HVDC Transmission System Industry Analysis in Korea

Analytical Study of HVDC Transmission System Demand in Korea from 2023 to 2033

The demand for HVDC transmission systems is expected to surge across Korea, particularly in South Gyeongsang and North Jeolla. By the end of 2023, sales of HVDC transmission systems are poised to reach a valuation of USD 266.8 million.

The demand for HVDC transmission systems in Korea is projected to develop at a 10.8% CAGR from 2023 to 2033, with the industry expected to reach USD 646.9 million by 2033.South Korea is actively promoting research and development in the energy industry, fostering the creation of cutting-edge HVDC transmission systems.

The government is creating an environment conducive to businesses for the development and implementation of innovative HVDC systems. This is achieved by providing incentives, subsidies, and investments in state-of-the-art technology.

This commitment aligns with larger objectives in Korea, such as reducing carbon emissions, improving energy efficiency, and ensuring a stable electricity supply. It further emphasizes the need for HVDC transmission lines in the country.

Attributes	Details
Industry size in 2023	USD 266.8 million
Expected Industry size by 2033	USD 646.9 million
Forecasted CAGR between 2023 to 2033	10.8%

Key Insights that Promotes the Sales of HVDC Transmission System in Korea

• Effective long distance power transmission- High Voltage Direct Current (HVDC) lines, essential for connecting distant power sources to key Korean cities, help reduce energy loss over extended distances.
• Integration of renewable energy sources- Accessories connected to fitness and wearable technology serve the expanding health and wellness trends in Korea.
• Grid performance- HVDC systems are the optimal choice for the rapidly evolving energy infrastructure due to their improved control and stability.

Key Trends Influencing Demand for HVDC Transmission System in Korea

• Cross-border HVDC links with China and Japan are being explored more and more by Korea. These linkages are driving the demand for an improved HVDC transmission system to maximize resource usage, increase energy commerce, and enhance regional energy security.
• Subsea HVDC transmission is becoming increasingly popular to tie offshore wind farms directly to the mainland grid. The ambitious aspirations of South Korea for offshore wind generation require sophisticated HVDC systems to transfer this renewable energy via offshore areas effectively.
• In Korea, smart grid and digitalization elements are being added to HVDC systems. This fits with the drive for a cutting-edge and effective power infrastructure in Korea. This is because it enables more agile and flexible grid management through sophisticated control, monitoring, and data analytics.

Category wise Insights

VSC Technology to Occupy a Significant Share of the Korea Industry

In 2023, the VSC technology is likely to gain an industry share of 60.1% in Korea. The country is actively expanding its capacity for renewable energy, particularly in wind and solar power. Variable and dispersed renewable energy sources can be efficiently integrated into the grid with the assistance of HVDC systems based on VSC.

Technology Segment	Voltage Source Converters (VSC) Technology
Expected share in 2023	60.1%

Because of its ability to precisely manage power flow, renewable energy can be seamlessly integrated, supporting regional efforts to reduce carbon emissions and switch to a cleaner energy mix.

VSC HVDC technology excels in improving power quality and grid stability. The growing demand, the need for grid resilience, and the integration of various energy sources pose challenges for the power infrastructure in Korea.

VSC-based systems are essential for preserving a dependable and robust power infrastructure. This is because they offer quick reaction times, enhanced fault tolerance, and voltage regulation, guaranteeing grid stability even in dynamic situations.

2000 MW and above Power Rating to Gain Momentum from 2023 to 2033

The 2000 MW and above power rating for HVDC transmission system in Korea is estimated to garner a 36.8% share in 2023.

Power Rating Segment	2000 MW and above
Expected share in 2023	36.8%

Enormous amounts of electrical power can be transmitted across great distances with minimal losses using HVDC systems rated at 2000 MW or above. These high power ratings allow efficient and reliable energy transmission in Korea, meeting the increasing demand for electricity, particularly in densely populated regions.

They are essential for moving electricity from isolated power supply sources to large load centers. This satisfies the growing energy requirements of industrial and urban areas.

Increased power ratings lead to increased system effectiveness. The total cost of transmitting power can be decreased using these 2000 MW systems as they transport more energy with minimal losses.

This efficiency is crucial in Korea, where cost effectiveness and sustainability depend on maximizing the use of both imported and domestic energy supplies.

Region wise Insights

In Korea, two provinces have been gaining the maximum HVDC transmission system demand: South Gyeongsang and North Jeolla.

Renewable Energy Opportunities to Bolster Demand in the South Gyeongsang

Significant potential for renewable energy, particularly in offshore wind energy, exists in South Gyeongsang. The coastal portions of the region are ideal for offshore wind turbines.

HVDC transmission systems are essential for efficiently transmitting power from offshore wind turbines to the mainland grid. The need to harness this immense offshore wind power opportunity and integrate it into the broader energy grid is driving the adoption of HVDC transmission systems in South Gyeongsang.

Solar Energy Infrastructure to Bolster Sales in North Jeolla

The capacity for solar energy in North Jeolla has been steadily increasing. Solar farms in the area utilize abundant sunlight to generate power. HVDC systems are vital for the efficient distribution of this solar energy. The growing reliance on solar energy sources is directly associated with increased HVDC transmission in North Jeolla.

Similar to South Gyeongsang, North Jeolla is susceptible to meteorological hazards, including typhoons. The regional system must be robust enough to withstand adverse weather conditions and maintain a steady electricity supply.

The potential of HVDC transmission system to improve grid resilience makes them preferable for areas susceptible to severe weather occurrences.

Competitive Landscape

Companies invest significantly in research and development to create cutting-edge technologies and solutions, aiming to remain competitive within the HVDC Transmission System industry.

This involves developing sophisticated monitoring and control systems, exploring novel materials and designs, and improving the effectiveness and reliability of HVDC systems. Innovations in these areas can provide businesses with a significant competitive edge, enabling them to offer their clients more efficient and cost-effective solutions.

Many Korean HVDC transmission system firms are aiming to increase their international market share to gain a competitive edge. This involves participating in global initiatives, forming strategic alliances with infrastructure and utility companies abroad, and exporting their expertise and technology.

By taking part in significant international initiatives, these businesses can showcase their expertise and build a strong global reputation. This is likely to lead to additional contracts and opportunities.

Recent Developments Observed in Korea HVDC Transmission System Ecosystem

Company	Recent Developments
Korea Electric Power Corporation (KEPCO)	In 2023, Turkey received a proposal from South Korea's Electric Power Corporation (KEPCO) to collaborate on the construction of four APR 1400 nuclear reactors, with a combined power output of 5.6 GW. The estimated value of the project is KRW 40,000 billion, equivalent to USD 32.5 billion. However, neither its location nor its timeline has been made public.
LS Electric	In 2023, LS Electric Co., a unit of the LS Group in South Korea specializing in power equipment manufacturing, announced the opening of its first North American manufacturing base in Texas, United States. This move is a crucial step for the firm, especially considering the increasing demand for power distribution systems from Korea-based companies in the chip, automotive, and battery sectors that are expanding their operations in the United States.

Scope of the Report

Attribute	Details
Estimated Industry Size in 2023	USD 266.8 million
Projected Industry Size in 2033	USD 646.9 million
Attributed CAGR between 2023 and 2033	10.8%
Historical Analysis of Demand for HVDC Transmission System in Korea Countries	2018 to 2022
Forecast Period	2023 to 2033
Report Coverage	Industry size, industry trends, analysis of key factors influencing HVDC transmission system in Korea, insights on global players and their industry strategy in Korea, ecosystem analysis of local and regional Korea providers
Key Cities within Korea Analyzed while Studying Opportunities for HVDC Transmission System in Korea	South Gyeongsang, North Jeolla, South Jeolla, Jeju
Key Companies Profiled	Korea Electric Power Corporation (KEPCO); LS Electric; Hyundai Electric & Energy Systems; Samcheonri Co. Ltd.; Hyosung Heavy Industries; Hyundai Heavy Industries; Samsung C&T; Doosan Heavy Industries & Construction; KET, Korea Electric Terminal Co. Ltd.; Taihan Electric Wire Co. Ltd.

Some of the Important Players in Korea Dealing with HVDC Transmission System

• Korea Electric Power Corporation, KEPCO
• LS Electric
• Hyundai Electric & Energy Systems
• Samcheonri Co. Ltd.
• Hyosung Heavy Industries
• Hyundai Heavy Industries
• Samsung C&T
• Doosan Heavy Industries & Construction
• KET, Korea Electric Terminal Co. Ltd.
• Taihan Electric Wire Co. Ltd

Table of Content

• 1. Executive Summary
• 2. Market Overview
• 3. Market Background
• 4. Industry Analysis and Outlook 2018 to 2022 and Forecast, 2023 to 2033
• 5. Industry Analysis and Outlook 2018 to 2022 and Forecast 2023 to 2033, By System Component
  • 5.1. Solution
  • 5.2. Services
• 6. Industry Analysis and Outlook 2018 to 2022 and Forecast 2023 to 2033, By Technology
  • 6.1. LCC
  • 6.2. VSC
  • 6.3. Others
• 7. Industry Analysis and Outlook 2018 to 2022 and Forecast 2023 to 2033, By Deployment
  • 7.1. Overhead
  • 7.2. Underground
  • 7.3. Subsea
  • 7.4. Combination
• 8. Industry Analysis and Outlook 2018 to 2022 and Forecast 2023 to 2033, By Power Rating
  • 8.1. Below 1000 MW
  • 8.2. 1000 - 2000 MW
  • 8.3. 2000 MW & above
• 9. Industry Analysis and Outlook 2018 to 2022 and Forecast 2023 to 2033, By Region
  • 9.1. South Gyeongsang
  • 9.2. North Jeolla
  • 9.3. South Jeolla
  • 9.4. Jeju
  • 9.5. Rest of Korea
• 10. South Gyeongsang Industry Analysis and Outlook 2018 to 2022 and Forecast 2023 to 2033
• 11. North Jeolla Industry Analysis and Outlook 2018 to 2022 and Forecast 2023 to 2033
• 12. South Jeolla Industry Analysis and Outlook 2018 to 2022 and Forecast 2023 to 2033
• 13. Jeju Industry Analysis and Outlook 2018 to 2022 and Forecast 2023 to 2033
• 14. Rest of Industry Analysis and Outlook 2018 to 2022 and Forecast 2023 to 2033
• 15. Market Structure Analysis
• 16. Competition Analysis
  • 16.1. ABB Ltd.
  • 16.2. Siemens AG
  • 16.3. Toshiba Corporation
  • 16.4. General Electric Co.
  • 16.5. Mitsubishi Electric Corporation
  • 16.6. Prysmian SpA
  • 16.7. TransGrid Solutions Inc.
  • 16.8. Abengoa S.A.
  • 16.9. ATCO LTD.
  • 16.10. LS Industrial Systems Co., Ltd.
• 17. Assumptions & Acronyms Used
• 18. Research Methodology