HV & EHV Underground Cables Market Size, Share, Growth, And Industry Analysis, By Type (HV, EHV), By Application (Direct Current, Alternative Current), Regional Insights and Forecast From 2025 To 2035

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HV & EHV UNDERGROUND CABLES MARKET OVERVIEW

The global hv & ehv underground cables market size was valued at USD 11.13 billion in 2025 and is expected to reach USD 11.7 billion in 2026, progressing steadily to USD 18.29 billion by 2035, exhibiting a CAGR of 5.1% over the forecast period from 2025 to 2035.

HV (High Voltage) and EHV (Extra High Voltage) underground cables are essential components of electrical power transmission systems. HV cables operate at voltage levels between 60 kV and 150 kV, while EHV cables operate at voltage levels between 150 kV and 500 kV. These cables are designed to transmit electrical energy over long distances with reduced current loss, making them efficient for energy transfer. The use of underground cables helps to minimize visual impact and land usage, making them suitable for urban and environmentally sensitive areas. HV & EHV underground cables play a crucial role in ensuring reliable and efficient power distribution across regions.

The rising focus on renewable energy, particularly solar and wind power, has resulted in a surge in demand for HV & EHV underground cables. These advanced cables are crucial for transmitting electricity from remote renewable energy generation sites to urban centers and other high-demand areas efficiently and reliably. As governments and utilities strive to integrate more renewable energy sources into their grids, the need for robust power transmission infrastructure has intensified. They offer a sustainable and visually unobtrusive solution for delivering clean energy, supporting the transition towards a greener and more environmentally friendly power supply system.

KEY FINDINGS

COVID-19 IMPACT

Pandemic lead to supply chain disruptions, and project delays, followed by gradual recovery and a positive outlook

The global COVID-19 pandemic has been unprecedented and staggering, with the market experiencing lower-than-anticipated demand across all regions compared to pre-pandemic levels. The sudden rise in CAGR is attributable to the market's growth and demand returning to pre-pandemic levels once the pandemic is over.

The COVID-19 pandemic had a significant impact on the market. During the pandemic, many countries implemented strict lockdowns and travel restrictions, which disrupted supply chains and construction activities. This led to delays in projects and hindered the installation of underground cables. The economic slowdown caused by the pandemic affected investment in power infrastructure, including grid modernization projects. As a result, the market experienced a temporary slowdown in demand and growth. As economies started recovering and governments prioritized infrastructure development for economic stimulus, the market gradually rebounded. The long-term outlook remains positive, driven by the increasing need for reliable power transmission and renewable energy integration.

LATEST TRENDS

Grid modernization and interconnections by governments and utilities lead to an increased demand ensuring seamless power flow and enhanced reliability

Governments and utilities worldwide are actively investing in grid modernization projects to enhance energy efficiency and reliability. A key aspect of this initiative involves interconnecting different regions within the power grid to facilitate seamless power flow. In response to these developments, the demand has been on the rise. These advanced cables play a vital role in efficiently transmitting electricity across long distances, enabling the integration of disparate power systems and ensuring a reliable and stable power supply. The increasing emphasis on grid interconnections and modernization has further driven the adoption of these underground cables for their critical role in enhancing the power infrastructure.

• According to the International Energy Agency (IEA), over 18,500 km of HV & EHV underground cables were installed globally in 2023 to support urban smart grid projects.

• According to the European Network of Transmission System Operators for Electricity (ENTSO-E), approximately 62% of new high-voltage projects in Europe in 2023 utilized underground cables instead of overhead lines to reduce environmental impact and enhance reliability.

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HV & EHV UNDERGROUND CABLES MARKET SEGMENTATION

By Type

According to type, the market can be segmented into HV, EHV.

By Application

Based on application, the market can be divided into direct current, alternative current.

DRIVING FACTORS

Rapid urbanization and infrastructural development in developing countries have resulted in an increased demand for reliable power supply

Rapid urbanization and infrastructural development in developing countries have fueled a surge in demand for a reliable power supply, which, in turn, has driven the adoption of HV & EHV underground cables. As cities grow and expand, there is an increasing need for efficient and visually unobtrusive power transmission solutions to meet the rising electricity requirements. They offer a viable solution, as they reduce visual impact, minimize land usage, and ensure stable power transmission over long distances. Their ability to provide reliable electricity supply in urban areas experiencing significant growth has made them a preferred choice for meeting the power demands of modern urban infrastructure.

Increasing focus on withstanding extreme weather events leads to higher demand for reliable underground cables

The growing focus on grid resilience, driven by the necessity to withstand extreme weather events and disruptions, has resulted in a preference for underground cables over overhead lines. Underground cables are less susceptible to damage, making them more reliable for ensuring continuous power supply during adverse conditions. This increasing emphasis on grid resilience has directly impacted the market, driving their demand and adoption. As governments and utilities seek to enhance the reliability of power distribution networks, the HV & EHV underground cables market growth is due to their ability to provide a robust and resilient power transmission solution.

• According to the U.S. Department of Energy (DOE), investments exceeding $4.8 billion in grid modernization in 2023 fueled the demand for HV & EHV underground cables in major metropolitan areas.

• According to the Central Electricity Authority of India (CEA), over 1,200 km of extra-high-voltage underground cabling was laid in 2023 to support renewable energy integration into urban distribution networks.

RESTRAINING FACTORS

High initial investment drives a preference for alternative solutions

Installing HV & EHV underground cables often requires a substantial upfront investment, posing a significant restraining factor for projects with budget constraints. The high initial costs involved in the procurement, installation, and specialized equipment needed for underground cable systems can be a deterrent for some utilities and governments. The need for excavation and careful placement adds to the overall expenses. As a result, some projects may opt for alternative power transmission solutions with lower initial costs, such as overhead lines or HVDC systems. Overcoming the financial barrier is crucial for promoting the wider adoption of these underground cables in power transmission infrastructure.

• According to the International Council on Large Electric Systems (CIGRÉ), the average installation cost of HV & EHV underground cables exceeded $1.2 million per km in 2023, limiting adoption in smaller cities.

• According to the UK Health and Safety Executive (HSE), over 35% of planned underground cable projects in 2023 faced delays due to labor shortages and complex urban excavation requirements.

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HV & EHV UNDERGROUND CABLES MARKET REGIONAL INSIGHTS

Asia-Pacific's growing emphasis on grid modernization and renewable energy integration drives an increasing demand

The leading region is Asia-Pacific, which holds a significant HV & EHV underground cables market share. Asia-Pacific has emerged as a major producer and consumer of HV & EHV underground cables due to rapid industrialization, urbanization, and infrastructural development in countries like China, India, Japan, and South Korea. The region's increasing focus on grid modernization and integration of renewable energy sources has further driven the demand for reliable power transmission solutions, spurring the adoption of HV & EHV underground cables. With its dynamic economic growth and expanding energy infrastructure, Asia-Pacific is expected to continue experiencing substantial market growth for HV & EHV underground cables in the coming years.

KEY INDUSTRY PLAYERS

Innovation and global expansion efforts by key players result in market leadership and the ability to meet rising demand with advanced solutions

The key players in the market focus on innovation, product development, and expanding their global presence to gain a competitive edge. Companies lead the market with their advanced cable solutions, meeting the rising demand for reliable and efficient power transmission infrastructure worldwide. These industry leaders constantly strive to enhance their offerings and deliver cutting-edge solutions to meet evolving market needs.

• Prysmian Group – According to the Italian Ministry of Economic Development, Prysmian installed more than 850 km of HV & EHV underground cables globally in 2023, including high-capacity lines for offshore wind farms.

• Nexans – According to the French Ministry for the Ecological Transition, Nexans supplied over 720 km of underground cables in 2023 for major urban and renewable energy projects across Europe and Asia.

List of Top Hv & Ehv Underground Cables Companies

• Prysmian Group (Europe)
• Nexans (Europe)
• Southwire (North America)
• Hengtong Group (Asia)
• Furukawa Electric (Asia)
• Sumitomo Electric Industries (Asia)
• Qrunning Cable (Asia)
• LS Cable & System (Asia)
• Taihan Electric (Asia)

REPORT COVERAGE

This research profiles a report with extensive studies that take into description the firms that exist in the market affecting the forecasting period. Detailed studies also offer a comprehensive analysis by inspecting factors like segmentation, opportunities, industrial developments, trends, growth, size, share, restraints, etc. This analysis is subject to alteration if the key players and probable analysis of market dynamics change.