HVDC Transmission Market Report Scope & Overview:

The HVDC Transmission Market size was valued at USD 11.66 Billion in 2024 and is projected to reach USD 19.06 Billion by 2032, growing at a CAGR of 6.34% during 2025-2032.

The HVDC transmission market is poised for significant expansion, driven by the accelerating integration of renewable energy, rising electricity demand, and long distance low loss power transmission is set to drive the HVDC transmission market. Increasingly, HVDC is preferred as an efficient system for stabilizing the grid and transmitting bulk power over long distances. Voltage control, development of modular converter units and power flow in bi-direction are some technological advancements aiding grid integration. Yet, the growth of our markets has always been subject to fluctuations due to regulatory frameworks, financing structures and policy consistency. Slowed or scrapped institutional support projects can erode trader belief and obstruct growth of colossal infrastructure initiatives. Sustainable forward movement for the HVDC market will require government support, coordinated investments between different sectors, and smart condominium in durable transmission grid infrastructure.

July 25, 2025 – U.S. Department of Energy withdraws USD 4.9B loan guarantee for Grain Belt Express HVDC line, putting USD 11B project at risk.Former DOE official calls move illegal as Invenergy warns of impacts on energy savings, jobs, and data center support.

The U.S HVDC Transmission Market size was valued at USD 2.09 Billion in 2024 and is projected to reach USD 3.58 Billion by 2032, growing at a CAGR of 6.96% during 2025-2032. This HVDC Transmission Market growth being propelled by utility efforts towards integration of renewable energy, addition of reliable power capacity, and viable long-distance power links. A growing market expansion is hence dependent on regulatory support, availability of financing and simplified approval processes for projects across states.

The HVDC transmission market trends include rising adoption of renewable energy and the need for long-distance, high-efficiency power transmission. With governments increasingly prioritizing grid modernization and focus on cross-border interconnection to boost energy security. From the technological front, approaches like modular multi-level converters (MMC) and bi-directional power flow are making systems increasingly flexible and scalable. Circuited technologies interconnectors are intended to transport big amounts of controlled power across large areas: NRLDC offshore wind integration is another factor propelling demand for HVDC systems. Private investments and public-private partnerships are becoming increasingly more widespread, while regulatory clarity and permitting simplification are crucial to increasing the pace of project deployment.

High Voltage Direct Current (HVDC) Transmission Market Dynamics:

Drivers:

• Rising Localization of HVDC Technology Accelerates Market Expansion

Localization of advanced power transmission technologies is a prevailing trend, which drives development of the HVDC transmission market. Beyond that, governments are expanding investments in infrastructure of their domestic ability to provide high-voltage, long-distance transportation alternatives. This change to energy security reduces reliance on overseas suppliers and allows more rapid HVDC deployment. Furthermore, regional production drives cost-effectiveness and innovation in voltage source converters and transformers. With governments initiatives for decarbonization and reliable grid infrastructure, corresponding domestic capabilities are being strategically embedded into national energy agendas. And this trend is reinforcing the global supply chain, which in turn, increases the pace of technological advancement and HVDC deployment for utility-scale renewable integration and for cross border electricity interconnection projects globally.

July 30, 2025 — HVDC business's Hyosung Heavy Industries will break ground in Changwon on the construction of a plant for a HVDC transformer which is needed for expanded production and R&D with USD 238.7m to make South Korea largest one The investment indicates Hyosung entering into global scale of an area now highlighted by every country as energy infrastructure and overseas demand..

Restraints:

• Regulatory and Land Acquisition Challenges Restrain HVDC Market Growth

One of the key restraints in the HVDC transmission market is the complex regulatory landscape and prolonged land acquisition processes. Due to their broad geographic and corporate scale, HVDC projects can be plagued by bureaucratic delays, permitting disputes and local opposition to new rights-of-way. These obstacles extend project timelines and escalate the cost of investment, detracting from its appeal. Disjointed policy frameworks between jurisdictions continue to obstruct the coordinated development and financing efforts. Further, the low return on investment and knowledge-intensive nature of the industry limits market penetration; particularly in developing countries where a huge portion of the demand is originating. Consequently, while the technologies offer value they still face some structural and procedural challenges that impede their deployment and hold global HVDC infrastructure expansion back.

Opportunities:

• Strategic Partnerships Open Global Expansion Opportunities for HVDC Market

The HVDC transmission market is gaining momentum through strategic collaborations between engineering and energy firms. These collaborations unite critical infrastructure experience with state-of-the-art HVDC solutions to underpin the development of large-scale, long-distance installations such as submarine and intercontinental systems. While increasingly electrified AI data centers and renewable energy sources increase the stress on electrical grid, these types of partnerships will decrease risk for projects and increase efficiencies while opening new opportunity in burgeoning markets. Consequently, joint HVDC research empowers both countries in grid modernization and energy security making HVDC a building block of the future power

August 5, 2025 – Samsung C&T partners with Hitachi Energy to expand globally in the HVDC sector, enhancing cooperation on advanced transmission projects.The collaboration includes Hitachi’s converter station supply for Samsung’s USD42.4B submarine HVDC project in the UAE.

Challenges:

• High Costs and Technical Complexity Limit HVDC Market Scalability

A major challenge facing the HVDC transmission market is the high initial cost and technical complexity associated with deployment. HVDC is capital-intensive compared to conventional AC systems as HVDC systems require converter stations, specialized transformers, and complex control system which increases upfront investment. Incrementally, there is also a talent bottleneck as the world has an abundance of transmission lines and electrical engineers but few with the experience needed to design, build or repair HVDC LEDs. FranceIt is financial inhibiting factor, especially in developing territories. There are also integration risks, due to the absence of standardized global regulations and lack of interoperability among the different HVDC technologies; As a result, these financial, technical and regulatory barriers are hampering the deployment of HVDC systems on a larger scale across the world.

HVDC Transmission Market Segmentation Analysis:

By Type

In 2024, the Low-power Rating Projects segment accounted for approximately 64% of the HVDC Market share, driven by increasing demand for flexible and cost-effective transmission solutions in medium-scale renewable energy projects. These systems are particularly suited for shorter distances and lower capacity requirements, making them ideal for regional grids, offshore wind connections, and industrial power needs. Their lower installation costs and easier integration with existing AC networks continue to support their widespread adoption across emerging markets.

The High-power Rating Projects segment is expected to experience the fastest growth in HVDC Market over 2025-2032 with a CAGR of 7.67%. the High-power Rating Projects Harbouring significant Potential segment wire and Cable market accounted around USD 10.3 Billion on it by end this time span. This has been caused mainly due to increased demand for transmitting bulk power over long distances and strengthening cross-border interconnections as well as to support mega renewable energy projects. With the quest for grid reliability and reduced transmission losses, as well as more than gigawatt-scale renewable power generation coming online, states and utilities are increasingly investing in large-scale HVDC infrastructure.

By Technology

In 2024, the Line Commutated Converter (LCC) segment accounted for approximately 67% of the HVDC Market share, driven by its proven reliability in high-capacity, long-distance power transmission projects. Widely used in bulk power transfer applications, especially in cross-border and undersea links, LCC technology remains dominant due to its cost-effectiveness and mature operational performance across large grids.

The Voltage Source Converter (VSC) segment is expected to experience the fastest growth in HVDC Market over 2025-2032 with a CAGR of 7.81%, this development is driven as a result of increase in require for variable, compact and grid upon transmission plans. VSC technology with the advantages of excellent controllability and small footprint facilitates the integration of offshore wind, urban power distribution, and asynchronous grid interconnection.

By Transmission

In 2024, the HVDC Overhead Transmission System segment accounted for approximately 55% of the HVDC Market share, due to being more cost-effective and a possibility of transferring a large amount of electricity over long distances efficiently. Such systems are already used to a great extent in large, geographic areas like China, India and select regions of North America. Globally, these systems tend to experience higher penetration, as compared to submarine and underground systems due to their lower installation cost & maintenance charges.

The Submarine HVDC Transmission System  segment is expected to experience the fastest growth in HVDC Market over 2025-2032 with a CAGR of 10.48%, This surge is driven by rising deployment of offshore renewable energy projects and long-distance undersea power links. Significant investments across regions such as Europe (North Sea interconnectors), Asia-Pacific (Japan–Korea links), and the Middle East (UAE projects) are catalyzing demand. These systems are critical for enhancing energy security, enabling cross-border power trade, and integrating remote energy sources.

By Application

In 2024, the Overhead segment accounted for approximately 44% of the HVDC Market share, primarily due to its cost-effectiveness and suitability for long-distance inland transmission. The segment has seen widespread adoption in regions like China and India, where large-scale power infrastructure projects are underway. Overhead systems continue to be preferred in areas with favorable terrain and low population density, offering lower installation and maintenance costs compared to submarine or underground alternatives.

The Subsea segment is expected to experience the fastest growth in HVDC Market over 2025-2032 with a CAGR of 11.56%, driven by rising investments in intercontinental and offshore renewable energy projects. Countries across Europe, the Middle East, and Asia-Pacific are increasingly deploying submarine cables to enhance cross-border power trade and connect offshore wind farms. Advancements in insulation materials and deep-sea installation technologies are also making subsea HVDC systems more viable and efficient.

HVDC Transmission Market Regional Outlook:

In 2024 Asia Pacific dominated the HVDC Market and accounted for 44% of revenue share, driven by large-scale grid modernization, interconnection projects, and high demand for long-distance power transmission. China, India, and South Korea are making significant investments in HVDC infrastructure to support industrial growth, renewable integration, and urbanization. Regional government policies and public-private partnerships are also accelerating project approvals and deployment across key economies.

North America is expected to witness the fastest growth in the HVDC Market over 2025-2032, with a projected CAGR of 8.00%, North America will grow because of vast investments in cross-border interconnections, increase in renewable energy penetration, grid modernization initiatives etc. High-voltage transmission for remote wind and solar projects is a focus area in both the U.S. and Canada These, combined with supportive regulatory frameworks and private sector participation, add to the momentum of growth in the region.

In 2024, Europe emerged as a promising region in the HVDC Market, driven by its aggressive renewable energy targets and strong investments in inter-country grid infrastructure. Projects across Germany, the UK, and the Nordic countries are accelerating HVDC deployments to enhance grid stability and enable efficient long-distance power transmission.

Latin America (LATAM) and the Middle East & Africa (MEA) regions are witnessing steady growth in the HVDC Market, due to increasing demand for reliable electricity transmission over large and isolated territories. HVDC projects are being planned in several countries to support renewable integration and infrastructure development, such as Brazil, Chile, Saudi Arabia and UAE. Grid modernization and cross border energy trade will create more market opportunities in these regions.

HVDC Transmission Companies are:

The Key Players in HVDC Market are Hitachi Energy Ltd., Siemens Energy AG, NEXANS S.A., Toshiba Energy Systems & Solutions Corporation, CHINA XD GROUP, Mitsubishi Electric Corporation, General Electric Company (GE), Xu Ji Group Co. Ltd., NR Electric Co. Ltd., Prysmian Group, TBEA Co., Ltd., NKT A/S, ABB Ltd., Schneider Electric SE, Sterlite Power Transmission Ltd., Rongxin Power Electronic Co., Ltd. (RXPE), Sumitomo Electric Industries, Ltd., Hyundai Electric & Energy Systems Co., Ltd., Pinggao Group Co., Ltd., LS Cable & System Ltd., and Others.

Recent Developments:

• In June 2025, Mitsubishi Electric and GE Vernova have signed an MoU to enhance cooperation on power semiconductors for HVDC transmission systems. The partnership aims to boost IGBT supply and support the growing demand for VSC HVDC technologies amid global decarbonization efforts.

• In July 2025, Sumitomo Electric was named the preferred bidder for the 525kV Sea Link HVDC project in the UK, supporting National Grid’s “The Great Grid Upgrade.” The project will boost renewable energy transmission and contribute to UK’s net-zero goals.