The high-voltage direct current (HVDC) transmission active power modulation and static reactive compensation device (STATCOM) voltage regulation on power system of low frequency oscillation suppression principle is analyzed. During DC power modulation process, the consumption of reactive power will also change with it. The converter voltage changes and it causes parallel AC lines power changes, and it's disadvantageous to DC power modulation effect. Reactive power and voltage control ability of STATCOM can be used to restrain the negative effects to the dc modulation. Using Simplex optimization algorithm to coordinate their control to suppress low frequency oscillation. The simulation results show that the coordination control, has good effect to suppress the area low frequency oscillation.