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In order to flexibly compensate reactive power, it is necessary to develop a controllable reactor in long distance and ultrahigh voltage system. A leakage flux-controlled reactor (LFCR) is developed in this paper. The operation principles of LFCR are discussed in detail, and a 380 V single-phase LFCR prototype is developed. Relevant experiments have been done to test its performance. The results of the experiments indicate that LFCR has no harmonic and the reactance of LFCR is stable. Also, LFCR with two control windings can realize four kinds of reactance adjustment rates: 1.94%, 75.99%, 90.53%, and 99.05%.