According to the new research report on "Power and Control Cable Market Forecast to 2030 – COVID-19 Impact and Global Analysis," published by The Insight Partners, the market is expected to grow from US$ 126.78 billion in 2022 to US$ 226.32 billion in 2030; it is estimated to register a CAGR of 7.5% from 2022 to 2030.

Utilities and industries require new electrical infrastructure, including power distribution networks, substations, and industrial facilities, to meet their growing power needs due to their expansion contributes to the power and control cable market. The new infrastructure needs power and control cables for safe and efficient operation. Additionally, power cables are essential to transmit electricity from renewable energy installations to the grid, supporting the growth of utilities and industries. The increasing adoption of renewable energy sources such as solar and wind necessitates the development of transmission and distribution systems which fosters the power and control cable market growth.

Furthermore, the renewable energy industry has grown rapidly as companies increasingly recognize its potential to reduce emissions and cut costs. Solar and wind farms produce massive amounts of energy that can be directed to diverse industrial processes. Renewable energy providers are required to build resilient infrastructures that can handle challenging environments and changing energy demands to do so. The wire, cable, hardware, and equipment constitute a key part of that infrastructure for generating, transporting, and storing electricity. Therefore, the growing demand for reliable electricity in utilities and industries, coupled with infrastructure development, renewable energy integration, and modernization efforts, create a robust market for power and control cables. Power and control cables are essential components of electrical systems to ensure the smooth functioning of utilities and industrial operations. The parameters mentioned above can increase the demand for power and control cable in its market.

Several governments across the world are taking initiatives regarding the development of transmission and distribution sector. The US government is catalyzing the development of thousands of miles of upgraded and new transmission lines to reduce electricity prices for businesses and families, prevent power outages in extreme weather, and create good-paying jobs in the clean energy economy. In November 2022, in US the Department of Energy (DOE) announced that first-round applications were open for competitive grants for smart grid grants under the Grid Resilience and Innovation Partnership Programs, which total US$ 10.5 billion in available funding. Similarly, various countries such as India, China, etc. are taking such initiatives. Government initiatives regarding the transmission & distribution sector drive the power and control cable market growth.

The power and control cable market is segmented on the basis of type, voltage, and application. Based on type, the power and control cable market is bifurcated into power cable and control cable. Based on voltage, the power and control cable market is segmented into low voltage, medium voltage, and high voltage. Based on application, the power and control cable market is bifurcated into utilities and industrial. The power and control cable market is segmented into five major regions—North America, Europe, Asia Pacific (APAC), the Middle East & Africa (MEA), and South America (SAM).

Key Findings of Study:

Per data from IEA, APAC is the largest producer and consumer of electricity. The region hosts several of the world’s largest manufacturing hubs and industrial sites. Countries such as China and India are the two most populous countries of the world and thus consume considerably more electricity than smaller nations. China’s power generation capability has supported the country’s industrial and overall growth over the past two decades. Power consumption has risen more than 6-fold between 2000 and 2021, making the country’s power generation capacity the largest in the world and contributing to about a third of the world’s electricity generated. In 2021, China began construction on 33 gigawatts of coal-based power generation, and in 2022, approved 8.63 gigawatts of additional coal plants. However, China’s zero-COVID policy weighed heavily on its economic activity in 2022, and uncertainty remains over the pace of its electricity demand growth. IEA estimated electricity demand to have risen by 2.6% in 2022, substantially below the pre-pandemic average of over 5% from 2015 to 2019. While such factors hampered the demand for power cable, sustained growth of the industrial sector contributed to the country's power and control cable market share.

Japan and South Korea are two of the leading countries in automotive manufacturing. Automotive manufacturing accounts for 89% of Japan’s manufacturing sector. Additionally, both countries have been rapidly adopting EVs, leading to a growth of associated industries and infrastructure. For instance, in August 2022, the Ministry of Economy, Trade and Industry of Japan estimated the requirement for an investment of more than US$ 24 billion to develop a competitive manufacturing base for batteries that can be used in electric vehicles (EVs) and energy storage systems. In South Korea, to promote the adoption of EVs, the government is providing subsidies to the citizens to purchase EVs. In February 2023, the government announced its plan to raise the number of subsidized EVs by 34%, from 160,000 units in 2022 to 215,000 cars in 2023. Further, according to the Ministry of Environment and Industry statistics, full subsidy support will be provided to vehicles priced at less than US$ 46,462 in South Korea. The rise in demand for EVs is encouraging the establishment of charging infrastructure across both countries, thus promoting the need for power cables. Thus, the expansion of the automotive sector is boosting the demand for power and control cables and fuels the power and control cable market.

Regarding electricity consumption, Southeast Asia is one of the fastest-growing regions across the globe. The region’s increasing ownership of household appliances, electronics, and white goods, as well as growing consumption of goods and services, has led to an average expansion of electricity demand by 6% annually over the past 20 years. The four largest countries, on the basis of electricity consumption—Indonesia, Vietnam, Thailand, and Malaysia—account for ~80% of total demand in the region. Southeast Asia is one of the few regions where coal-fired power generation has been expanding, with approximately 20 GW of new coal-fired electricity generating capacity under construction, mostly in Indonesia, Vietnam, and the Philippines. Such trends are anticipated to promote the growth of the power and control cable market size.

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