Insulated wires & cables: India’s growth and export potential

Suhayl Abidi | June 9, 2025

India’s wire and cable industry is poised for a transformative leap amid global shifts in energy, digital infrastructure, and connectivity. With robust growth across EVs, 5G, data centres, and renewable energy both domestically and globally—the demand for advanced, export-ready cable solutions is rising sharply. Backed by the fastest export growth among the top 20 countries and emerging opportunities in Africa, the Middle East, and post-conflict reconstruction zones, India has a rare chance to scale its global presence in HS Code 8544 products. This note outlines the opportunity landscape and product strategies that can power India’s ascent in this critical sector.

Due to the large-scale adoption of electric vehicles, 5G technologies, construction of data centres, and renewable energy expansion throughout the world, the global insulated wire and cable market size was valued at US$ 160.54 billion in 2019 and is projected to reach US$ 244.23 billion by 2027, registering a CAGR of 5.3%. India has a substantial opportunity to expand its export of cables.

Under US Code 8544 — insulated (including enamelled or anodised) wire, cable (including coaxial cable) and others — India exported US$ 2 billion worth of products in 2024. It is currently ranked 20th globally, with China dominating the market at an 18% share. However, among the top 20 countries, India’s growth since 2020 has been the highest, at 100%. Wires and cables play an important role in sectors such as construction, telecommunications, power distribution, and automation. Of the total consumption, cables account for 80% of the market, while construction wires make up the remaining 20%.

Taking advantage of expanding markets and current trade turmoil, India should aggressively explore avenues for increased sales in established markets and new regions in Africa and the Middle East.

The data centre market in the Middle East and Africa (MEA) is experiencing significant growth, driven by increasing digitalisation, cloud adoption, and the development of smart cities. The market is projected to reach US$ 19.89 billion by 2030, growing at a CAGR of 14.93%. According to PwC, the Middle East is rapidly becoming a data centre powerhouse, with capacity in the region expected to triple from 1GW in 2025 to 3.3GW over the next five years.

Data centres, fibre-optic broadband expansion, and telecom towers are set to become the new backbone of Africa’s economic growth, with South Africa, Nigeria, Kenya, and Morocco leading the charge. Mobile data consumption across Africa is expected to increase by 40% each year. Currently, there is 250MW of installed data centre capacity across Africa, forcing users to rely on facilities located thousands of miles away — often in South Africa or outside the continent. Demand for data centres across Africa is expected to exceed supply by 300% in the coming years.

Off-grid solar installations are also growing rapidly in Africa. The sector provided 55% of new electricity connections in sub-Saharan Africa between 2020 and 2022, where over 80% of the unelectrified population resides. The World Bank Group has partnered with the African Development Bank to connect 300 million people to electricity across Africa over the next six years.

The global 5G services market is projected to experience significant growth, with estimates ranging from around USD 250 billion by 2032 to over USD 4,564 billion by 2035. This expansion is being driven by increasing demand for high-speed connectivity, the deployment of advanced communication technologies, and growing adoption of 5G across various industries.

The Indian wires and cables market is projected to grow significantly as well, supported by rising power demand, digital infrastructure development, and increasing EV adoption. A CAGR of 7.94% is expected between 2025 and 2032, potentially reaching a market size of USD 17.08 billion.

There is also a likelihood of cessation of hostilities in Ukraine and Gaza in the near future. Whatever the terms for ending these conflicts, reconstruction will demand vast quantities of materials, including wires and cables. Ukraine’s reconstruction is estimated to cost $400 billion, while Gaza’s is projected at $25 billion. India should be ready to exploit these opportunities.

To substantially increase India’s share in global markets, strategic product development should focus on high-growth niches, compliance with evolving global standards, and sustainability.

Advanced Cables for Renewable Energy: Develop UV-resistant, high-temperature cables (up to 120°C) with low power loss for solar farms and offshore wind projects.

Rodent-Resistant Insulation: Integrate materials like nylon or steel-braided layers to prevent damage in rural installations.

Fiber Optic Innovations for 5G and AI Data Centers:

Create high-density GPU-optimized fibers supporting 400–800 Gbps speeds for AI data centres, where GPU racks require 36x more fiber than traditional CPU setups.
Introduce bend-insensitive fibers to improve rural 5G connectivity by reducing signal loss in tight-spaced telecom towers (only 40% fiberized in India vs. 85–90% in the US/China).

Smart Grid and High-Voltage Transmission Cables:

Develop ±800 kV HVDC cables to align with projects like KEC International’s ₹1,445 crore Power Grid Corporation orders.
Embed IoT sensors in smart grid-ready cables for real-time monitoring of temperature and load fluctuations in smart cities.

Cost-Competitive Alternatives to Copper:

Develop aluminum conductor cables using AA-8000 series alloys for overhead power lines, reducing costs by 30–40% compared to copper.
Use carbon fiber-reinforced composite core conductors to enhance strength and reduce sag in high-temperature environments.

Export-Optimized Product Lines:

Tailor products to EU (450/750V) and North American (600V) standards to capture 57% of India’s current exports (US, UK, Japan).
Supply pre-terminated kits with plug-and-play optical fiber assemblies for data centres, reducing installation time by 50%.

Invest in Nano-Composite Insulation: Improve dielectric strength and thermal stability for high-voltage applications.

Global Certifications

Secure UL (US), CE (EU), and GCC (Middle East) marks to counter Vietnam’s dominance (8.2M shipments) and China’s (5.8M shipments) in HS 8544. Indian SMEs should leverage PLI schemes to subsidize advanced manufacturing and forge partnerships with global players (e.g., Corning, Prysmian) for technology transfer. By prioritizing these innovations, India can target a 15–20% share of the $43B global fiber market and achieve 8–10% CAGR in HS 8544 exports by 2030.

Suhayl Abidi, Research Advisor, Govt. of Gujarat -AMA Centre of International Trade