Market overview of low voltage cables
Technavio’s market research analyst predicts the global low voltage power cable market to grow at a CAGR of more than 7% during the forecast period. The growing demand from automotive and non-automotive sectors have been driving the growth of this market. Low voltage cables are used in the wiring of electrical installations in vehicles. The battery cable, a low voltage connection solution used in automobiles and agriculture and construction equipment, is also gaining popularity due to its ability to reduce electrical noise and withstand high temperatures during high voltage and low voltage applications. The growing automotive industry offers a significant market potential to low voltage cable manufacturers. Currently, the Asia-Oceania automobile market is an attractive market for the low voltage cable manufacturers because of the significant demand for vehicles from the emerging economies in the region such as China and India.
The use of low voltage cables in smart grids is expected to fuel the demand further over the next four years. Low voltage cables are deployed in the T&D networks of smart grids. Moreover, the addition of novel appliances such as heat pumps, electric vehicles charging stations, and solar panels to the distribution networks further necessitates the use of low voltage cables in their interconnection. Rising investment in smart grids in APAC, EMEA, and the GCC countries owing to increased demand for electricity in these regions is expected to be a significant factor in the market’s growth during the forecast period.
Competitive landscape and key vendors
Favorable market conditions such as rising demand from end-user industries have attracted many vendors to the market to cater to the demand for low voltage cables from end-user industries. The market has been seeing the presence of global as well as local vendors. Companies in this market prefer to work in collaboration with suppliers to ensure raw materials availability. Technavio’s analysts expect the competitive environment of the market to intensify during the forecast period, owing to numerous T&D network development, railway, and residential construction projects in pipeline worldwide.
The leading vendors in the market are -
- General Cable
- Nexans
- NKT Cables
- Prysmian
- Sumitomo Electric
Other prominent vendors in the market include ABB, Bahra Advanced Cable Manufacture, Brugg Cables, Caledonian Cables, Dubai Cable Company, Encore Wire, Finolex, Hebei New Baofeng Wire & Cable, Kabelwerk Eupen, LS Cable & System, Polycab, Riyadh Cables, Southwire Company, TE Connectivity, and Top Cable.
Segmentation by product installation type and analysis of the low voltage cable market
The overhead installation segment accounted for more than 50% of the market share during 2015. The growth of this segment is facilitated by the rise in power generation, transmission, and distribution projects. Overhead installations are less expensive than underground lines, which involve additional expenses for digging ditches and installing the lines and conduits for low voltage cables.
Geographical segmentation and analysis of the low voltage cable market
During 2015, the APAC region dominated the market, accounting for more than 36% of the market share. Power, automobile, and railways are three major end-users of low voltage cables in APAC. Developments in these sectors will fuel demand for low voltage cables during the forecast period. The flourishing automotive industry in APAC also offers opportunities for market vendors to benefit from increased sales. China, India, Japan, and Indonesia are seeing growth in vehicle production in the region. With this rise in vehicle production, there will be an increase in demand for low voltage cables required for electrical interconnections in these vehicles.
Key questions answered in the report include
- What will the market size and the growth rate be in 2020?
- What are the key factors driving the global low voltage cable market?
- What are the key market trends impacting the growth of the low voltage cable market?
- What are the challenges to market growth?
- Who are the key vendors in this market space?
- What are the market opportunities and threats faced by the vendors in the global low voltage cable market?
- What are the trending factors influencing the market shares of the Americas, APAC, and EMEA?
- What are the key outcomes of the five forces analysis of the low voltage cable market?
Technavio also offers customization on reports based on specific client requirement.
Related reports: