Global Flexible AC Transmission Systems (FACTS) Market Size, Share & Forecast, by Compensation Type (Shunt, Series, and Combined), by Generation Type, by Component, by Application, by Functionality, and Regional Forecasts 2025-2035

Description

The Global Flexible AC Transmission Systems (FACTS) Market is valued at approximately USD 1.42 billion in 2024 and is anticipated to expand at a compound annual growth rate (CAGR) of 5.40% during the forecast period of 2025-2035, reaching nearly USD 2.53 billion by 2035. FACTS technology represents a breakthrough in modern electrical grid infrastructure, enabling utilities to enhance transmission capacity, improve system stability, and ensure efficient power delivery without physically upgrading existing transmission lines. As global energy demand continues to surge alongside the accelerating integration of renewable energy sources, FACTS systems are becoming indispensable in managing grid reliability and dynamic voltage control. The technology's ability to mitigate power fluctuations, stabilize voltage, and enhance load flow has positioned it as a cornerstone of smart grid transformation. Growing investments in grid modernization, coupled with increasing pressure to optimize aging transmission infrastructure, are major factors driving the global FACTS market forward.

Moreover, the rapid penetration of renewable energy and distributed generation systems has intensified the need for grid flexibility. FACTS devices such as Static VAR Compensators (SVCs), Static Synchronous Compensators (STATCOMs), and Unified Power Flow Controllers (UPFCs) play a critical role in managing the intermittent nature of wind and solar power by dynamically balancing reactive power and stabilizing frequency variations. According to the International Energy Agency (IEA), renewable energy capacity is projected to expand by more than 60% by 2030, further amplifying the necessity for FACTS to maintain power quality and network stability. In parallel, government-led initiatives promoting smart grids and cross-border power interconnections are creating new opportunities for market expansion. However, the high installation costs, complex integration with existing grid architectures, and limited awareness in emerging economies may restrict widespread adoption in the near term.

The detailed segments and sub-segments included in the report are:

By Compensation Type:

Shunt
Series
Combined

By Generation Type:

First Generation
Second Generation

By Component:

Power Electronic Devices
Phase Shifting Transformers
Protection & Control Systems
Capacitors & Reactors
Others

By Application:

Voltage Control
Power Flow Management
Reactive Power Compensation
Stability Improvement
Others

By Functionality:

Steady-State Control
Dynamic Control

By Region:

North America
U.S.
Canada
Europe
UK
Germany
France
Spain
Italy
Rest of Europe
Asia Pacific
China
India
Japan
Australia
South Korea
Rest of Asia Pacific
Latin America
Brazil
Mexico
Middle East & Africa
UAE
Saudi Arabia
South Africa
Rest of Middle East & Africa
Among the compensation types, Shunt Compensation Systems are expected to dominate the Global FACTS Market throughout the forecast period. Shunt devices, such as STATCOMs and SVCs, are extensively used to provide voltage stabilization, power factor correction, and reactive power compensation, making them essential components of modern transmission networks. Their deployment has accelerated across high-voltage and ultra-high-voltage networks due to their proven ability to enhance load flow and mitigate voltage sags. As energy grids become more complex and distributed with the integration of renewables, shunt compensators are playing a pivotal role in maintaining system resilience. Meanwhile, combined compensation systems-which integrate the functionalities of both shunt and series devices-are projected to grow rapidly due to their capability to handle both reactive and active power control simultaneously, providing utilities with a flexible solution for dynamic grid management.
When considering revenue generation, Series Compensation Systems currently lead the FACTS Market, accounting for a substantial share in 2024. Series compensators improve the transmission line's power transfer capability by reducing the effective reactance, thereby enhancing system efficiency and reducing losses. Their widespread use in high-voltage transmission corridors and cross-border interconnections has solidified their dominance. As countries upgrade their power infrastructure to handle higher transmission loads, series systems are increasingly being deployed in both developed and emerging markets. Although series compensators hold the lead, combined systems are projected to witness significant growth over the next decade, driven by technological innovations and the rising need for flexible grid solutions that can adapt to variable power flows and renewable energy penetration.
Regionally, North America holds the largest share of the Global FACTS Market, underpinned by its extensive investment in grid modernization and renewable energy integration. The U.S. and Canada are leading adopters of advanced FACTS technologies to enhance transmission reliability and manage fluctuating loads resulting from renewable generation. Furthermore, the region's strong regulatory framework supporting smart grid initiatives and decarbonization strategies continues to encourage FACTS implementation. Meanwhile, Asia Pacific is poised to emerge as the fastest-growing regional market during 2025-2035. Rapid industrialization, urbanization, and expanding power transmission networks in China, India, and Southeast Asia are driving massive demand for FACTS-based solutions. The need to reduce transmission losses and improve power quality in large-scale renewable projects further supports this growth. Europe, on the other hand, maintains a steady trajectory, benefiting from its commitment to grid stability and the ongoing transition toward low-carbon energy systems.

Major market players included in this report are:

ABB Ltd.
General Electric Company
Siemens Energy AG
Mitsubishi Electric Corporation
Hyundai Electric & Energy Systems Co., Ltd.
Toshiba Corporation
NR Electric Co., Ltd.
Hitachi Energy Ltd.
American Superconductor Corporation
Power Grid Corporation of India Limited
Eaton Corporation Plc
Schneider Electric SE
Infineon Technologies AG
Raychem RPG Pvt. Ltd.
Xi'an XD Electric Co., Ltd.

Global Flexible AC Transmission Systems (FACTS) Market Report Scope:

Historical Data - 2023, 2024
Base Year for Estimation - 2024
Forecast period - 2025-2035
Report Coverage - Revenue Forecast, Company Ranking, Competitive Landscape, Growth Factors, and Trends
Regional Scope - North America; Europe; Asia Pacific; Latin America; Middle East & Africa
Customization Scope - Free report customization (equivalent to up to 8 analysts' working hours) with purchase. Addition or alteration to country, regional & segment scope*

The objective of the study is to define market sizes of different segments and countries in recent years and forecast their values for the upcoming decade. The report incorporates both qualitative and quantitative aspects of the industry across participating regions. It also provides in-depth insights into key driving factors, emerging challenges, and untapped opportunities that will define future market dynamics. Additionally, it offers a comprehensive analysis of the competitive landscape, product innovations, and strategic developments among leading market participants. The detailed segments and sub-segments of the market are explained above.

Key Takeaways:

Market Estimates & Forecast for 10 years from 2025 to 2035.
Annualized revenues and regional-level analysis for each market segment.
Detailed analysis of the geographical landscape with country-level breakdowns.
Competitive landscape profiling major players in the market.
Analysis of key business strategies and recommendations for future market positioning.
Assessment of the competitive structure of the market.
In-depth demand and supply-side analysis to support strategic decision-making.

Chapter 1. Global Flexible AC Transmission Systems (FACTS) Market Report Scope & Methodology

1.1. Research Objective
1.2. Research Methodology
- 1.2.1. Forecast Model
- 1.2.2. Desk Research
- 1.2.3. Top Down and Bottom-Up Approach
1.3. Research Attributes
1.4. Scope of the Study
- 1.4.1. Market Definition
- 1.4.2. Market Segmentation
1.5. Research Assumption
- 1.5.1. Inclusion & Exclusion
- 1.5.2. Limitations
- 1.5.3. Years Considered for the Study

Chapter 2. Executive Summary

2.1. CEO/CXO Standpoint
2.2. Strategic Insights
2.3. ESG Analysis
2.4. key Findings

Chapter 3. Global Flexible AC Transmission Systems (FACTS) Market Forces Analysis

3.1. Market Forces Shaping The Global Flexible AC Transmission Systems (FACTS) Market (2024-2035)
3.2. Drivers
- 3.2.1. Surging global energy demand
- 3.2.2. Growing investments in grid modernization
3.3. Restraints
- 3.3.1. high installation costs
3.4. Opportunities
- 3.4.1. increasing pressure to optimize aging transmission infrastructure

Chapter 4. Global Flexible AC Transmission Systems (FACTS) Industry Analysis

4.1. Porter's 5 Forces Model
- 4.1.1. Bargaining Power of Buyer
- 4.1.2. Bargaining Power of Supplier
- 4.1.3. Threat of New Entrants
- 4.1.4. Threat of Substitutes
- 4.1.5. Competitive Rivalry
4.2. Porter's 5 Force Forecast Model (2024-2035)
4.3. PESTEL Analysis
- 4.3.1. Political
- 4.3.2. Economical
- 4.3.3. Social
- 4.3.4. Technological
- 4.3.5. Environmental
- 4.3.6. Legal
4.4. Top Investment Opportunities
4.5. Top Winning Strategies (2025)
4.6. Market Share Analysis (2024-2025)
4.7. Global Pricing Analysis And Trends 2025
4.8. Analyst Recommendation & Conclusion

Chapter 5. Global Flexible AC Transmission Systems (FACTS) Market Size & Forecasts by Compensation Type 2025-2035

5.1. Market Overview
5.2. Global Flexible AC Transmission Systems (FACTS) Market Performance - Potential Analysis (2025)
5.3. Shunt
- 5.3.1. Top Countries Breakdown Estimates & Forecasts, 2024-2035
- 5.3.2. Market size analysis, by region, 2025-2035
5.4. Series
- 5.4.1. Top Countries Breakdown Estimates & Forecasts, 2024-2035
- 5.4.2. Market size analysis, by region, 2025-2035
5.5. Combined
- 5.5.1. Top Countries Breakdown Estimates & Forecasts, 2024-2035
- 5.5.2. Market size analysis, by region, 2025-2035

Chapter 6. Global Flexible AC Transmission Systems (FACTS) Market Size & Forecasts by Generation Type 2025-2035

6.1. Market Overview
6.2. Global Flexible AC Transmission Systems (FACTS) Market Performance - Potential Analysis (2025)
6.3. First Generation
- 6.3.1. Top Countries Breakdown Estimates & Forecasts, 2024-2035
- 6.3.2. Market size analysis, by region, 2025-2035
6.4. Second Generation
- 6.4.1. Top Countries Breakdown Estimates & Forecasts, 2024-2035
- 6.4.2. Market size analysis, by region, 2025-2035

Chapter 7. Global Flexible AC Transmission Systems (FACTS) Market Size & Forecasts by Component 2025-2035

7.1. Market Overview
7.2. Global Flexible AC Transmission Systems (FACTS) Market Performance - Potential Analysis (2025)
7.3. Power Electronic Devices
- 7.3.1. Top Countries Breakdown Estimates & Forecasts, 2024-2035
- 7.3.2. Market size analysis, by region, 2025-2035
7.4. Phase Shifting Transformers
- 7.4.1. Top Countries Breakdown Estimates & Forecasts, 2024-2035
- 7.4.2. Market size analysis, by region, 2025-2035
7.5. Protection & Control Systems
- 7.5.1. Top Countries Breakdown Estimates & Forecasts, 2024-2035
- 7.5.2. Market size analysis, by region, 2025-2035
7.6. Capacitors & Reactors
- 7.6.1. Top Countries Breakdown Estimates & Forecasts, 2024-2035
- 7.6.2. Market size analysis, by region, 2025-2035
7.7. Others
- 7.7.1. Top Countries Breakdown Estimates & Forecasts, 2024-2035
- 7.7.2. Market size analysis, by region, 2025-2035

Chapter 8. Global Flexible AC Transmission Systems (FACTS) Market Size & Forecasts by Application 2025-2035

8.1. Market Overview
8.2. Global Flexible AC Transmission Systems (FACTS) Market Performance - Potential Analysis (2025)
8.3. Voltage Control
- 8.3.1. Top Countries Breakdown Estimates & Forecasts, 2024-2035
- 8.3.2. Market size analysis, by region, 2025-2035
8.4. Power Flow Management
- 8.4.1. Top Countries Breakdown Estimates & Forecasts, 2024-2035
- 8.4.2. Market size analysis, by region, 2025-2035
8.5. Reactive Power Compensation
- 8.5.1. Top Countries Breakdown Estimates & Forecasts, 2024-2035
- 8.5.2. Market size analysis, by region, 2025-2035
8.6. Stability Improvement
- 8.6.1. Top Countries Breakdown Estimates & Forecasts, 2024-2035
- 8.6.2. Market size analysis, by region, 2025-2035
8.7. Others
- 8.7.1. Top Countries Breakdown Estimates & Forecasts, 2024-2035
- 8.7.2. Market size analysis, by region, 2025-2035

Chapter 9. Global Flexible AC Transmission Systems (FACTS) Market Size & Forecasts by Functionality 2025-2035

9.1. Market Overview
9.2. Global Flexible AC Transmission Systems (FACTS) Market Performance - Potential Analysis (2025)
9.3. Steady-State Control
- 9.3.1. Top Countries Breakdown Estimates & Forecasts, 2024-2035
- 9.3.2. Market size analysis, by region, 2025-2035
9.4. Dynamic Control
- 9.4.1. Top Countries Breakdown Estimates & Forecasts, 2024-2035
- 9.4.2. Market size analysis, by region, 2025-2035

Chapter 10. Global Flexible AC Transmission Systems (FACTS) Market Size & Forecasts by Region 2025-2035

10.1. Growth Flexible AC Transmission Systems (FACTS) Market, Regional Market Snapshot
10.2. Top Leading & Emerging Countries
10.3. North America Flexible AC Transmission Systems (FACTS) Market
- 10.3.1. U.S. Flexible AC Transmission Systems (FACTS) Market
  - 10.3.1.1. Compensation Type breakdown size & forecasts, 2025-2035
  - 10.3.1.2. Generation Type breakdown size & forecasts, 2025-2035
  - 10.3.1.3. Component breakdown size & forecasts, 2025-2035
  - 10.3.1.4. Application breakdown size & forecasts, 2025-2035
  - 10.3.1.5. Functionality breakdown size & forecasts, 2025-2035
- 10.3.2. Canada Flexible AC Transmission Systems (FACTS) Market
  - 10.3.2.1. Compensation Type breakdown size & forecasts, 2025-2035
  - 10.3.2.2. Generation Type breakdown size & forecasts, 2025-2035
  - 10.3.2.3. Component breakdown size & forecasts, 2025-2035
  - 10.3.2.4. Application breakdown size & forecasts, 2025-2035
  - 10.3.2.5. Functionality breakdown size & forecasts, 2025-2035
10.4. Europe Flexible AC Transmission Systems (FACTS) Market
- 10.4.1. UK Flexible AC Transmission Systems (FACTS) Market
  - 10.4.1.1. Compensation Type breakdown size & forecasts, 2025-2035
  - 10.4.1.2. Generation Type breakdown size & forecasts, 2025-2035
  - 10.4.1.3. Component breakdown size & forecasts, 2025-2035
  - 10.4.1.4. Application breakdown size & forecasts, 2025-2035
  - 10.4.1.5. Functionality breakdown size & forecasts, 2025-2035
- 10.4.2. Germany Flexible AC Transmission Systems (FACTS) Market
  - 10.4.2.1. Compensation Type breakdown size & forecasts, 2025-2035
  - 10.4.2.2. Generation Type breakdown size & forecasts, 2025-2035
  - 10.4.2.3. Component breakdown size & forecasts, 2025-2035
  - 10.4.2.4. Application breakdown size & forecasts, 2025-2035
  - 10.4.2.5. Functionality breakdown size & forecasts, 2025-2035
- 10.4.3. France Flexible AC Transmission Systems (FACTS) Market
  - 10.4.3.1. Compensation Type breakdown size & forecasts, 2025-2035
  - 10.4.3.2. Generation Type breakdown size & forecasts, 2025-2035
  - 10.4.3.3. Component breakdown size & forecasts, 2025-2035
  - 10.4.3.4. Application breakdown size & forecasts, 2025-2035
  - 10.4.3.5. Functionality breakdown size & forecasts, 2025-2035
- 10.4.4. Spain Flexible AC Transmission Systems (FACTS) Market
  - 10.4.4.1. Compensation Type breakdown size & forecasts, 2025-2035
  - 10.4.4.2. Generation Type breakdown size & forecasts, 2025-2035
  - 10.4.4.3. Component breakdown size & forecasts, 2025-2035
  - 10.4.4.4. Application breakdown size & forecasts, 2025-2035
  - 10.4.4.5. Functionality breakdown size & forecasts, 2025-2035
- 10.4.5. Italy Flexible AC Transmission Systems (FACTS) Market
  - 10.4.5.1. Compensation Type breakdown size & forecasts, 2025-2035
  - 10.4.5.2. Generation Type breakdown size & forecasts, 2025-2035
  - 10.4.5.3. Component breakdown size & forecasts, 2025-2035
  - 10.4.5.4. Application breakdown size & forecasts, 2025-2035
  - 10.4.5.5. Functionality breakdown size & forecasts, 2025-2035
- 10.4.6. Rest of Europe Flexible AC Transmission Systems (FACTS) Market
  - 10.4.6.1. Compensation Type breakdown size & forecasts, 2025-2035
  - 10.4.6.2. Generation Type breakdown size & forecasts, 2025-2035
  - 10.4.6.3. Component breakdown size & forecasts, 2025-2035
  - 10.4.6.4. Application breakdown size & forecasts, 2025-2035
  - 10.4.6.5. Functionality breakdown size & forecasts, 2025-2035
10.5. Asia Pacific Flexible AC Transmission Systems (FACTS) Market
- 10.5.1. China Flexible AC Transmission Systems (FACTS) Market
  - 10.5.1.1. Compensation Type breakdown size & forecasts, 2025-2035
  - 10.5.1.2. Generation Type breakdown size & forecasts, 2025-2035
  - 10.5.1.3. Component breakdown size & forecasts, 2025-2035
  - 10.5.1.4. Application breakdown size & forecasts, 2025-2035
  - 10.5.1.5. Functionality breakdown size & forecasts, 2025-2035
- 10.5.2. India Flexible AC Transmission Systems (FACTS) Market
  - 10.5.2.1. Compensation Type breakdown size & forecasts, 2025-2035
  - 10.5.2.2. Generation Type breakdown size & forecasts, 2025-2035
  - 10.5.2.3. Component breakdown size & forecasts, 2025-2035
  - 10.5.2.4. Application breakdown size & forecasts, 2025-2035
  - 10.5.2.5. Functionality breakdown size & forecasts, 2025-2035
- 10.5.3. Japan Flexible AC Transmission Systems (FACTS) Market
  - 10.5.3.1. Compensation Type breakdown size & forecasts, 2025-2035
  - 10.5.3.2. Generation Type breakdown size & forecasts, 2025-2035
  - 10.5.3.3. Component breakdown size & forecasts, 2025-2035
  - 10.5.3.4. Application breakdown size & forecasts, 2025-2035
  - 10.5.3.5. Functionality breakdown size & forecasts, 2025-2035
- 10.5.4. Australia Flexible AC Transmission Systems (FACTS) Market
  - 10.5.4.1. Compensation Type breakdown size & forecasts, 2025-2035
  - 10.5.4.2. Generation Type breakdown size & forecasts, 2025-2035
  - 10.5.4.3. Component breakdown size & forecasts, 2025-2035
  - 10.5.4.4. Application breakdown size & forecasts, 2025-2035
  - 10.5.4.5. Functionality breakdown size & forecasts, 2025-2035
- 10.5.5. South Korea Flexible AC Transmission Systems (FACTS) Market
  - 10.5.5.1. Compensation Type breakdown size & forecasts, 2025-2035
  - 10.5.5.2. Generation Type breakdown size & forecasts, 2025-2035
  - 10.5.5.3. Component breakdown size & forecasts, 2025-2035
  - 10.5.5.4. Application breakdown size & forecasts, 2025-2035
  - 10.5.5.5. Functionality breakdown size & forecasts, 2025-2035
- 10.5.6. Rest of APAC Flexible AC Transmission Systems (FACTS) Market
  - 10.5.6.1. Compensation Type breakdown size & forecasts, 2025-2035
  - 10.5.6.2. Generation Type breakdown size & forecasts, 2025-2035
  - 10.5.6.3. Component breakdown size & forecasts, 2025-2035
  - 10.5.6.4. Application breakdown size & forecasts, 2025-2035
  - 10.5.6.5. Functionality breakdown size & forecasts, 2025-2035
10.6. Latin America Flexible AC Transmission Systems (FACTS) Market
- 10.6.1. Brazil Flexible AC Transmission Systems (FACTS) Market
  - 10.6.1.1. Compensation Type breakdown size & forecasts, 2025-2035
  - 10.6.1.2. Generation Type breakdown size & forecasts, 2025-2035
  - 10.6.1.3. Component breakdown size & forecasts, 2025-2035
  - 10.6.1.4. Application breakdown size & forecasts, 2025-2035
  - 10.6.1.5. Functionality breakdown size & forecasts, 2025-2035
- 10.6.2. Mexico Flexible AC Transmission Systems (FACTS) Market
  - 10.6.2.1. Compensation Type breakdown size & forecasts, 2025-2035
  - 10.6.2.2. Generation Type breakdown size & forecasts, 2025-2035
  - 10.6.2.3. Component breakdown size & forecasts, 2025-2035
  - 10.6.2.4. Application breakdown size & forecasts, 2025-2035
  - 10.6.2.5. Functionality breakdown size & forecasts, 2025-2035
10.7. Middle East and Africa Flexible AC Transmission Systems (FACTS) Market
- 10.7.1. UAE Flexible AC Transmission Systems (FACTS) Market
  - 10.7.1.1. Compensation Type breakdown size & forecasts, 2025-2035
  - 10.7.1.2. Generation Type breakdown size & forecasts, 2025-2035
  - 10.7.1.3. Component breakdown size & forecasts, 2025-2035
  - 10.7.1.4. Application breakdown size & forecasts, 2025-2035
  - 10.7.1.5. Functionality breakdown size & forecasts, 2025-2035
- 10.7.2. Saudi Arabia (KSA) Flexible AC Transmission Systems (FACTS) Market
  - 10.7.2.1. Compensation Type breakdown size & forecasts, 2025-2035
  - 10.7.2.2. Generation Type breakdown size & forecasts, 2025-2035
  - 10.7.2.3. Component breakdown size & forecasts, 2025-2035
  - 10.7.2.4. Application breakdown size & forecasts, 2025-2035
  - 10.7.2.5. Functionality breakdown size & forecasts, 2025-2035
- 10.7.3. South Africa Flexible AC Transmission Systems (FACTS) Market
  - 10.7.3.1. Compensation Type breakdown size & forecasts, 2025-2035
  - 10.7.3.2. Generation Type breakdown size & forecasts, 2025-2035
  - 10.7.3.3. Component breakdown size & forecasts, 2025-2035
  - 10.7.3.4. Application breakdown size & forecasts, 2025-2035
  - 10.7.3.5. Functionality breakdown size & forecasts, 2025-2035

Chapter 11. Competitive Intelligence

11.1. Top Market Strategies
11.2. ABB Ltd.
- 11.2.1. Company Overview
- 11.2.2. Key Executives
- 11.2.3. Company Snapshot
- 11.2.4. Financial Performance (Subject to Data Availability)
- 11.2.5. Product/Services Port
- 11.2.6. Recent Development
- 11.2.7. Market Strategies
- 11.2.8. SWOT Analysis
11.3. General Electric Company
11.4. Siemens Energy AG
11.5. Mitsubishi Electric Corporation
11.6. Hyundai Electric & Energy Systems Co., Ltd.
11.7. Toshiba Corporation
11.8. NR Electric Co., Ltd.
11.9. Hitachi Energy Ltd.
11.10. American Superconductor Corporation
11.11. Power Grid Corporation of India Limited
11.12. Eaton Corporation Plc
11.13. Schneider Electric SE
11.14. Infineon Technologies AG
11.15. Raychem RPG Pvt. Ltd.
11.16. Xi'an XD Electric Co., Ltd.