Vishal Pratap Singh
Wire harness and cable assembly plays a significant role in transmitting electrical power from one point to another. Generally, it is used in computers, HVAC equipment, audio or visual devices and many more. The major factors that are driving the growth of this market are increasing number of users for internet practice and high growth of automotive industry. The global cable assembly market demand is anticipated to be valued at US$ 3.8 billion in 2022 and it is forecasted to reach US$ 5.6 billion by 2032 at a CAGR of 3.95 per cent.

That being said, in this article, lets have a look at some of the most important factors that are responsible for the increased demand of wire harness and cable assembly market around the world.

Used by Majority of End-use Industries

The unprecedented rise in automotive sector, medical devices, aerospace and electronics manufacturing industries worldwide have created a robust foundation for wire harness and cable assembly manufacturers. Considering the demand from the automotive industry alone, the rising electronics and electrical complexity in the present day modern vehicles has been a key driver for the wire harness market. Most of the new generation vehicles, at times contain more than 150 pounds of wiring, which subsequently results in application of thousands of wire harnesses in a single vehicle.

Some industry insiders believe that absence of proper global standards for the usage of cable assembly is hindering the market growth to certain extent. “Nowadays, most of the companies are focused on manufacturing of more flexible wires for improved power delivery, wires to withstand more heat and use of aluminium to replace copper in wiring harness as they contribute to the development of innovative products”, says Ben Weidberg, CEO, ALTEX Wire and Cable.

Increasing Market of Advanced Devices

There is a rise in the preference for manufacturing of custom cable assembly which involves pre-molding, potting and over-molding to enhance abrasion resistance, water resistance and its performance regarding electrical productivity. It is seen as a potential opportunity to the market. An upsurge can be seen in the penetration of PCs, laptops and the internet amongst consumers are accelerating the growth of the cable assembly market. In addition to that, increase in the need for high bandwidth communication is also an important factor.
Demand in Food & Beverages Industry

The low cost wire harness used in vending machine is in high demand in the food and beverages industry. Customized cable assemblies and wire harnesses are increasing productivity levels in the food sector. Many large and medium players who are involved in the manufacturing of electronic parts are increasing their production capabilities to manufacture reliable, durable and safe wire harnesses for food service machinery and equipment. New and innovative wiring assemblies are bolstering the growth of the wire harness market, which is predicted to reach a valuation of US$ 191 billion by the end of the year 2030.

The demand for wire harness and cable assembly has increased comparatively in the applications in the food service business. These harnesses are being extensively used in heating or warming equipment, mixers, slicers and many more equipment. “The number and variety of companies with products and services developed specifically for the wire harness industry has grown exponentially that did not exist even a few years ago”, says Loren M. Smith, CEO, Blue Valley Capital.

Increasing Surge in Automotive Industry

Automotive industry keeps evolving with time and created stable revenue stream for companies in the wire harness market. Majority of companies offer vehicle to trailer wiring, which consists of a simple, plug and play electrical device that eliminates the need for splicing, cutting and soldering during installation. Experts say that this type of wiring is growing popular in various lighting and entertainment systems. Generally, the vehicles which are without a towing package are probably not equipped with the trailer wiring connector. Therefore, manufacturers are increasing the availability for customised wiring harnesses. “Proactive government regulations and growth in development of autonomous vehicles are anticipated to pave the way for multiple opportunities for wire harness and cable assembly market across the globe”, says Aldo Kamper, CEO, Leoni.

Useful in Medical Devices

Wire harnesses have become customary in virtually all end use cases such as in mechanical lifts, medical equipment, devices, and consumer technology. Lately, players in the wire harness market have started innovating in solutions that adapt to varying degrees of high and low intensity applications of electronic medical equipment and instruments. The healthcare industry is creating stable revenue streams for companies in the wire harness market due to an alarmingly high prevalence of diabetes and cardiovascular diseases amongst individuals. As such, medical devices and instruments are subject to heavy usage, which is ultimately fuelling the demand for wire harness solutions. As healthcare is one of the most critical industries worldwide, wire harness and cable assemblies need to be adaptable, durable and biocompatible in order to meet demanding needs of medical professionals. Defibrillators and radiological equipment need to function without failures.

How’s the Future of Wire Harness Market

Manufacturers across the globe are planning to capitalize on this necessity and thus are focusing on providing quick and reliable data transmission solutions with high speed cable assemblies. Also, players in the wire harness market are increasing research and development in breakthrough technologies pertaining to bioscience in order to gain a competitive edge. These factors are expected to further provide potential opportunities for the growth of the cable assembly market in the forthcoming years.

Read More News :

Transport Facilities Worth $400B at Risk Owing to Climate Change
India’s Solar Capacity Growing at a rate 167% Annually

Editor's Column

Industry Experts
Top