PUBLISHER: The Insight Partners | PRODUCT CODE: 2087126
PUBLISHER: The Insight Partners | PRODUCT CODE: 2087126
The South & Central America (SAM) medium voltage cable and accessories market is projected to grow from US$ 997.7 million in 2024 to US$ 1,250.1 million by 2031, registering a CAGR of 3.5% during 2025-2031.
Executive Summary and Market Analysis (SAM):
The South & Central America medium voltage cable and accessories market includes key economies such as Brazil, Argentina, and other countries in the region. Regional economic growth is strongly supported by rising investments in infrastructure, energy, and industrial development, which is driving the demand for reliable power transmission solutions.
According to the International Energy Agency (IEA), upstream energy investments are expected to increase across countries including Brazil, Argentina, Venezuela, and Colombia. Brazil, in particular, is witnessing significant momentum in its oil and gas sector. For example, Petrobras announced in November 2022 an investment of approximately US$ 78 billion through 2027 to expand oil production capacity. This expansion is driving higher demand for medium voltage cables and accessories to support reliable power supply in extraction and processing operations.
The region is also experiencing strong growth in power transmission infrastructure. In January 2020, ENGIE secured a 30-year concession in Brazil to develop an 1,800 km transmission line along with associated substations. Such large-scale grid expansion projects are significantly contributing to the rising demand for medium voltage cable systems across South & Central America.
Market Segmentation Overview:
By Installation: The market is segmented into overhead and underground systems, with overhead installations holding the largest share in 2024.
By Overhead Type: Includes ACSR, AAAC, AACSR, and others, with ACSR dominating the segment.
By Underground Type: Includes XLPE, PVC, PILC, and others, with XLPE leading the market.
By Product: Segmented into cables and accessories, with cables accounting for the majority share.
By Accessories Type: Includes terminations, joints, and others, with terminations leading in 2024.
By Voltage Level: Ranges from 1-5 kV to 69 kV, with the 6-13 kV segment holding the largest share.
By End User: Includes industrial, infrastructure, and renewable sectors, with industrial applications leading the market.
Market Outlook:
The increasing development of renewable energy projects is emerging as a key growth driver in the region. Brazil and Chile, in particular, are witnessing strong investments in wind and hybrid energy infrastructure. For instance, Brazil's Ventos de Santa Eugenia hybrid wind-solar complex (519 MW) was inaugurated in 2024, while Chile has commissioned multiple wind farms exceeding 100 MW capacity. Additionally, projects such as Engie Chile's 306 MW Pampa Fidelia wind farm highlight the region's ongoing transition toward clean energy.
These renewable energy projects require robust medium voltage cable infrastructure to efficiently transmit electricity from generation sites to national grids, thereby significantly boosting demand for cables and accessories.
Country Insights:
Brazil leads the SAM market due to its strong industrial base and extensive mining and infrastructure activities. As one of the world's largest producers of minerals such as iron ore and bauxite, Brazil's mining sector is highly energy-intensive and depends on continuous and reliable power supply. Major companies such as Vale further reinforce this demand.
The country is also investing heavily in transportation infrastructure, including projects like the Midwest Integration Railway (Fico), a 383 km rail line designed to enhance logistics connectivity. Expanding activities across mining, energy, and transportation sectors are steadily driving the need for medium voltage cable systems in Brazil.
Key Market Players:
Prominent companies operating in the market include ABB Ltd, Eaton Corporation plc, Sumitomo Electric Industries Ltd, Nexans SA, 3M Co, TE Connectivity Ltd, Prysmian SpA, NKT A/S, Belden Inc, Hitachi Energy Ltd, The Okonite Co, Southwire Company LLC, Houston Wire & Cable Co., LS Cable & System USA, and Ensto Oy.
These companies are focusing on strategies such as expansion, product innovation, and mergers and acquisitions to strengthen their regional presence and meet the growing demand for advanced power transmission and distribution solutions.