High Voltage Direct Current (HVDC) Transmission System Market Positioning Strategy in 2025: Identifying Unique Value Propositions

The global market for High Voltage Direct Current (HVDC) Transmission System was estimated to be worth US$ 9576 million in 2024 and is forecast to a readjusted size of US$ 12160 million by 2031 with a CAGR of 3.5% during the forecast period 2025-2031. HVDC Transmission System uses direct current for the bulk transmission of electrical power, in contrast with the more common alternating current (AC) systems. For long-distance transmission, HVDC systems may be less expensive and suffer lower electrical losses. For underwater power cables, HVDC avoids the heavy currents required to charge and discharge the cable capacitance each cycle. For shorter distances, the higher cost of DC conversion equipment compared to an AC system may still be justified, due to other benefits of direct current links. HVDC allows power transmission between unsynchronized AC transmission systems. Since the power flow through an HVDC link can be controlled independently of the phase angle between source and load, it can stabilize a network against disturbances due to rapid changes in power. HVDC also allows transfer of power between grid systems running at different frequencies, such as 50 Hz and 61 Hz. This improves the stability and economy of each grid, by allowing exchange of power between incompatible networks.