The electric submersible cables market is on an upward trajectory, poised to expand significantly over the next decade. Valued at US$ 5.2 billion in 2022, the global market is forecast to grow at a compound annual growth rate (CAGR) of 5.3% between 2023 and 2031, reaching US$ 8.3 billion by the end of 2031. This expansion is underpinned by mounting demand from critical sectors such as oil & gas, water & wastewater treatment, and mining, coupled with advancements in cable technologies tailored for extreme environments.
Understanding Electric Submersible Cables and Their Applications
Electric submersible cables are specially designed to transmit power and signals to submersible pumps and equipment deployed underwater or underground. These cables are engineered to operate under high pressure, high temperatures, and chemically aggressive environments. Their robust design makes them essential in a wide range of industries such as:
- Oil & Gas: For downhole pumping systems
- Wastewater Treatment: To power pumps in water reclamation facilities
- Agriculture: In subsurface irrigation systems
- Mining and Construction: For dewatering and material handling processes
These cables are built with insulation materials such as polypropylene and Ethylene Propylene Diene Monomer (EPDM) to ensure resistance to heat, corrosion, abrasion, and fire hazards.
Analyst Viewpoint: Oil & Gas Sector Remains the Largest Driver
The oil & gas industry remains the dominant consumer of electric submersible cables. Submersible pumps used in downhole applications require cables that are not only mechanically robust but also resistant to high pressures, extreme temperatures, and corrosive chemicals like hydrogen sulfide and hydrogen chloride.
Manufacturers are innovating by offering armored cables using materials such as steel and aluminum, and by deploying Teflon-insulated cables for thermal stability. In addition, tubing-encapsulated cables (TECs) are being increasingly adopted for power delivery and data transmission in deep well environments. The continued expansion of upstream activities globally is a key catalyst for the market’s growth.
Surge in Demand from Water and Wastewater Treatment
The global water crisis—where an estimated 25% to 30% of the population faces clean water scarcity—has made wastewater treatment more critical than ever. Electric submersible pumps, essential for moving sludge and treated water, rely on high-performance submersible cables to function efficiently.
These cables ensure consistent electrical supply to submerged equipment, even in harsh and moisture-laden environments. As governments invest in infrastructure to combat water scarcity, the deployment of electric submersible pumps and, consequently, the demand for submersible cables is growing rapidly.
However, a challenge remains: depth limitations. If submersible cables are used beyond their rated depth, insulation and sealing may fail, leading to water ingress and operational failure. Hence, proper depth assessment remains essential for safe cable operation.
Industry Trends: Flexibility, Durability, and Smart Design
One of the prominent trends in the electric submersible cables market is the development of cables that are flexible, uniform in resistance, and suited to extreme environmental conditions. These cables are being tailored to withstand abrasion, grease, and mechanical stress while maintaining excellent conductivity.
Additionally, submersible cables are now being adopted in confined installations such as aquariums, swimming pool lighting systems, and food processing plants, due to their waterproof features and fire safety capabilities.
In mining and agriculture, submersible cables support dewatering systems and underground irrigation, further expanding their use cases. As demand spreads across industries, cable manufacturers are optimizing designs to meet cross-sectoral requirements.
Regional Outlook: Europe Leads, Others Catching Up
Europe accounted for a substantial share of the global electric submersible cables market in 2022. A well-established oil & gas infrastructure and the construction of modern wastewater treatment facilities are key growth drivers in the region.
Meanwhile, North America, Asia Pacific, and the Middle East & Africa (MEA) are experiencing steady growth. These regions are ramping up investments in clean water initiatives, oilfield development, and agricultural modernization, thus presenting lucrative opportunities for market players.
In countries such as India and China, population pressures and rapid urbanization are prompting infrastructure development in wastewater management, further propelling cable demand.
Competitive Landscape: Strategic Collaborations and Capacity Expansion
Leading companies in the global electric submersible cables industry are not only expanding their production capacity but also entering strategic partnerships to enhance innovation and reach. Some noteworthy developments include:
- Ducab and Baker Hughes (June 2023): Signed an MoU to accelerate the development of cables for electric submersible pumps.
- Petroleum Development Oman & Borets (Dec 2022): Signed an MoU to establish the region’s first electric submersible cable manufacturing plant.
Top players such as Prysmian Group, Southwire Company, Nexans, V-Guard Industries, Havells, Hitachi Metals, and Baker Hughes are at the forefront of developing high-performance solutions tailored for demanding environments.
Companies are also investing in local production facilities to meet rising regional demand, reduce lead times, and comply with local content regulations.
Conclusion: Bright Prospects Amid Growing Infrastructure Demands
The electric submersible cables market is set to experience sustained growth as industries intensify their focus on efficient water management, oilfield performance, and resilient infrastructure. With technological innovation, strategic collaborations, and increasing global awareness of environmental challenges, electric submersible cables are becoming indispensable across diverse applications.
As the market moves toward US$ 8.3 billion by 2031, companies that can offer customized, reliable, and high-performance solutions will be best positioned to lead in this rapidly evolving landscape.
