Submarine Power Cables Market

Global Industry Analysis (2017 – 2020) – Growth Trends and Market Forecast (2021 – 2025)


Quality Assured

We standby our reports on quality we promise.

Confidentiality Assured

All interactions and sensitive information remain confidential.

Custom Research Service

Undertaking exclusive research tailored for your business.

Demand for Better Telecommunications Creates Opportunities for Submarine Power Cables

Electricity is produced in power plants and then carried over often long distances at high voltages by the transmission grid, which steps down at the level of the distribution network, bringing the electric power to the consumer. Submarine cables play a critical role in power transmission below the surface of the water. The importance of submarine power cables has increased steadily with the tremendous development of the telecommunications, oil and gas, and marine renewable energy industries. Some of their main applications are connecting offshore oil production facilities, establishing interconnections between regional electrical transmission networks, supplying electricity to remote areas, and many others.

Increased Investments in Offshore Wind Power Projects to Boost Growth

The advent of offshore renewable energy, increasing environmental concerns, and growing demand from offshore oil and gas operations are the major factors driving the growth of the submarine power cable. The growing environmental concerns are encouraging various countries to focus on power generation from renewable sources. Hence, a number of renewable projects, which include wind and tidal energy, have increased significantly in the recent years, resulting in increasing demand of these cables in the market

The major challenges that can hinder the market growth are high installation cost, technical challenges in installation, and damages caused due to human intervention. Submarine power cables are infrastructure elements that require high financial investment to be built and installed. Building new power generation capacities also require high financial investments and longer pay-backs. Installing a submarine cable is a costly and challenging activity. The lifetime of a submarine cable might be tens of years and the technical interventions for its repairing in case of faults are also costly and difficult. Therefore, the cable route must be carefully surveyed and selected in order to minimize the environmental impact and maximize the cable protection

Single Core-based High Voltage (500KV and Above) to Constitute Major Share

Currently, the single core segment dominated and constituted major share of the global submarine power cables market. Also, the single core segment is anticipated to register a faster growth in the coming years. This is mainly attributed to technical ease and economical deployment as compared to multicore cables. The demands of single core cables are majorly attained from offshore wind sector, particularly in Europe, which is fuelling the demand of these cables. Also, single core cables are suitable for covering long distances, as they experience a lower reverse current as compared to multicore cables.

High voltage cables dominated the market and constituted a major share of the global submarine power cables market. The high voltage category is anticipated to hold a large share in the market, owing to the increasing number of grid connections coupled with offshore wind projects, which require high capacity cables to transmit power to long distance.

Key factors supporting the market growth include increased harness of energy from offshore wind farms by many countries, growing use of submarine power cables to transmit electricity from the mainland, intercountry & island power connections using submarine power cables

Europe Dominated the Market in Terms of Length of Cable Laid

Europe dominated the market for submarine power cables market in 2019. Growing investments in the deployment of high voltage submarine cables for inter-country & island connection is the key region behind the dominance of Europe. In Europe, the major shift towards renewable energy is expected to drive the demand for submarine power cables in the near future.

Asia Pacific is estimated to be the most attractive region for the submarine power cables market. In the year 2019, Sumitomo Electric Industries Ltd. has announced the completion of high-voltage direct current (HVDC) interconnector cable project in Japan. Growing expenditure in oil and gas, renewable power coupled with growing concerns of energy security is expected to drive the installation of submarine power cables, especially in China and Japan which is expected to benefit the overall demand in Asia Pacific.

Demand for submarine power cables in the Middle East & Africa and Latin America is expected to grow at a fair pace. In September 2019, Subsea 7 announced the award of a major contract by Saudi Aramco for Marjan Increment Projects in offshore Saudi Arabia. The engineering, procurement, construction and installation (EPCI) includes laying of 145 kilometres of power cables in the Marjan field in water depths of approximately 45 to 52 metres.

Global Submarine Power Cables Market: Competitive Landscape 

Key players operating in the submarine power cables market include Nexans S.A., Prysmian Group, NKT A/S, Furukawa Electric Co., LTD., Sumitomo Electric Industries, Ltd., etc. On August 2019, Danish group NKT A/S signed the final contract for the supply of a cable system for the 1,400-MW Viking Link interconnector between Denmark and the UK. In the same year, Italy’s Prysmian, Germany’s Siemens and Sweden’s NKT have secured contracts worth a total US$1.2 billion to build the world’s longest subsea power cable, the Viking Link between Britain and Denmark.

I am interested

Submarine Power Cables Market

I would also like to request for

14 + 5 =