HD Hyundai Electric Makes First Entry into Sweden... Wins 66.2 Billion KRW Transformer Order

Contract for the Supply of Five Ultra-High Voltage Transformers

HD Hyundai Electric recently announced on the 30th that it has signed a power equipment supply contract worth approximately 66.2 billion KRW with a power company based in Sweden. The company plans to accelerate its entry into Europe by entering the Swedish market, which has high entry barriers, for the first time.

The ordered products are five units of 415kV (kilovolt) ultra-high voltage transformers. They are scheduled to be delivered sequentially by 2029.

Sweden, along with France, is considered one of the largest power exporters in Europe. This is the first time HD Hyundai Electric has secured an order for power equipment in Sweden.

Sweden produces a massive amount of electricity annually to supply power not only for domestic consumption but also to countries such as Germany, Poland, and Lithuania. According to the international statistics site Our World in Data (OWID), Sweden's electricity exports last year amounted to 28.72 TWh (terawatt-hours), second only to France (49.93 TWh). In 2022, Sweden exported 33.22 TWh, ranking first in Europe.

The transformers ordered this time will be used for substation expansion in Sweden due to the increase in renewable energy power generation. Recently, Sweden has been increasing transmission network capacity relative to power demand and promoting renewable energy generation to diversify energy sources in line with the global energy security trend.

Under the European Union (EU)'s Green Deal policy aiming for carbon neutrality by 2050, the green energy transition across industries such as transportation, steel, and defense has begun in earnest. The company expects that electricity demand within Europe, including Sweden, will further expand.

HD Hyundai Electric's annual order amount in the European region last year was 333.71 million USD (approximately 450 billion KRW), a 91.8% increase compared to the previous year.

An HD Hyundai Electric official said, "It is significant that we have been recognized for our competitiveness in the European market, which has high technological entry barriers, and have secured a foothold in the largest power exporting country in Europe." He added, "We will seek additional business opportunities through customized sales strategies tailored to the characteristics of European customers."