Energy transmission and dissipation during HVC lead to the uneven pressing force of the powder in the die cavity, which ultimately affects the densification and mechanical properties of powder metallurgy products. This study used the discrete element method (DEM) to monitor the energy transmission and dissipation of the powder system during HVC, investigate the relationship between the dissipation of kinetic energy and the impact energy during the loading stage, and consider the relationship between the strain energy release rate and the impact energy during the unloading stage. The results show that the boundary energy (impact energy) is mainly converted into strain, frictional, and damping energy, of which the kinetic energy is only an intermediate form and its attenuation equation is also obtained. The larger the porosity of the particle system is, the larger the dissipation factor β is, and the more serious the energy dissipation is. It can be found that the release rate of the strain energy gradually decreases with increasing impact energy, and the strain energy is significantly higher than the frictional energy in the green compacts.