Submarine Power Cable Market: Current Analysis and Forecast (2023-2030)

The adoption of submarine power cables has increased rapidly owing to the growing demand for sustainable energy, thus increasing the number of offshore wind power installations. Moreover, the rising need to connect inter-islands to the mainland's onshore power grids is propelling the market in the forecast period.

Submarine Power Cables have numerous end-user applications, including power supply to islands, connection of autonomous grids, supply of marine platforms, short-haul crossings, pipeline heating cables, and subsea observations. These end-user applications have a vast growth potential in the coming years, thus increasing the need for installations in the global Submarine Power Cable Market.

As the demand for sustainable energy is exponentially increasing and countries are heavily investing in reducing their carbon emissions, the global adoption of submarine power cables is increasing.

According to the Global Energy Interconnection Backbone Grid Research, by 2050, there will be a market capacity of 260 GW and the total length of submarine power cables required will reach 23,000 kilometers globally.

Based on current, submarine power cables come in two types, HVAC and HVDC. HVDC is more widely adopted owing to increased voltage transmitting requirements for longer distances. HVDC cables reduce power losses for longer distances compared to HVAC cables. Furthermore, advancements in the HVDC cables coupled with increased requirements for transmissions of large quantities of electrical power to prominent consumer regions across hundreds or thousands of kilometers further drive the segment.

Increasing demand for renewable energy is driving the adoption of wind power, coupled with rising needs to interconnect countries, which are further anticipated to increase the adoption of high voltage power cables.

Based on Voltage, the submarine power cable market is categorized into two segments: medium voltage and high voltage. The high-voltage cable segment holds a major share of this market. This is mainly owing to the increasing demand for renewable energy, thus driving the adoption of wind power, coupled with rising needs to interconnect countries, which are further anticipated to increase the adoption of high voltage power cables.

Based on End-users, the submarine cable market is segmented into offshore wind power generation, inter-country and island connection, and offshore oil and gas. The offshore wind power generation and inter-country and island connection are anticipated to hold the major market shares owing to increasing demand for clean energy and installations of offshore wind power, especially in regions including Asia and America, coupled with the increasing need to connect islands with the mainland grids to fulfill the energy needs within the coastal region.

For a better understanding of the market adoption of the submarine power cable industry, the market is analyzed based on its worldwide presence in countries such as North America (U.S., Canada, and the Rest of North America), Europe (Germany, U.K., Norway, Italy, Rest of Europe), Asia-Pacific (China, Japan, India, Australia, Rest of Asia-Pacific), Rest of World. Asia Pacific is expected to experience a significant growth rate in the projected period. The primary factor driving this growth is the due to the rising government initiatives towards renewable sources and clean energy, followed by the region's plans to lay interconnections to meet the upcoming energy requirements in the region.

Some of the major players operating in the market include ABB, FURUKAWA ELECTRIC CO., LTD., Hellenic Cables, LS Cable & System Ltd., NEXANS, NKT A/S, Prysmian Group S.p.A., Sumitomo Electric Industries, Ltd., TFKable, and ZTT.