HVDC Converter Transformer Market Research Report By Voltage Level (Less than 100 kV, 100-300 kV, 300-600 kV, Above 600 kV), By Application (Offshore Wind Farms, Onshore Wind Farms, Solar Power Plants, Interconnectors, Industrial Applications), By Cooling System (Oil-Filled, Dry-Type, Water-Cooled), By Phase (Single-Phase, Three-Phase), By Insulation Type (Oil-Paper Insulation, Resin-Bonded Paper Insulation, Gas-Insulated) and By Regional (North America, Europe, South America, Asia Pacific, Middle East and Africa) - Forecast to 2032.

HVDC Converter Transformer Market Overview

As per MRFR analysis, the HVDC Converter Transformer Market Size was estimated at 10.9 (USD Billion) in 2022.The HVDC Converter Transformer Market Industry is expected to grow from 11.85(USD Billion) in 2023 to 25.0 (USD Billion) by 2032. The HVDC Converter Transformer Market CAGR (growth rate) is expected to be around 8.65% during the forecast period (2024 - 2032).

Key HVDC Converter Transformer Market Trends Highlighted

The global HVDC Converter Transformer Market is buoyed by the growing use of HVDC transmission systems around the world, which in turn leads to increased demand for the HVDC Converter Transformer. These systems are increasingly used for the long-distance transportation of electric energy, the connection of offshore wind farms to the grid, and the integration of renewable energy into the power system. Moreover, the increase in voltage and power rating of HVDC converter transformers technologically has aided the growth of the market. Drivers of the market are the continuous quest for more efficient and effective transmission of energy, the increasing contribution of renewable energies to the energy mix and the growth of smart grid development. However, the market’s growth opportunities lie in the provision of lightweight systems, improved cooling technologies and embracing the use of ICT to increase performance while decreasing costs. In addition, there have been trends in markets geared towards modularity, embedded sensors and communication systems and environmental design.

Source: Primary Research, Secondary Research, MRFR Database and Analyst Review

HVDC Converter Transformer Market Drivers

Increasing Demand for Renewable Energy

Due to growing awareness regarding the means of energy generation, one of the most influential factors contributing to the global growth of the HVDC Converter Transformer market is its increasing electricity consumption. Such sources are often found in the less populated regions, which have rather long distances from the load centers. This renders HVDC converter transformers as core and unique units that help in efficiently and securely conveying electrical energy from several generators all located far apart towards various load centers.

In the next decade, the industry of renewable energy will likely increase. So, the requirement for an HVD C converter transformer will also rise. The increasing demand for HVDC converter transformers is also a result of the aspiration for more reliable and efficient means of transmitting power. These transformers are more useful because they are able to change alternating current into direct current, which is more energy-consuming in the immediate form. Moreover, long distance transmission of power using HVDC units is very effective as the losses are very minimal.

This is because it is not feasible to transmit AC over long distances, so it is easier to use HVDC when transferring electricity from one region of a country to another region or even when moving electricity from one country to another. The popularity of high-voltage direct current (HVDC) converter transformers is increasing because of the expansion of the HVDC market in developing countries. These transformers have significantly higher efficiencies as compared to the ones utilized in AC systems. The rise in the demand for energy will justify the increase in the demand for these transformers even in the future.

Government Initiatives and Policies

Many governments around the world have implemented or are implementing policies in order to promote the use of renewable energy and reduce greenhouse emissions. As a result, the global HVDC Converter Transformer Market is benefiting as a favorable environment for its growth is formed. For example, the Chinese government has implemented a policy with the goal of reaching carbon neutrality by 2060. In fact, achieving this target is expected to attract massive investment in the space of renewable energy as the country also has to invest in developing a transmission infrastructure that is HVDC-oriented to power its green revolution.The Indian government also has an ongoing initiative to promote the use of HVDC technology in the country. The Green Energy Corridor project is aimed at linking the many renewable energy generation plants that are spread across many states by constructing HVDC transmission lines that are capable of transporting bulk power. In conclusion, it is important to note that the role that government initiatives and policies are playing in the growth of the global HVDC transformer converter is vital.

Technological Advancements

The growth of the global HVDC Converter Transformer Market is also being driven by a number of technological factors. Technologically, HVDC converter transformers are becoming more sophisticated and efficient. This is due to the advancement in the levels of knowledge of materials science, power electronics, and control systems. For example, the use of new materials characterized by higher thermal conductivity and lower losses allows for the increased efficiency of HVDC.The development of power electronics is also a technologically significant market driver as it allows for the development of more compact and lighter devices. Overall, technological factors are driving the expanded use of HVDC in a variety of applications.

HVDC Converter Transformer Market Segment Insights

HVDC Converter Transformer Market Voltage Level Insights

The Global HVDC Converter Transformer Market is segmented by Voltage Level into Less than 100 kV, 100-300 kV, 300-600 kV, and Above 600 kV. Among these segments, the 300-600 kV segment is expected to hold the largest market share in 2023, accounting for around 40% of the global market. This dominance is attributed to the increasing demand for HVDC transmission systems for long-distance power transmission, as these systems offer lower power losses and higher efficiency compared to traditional AC transmission systems. The 100-300 kV segment is projected to witness the fastest growth over the forecast period, owing to the growing adoption of HVDC systems for offshore wind farm integration and interconnection of remote areas.The Less than 100 kV segment is expected to account for a relatively small share of the market, as these systems are typically used for shorter distances and lower power applications. The Above 600 kV segment is anticipated to gain traction in the coming years, driven by the development of ultra-high voltage (UHV) transmission systems for long-distance power transmission. Overall, the Global HVDC Converter Transformer Market is expected to experience significant growth in the coming years, driven by the increasing demand for HVDC transmission systems for renewable energy integration, grid stability, and interconnection of remote areas.

Source: Primary Research, Secondary Research, MRFR Database and Analyst Review

HVDC Converter Transformer Market Application Insights

The Application segment of the Global HVDC Converter Transformer Market holds significant importance, influencing the overall market growth. Offshore Wind Farms accounted for the largest market share in 2023, driven by the rising demand for renewable energy sources and government initiatives to reduce carbon emissions. The segment is expected to maintain its dominance throughout the forecast period, with a projected market value of USD 7.2 billion by 2032. Onshore Wind Farms are another key application, contributing significantly to the market revenue.The growing adoption of wind energy for power generation, particularly in regions with favorable wind conditions, is fueling the growth of this segment. Solar Power Plants represent a promising segment, with increasing investments in solar energy projects worldwide. The Interconnectors segment is crucial for enabling the transmission of electricity between different regions, enhancing grid stability and reliability. Industrial Applications, encompassing various industrial processes that require high-voltage direct current, are also driving market growth.

HVDC Converter Transformer Market Cooling System Insights

The Global HVDC Converter Transformer Market segmentation by Cooling System includes Oil-Filled, Dry-Type, and Water-Cooled. The Oil-Filled segment held the largest market share in 2023, accounting for over 60% of the Global HVDC Converter Transformer Market revenue. The segment is expected to continue to dominate the market in the coming years due to its advantages, such as high efficiency, reliability, and low maintenance costs. The Dry-Type segment is expected to grow at a faster CAGR during the forecast period. The segment is driven by the increasing demand for compact and lightweight transformers for renewable energy applications.The Water-Cooled segment is expected to witness a steady growth rate during the forecast period. The segment is driven by the increasing demand for transformers with high power density and efficiency for use in industrial and commercial applications.

HVDC Converter Transformer Market Phase Insights

The Global HVDC Converter Transformer Market is segmented by phase into single-phase and three-phase. Three-phase Hvdc Converter Transformers are expected to hold a larger market share due to their ability to handle higher power ratings and improved efficiency. The rising demand for high-voltage direct current (HVDC) transmission systems for long-distance power transmission is driving the growth of the three-phase HVDC Converter Transformer Market. The Global HVDC Converter Transformer Market for three-phase is projected to reach USD 15.64 Billion by 2024, growing at a CAGR of 9.2% from 2024 to 2032.Single-phase Hvdc Converter Transformers are expected to witness a steady growth rate due to their compact size and lower cost compared to three-phase transformers. The Global HVDC Converter Transformer Market for single-phase is projected to reach USD 9.36 Billion by 2024, growing at a CAGR of 7.8% from 2024 to 2032.

HVDC Converter Transformer Market Insulation Type Insights

The Global HVDC Converter Transformer Market is segmented by Insulation Type into Oil-Paper Insulation, Resin-Bonded Paper Insulation, and Gas-Insulated. Among these, the Oil-Paper Insulation segment held the largest market share in 2023, and it is expected to continue its dominance throughout the forecast period. The growth of this segment can be attributed to the high reliability, cost-effectiveness, and long lifespan of oil-paper-insulated transformers. However, the Resin-Bonded Paper Insulation segment is expected to witness the fastest growth during the forecast period, owing to its superior electrical and thermal properties, as well as its compact size and weight.The Gas-Insulated segment is also expected to grow at a steady pace, driven by the increasing demand for eco-friendly and fire-resistant transformers.

HVDC Converter Transformer Market Regional Insights

The Global HVDC Converter Transformer Market segmentation includes regional insights as well. The regional market is divided into North America, Europe, APAC, South America, and MEA. North America is expected to hold the largest market share in 2023, owing to the presence of key players in the region and increasing adoption of HVDC transmission systems. Europe is expected to witness significant growth in the coming years due to rising investments in renewable energy projects. The APAC region is anticipated to be the fastest-growing region over the forecast period, driven by growing demand for electricity and increasing investments in HVDC infrastructure.South America and MEA are expected to contribute to the overall market growth, with increasing demand for HVDC systems for long-distance power transmission.

Source: Primary Research, Secondary Research, MRFR Database and Analyst Review

HVDC Converter Transformer Market Key Players And Competitive Insights:

Key producers in the HVDC Converter Transformer Market are focusing on expanding their global presence. Leading HVDC Converter Transformer Market producers are investing substantial resources in research and development activities to develop innovative and efficient products and technologies. The HVDC Converter Transformer Market is experiencing an increasing number of strategic and collaborative research and development initiatives. Over the coming years, the HVDC Converter Transformer Market is projected to witness a fragmented competitive landscape.ABB is one of the world’s key industry producers, and it holds a significant share of the market for HVDC converter transformers on a global scale. The company has a product portfolio comprising both air-cooled and liquid-cooled models of HVDC converter transformers. ABB has a widespread presence across the world, operating in more than 100 countries. ABB’s products are used for various applications, such as power transmission, renewable energy integration, and industrial power supply. The company of ABB is known for the premium quality and efficiency of its products and its strong focus on innovation.Another leading producer in the HVDC Converter Transformer Market is Siemens, which has a prominent position on the global scale. The company offers a full-scale portfolio of HVDC converter transformers, including both single-phase and three-phase models. Siemens has a large global presence, operating across more than 190 countries. Siemens products are used in a broad range of applications, such as power transmission, renewable energy integration and industrial power supply. Siemens is recognized for the reliability and efficiency of its products and its strong customer orientation.

Key Companies in the HVDC Converter Transformer Market Include

• Nexans


• Hyosung Heavy Industries


• LS Cable System


• Sumitomo Corporation


• Hitachi


• Nisshin Electric


• ABB


• Mitsubishi Electric


• GE


• Toshiba


• Siemens


• Sumitomo Electric Industries


• Marubeni Corporation


• Prysmian Group


• Hyundai Electric Energy Systems

HVDC Converter Transformer Market Industry Developments

The global HVDC Converter Transformer Market is projected to grow from an estimated USD 11.85 billion in 2023 to USD 25.0 billion by 2032, exhibiting a CAGR of 8.65% during the forecast period. Increasing demand for clean and renewable energy sources, coupled with the growing adoption of HVDC transmission systems, is driving market growth. The rising need for efficient and reliable power transmission over long distances is also contributing to the market's expansion. Key recent developments include Siemens Energy's launch of a new HVDC converter transformer for offshore wind farms and ABB's development of a compact HVDC converter transformer with reduced losses. Asia-Pacific is expected to dominate the market due to the region's rapid economic growth and increasing investment in renewable energy projects.

HVDC Converter Transformer Market Segmentation Insights

HVDC Converter Transformer Market Voltage Level Outlook

• Less than 100 kV


• 100-300 kV


• 300-600 kV


• Above 600 kV

HVDC Converter Transformer Market Application Outlook

• Offshore Wind Farms


• Onshore Wind Farms


• Solar Power Plants


• Interconnectors


• Industrial Applications

HVDC Converter Transformer Market Cooling System Outlook

• Oil-Filled


• Dry-Type


• Water-Cooled

HVDC Converter Transformer Market Phase Outlook

• Single-Phase


• Three-Phase

HVDC Converter Transformer Market Insulation Type Outlook

• Oil-Paper Insulation


• Resin-Bonded Paper Insulation


• Gas-Insulated

HVDC Converter Transformer Market Regional Outlook

• North America


• Europe


• South America


• Asia Pacific


• Middle East and Africa