The global cable drum market size was valued at USD 0.642 billion in 2022. It is estimated to reach USD 0.882 billion by 2031, growing at a CAGR of 3.6% during the forecast period (2023–2031). Various cables have wide-scale applications in the oil and mining industries. Automation cables, such as VFD drives, portable power and cord products, industrial ethernet cables, instrumentation and control cables, and industrial communications cables for protocols, are widely required in the automotive and manufacturing industries, affecting market growth.
A cable drum, or a cable reel or spool, is a cylindrical object for storing and transporting cables. Typically, it is constructed of metal, plastic, or wood and is designed to hold various cables, wires, or cords. The drum shape allows the cable to be wound around it neatly and organized, preventing tangling or damage during storage and transportation. Cable drums come in different sizes and designs to accommodate cables of different lengths and thicknesses. They can range from small, portable drums used for household extension cords to large industrial-sized drums used for heavy-duty power or communication cables. The main purpose of a cable drum is to provide a convenient and efficient way to handle and manage cables. It allows for easy cable unwinding during installation or use and then rewinding for storage or transportation when not in use. The drum typically has flanges on each end to keep the cable in place and prevent slipping.
Cable drums are widely used in various industries and applications, including electrical power distribution, telecommunications, construction, entertainment, and event management. They are essential for organizing and protecting cables, ensuring their safe and efficient deployment in different settings. In addition to traditional cable drums, there are also specialized cable drums, such as retractable cable reels, which provide automatic winding and unwinding mechanisms for added convenience and ease of use. Overall, cable drums play a crucial role in cable management, providing a practical solution for storing, transporting, and deploying cables in a controlled and organized manner.
Growth associated with the oil industry and natural gas production around the globe is a prominent factor forecasted to fuel the market demand during the forecast period. According to the EIA's Annual Energy Outlook published in 2018, the U.S. crude output will increase by 20% by 2030, and the demand for natural gas is estimated to attain around 15.6% growth in the next few years. Further, expenditure by the U.S. oil and gas companies is expected to increase during the forecast period. Natural gas is gaining importance as the preferred fuel option owing to its low emission and low-cost properties.
Thus, many projects in North America and other parts of the globe focus on exploring the same. More than 14,000 small and large oil and gas companies are in the U.S. alone. Various cables have wide-scale applications in the oil and mining industries, which act as a driver for the cable drum industry.
Automation cables, such as VFD drives, portable power and cord products, industrial ethernet cables, instrumentation and control cables, and industrial communications cables for protocols, are widely required in the automotive and manufacturing industries. Automation in modernizing and expanding existing facilities drives the market's growth. Moreover, many companies are adopting automated techniques due to a considerable increase in energy consumption. Many of these companies are expanding their customer base to fulfill the needs of their end-user industries.
Mine operators utilize control and instrumentation and heavy-duty power cables. The decline in the mining industry is expected to negatively affect the cable drum market. The mining industry is one of the potential end-user industries of the market. Previously, Europe had a significant drop in the mining industry owing to the economic meltdown, which, in turn, hampered the installation rate of electric cables and wires. Moreover, the mining industry in Europe is relatively weak; however, it has revived at a notable pace. For instance, mining equipment manufacturers in Germany experienced a decline in revenue due to the recession.
Furthermore, governments of many countries, such as China and the U.S., have implemented stringent regulations and tariffs for mining operations. These regulations and laws have a great impact on the mining industry.
The electricity supply is quite unpredictable in rural areas; hence, governments of various Asian countries encourage urbanization. Rapid urbanization leads to increased infrastructure investments, lifestyle change, and economic condition improvement. This, in turn, results in large-scale government investments that subsequently boost the demand for cable drums across various sectors. For instance, in February 2019, China planned to build the world’s biggest super grid to interconnect six regional grids to expand its power distribution system.
Similarly, the Government of India introduced the Accelerated Power Development and Reforms Programme (APDRP) and Deendayal Upadhyaya Gram Jyoti Yojana (DDUGJY) to enhance its power distribution sector in rural areas.
| Study Period | 2019-2031 | CAGR | 3.6% |
| Historical Period | 2019-2021 | Forecast Period | 2023-2031 |
| Base Year | 2022 | Base Year Market Size | USD 0.642 Billion |
| Forecast Year | 2031 | Forecast Year Market Size | USD 0.882 Billion |
| Largest Market | North America | Fastest Growing Market | Europe |
Based on region, the global cable drum market is bifurcated into North America, Europe, Asia-Pacific, Latin America, and the Middle East and Africa.
North America is the most significant global cable drum market shareholder and is estimated to grow at a CAGR of 3.2% over the forecast period. North America includes the U.S., Canada, and Mexico. North America accounted for 16.2% of the global market revenue in 2018. The U.S. was the leading market in the region, accounting for 67.8% of the total North American cable drum market in 2018. The rise in demand from the manufacturing industry and the increase in investment capacity across the power industry contribute to the market growth in the region. The key factors that drive the North American market include a rise in demand for high-voltage industrial applications, an increase in construction for infrastructure development, and the emergence of investment opportunities in the region.
Further, an increase in the overall productivity of the manufacturing industry through automation and technological advancements drives market growth across North America. Furthermore, cable drum manufacturers focus on various business strategies, like mergers and acquisitions, to expand their customer base in North America. For instance, in December 2017, Madem Reels Group, a Brazil-based cable drum producer, established a joint venture with Moorecraft Reels, a U.S.-based cable drum manufacturer, to offer wooden cable drums throughout North America. The new joint venture’s name is Madem-Moorecraft Reels USA, Inc. Thus, such factors are expected to provide profitable opportunities for the market in North America.
Europe is anticipated to exhibit a CAGR of 2.8% over the forecast period. Europe includes Germany, France, the UK, Russia, and the rest of Europe. Europe accounted for 40.1% of the global market revenue in 2018. Germany is the region's leading market, accounting for 25.3% of Europe’s total market in 2018. Increasing telecom and technologically enhanced European infrastructure investments majorly drive market growth. There has been a growing adoption of cable drums in Europe due to the rise in demand for cables across various industries. Moreover, the development of automation for industries such as automotive and others is a major market driving force in Europe. Furthermore, the growing number of 5G trials in Europe in 2019 is expected to fuel the demand for cables, which, in turn, is anticipated to increase the cable drum market in Europe during the forecast period.
Asia-Pacific comprises China, India, Japan, and the rest of the region. Asia-Pacific accounted for 33.8% of the global market revenue in 2018. China is the region's leading market, accounting for 39.2% of the total Asia-Pacific market in 2018. There is an increase in the adoption of cable drums in Asia-Pacific countries due to a rise in investments in industrial manufacturing for strengthening economic growth. China is the world's largest producer of electric wires and cables. It is also among the world's leading consumers of electric cables, which drives the market growth. Moreover, there is an increase in the adoption of motorized cable drums, owing to technological advancements in motors, which can improve safety and productivity.
LAMEA, Latin America, and Africa are key regions for the cable drum industry. Cable manufacturing companies in Africa and Latin America are investing in expanding their business. Such factors propel the market growth. For instance, in August 2019, Hengtong Aberdare Cables established a new manufacturing plant in South Africa to expand its product portfolio of cables from 33kV to 132 kV. The Middle East is one of the unexplored regions for electric commodities and components. Despite having rich resources, it faces several challenges, such as social and environmental pressure and market volatility. Moreover, the growing oil and gas industry in the Middle East provides significant value to the market growth.
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The global cable drum market is bifurcated into material and mechanism.
Based on material, the global market is bifurcated into wood, plywood, plastic, and steel.
The wood segment dominates the global market and is projected to exhibit a CAGR of 3.2% over the forecast period. Wooden drums are available in various types, such as steel-tired, export, and one-way drums. Wooden cable drums are adopted due to their ability to carry heavy loads. In addition, they are inexpensive compared to other cable drums. Digital infrastructure developments around the globe drive market growth. Moreover, an initiative from various governments to boost the cable industry propels the demand for wood cable drums. For instance, in September 2017, the government of India invested approximately USD 114,888.0 to develop the cable industry to achieve its goal of offering electricity to every home by 2020.
Rapid urbanization in third-world countries is rising, creating demand for quality public infrastructure and utilities. Subsequently, government initiative toward developing airports, educational buildings, hospitals, parks, and other public spaces is anticipated to create substantial lucrative business opportunities for the market players.
Based on the mechanism, the global cable drum market is bifurcated into manual and motorized.
The manual segment dominates the global market and is projected to exhibit a CAGR of 3.1% over the forecast period. The manual cable drums are used for small or mid-scale industries. These cable drums or reels are operated manually using an attached handle. The increase in power transmission and distribution networks around the globe, especially in developing countries, fuels the demand for manual cable drums, which drives market growth. For instance, the U.S. has increased its spending on power distribution and electric utilities by 54% over the past two decades.
Similarly, the growth of the manual cable drum market is also driven by an increase in demand for efficient and cost-effective electricity in Mexico. Moreover, the surge in the cable industry is expected to fuel the demand for manually operating cable drums. For instance, China has surpassed Japan and the U.S. to become the world’s largest cable manufacturing country in production. China accounts for more than 20% of the global cable market.
