic and forecast market growth by geography.
The forecasts are made after considering the major factors currently impacting the market. These include the Russia-Ukraine war, rising inflation, higher interest rates, and the legacy of the COVID-19 pandemic.