A wire is an isolated electrical conductor, and, on the other hand, a cable is a cluster of wires that carry the electricity flow. Both are used extensively in many applications (overhead, buildings, & underground wirings) across the industrial & commercial sectors for transmitting power & electrical signals. Swift advancements in telecommunications & core electronic technologies are expanding the application areas for the wires & cables industry in the UAE.
The UAE Wires & Cables Market is projected to grow at an exponential CAGR during the forecast period, i.e., 2022-27. The increasing construction of smart cities & commercial buildings, coupled with various smart-grid projects & development of power facilities, are the prime aspects driving the demand for wires & cables in the UAE. Moreover, the growing number of residential & commercial buildings in line with the UAE Expo 2021 and the mounting utilization of power cables for power distribution & transmission are also driving the demand for wires & cables in the UAE.
|Study Period||Historical Data: 2017-20|
|Base Year: 2021|
|Forecast Period: 2022-27|
|Country Covered||Dubai, Abu Dhabi & Al Ain, Sharjah & Northern Emirates|
|Key Companies Profiled||Dubai Cable, National Cables Industry, Power Plus Cables Co LLC, MESC-RAK, Tekab Company Ltd., Brugg Cable Middle East DMCC, Prysmian Group, Nexans Middle East, Alfanar Company Ltd., Elsewedy Electric LLC|
|Unit Denominations||USD Million/Billion|
Various initiatives for the economic diversification away from the oil sector and enormous investments in mega infrastructure projects like theme parks, skyscrapers, shopping malls, etc., would fuel the market for wires & cables in the UAE over the coming years. Furthermore, upcoming projects associated with the hospitality, real estate, tourism, & infrastructure sectors as the country witnessing a massive influx of visitors in line with the World Expo in Dubai are other prominent aspects projected to drive the market through 2027.
Impact of Covid-19 on the UAE Wires & Cables Market
The Covid-19 pandemic significantly impacted almost all industrial sectors of the UAE, where the power sector has been no exception, and consequently the wires & cables industry, mainly due to a pause in energy projects and reduced expenditure on active projects. As per estimates, the consumption of wires & cables across the Middle East considerably shrank in 2020 compared to the previous year.
However, with the gradually declining number of Covid-19 cases, which enabled the UAE government to recommence business operations, the market observed recovery signs in 2021. China & the United States, the principal export markets, are witnessing a better than expected recovery, which would generate lucrative opportunities for the local manufacturers and boost the market in the coming years.
Based on Installation:
Amongst both, the Overhead installation acquired the largest market share in the UAE Wires & Cables Market. The overhead installation is generally the most utilized approach across the country since it is the least expensive & simplest type of installation as it doesn't require crossbars & insulators. Moreover, this type of installation has a high current & voltage carrying capacity, and faults can be addressed & repaired easily.
On the other hand, the demand for Underground installation is projected to witness the highest growth rate during 2022-27 since it involves fewer transmission losses and largely reduced maintenance expenses. Moreover, it discharges no electric fields, owing to which its demand is high across various sectors like residential, commercial, telecom, automotive, energy, & power industries.
Based on End-Users:
Here, the commercial sector acquired a considerable share in the UAE Wires & Cables Market in 2021 owing to various ongoing & upcoming construction projects in the UAE. Being the host of Expo 2021, it has surged the government spending toward hospitality & telecom sectors, which, in turn, has proliferated the demand for wires & cables in hotels, restaurants, telecommunication, etc.
On the other hand, the market would grow at the fastest rate across the residential & industrial sectors due to a boost in ongoing construction activities, massive investments in mega infrastructure projects, and the burgeoning number of power sector projects. Hence, the aspects cited above are set to positively impact the overall growth of the UAE Wires & Cables Market in the years to come.
Of all regions in the UAE, Dubai is more likely to capture the majority share in the Wires & Cables Market through 2027. It attributes primarily to the increasing investments in renewable & grid strengthening projects, robust & growing expanding tourism & transportation sectors, and mounting electricity consumption in the residential & commercial sectors. Besides, the considerable inflow of investment in the hospitality sector in line with the Expo 2020 is also strongly contributing to the overall growth of the Wires & Cables Market across Dubai.
Key Questions Answered in the Market Research Report:
Frequently Asked Questions
A. The UAE Wires & Cables Market is projected to witness an exponential growth during 2022-27.
A. The Commercial sector is anticipated to emerge as an area of remunerative opportunities for the leading players in the UAE Wires & Cables Market during 2022-27.
A. The rapidly increasing industrial & construction activities, substantial investments in developing new power infrastructure, and continued efforts toward expanding the existing transmission & distribution networks are the key growth opportunities projected to drive the UAE Wires & Cables Market in the coming years.