Page 25 - Analysis Report of Global Market in the Submarine Cable Field (2017)

Chapter 6

Wire & Cable Industry And Global Submarine Market Analysis
In 2017

Ⅰ. The market analysis of cable industry in 2017 Figure 2 2005-2016 China’s wire & cable industrial profit
1. Industrial production rate
Driven by the multiple advantages of the 4G network, the FTTH
implementation, the triple net combination pilot, the west village
connection project, “optical replace copper”, China’s cable industry
is in very good situation of development. China has become of most
important global cable market and the biggest cable manufacturing
country in the world.
At present, the global wire and cable market scale has been over 100
billion Euros. Among the whole global cable industry, Asia takes 37%
of the market share, while European market share almost reaches 30%,
America’s takes 24% and others takes 9%.

Wire and cable industry is one of the most important supporting
industries in China’s national economic construction, taking one
quarter of the output value of the electrical industry, which is the 2. Inustrial Profit
second largest industry in the mechanical industry after automotive There are too many wire and cable enterprises in China, among
industry. In the past ten years, China’s wire and cable industry which the small and medium-sized enterprises account for over 90%,
has made considerable progress. In 2014, China broke through and the industrial competition is fierce. For the first three
the industrial output value of 1.1 trillion, which made China surpass the quarters in 2016, the industry average gross profit was only 10.51%.
United States to become of the largest wire and cable manufacturing With the escalating of China’s economy transformation and the slowing
country in the world. In 2016, the annual output value of wire and cable down of the macroeconomic growth, the overall growing speed of the
industry in China reached 1.4 trillion RMB. wire and cable industry has further slow down. As the industrial compe
tition becomes fiercer and fiercer, the less competitive small enterprises
Figure 1 2005-2016 China’s wire & cable industry sales revenue will be eliminated gradually.

3. Industrial production rate
In recent years, China has become of the manufacturing center in the
world. China’s wire and cable industry is in a high-speed development
statement. Since the “12th Five-Years”, China’s wire and cable
industry’s annual output average growth has been over 25%. The
manufacturing capacity and technological equipment of industry have
gradually increased. The industrial gathering tendency is obvious while
the quality awareness and level have been significantly improved. On
the basis of a large portion of technology introduction, digestion and
absorption as well as independent research and development, China’s
wire and cable industry has generated to a huge production capacity,
with its product variety satisfaction rate and the domestic market share
rate beyond 90%.

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