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From 2022 to 2026, the annual compound growth rate of the global high-temperature cable market will reach 8.9%
2022-07-31 16:17

With the continuous improvement of railway infrastructure, the global demand for high-temperature cable market will also increase.
According to the report recently released by technavio, an international market research institution, by 2026, the global high-temperature cable market demand will increase by US $92352 million, and the market growth momentum will accelerate at a compound annual growth rate of 8.9%.
High temperature cable is a cable with multi strand soft copper conductor. Heat resistant and high-temperature wires and cables are generally determined by two requirements.
The first is that the ambient temperature of wires and cables is high, and the cables can normally transmit signals or electric energy under high temperature for a long time; The other is the power transmission cable, mainly for the purpose of increasing the interception capacity.

Drive growth

01 improvement of railway infrastructure

One of the key factors driving the growth of the global high-temperature cable market is the improvement of railway infrastructure. Railway cables shall be halogen-free, self extinguishing and flame retardant. High temperature cable has these characteristics, making it one of the key components of railway infrastructure.
Some countries are investing heavily in the railway industry, which will create a demand for new trains. For example, from 2019 to 2023, Italy's national railway industry business plan will invest 66.41 billion US dollars to develop the country's railway transportation. In February 2021, the Indian government launched 88 new railway projects. In addition, Indian Railways has announced plans to electrify its entire network by 2023. All these factors are expected to drive the growth of the global high-temperature cable market in the forecast period.

02 growing wind power generation capacity

Another key factor driving the growth of the global high-temperature cable market is the growing wind power generation capacity. Wind turbines are often affected by extreme temperatures, which usually include very high and very low temperatures depending on the climatic conditions of the turbine. High temperature cables are required for many applications, such as wiring of motors, generators and transformers.
The decline in the average cost of wind power will further accelerate the installation of wind power. Continuous investment in wind power is increasing annual capacity and encouraging technological innovation of wind power system. Therefore, due to the importance of high-temperature cables in the operation of wind turbines, their demand will increase proportionally with the installation of wind turbines, which will drive the growth of the market in the next few years.
During the forecast period, 48% of the market growth will come from the Asia Pacific region. China, India and Japan are the main markets for high-temperature cables in the Asia Pacific region. The market growth in this region will be faster than that of the regional market.

03 growth of energy demand and end user industry

The significant growth of energy demand and the rapid growth of high-temperature cable end-user industries (such as transportation, oil and gas, wind power plants, steel plants and heavy industries) will promote the growth forecast period of high-temperature cable market in the Asia Pacific region. During the forecast period, the market share of high-temperature cables in the energy field will increase significantly. It is expected that the growth of global energy demand will improve the global power generation capacity and power transmission and distribution network, thus increasing the demand for high-temperature cables.
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