The electrical wire and cable industry is expected to have bright prospects this year, driven by the growth of electric vehicle (EV) and data centre businesses, says the Trade Association of Thai Cable Manufacturers (ATCM).
More EV sales and investment in data centres in many countries, including Thailand, as part of a transition to clean energy will lift demand for electrical wire and cables used in EV assembly and data centre development, said Pongsapak Nakornsri, president of ATCM.
Data centres are becoming more important as the network of computers provides computational and storage infrastructure for data and the artificial intelligence technology used by businesses, he said.
Many operators of data centres also demand clean energy to run their facilities, which require a huge amount of electricity.
New clean energy projects, including solar and wind farms and hydropower plants, require electrical cables, said Mr Pongsapak, also chief commercial officer of Bangkok Cable Co, a local electrical wire and cable manufacturer.
The clean energy sector is expected to grow by 6% a year globally, he said, citing an estimate from market research agencies.
According to ATCM, the value of the global electrical wire and cable industry is expected to reach US$230 billion this year and increase to $300 billion by 2030.
The growth of the electrical wire and cable sector in Southeast Asia is expected to outperform the global market thanks to high economic growth in countries such as Vietnam.
In Thailand, applications for investment promotion incentives in the first half of 2025 increased by 139% year-on-year to a record 1.06 trillion baht, led by investment in the digital sector, according to the Board of Investment.
The data centre segment attracted a combined investment value of 521 billion baht from 28 projects, as foreign and local tech companies continued to address the soaring demand for cloud services from hyperscalers, which refers to global cloud service companies.
The government continues to promote the EV industry, aiming to make Thailand a regional hub of EV production.
Under its “30@30” policy, Thailand expects EVs to represent at least 30% of total auto production by 2030, comprising 725,000 zero-emission cars, 675,000 electric motorcycles and 34,000 electric buses and trucks.
However, political uncertainties may cause a delay in new investment projects, which will eventually affect the electrical wire and cable industry, said Mr Pongsapak.