High Voltage Cable Market Forecast

High Voltage Cable Market Size:

The global high voltage cable market size reached US$ 42.1 Billion in 2023. Looking forward, IMARC Group expects the market to reach US$ 66.2 Billion by 2032, exhibiting a growth rate (CAGR) of 5% during 2024-2032. The market is primarily driven by the increasing demand for electricity, the rising renewable energy integration, the growing urbanization and infrastructure development, rise in grid modernization, and continual technological advancements in material science.

High Voltage Cable Market Analysis:

• Major Market Drivers: The increasing demand for electricity due to rapid urbanization and industrialization is a major driver of the high voltage cable market. Integration of renewable energy sources into national grids requires extensive high voltage cable networks to connect distant generation sites.
• Key Market Trends: The adoption of high-voltage direct current (HVDC) technology is a key trend, offering improved efficiency for long-distance power transmission. Advancements in material science are leading to the development of more durable and higher-capacity cables, which enhance overall grid reliability. There is also a growing trend towards underground and submarine cable installations to minimize environmental impact and improve aesthetic value in urban areas, thereby enhancing the high voltage cable market statistics.
• Geographical Trends: Asia-Pacific is experiencing rapid market growth due to substantial investments in power infrastructure and high rates of urbanization in countries like China and India, thereby contributing to market expansion. Europe is seeing a significant push towards renewable energy integration, driving demand for high voltage cables to connect offshore wind farms. North America is focused on upgrading its aging grid infrastructure, with considerable investments in modern high voltage transmission systems, thereby propelling the market growth.
• Competitive Landscape: Some of the key market players augmenting the high voltage cable market size include Brugg Kabel AG, Ducab, LS Cable & System Ltd, NEXANS, NKT A/S, Prysmian Group, Siemens AG, Southwire Company LLC, Sumitomo Electric Industries Ltd., TBEA Co. Ltd. and TELE-FONIKA Kable S.A.
• Challenges and Opportunities: High initial costs and complex installation processes pose significant challenges to the expansion of high voltage cable networks. However, the increasing focus on renewable energy and smart grid technologies presents substantial growth opportunities for the high voltage cable market. Regulatory hurdles and the need for skilled labor can impede market growth, but technological advancements and government support can help mitigate these challenges.
   

High Voltage Cable Market Trends:

Replacement of aged grid infrastructure and the increasing number of smart grids

The increased demand for energy due to population growth and rapid urbanization will drive the global high voltage cables market. Aged grid infrastructure that has met power distribution and transmission needs to date is being replaced by new advanced smart grids. The proposed grids necessitate the establishment of a new transmission network. High voltage cables with a high current carrying capacity over long distances are recommended for these networks over alternative options. This will fuel high voltage cable market share expansion throughout the forecast period.

Rapid industrialization and urbanization

Global industrialization and urbanization are driving up the demand for electricity. As a result, rising power demand would necessitate greater power generation and transmission, increasing the need for high-voltage cables. The necessity for electrification in developing countries like China, Japan, and India has resulted in the development of various renewable energy projects over the last decade. As a result, the need for high-voltage cables in power distribution centers and industries including power utilities, oil and gas, and mining is fast expanding, thereby creating a positive high voltage cable market outlook.

Rising penetration of renewables in power generation

Growing concerns about greenhouse gas emissions, combined with increased energy consumption, have prompted countries to seek alternative power generation sources. Renewable energy sources, particularly wind and solar, are the preferred source of energy generation. This increased use of renewables leads to the construction of additional transmission lines, which drives the global market. In the future years, Europe and North America intend to significantly reduce carbon emissions, which will undoubtedly enhance the market for renewables and, by extension, high voltage cable market demand.

High Voltage Cable Market Segmentation:

IMARC Group provides an analysis of the key trends in each segment of the market, along with forecasts at the global, regional, and country levels for 2024-2032. Our report has categorized the market based on installation, voltage type, and end user.

Breakup by Installation:

• Overhead
• Underground
• Submarine
   

Overhead dominates the market

The report has provided a detailed breakup and analysis of the market based on the installation. This includes overhead, underground, and submarine. According to the report, overhead represented the largest segment.

According to the high voltage cable market industry report, the overhead segment dominates the market. Overhead installation has remained the most popular technique. It is the most comfortable and cost-effective method of installation, requiring only average installation skills. The ease of installation and reduced gearbox losses over long distances are important factors driving the expansion of overhead installations. Another reason for the widespread use of overhead cables is the cost benefit they bring by eliminating the need for complicated technologies.

Breakup by Voltage Type:

• 50kV-110kV
• 115kV-330kV
• More than 330kV
   

A detailed breakup and analysis of the market based on the voltage type have also been provided in the report. This includes 50Kv – 110kV, 115kV – 330kV, and more than 330kV.

Breakup by End User:

• Industrial
  • Power Utilities
  • Oil and Gas
  • Mining
  • Chemical and Petrochemical
  • Others
• Renewable Energy
  • Wind
  • Hydropower
  • Others
• Infrastructure
  • Commercial
  • Residential
     

Industrial holds the maximum share in the market

A detailed breakup and analysis of the market based on the end user have also been provided in the report. This includes industrial (power utilities, oil and gas, mining, chemical and petrochemical, and others), renewable energy (wind, hydropower, and others), and infrastructure (commercial and residential). According to the report, industrial accounted for the largest market share.

The industrial segment contributes to the majority share of the high voltage cable market segmentation. The massive machines that are operated in factories require a lot of power and current. As a result, high-voltage cables are utilized to transmit and distribute electricity from the main grids to industrial substations. Underground and overhead cables are commonly used to carry power in industries such as mining and metals, power utilities, manufacturing, and others (paper and pulp, wastewater treatment, and cement production). Submarine cables are used to transport power in the oil and gas industries, which operate within ocean or river basins.

Breakup by Region:

• North America
  • United States
  • Canada
• Asia-Pacific
  • China
  • Japan
  • India
  • South Korea
  • Australia
  • Indonesia
  • Others
• Europe
  • Germany
  • France
  • United Kingdom
  • Italy
  • Spain
  • Russia
  • Others
• Latin America
  • Brazil
  • Mexico
  • Others
• Middle East and Africa
   

Asia Pacific leads the market, accounting for the largest high voltage cable market share

The market research report has also provided a comprehensive analysis of all the major regional markets, which include North America (the United States and Canada); Asia Pacific (China, Japan, India, South Korea, Australia, Indonesia, and others); Europe (Germany, France, the United Kingdom, Italy, Spain, Russia, and others); Latin America (Brazil, Mexico, and others); and the Middle East and Africa. According to the report, Asia Pacific represents the largest regional market for high voltage cable.

Asia-Pacific was the highest revenue contributor and is estimated to grow at a faster rate in the coming years. It is one of the largest electricity producers in the world. The increase in electricity production across the region has augmented the usage of high-voltage cables in this region. Several government initiatives, such as rising investment and policies for renewable energy projects, have promoted the growth of the high voltage cable market. Moreover, numerous leading players have entered the global market to improve their market outreach. Besides, an increase in oil and gas exploration activities, metals, and mining and a growth in construction activities are expected to bolster the requirement for high-voltage cables. The renewable sector has seen major developments in this region, which acts as a growth driver. This region is expected to expand during the forecast period, due to the growing solar sector, which would propel the high voltage cable market growth in this region.

Competitive Landscape:

The market research report has provided a comprehensive analysis of the competitive landscape. Detailed profiles of all major companies have also been provided. Some of the key players in the market include:

• Brugg Kabel AG
• Ducab
• LS Cable & System Ltd
• NEXANS
• NKT A/S
• Prysmian Group
• Siemens AG
• Southwire Company LLC
• Sumitomo Electric Industries Ltd.
• TBEA Co. Ltd.
• TELE-FONIKA Kable S.A.
   

(Please note that this is only a partial list of the key players, and the complete list is provided in the report.)

Major players are pursuing a variety of organic and inorganic growth strategies, including mergers, acquisitions, and collaborations. For example, in August 2016, Nexans and American Superconductor Corporation (AMSC) formed a collaboration to market AMSC's Resilient Electric Grid (REG) system. In June 2016, Nexans signed a framework agreement with Energinet.dk, a Danish Transmission System Operator (TSO). The arrangement was valued more than 20 billion euros and called for the delivery of 500 kilometers of high-voltage cables. Extensive investments in smart grid transmission have prompted players to aggressively seek contracts and agreements. For example, in 2017, LS Cable & System Ltd. was awarded a contract by the Power Grid Company of Bangladesh (PGCB) for an overhead cable project for $60 billion. LS Cable & System Ltd. will manufacture, supply, and build the project's transmission towers.

High Voltage Cable Market News:

• March 30, 2023: Ducab Group, one of the top cable companies in UAE, announced the consolidation of its metals operations to create a new subsidiary, Ducab Metals Business (DMB). This move created a dedicated business unit within the company, committed to supplying copper and aluminium solutions for the electrical supply chain.
• June 1, 2024: LS recently announced it is expanding its manufacturing capabilities with the construction of a new manufacturing plant in Queretaro, Mexico. This state-of-the-art facility will specialize in producing large capacity busway systems for both the US and international markets.
• June 6, 2024: Nexans, a leader in the global energy transition, announced the completion of its acquisition of La Triveneta Cavi, one of the European leaders in medium- and low voltage cables. The acquisition is a significant leap forward in Nexans’ strategy to become an electrification pure player.

High Voltage Cable Market Report Scope:

Key Benefits for Stakeholders:

• IMARC’s industry report offers a comprehensive quantitative analysis of various market segments, historical and current market trends, market forecasts, and dynamics of the high voltage cable market from 2018-2032.
• The research report provides the latest information on the market drivers, challenges, and opportunities in the global high voltage cable market.
• The study maps the leading, as well as the fastest-growing, regional markets. It further enables stakeholders to identify the key country-level markets within each region.
• Porter's five forces analysis assists stakeholders in assessing the impact of new entrants, competitive rivalry, supplier power, buyer power, and the threat of substitution. It helps stakeholders to analyze the level of competition within the high voltage cable industry and its attractiveness.
• The competitive landscape allows stakeholders to understand their competitive environment and provides insight into the current positions of key players in the market.