High Voltage Direct Current (HVDC) Transmission Market Forecasts to 2030 – Global Analysis By Component (Converter Stations, Transmission Cables and Other Components), Technology (Capacitor Commutated Converter (CCC), Voltage Source Converter (VSC), Line

High Voltage Direct Current (HVDC) Transmission Market Forecasts to 2030 – Global Analysis By Component (Converter Stations, Transmission Cables and Other Components), Technology (Capacitor Commutated Converter (CCC), Voltage Source Converter (VSC), Line Commutated Converter (LCC) and Other Technologies), Transmission Type (Submarine HVDC Transmission System, HVDC Overhead Transmission System, HVDC Underground Transmission System and Other Transmission Types), Power Rating (Below 1000 MW, 1001 - 2000 MW, Above 2000 MW and Other Power Ratings), Project Type, Application and By Geography

According to Stratistics MRC, the Global High Voltage Direct Current (HVDC) Transmission Market is accounted for $20.18 billion in 2023 and is expected to reach $37.14 billion by 2030 growing at a CAGR of 9.1% during the forecast period. Direct current (DC) is used in high-voltage direct current (HVDC) power systems to transmit large amounts of power over long distances. Power can be transferred more quickly thanks to HVDC lines' increased transmission line efficiency. A combined AC and DC system converts the generated AC voltage to DC at the sending end. In AC transmission, heat losses occur as alternating voltage and current waves move through the line, changing direction every millisecond. DC lines don't have reversible voltage and current waves like AC lines do.

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

Advancements in technology

The global High Voltage Direct Current (HVDC) Transmission market expected to drive growth during the forecast period. More effective and dependable HVDC transmission systems have emerged as a result of the development of new technologies in fields like power electronics, control systems, and communication networks. For instance, developments in power electronics have resulted in the creation of insulated gate bipolar transistors (IGBTs) and high-power thyristors, which are utilized in HVDC converter stations to convert AC power to DC power and vice versa. Additionally, the reliability and efficiency of HVDC transmission systems have increased as a result of easier monitoring and control thanks to advancements in communication networks.

Restraint

Limited supply of hvdc equipment

The global High Voltage Direct Current (HVDC) Transmission market expected to hinder growth during the forecast period. Specialized HVDC equipment, such as converter stations and high-voltage cables, may not be widely available, especially in developing nations. This can make it challenging to install HVDC transmission systems in places where they might be most needed, like remote regions with a wealth of renewable energy sources. Moreover, Investment in HVDC manufacturing and supply chains, along with initiatives to develop local HVDC technology expertise, is necessary to address this constraint.

Opportunity

Increase in the demand for renewable energy

The global High Voltage Direct Current (HVDC) Transmission market expected to drive growth during the forecast period. HVDC transmission systems, which can effectively transmit power over long distances from remote renewable energy sources to population centers, are given a significant opportunity by the rising demand for renewable energy sources like wind and solar power. As nations work to cut their carbon footprints and switch to more sustainable energy sources, this trend is anticipated to continue. Demand for renewable energy is rising as nations switch to sustainable sources. Power from distant sources is effectively transmitted to populations using HVDC. With ongoing demand, its deployment is anticipated to increase.

Threat

Instability in politics and regulations

The global High Voltage Direct Current (HVDC) Transmission market expected to hamper growth during the forecast period. The deployment of HVDC transmission systems can be impacted by political and regulatory instability because it raises uncertainty for investors and developers. As a result, it might be challenging to get the required permits and approvals, which might affect the financing options for significant infrastructure projects. However, deployment of HVDC transmission systems may also be delayed by political and regulatory unrest, which may have an effect on the general business environment.

Covid-19 Impact

The COVID-19 pandemic has significantly impacted the high-voltage direct current (HVDC) Transmission market by causing supply chains to become unstable, delaying project completion dates, and decreasing electricity demand in some areas. Both the production and delivery of HVDC equipment as well as the building and commissioning of HVDC transmission projects have been delayed as a result of the pandemic. In some areas, the pandemic has also reduced the need for electricity as a result of people staying at home and businesses closing. However, the pandemic has also brought attention to the value of robust and dependable power infrastructure, which could result in future investments in HVDC transmission systems.

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

During the forecast period, the industrial application segment is anticipated to hold the largest share. This is explained by an increase in demand for HVDC power supplies in related industries like equipment manufacturing. Government plans to construct higher voltage direct current converter infrastructure, along with rapid industrialization, particularly in developing countries like China and India, could spur demand for HVDC in the industrial application space. However, the benefits of HVDC power supplies, such as dependable longer-distance current transmission with minimal loss, will also help to support the development of this market. This segment's expansion is also likely to be aided by the high demand for and widespread use of extensive high-speed internet and landline services.

The voltage source converter (vsc) segment is expected to have the highest CAGR during the forecast period

The VSC technology segment is anticipated to have the highest CAGR During the forecast period. Using insulated gate bipolar transistors (IGBTs) and pulse width modulation (PWM) or by switching in and out of smaller DC capacitors, VSC technology converts AC voltage to DC voltage. Voltage inverters and voltage rectifiers are two different types of voltage converters. A VSC-HVDC system's primary job is to transfer steady DC power from a rectifier to an inverter. VSC converters do not require a synchronous voltage for commutation due to their ability to ""switch off."" As a result, VSC converters are regarded as a controllable voltage source for HVDC transmission.

Region with largest share

Due to the rising demand for electricity and the availability of renewable energy sources like offshore wind farms, the Asia-Pacific region is expected to hold the largest market share for HVDC transmission systems during the forecast period. HVDC transmission systems are being implemented as a result of the region's governments' investments in significant infrastructure projects aimed at enhancing the stability and dependability of their power grids. Major HVDC transmission equipment producers are also based in the area, which helps the market expand. Overall, it is anticipated that the Asia-Pacific region will continue to be a key driver and innovator in the HVDC transmission market due to its growing demand for electricity, expanding deployment of renewable energy sources, and sizeable investments in power infrastructure.

Region with highest CAGR

Middle East and Africa (MEA) region is projected to have the highest CAGR over the forecast period The demand for electricity is rising, transmission losses must be reduced, and renewable energy sources like solar and wind are being deployed, which are the main factors driving market growth in this region. As governments in the region invest in significant infrastructure projects to raise the sustainability and dependability of their power grids, MEA is anticipated to experience rapid growth in the upcoming years. Additionally, a number of nations in the region are looking into establishing transnational HVDC transmission links to allow for the sharing of electricity among nations, which is anticipated to further propel the growth of the HVDC transmission market in the MEA region.

Key players in the market

Some of the key players in High Voltage Direct Current (HVDC) Transmission market include ABB Ltd, Abengoa S.A., ATCO Ltd., C-EPRI Electric Power Engineering, CHINA XD GROUP, General Electric Company, Hitachi, Ltd., Mitsubishi Electric Corporation, Nexan, NKT (Nordiske Kabel og Traadfabriker), NR Electric Co. Ltd., Prysmian Group., PSC Group, Schneider Electric, Siemens AG, TBEA Co., Ltd., Toshiba Corporation, TransGrid Solutions Inc. and Xu Ji Group Co. Ltd.

Key Developments

In March 2023, OWC invites developers to do more site-specific research to examine HVDC as a potential export transmission method in connection with Poland's second phase of seabed leasing for far offshore wind farms.

In July 2022, Adani Transmission signed a contract with Hitachi Energy to address the growing demand for energy in Mumbai to provide a high-voltage direct current (HVDC) transmission system from Kudus to Mumbai on India's west coast. The new HVDC link will give the city 1,000MW of additional electricity.

In February 2022, McDermott International was awarded its largest-ever renewable energy contract from TenneT for the BorWin6 980 MW high-voltage direct current project. The project is for designing, manufacturing, installing, and commissioning an HVDC offshore converter platform located 118 miles offshore of Germany on the North Sea Cluster 7 platform.

Components Covered
• Converter Stations
• Transmission Cables
• Other Components

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

Transmission Types Covered
• Submarine HVDC Transmission System
• HVDC Overhead Transmission System
• HVDC Underground Transmission System
• Other Transmission Types

Power Ratings Covered
• Below 1000 MW
• 1001 - 2000 MW
• Above 2000 MW
• Other Power Ratings

Project Types Covered
• Point-to-Point
• Back-to-Back
• Multi-terminal
• Other Project Types

Applications Covered
• Bulk Power Transmission
• Interconnecting Grids
• Infeed Urban Areas
• Energy Transmission & Distribution
• Distributed Energy Resources (DER)
• Renewable Energy
• Telecommunication
• Medical
• Industrial
• Oil & Gas
• Other Applications

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 2021, 2022, 2023, 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

Benchmarking of key players based on product portfolio, geographical presence, and strategic alliances