Submarine Power Cables Market - Global Industry Analysis (2019 - 2021) - Growth Trends and Market Forecast (2022 - 2027)

The growing electrical energy demands and propensity to adopt sustainable energy sources are testing the capability of contemporary power generation systems. This challenge is significantly harder in geographically remote locations such as islands. Under such circumstances, submarine power cables emerge as a highly viable solution. Simply put, submarine power cables are power lines that run beneath the oceanic water to transport high voltage current across continents. These undersea cables are built to withstand intense pressure and physical force, having a thick protection layer guarding the metal wiring inside. They serve to transmit electrical power in bulk. Their capability to solve such energy challenges is set to propel the global submarine power cables market during the forecast period of 2022 to 2027.

According to the publisher, the global submarine power cables market is expected to surpass a valuation of US$11 billion by 2027. As of 2022, it is expected to exceed the revenue of US$5.8 billion.

Key Insights and Trends Across Submarine Power Cables Market

• The single core segment commanded a staggering share of 79.3% in the global submarine power cables market in 2021. This is because single core cables have more cost-efficient deployment as opposed to multicore cables.
• In terms of value, Europe is expected to hold a share of over 55.7% in the global submarine power cables market during the study period. This is primarily due to the region’s higher inclination toward adopting clean energy solutions.
• The offshore wind power segment constituted more than 65% of the market share in 2021 owing to the robust adoption of renewable energy, such as wind power.

Growing Energy Needs in Remote Locations to Lead Global Submarine Power Cables Market to Fruition

Globally, the demand for energy as well as the emission of greenhouse gases is increasing at an accelerated pace. Consequently, decision-makers are expected to meet global energy demands while keeping environmental impact in check. In this context, submarine power cables have emerged as a viable solution as these cables can distribute electricity generated from wind and solar sources to remote locations. This, in a way, eases the adoption of sustainable energy solutions. Market players carry out an extensive geographical survey before proposing high-voltage submarine power lines projects which require substantial investments during installation. All these factors are providing substantial growth prospects to the global submarine power cables market.

Higher Propensity to Embrace Sustainable Energy Solutions Establishes Europe as Leading Regional Player

As a region at the forefront of adopting sustainable practices, Europe is emerging as a leading submarine power cables market. Investments in the deployment of high-voltage submarine power lines for inter-country power supply are also contributing to the dominance of Europe in the market. Projects worth US$1.95 billion are being furthered to leading market players to connect Germany and UK. On the other hand, the Asia Pacific and North America are showcasing notable opportunities amidst paced adoption of renewable energy. Favourable government initiatives to boost clean energy employment are facilitating the submarine power cables market expansion in North America.

Major Market Players

Some of the key players operating in the global submarine power cables market include Nexans S.A., KEI Industries Limited, NKT A/S, Prysmian Group, Sumitomo Electric Industries, Ltd., Furukawa Electric Co., LTD., ABB, LS Cable & System Ltd, ZTT, and Hengtong Marine Cable Systems.