The low-voltage cables and accessories are electrical lines for secondary electricity distribution at voltages lower than 1 kV. Digital and communication applications employ low-voltage wires and accessories extensively. The principal low-voltage cables and accessories types are overhead items and subsurface products. Underground products refer to low-voltage cables and accessories, such as PVC cables, XLPE cables, cable termination, and cable joints, used to lay wires below the ground. Copper and aluminum are two materials used to produce low-voltage cables and accessories. Up to 240V, 241-440V, and 441V-1000V are the distinct voltage ranges for low-voltage cables and accessories. Customers in the industrial, commercial, and residential sectors utilize them.
A significant increase in the share of renewable energy in the electricity generation mix is anticipated over the coming years. The environment has suffered because of population growth, rapid urbanization, expanding infrastructure projects, and increased access to electricity. Clean energy sources like wind, solar, hydro, and biomass generate electricity in India, the U.S., Germany, Saudi Arabia, and others. These countries have set objectives to increase the capacity of renewable energy sources to increase the proportion of renewable energy in the mix of energy production.
The increasing demand for inland and international power connections will present lucrative opportunities for suppliers and new entrants in the global low-voltage cable and accessories market. Due to growing urbanization, increased domestic and industrial electricity demand, and the growing global population, power companies worldwide are launching more transmission and distribution (T&D) projects. This will open opportunities for manufacturers of low-voltage cables and related products. Several projects for power distribution between countries and islands are anticipated in the upcoming years.
Take the Euro-Asia Interconnector project, which aims to link Asia and the Middle East. It is part of a European network of intra- and transnational electricity grids intended to be connected by bi-directional cables to provide stable and uninterrupted electricity transmission through national transmission companies in the EMEA and Asia. The Euro-Asia Interconnector project includes building the world's most extended submarine power cable between Cyprus, Greece, and Israel. The project is anticipated to begin in 2022 and end in two phases. Due to such developments, players can expect lucrative growth opportunities in low-voltage cables and accessories.
North America is the highest revenue contributor and is anticipated to exhibit a CAGR of 6.83% during the forecast period. The regional market has grown due to the area's increased electricity use. North America is the world's largest electricity consumer due to increased industrial and data center demand. The annual electricity consumption in North America increased by 2.1% in 2018, from 3,864 billion kWh in 2017 to 3,946 billion kWh in 2018, according to EIA 2019, indicating an increase in the region's power demand throughout the forecast period. Significant companies that deal in low-voltage cables and accessories in North America also contribute to the market growth for these products over the anticipated time frame. As a result of the sharp increase in power demand and the growing number of significant players in the low-voltage cables and accessories market, the North American market will grow during the forecast period.
Europe is anticipated to grow at a CAGR of 6.32% during the forecast period. Europe is home to one of the enormous low-voltage cables and accessories markets. The demand for power supply is rising, and there is a growing preference for underground cabling over existing overhead distribution lines and for new projects, driving demand for low-voltage cables and accessories in this area. The MDPI Journal, a 2017 publication, forecasts that Europe will use 104 terawatt-hours (TWh) of electricity by 2020. This demonstrates how the demand for low-voltage cables and accessories has increased due to the area's increased power supply. Most EU countries want to replace overhead distribution lines with underground cables. For instance, building the Russia-North Korea Power Bridge would include constructing the power and transmission infrastructure for electricity supply from Primorye in Russia to the special economic zone in Rason, North Korea.
The global low voltage cables and accessories market's major key players are Nkt A/S, Hellenic Cables, Ensto, Prysmian Group, Elsewedy Electric, Ikebana Engineering Ltd, Raychem Rpg, Alcon Megarad, Te Connectivity, Repl International Ltd, 3m, Hitachi Abb Power Grids, Nexans, Bbc Cellpack Gmbh, and Brugg Cables Ag,
Global Low Voltage Cables and Accessories Market: Segmentation