by The global Overhead Line Product Market is estimated to be valued at US$ 19.78 Billion In 2022 and is expected to exhibit a CAGR of 6.9% over the forecast period 2023-2030, as highlighted in a new report published by Coherent Market Insights.
Market Overview:
The overhead line product market includes cable, towers, clamps, and other installation hardware utilized in the transmission and distribution of electricity. Overhead lines offer advantages such as reliable power transmission, ease of installation and maintenance over underground power lines. With growing urban population and industrialization across the world, demand for uninterrupted power supply has been rising rapidly. This is leading governments and utilities to make large investments towards modernizing aging transmission and distribution infrastructure and expanding networks. These investments are supporting consistent growth of the overhead line product market.
Market Key Trends:
One of the key trends spurring growth in the overhead line product market is investments towards upgrading transmission and distribution networks to integrate renewable energy. With several countries committed to achieve clean energy targets, grid operators are focussed on enabling transmission of large volumes of electricity generated from renewable sources like solar and wind farms located in remote areas. This is boosting demand for installation of new overhead transmission lines as well as deployment of products like dynamic line rating systems and conductors capable of carrying higher ampacity to support renewable energy integration. Additionally, economies recovering from the pandemic are witnessing resurgence in industrial activity which is mounting pressure on existing power infrastructure and accelerating grid expansion projects. This is further propelling the overhead line product market.
Porter’s Analysis
Threat of new entrants: The threat of new entrants is moderate as large capital investment and ability to achieve economies of scale are required to operate in this Overhead Line Product Market. However, new technologies enabling higher transmission capacity can lower entry barriers.
Bargaining power of buyers: The bargaining power of buyers is high given the presence of many established players globally. However, buyers have limited influence over pricing due to electrical safety standards.
Bargaining power of suppliers: The bargaining power of suppliers is moderate as raw materials like aluminum and copper have few substitutes, giving suppliers some control over pricing. However, established suppliers face competition.
Threat of new substitutes: The threat of new substitutes is low as overhead line infrastructure already exists and underground/submarine cables are substantially more expensive to install and maintain for bulk power transmission.
Competitive rivalry: Competition in this industry is high among global players aiming to integrate vertically and expand geographically.
Key Takeaways
The global Overhead Line Product market is expected to witness high growth, exhibiting CAGR of 6.9% over the forecast period of 2023-2030, due to increasing investments in grid infrastructure modernization and expansion across developing regions.
Regional Analysis
Asia Pacific region dominates the overhead line product market currently, owing to rapid industrialization and infrastructure development in China and India. Countries like China, India, Japan, and South Korea are expected to drive the demand in the region during the forecast period. Emerging economies in Latin America and Middle East & Africa are also projected to witness significant growth.
Key players
Key players operating in the overhead line product market are Nexans, Prysmian Group, General Cable, Sumitomo Electric Industries, Encore Wire, Finolex Cables, KEI Industries, Polycab Wires, APAR Industries, Sterlite Technologies, Gupta Power, Diamond Power Infrastructure, Kalpataru Power Transmission, SAE Towers, ZTT, Midal Cables, J Power Systems, Super Solutions, KEI Power, Skipper. Nexans, Prysmian Group, and General Cable dominate the market with their extensive product portfolio and global footprint.
*Note:
1. Source: Coherent Market Insights, Public sources, Desk research
2. We have leveraged AI tools to mine information and compile it
