This paper discusses a new concept of multi-level reinjection VSC, its main purpose being a further reduction of the harmonic content, a solution of dynamic voltage balancing for direct series connected switching devices and an improvement of high power converter efficiency and reliability. In simulation, EMTDC-PSCAD is used to illustrate the steady state and dynamic performance in details. The VSC is showed to be a ideal solution for the statcom application. It is showed that this configuration provide very low distortion levels and reduced switching losses.