Aluminum Cable Market Size, Share, and Trends 2024 to 2034

Aluminum Cable Market Size and Forecast 2024 to 2034

The global aluminum cable market size is expected to be valued at USD 61.05 billion in 2024 and is anticipated to reach around USD 96.26 billion by 2034, expanding at a CAGR of 4.66% over the forecast period from 2024 to 2034.

Aluminum Cable Market Key Takeaways

• Asia Pacific led the global market with the highest market share in 2023.
• By region, Europe held the largest market share in 2023. 
• By grade types, the electrical grade segment accounted for the highest market share in 2023. 
• By application types, the power and energy segment dominated the market share in 2023. 
• By product types, the enameled segment held the largest market share in 2023. 

Market Overview

The aluminum cable market deals with the sale and manufacturing of wires and cables that use aluminum as the primary conductor material. Aluminum cables provide advantages over traditional copper such as being lighter in weight, being less prone to corrosion, and having greater tensile strength. Due to their ability to handle high currents at lower costs compared to copper cables, they are commonly used for household wiring applications, ground wires for communication towers, and overhead power lines. In addition, the increasing expansion of railway networks and rising demand from the power sector. Furthermore, increasing demand for home appliances and consumer electronics, rising disposable incomes, changing lifestyles, and increased purchasing power have boosted the sales of various consumer products such as laptops, televisions, washing machines, refrigerators, conditioners, and other small appliances.

Aluminum Cable Market Growth Factors

Aluminum wires provide greater resistance to corrosion, and they provide versatility due to which they are used in various sectors to a great extent. Extensive use of aluminum wires in electrical appliances, the automotive sector, transformers and electrical fittings has grown. Demand for these aluminum cables is growing well in various nations across the globe as the use of these aluminum wires is more in different types of industries. Industries like electronics and automotive along with the food and beverages industry make extensive use of aluminum wires. The microorganism can be prevented from growing with the use of Aluminum and it also helps in preserving different types of food for a longer period of time. The automotive industry makes use of aluminum in the making of vehicles as it assists in reducing the weight of the vehicle. Even though the weight of the vehicle is reduced the strength is not compromised and the carrying capacity is also not compromised.

• One of the major factors driving the growth of the aluminum cable market is the growing demand for aluminum cables in the automobile industry.
• Most of the developing economies are nations that are seeing rapid urbanization and rapid industrialization due to which the demand for aluminum cables has increased. Next slide in the industrial sectors, residential sectors and the commercial sectors Aluminum cables are in greater demand.
• The growing demand for hybrid vehicles and electric vehicles will lead to increased use of Aluminum cables or aluminum wires.

The Aluminum Cable Market Trends

• The growing demand for aluminum cables in the automobile industry is one of the major factors driving the growth of the aluminum cables market. 
• Most of the developing economies are nations that are seeing rapid urbanization and rapid industrialization due to which the demand for aluminum cables has increased. Next slide in the industrial sectors, residential sectors, and commercial sectors Aluminum cables are in greater demand. 
• The increasing demand for electric vehicles and hybrid vehicles will lead to increased use of Aluminum cables or aluminum wires. 
• The rising focus on energy efficiency in electrical infrastructure and the expansion of renewable energy projects (wind and solar) are further expected to enhance the market growth. 

Market Scope

Market Dynamics

Key Market Drivers

• Mechanical and electrical properties - These properties of the aluminum wires lead to extensive use of this product in the power grid, homes, and in the electrical wiring of aircraft.
• Use of wires in the construction industry - Aluminum cables is used on a large scale in the field of construction, especially for the distribution of electricity. Home gambling is also done with the use of aluminum wires as this is seen to be a safer option as compared to the other options. Electrical fittings and home solutions of advanced nature make use of aluminum wires.
• Use of Aluminum cables in automobiles - The automobile industry also makes use of aluminum wires in order to reduce the weight of the vehicles as it helps in providing better efficiency by reducing the amount of fuel consumed by such automobiles. Such wires are mainly used for battery connectors.
• Industrial Ethernet is in greater demand - Internet penetration is of the factors driving the market off and we know why was to a great extent the popularity of Internet connectivity in various industries will lead to an increase in the consumption of aluminum wires. Many opportunities for the work of the market will be provided due to the growing demand for Internet connectivity in various nations across the globe. 

Key Market Challenges

• Availability of other substitutes - copper wires are a better substitute which happened to be available at a lesser cost as compared to aluminum wires and this is the reason that will hamper the market growth of aluminum wires in the coming years. Copper wires have good strength and ductility. Copper wires have good applications in various industries and as this product is available at our affordable price it is preferred by various sectors.
• Reduced free trade - developing economies as well as developing nations have strict regulations for free trade, and this will hamper market growth in the long run. The imposition of taxes in various nations will also lead to a lesser supply of aluminum to various nations. Production cost and tariffs have increased due to which the market growth will be hampered.

Key Market Opportunities

• Many new products are launched in the market - all the wires are launched in various forms due to a growth in the competition for aluminum vials. Play the rocky various strategies and launching new products in the market.
• Strategic partnerships and collaborations - liberations and partnerships in various nations for the acquisition of different companies will also lead to growth in the market as many new products are launched in the market. The supply chain strategies and operations of various organizations will also change in the long run due to collaborations and partnerships.

Product Insights

Based on the product, the enameled segment has held the highest revenue share in 2023 as it has generated an amount of about 25 billion in the past. align cables are used on a large scale in the Transformers as they are light in weight, and they have great resistance to heat. Moving coils are used in various electrical gadgets where aluminum wires are of great use. Generators and refrigerators make extensive use of Aluminum cables due to which the market is expected to grow significantly.

Paper-insulated rectangular and round aluminum wires will also show a good growth in the coming years. They have great resistance to solvents and abrasion. They provide better electricity performance. Fiberglass insulation Aluminum wires will also show a good demand as these wires provide a great deal of thermal stability. As these wires are highly insulated, they are good use in Transformers. These wires are resistant to abrasion, and they have electrical properties.

Grade Insights

The electrical grade segment accounted for the largest market share in 2023. Aluminum has been used in electrical appliances and its substitution and usage against copper in electrical appliances increased post-World War ll leading to its lightweight, high electrical conductivity, and low cost. Aluminum is the most preferred material for electricity distribution, transmission, and other related applications. 

The mechanical segment is expected to grow fastest during the forecast period. The flexibility provided by aluminum cables, tailored to their lightweight makes them preferable for use in mechanical appliances. Aluminum cables are used in the production of wire cloth or wire mesh, which are significantly used in industrial, commercial, and residential applications. Wire mesh is used in balustrades, walls, ceilings, and facades, in residential applications. Other uses of aluminum wires such as floor gratings, warehouse & industrial shed slabs, precast panels, pavement, animal-loading cages, security fences, safety barriers, and storage containers. 

Application Insights

On the basis of application, the automotive sector held more than 48% revenue share in 2023. Aluminum cables are of great help in reducing the weight of the vehicle by about 49% due to which the demand for aluminum cables is expected to grow significantly. Terminal contact is also increased, and it also provides better flexibility. Galvanic corrosion can also be reduced to a great extent due to the use of this product and the market will show significant growth in the coming years due to its rapid demand for the automotive sector. 3% growth has been registered for the aluminum wires in the application of meters, switches and circuit Breakers.

Electrical appliances make great use of aluminum wires as it helps in improving the quality. They are also used in light bulbs and also used for different types of connectors. Rotating machines and motors also make a great use of aluminum wires and the application of aluminum wires in this sector will lead to a significant growth which is expected to be about 15 U.S. dollars in the coming years. In order to increase the efficiency of various motors and in the motors where there are major irregularities aluminum wires are used. 

Regional Insights

The aluminum cable market will register maximum growth in the North American region in the coming years. Aluminum cables are used in various industries, especially for the transmission of electricity and distribution of electricity. Aluminum wires are considered to be extremely safe for home wiring and for buildings. These wires offer maximum durability and shelf life which is expected to be about 40 years. These buyers provide high strength due to which they are preferred mostly in many construction industries. Regional growth is driven using aluminum cables in the electrical connections across the North American region.

The aluminum cable market is expected to show a significant growth even in the European region for the nations like France, Netherlands, Italy, Germany and United Kingdom. Sustainable buildings or green buildings. Walls and building projects make use of aluminum as insulation and it also provides fresh air and daylight in the houses and buildings. But the word for aluminum is expected to grow extensively in the European region to save electricity Peter in the countries like China India and Japan the new aluminum wire will increase during the forecast period is expected to show a compound annual growth rate of about 3.5%. These are the countries that will register maximum growth in the Asia Pacific region. Aluminum cables do not break easily, and they have better durability and strength as compared to the other options they are largely used in the construction sector in the region. The market growth is stimulated due to the property of the cables being lighter in weight.

Aluminum Cable Market Companies

• United Company RUSAL Plc
• Vedanta Resources Limited
• Novametal SA
• Grupo General Cable Sistemas, S.L.
• Alro S.A.
• Kaiser Aluminum
• Southern Cable
• Southwire Company, LLC
• Sam Dong America
• Priority Wire & Cable Inc.
• Chalco
• Finolex Cables
• Havells India
• Sydney copper scraps
• Victorian Metal Traders
• Badger wire
• Remer SRL
• Wagner
• Gutmann AG
• WMH Group
• Norsk Hydro
• Blecha GMBH
• Nocker Metallbau GMBH
• Aco Eurobar GMBH
• Lp Trading GMBH
• Robotunits GMBH
• Magnitude 7 metals
• Alcoa Corporation
• Century Aluminum
• Pennex Aluminum
• Aluminerie Aloutte
• Termomecanica
• Hydro.com
• Companhia Brasileira de Alumínio
• Nexans Brasil S/A
• Catálogo Conduspar
• Votorantim CBA
• Aluar Aluminio Argentino S.A.I.C
• Sural C.A.
• Emirates Global Aluminum
• Aluminum Bahrain
• Ma’aden Aluminum
• Qatalum
• Sohar Aluminum
• Iran Aluminum Company
• Egypt Aluminum
• Aberdare Cables Limited
• African Cables (Pty) Ltd.
• CCG Cable Terminations
• South Ocean Holdings Limited
• Power Technologies Pty Ltd

Recent Developments

• In February 2023, Vedanta Aluminum, India’s leading Aluminum producer launched its new range of 12 mm Aluminum Wire Rods. This latest providing to the electric industry has utilization in the rolling, drawing, and extrusion for electrical applications in automobiles, transformers, and more. The 12mm wire rods are the newest inclusion to the company’s range of wire rods, which include 7.6 mm, 9.5 mm, and 15 mm EC-grade wire rods, alloy wire rods (8xxx series), and flip coils. 
• In July 2023, a Japanese provider launched new aluminum cables for PV systems. The company claims that the new product offers the advantage of being an antitheft solution, as aluminum costs significantly less than copper, and aluminum cables are less targeted by thieves than their copper counterparts. 

Segments covered in the report

By Grade

• Electrical
• Alloy
• Mechanical

By Product

• Enameled 
• Paper insulated
• Fiberglass insulated
• Mika insulated
• Cotton insulated
• Nomex insulated

By Application

• Automobile
• Circuit breakers
• Home electrical appliances
• Switches and meters
• Transformers
• Motors
• Rotating machines
• Shipping

By Geography

• North America
• Europe
• Asia-Pacific
• Latin America
• The Middle East and Africa