Market Size of Electronic Components Industry for HVDC Systems
| Study Period | 2019 - 2029 |
| Base Year For Estimation | 2023 |
| CAGR | 9.27 % |
| Fastest Growing Market | Asia Pacific |
| Largest Market | Asia Pacific |
| Market Concentration | Low |
Major Players
*Disclaimer: Major Players sorted in no particular order |
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Electronic Components for HVDC Systems Market Analysis
The electronic components market for HVDC systems was valued at USD 4,099.18 million in the previous year. It is expected to reach USD 6,846.43 million over the forecast period, registering a CAGR of 9.27%. High Voltage Direct Current systems, abbreviated as HVDC systems, transfer direct current for electricity transmission over long distances. They are often referred to as Superhighway or Power Superhighway. HVDC lines improve the efficiency of transmission lines and enable rapid energy transmission.
- HVDC systems are gaining momentum across the wind and solar power plants owing to HVDC technologies providing power flow control, rapid stability control, and ability to segment parts of the power system which can improve the grid's reliability, flexibility, and resilience.
- HVDC systems are also deployed in submarine and subterranean applications where overhead lines are unfeasible, and HVAC has higher electrical losses. HVDC submarine cables possess reactive power components. Thus, it does not have the physical restrictions that AC cables have. This allows underwater transmission lines to connect to asynchronous networks and offshore solar/wind power plants. The government's efforts to transmit energy from one country to another through subsea HVDC transmission lines create demand for electronics components such as IGBT, thyristors, and capacitors.
- The rapidly growing advanced HVDC transmission projects worldwide, particularly in Europe and Asia, drive market growth. The German government has established a framework for further developing offshore wind energy capacities in Germany with the Wind Energy at Sea Act. Accordingly, the installation capacity is to reach 30 gigawatts by 2030 and up to 70 gigawatts by 2045. More powerful high-voltage direct current transmission systems must also be built to transport electricity over long distances.
- The ongoing economic downturn, Russia-Ukraine war, geopolitical tensions, increasing electricity prices, high-interest rates, and growing inflation are anticipated to challenge the market's growth.
