Category Archive: Wire & Cable
Products developed and distributed by the wire and cable manufacturing industry—such as nonferrous wire, telecom wire, and fiber optic cable—are essential to operations in a wide range of markets, including construction, consumer goods, telecommunications, and utilities. While these industries, among others, face growth in light of the Industry 4.0 technology revolution, so too does the total market value of wire and cable manufacturing operations. Current estimates anticipate a value of USD 232 billion by 2025 at an annual growth rate (AGR) of approximately 5%.
The following blog post provides an overview of the market growth trends in the wire and cable industry and the industrial opportunities these changes have opened up.
Wire and Cable Market Trends and Opportunities
In response to and anticipation of the changing market trends, the cable and wire manufacturing industry has the opportunity to expand and enhance many key operations, including in regard to:
- Fast-charging cables. Newer smartphone technology integrates fast-charging components, which necessitates the use of fast-charging cables. By using these cables, consumers significantly reduce charging times (to approximately 30 minutes), a quality that may help smartphone manufacturers offload more phones to new customers.
- Fire-resistant cables. Fire-resistant cables limit both the spread of fire and the release of toxic gas. As the construction industry grows, these cables will find increasing use in new large residential, commercial, and manufacturing buildings.
- Fiber optic cables. In 2018, fiber optic cables made up the second-largest segment of the wire and cable industry. By 2020, the value of the segment is expected to grow at an AGR of 20.3%—a trend largely attributed to the increasing demand among end-users involved with communications and telecommunications applications.
- Factory automation cables. The push for the integration of Industry 4.0 technology has led—and will continue to lead—to the adoption and installation of increasingly complex equipment and systems. The demanding environments these products are exposed to necessitates the use of durable and reliable components, including cables. The cables used must withstand stresses, such as abrasion, bending, and fast operating speeds.
- Copper stranded wire. From 2016 to 2025, the market for copper stranded wire is projected to grow at a compound annual growth rate of 1%. The primary factors driving this trend are increases in energy requirements and flexible and functional product development demand. Some of the markets that may see an increase in the use of copper stranded wire in the future include construction, energy, infrastructure, telecommunications. In regard to construction, key areas of growth are China, India, Africa, the UAE, Qatar, and the United States.
- Insulated wire and cable. Through 2019, insulated wire and cable demand for the United States is expected to grow by 6% each year. This growth is, in part, due to the predicted rise in construction operations, which will increase the need for wire and cable.
- Customized products. Wire and cable customization services allow manufacturers to provide products tailored to a customer’s application that save time, money, and space. For these reasons, custom wire, cable, and wire harnesses received a recent uptick in customer interest. At Consolidated Electronic Wire & Cable, we noticed this upward trend and provided services catering to those needs all along.
- Green initiatives. As awareness builds around environmental protection and sustainability, more people are striving to reduce the emission of potentially hazardous chemicals and increase the use of natural and recycled/recyclable products. One effect this initiative has had on consumers is rapid growth in the demand for hybrid and electric vehicles. As this market continues to expand, so too does the need for wires, cables, and wire harnesses to outfit the cars.
Consolidated Electronic: Your Single-Source Manufacturer of Standard and Custom Electronic Wire and Cable
Increases in overall consumer spending have translated to growth in many markets for wire and cable, such as the manufacture of automobiles and electronic equipment. As these markets expand, their industry professionals require greater quantities of wire and cable to meet consumer demand. For cable and wire manufacturers, the continued rise of consumer spending—and the resulting effects on downstream markets—poses both a challenge and an opportunity.
At Consolidated Electronic Wire & Cable, we are up to the challenge and prepared to benefit from the opportunity. Equipped with more than 100 years of industry experience in producing high-quality cable and wire, we have the knowledge and skills to develop and deliver solutions that meet the needs and growing demands of a diverse set of industries and markets, including medical, automotive, aerospace, telecommunications, construction, and home.
For more information about our wire and cable products and how we meet changing market demands, contact us today.
Wire and cable applications and installations rely upon many different technical terms that may not be familiar to those outside the industry. This blog will define many of these terms to help readers develop a thorough understanding of terminology used in the wire and cable industry.
Wire and cable manufacturing was an $18 billion industry in 2019. Driven by international trade, the market value has increased steadily over the last five years. A variety of industries, including consumer goods, construction, telecommunications, and utilities, depend upon these manufacturers for fiber-optic cable, electronic and telecom wire, and insulated nonferrous wire for use in computer networking, security services, signalization, and so much more.
Industry Standards and Certifications
Any cable or wiring project requires high-quality materials and installation if it’s going to be successful. Manufacturers committed to maintaining the highest production standards hold several certifications and stay compliant with international guidelines. You’ll want to make sure your chosen manufacturer is associated with these standards and certifications:
- RoHS:The Restriction of Hazardous Substances Directive restricts hazardous material usage in electrical equipment and components. Any product compliant with this directive uses eco-friendly alternatives to toxic substances.
- ISO 9001: The International Organization for Standardization offers management system standards that help companies of all sizes consistently ensure high-quality goods and services for their customers. When a company meets these standards, it indicates their products are safe, reliable, and can be used as intended.
- Total Quality Management: A TQM approach to management focuses on creating satisfied customers via eight principles. The entire organization—from owners and high-level managers to he newest employees—are committed to processes and the goals of the organization.
Cost within the wire and cable industry is a moving target since it is dependent on several factors:
It can be difficult to predict the growth or decline of the wire and cable market because it requires an accurate prediction of the cost of raw materials, which can vary greatly over time. Rubber, copper, aluminum, thermoplastic, thermosets, and other plastics are used in wire and cable. Their costs, along with the ever-changing energy costs associated with their production, influence the final price.
The worldwide demand for wire and cable drives the market, but government tariffs can drive up the cost on imported goods. When the U.S. dollar is strong in comparison to trade partner currencies, importing to the U.S. becomes more affordable while consumers in the partner countries face higher prices.
Cost Per Component Pricing
The cost-per-unit becomes more affordable if you buy in bulk, as any company that is focused on cost-effective practices will offer a discount on bulk purchases. For smaller projects or projects where you know exactly how much wire is required, purchase by the foot so you have exactly what you need and avoid waste.
Supply Chain: Understanding the Big Picture
The journey from raw materials to the end user is a long one, but each step is important. A disconnect in one area can break the entire chain, causing extra expense, time delays, or other inconveniences for manufacturers and consumers. Trusted manufacturers insist on working with sources and other companies who are equally committed to international safety and quality standards.
Consolidated Electronic Wire & Cable’s Industry 101 eBook
Since 1919, Consolidated Electronic Wire & Cable has been leading an ever-evolving wire and cable industry. Our ability to adapt to customer needs has contributed to that success and we continue to stay on top of industry trends and developments to best serve our customers.
With that in mind, the experts at Consolidated have created our newest eBook, “Wire & Cable Industry 101,” to offer a complete overview of the industry. We cover the topics mentioned above and more in greater detail, offering a great resource for anyone who is new to the wire and cable market. Download your copy today.
For 100 years, Consolidated Electronic Wire & Cable Corporation has been an industry leader in the wire and cable business. Since 1919, we’ve had the privilege to serve our diverse customer base with custom wire and cable solutions that keep their operations running seamlessly. Our loyal employees have built a tradition of service and integrity. Their energy has inspired a culture of progressive innovation, married with an unwavering dedication to industry compliance.
A Noble History
Originally known as Consolidated Wire & Associated Corporations, we earned our first opportunities through the 1920s & 1930s manufacturing radio accessories. The United States entered WWII in support of global allies in 1941, shifting focus at Consolidated Wire to provided critical products for military communications. We have since expanded expertise to match demands of the private sector, but have kept the loyalty to our allies.
Adaptation to current marketplace landscapes has been a reoccurring theme throughout our history. Evolving into the Original Equipment Manufacturer space in the 1980s paved the way for building invaluable relationships internationally.
As of 1998 we have been proud to be majority employee owned! We are now positioned as an efficient, customer centric organization.
The New Face of Consolidated
Following our tradition of customer-focused service, Consolidated offers specialized consumer resources. These include, but are not limited to:
- Our Cross Reference Parts Guide: A convenient list of our competitor-equal parts
- The Guide to Creating a Custom Cable: Covers the variety of elements that make up quality custom cables and many unique factors that must be considered.
- How to Choose a Cable & Wire Manufacturer: Discusses the necessary information to consider when selecting a wire and cable manufacturer to work with.
- and more!
For the complete library of resources & specialized service guides, head on over to the Resource Center on our website.
Looking Forward to Many More Years of Service
For a century, Consolidated Wire has provided the highest quality wire and cable solutions in the market. Our commitment to dependability and innovation has made us a dynamic and enduring presence at the forefront of the industry.
As we take this moment to reflect on our proud 100 years, we would like to extend a thank you from our Conwire family to all of our wonderful business partners. We look forward to another 100 years with all of you!
For more information about our services or to request a quote, contact us today.