Italy Wire and Cable Market Size & Share Analysis - Growth Trends and Forecast (2026 - 2031)

Italy Wire and Cable Market Trends and Insights

Grid Modernization and Renewable-Energy Interconnections

Grid modernization is the main demand driver for the Italy wire and cable market because it requires new high-voltage corridors, substations, and cross-border links. Terna planned more than EUR 23 billion (USD 25.97 billion) of network investment for 2025-2034. Renewable capacity is set to increase by at least 65 GW by 2030 from 2023 levels, with much of the new capacity located in southern regions and islands.^{[1]Terna S.p.A., “Grid Development Plan, Renewable Energy Sources,” Terna, terna.it} This geographic pattern requires stronger links to the industrial demand centers in northern Italy. The country’s grid reinforcement cost per gigawatt was reported to be half that of Germany, France, and the United Kingdom, which supports the execution of projects within available funding. Prysmian received a EUR 382.5 million (USD 431.6 million) Terna framework agreement in July 2025, including a minimum annual commitment of 50 km of high-voltage cable and related maintenance services.^{[2]Prysmian S.p.A., “Prysmian Wins Framework Agreement with Terna to Strengthen the National Electricity Transmission Grid,” Prysmian, prysmian.com}

Submarine-Cable Engineering for Mediterranean Energy Links

Italy’s location in the central Mediterranean is raising demand for specialized submarine energy and data cables. The Tyrrhenian Link is a EUR 3.7 billion (USD 4.18 billion) project spanning 970 km and connecting Sicily, Sardinia, and Campania. Nexans completed the installation of a 500 kV HVDC subsea cable at a depth of 2,150 meters in 2025. In February 2026, Sparkle, Alcatel Submarine Networks, and Elettra Tlc signed contracts for GreenMed, a new subsea data corridor across the Central-Eastern Mediterranean.^{[3]Alcatel Submarine Networks, “Sparkle, Alcatel Submarine Networks and Elettra to Build GreenMed, the New Subsea Cable System in the Mediterranean,” ASN, asn.com} Its initial sections are expected to enter service in late 2028. The ELMED connection between Italy and Tunisia adds another potential route for renewable energy transmission, while the Naples production base is well placed to support this work. Energy and digital projects using the same marine corridors concentrate demand for specialist cable design, installation, and termination services.

Fiber-to-the-Premises, 5G, and Data-Center Expansion

Broadband deployment is supporting fiber-optic cable demand in the Italy wire and cable market. The Banda Ultra Larga plan involved EUR 3.4 billion (USD 3.74 billion) at the 2025 IRS average rate, for fiber coverage across Italian premises. Infratel Italia had certified 5,405 municipalities as fully deployed for FTTH and had recorded cumulative ordered works of more than EUR 2.63 billion (USD 2.88 billion) as of April 2026. The European Investment Bank approved EUR 1 billion (USD 1.13 billion) for FiberCop to connect 5.8 million additional property units, with 40% of the investment directed to southern Italy. Italy’s 5G densification initiative met its target for 500 km² of previously unserved territory by the end of June 2026. Long delivery times for fiber cable in early 2026 also reduced immediate import competition during domestic deployment periods.

Electric-Vehicle Production and Charging-Network Buildout

Charging infrastructure is increasing the use of low-voltage cable in urban and highway settings. Italy had 84,564 public charging points at the end of June 2026, an increase of 17,003 points over the preceding 12 months. The network had reached 78,253 points by March 2026, and more than 50% of highway service areas were equipped with charging facilities. Multi-connector 400 kW charging hubs require multiple cable runs between the grid connection, metering equipment, and charging points. This raises cable use per location compared with many standard commercial installations. Italy’s electric vehicle fleet is expected to reach 8-10% of total vehicles by 2030, with 198,000-239,000 public charging points, which would sustain installation demand after 2026. 

Copper and Aluminum Price Volatility

Material price changes can reduce margins, especially for smaller manufacturers without extensive hedging programs. Copper reached USD 13,544 per tonne during May 2026, while the copper-to-aluminum price ratio reached 4.3x in January 2026. These price conditions support substitution toward aluminum in suitable medium- and low-voltage applications. Prysmian reported that aluminum represented 40% of its conductor weight in early 2026, 3 percentage points higher than 5 years earlier. Fixed-price projects face greater exposure when copper prices rise after a contract is signed, which has led to more LME-linked pricing with periodic adjustments. Producers with integrated copper-drawing facilities can manage the timing of input purchases more effectively than companies that buy drawn conductor at spot prices.

Skilled Cable-Installation and Testing Labor Shortages

A shortage of specialist technicians may restrict the pace of complex cable installation and testing programs. A September 2025 survey by ANIE and TEHA found that 75% of Italian electrotechnical companies reported significant skills shortages. The same survey found that 69% had slowed or postponed projects because of these shortages. The constraint is most relevant to high-voltage, submarine, and advanced industrial work, where testing and installation skills cannot be replaced quickly. It can delay revenue recognition for cable suppliers even when projects are funded and products are available. Large companies that offer turnkey engineering, procurement, construction, and installation services may benefit by coordinating more of the required capabilities.

*Our forecasts treat driver/restraint impacts as directional, not additive. The impact forecasts reflect baseline growth, mix effects, and variable interactions.

Segment Analysis

By Voltage: Grid Investment Supports Higher-Voltage Demand

Low-voltage cables held 53.26% of the Italy wire and cable market in 2025. They are used in residential wiring, commercial fit-outs, charging installations, and distributed solar systems. Their extensive installed base supports replacement demand in older buildings. Medium-voltage cables are important for distribution reinforcement and connections to renewable-energy plants. Funding for smart-grid work targets medium- and low-voltage upgrades for at least 230,000 additional end users. The Italy wire and cable market size for extra- and high-voltage cables is projected to expand at a 6.43% CAGR through 2031. Terna’s procurement of HVAC and HVDC links supports this faster growth. A limited number of Italian facilities can produce 500 kV-class HVDC cables that meet the required specifications, limiting supply competition for qualified producers.

Extra- and high-voltage cables serve longer routes connecting generation centers with demand centers. Offshore, inter-island, and cross-border projects require products that meet demanding technical and testing requirements. IEC 62067 and EN 50267 guide design and testing in extra-high-voltage applications. Products in this tier often require more engineering support than standard building wire. This creates a higher barrier to entry for suppliers without proven operating experience. Low-voltage products remain essential because every charging point, building renovation, and distributed-energy installation requires local connection. The different roles of the voltage tiers allow the Italy wire and cable industry to retain a broad demand base while higher-voltage products drive faster value growth. This product mix can raise average selling prices even when volumes grow more slowly.

By Cable Type: Fiber-Optic Cables Change the Product Mix

Power cables accounted for 60.84% of the Italy wire and cable market in 2025. Their role in energy distribution, construction, and industrial wiring makes them the most stable product category. Signal and control cables support automation systems across industrial plants. Coaxial and data cables also serve expanding connectivity requirements. Italy’s machine tool, robotics, and automation production was projected to reach EUR 6.64 billion (USD 7.50 billion) in 2026, with domestic consumption expected to grow 7.4%. Fiber-optic cables are projected to expand at a CAGR of 6.17% through 2031. Their growth is supported by broadband deployment and by higher fiber density within data centers.

Prysmian signed a EUR 5.5 billion (USD 6.22 billion) ten-year agreement with Molex in July 2026 for in-building data-center optical cables. This agreement indicates a need for added production capacity for digital infrastructure products. Tratos Cavi manufactured the microcable used in Italy’s first multicore optical fiber link in 2026. That project shows domestic capability in high-density optical cable design. Power cable demand will remain tied to grid and construction work, while fiber-optic products are more closely tied to digital infrastructure investment. Suppliers that sell both product groups can serve energy and data projects without depending on one end use. The Italy wire and cable market is therefore shifting toward a higher contribution from specialized optical products.

By Conductor Material: Copper Retains Scale While Optical Materials Lead Growth

Copper held 65.37% of the Italy wire and cable market by conductor material in 2025. Its conductivity and compact design requirements support use in applications such as HVDC cables and automotive wiring. Aluminum remains the main alternative in metallic conductor applications. Its use is becoming more attractive where material price differences are large. Optical glass/polymer is projected to expand at a CAGR of 6.22% through 2031. The category benefits from fiber rollout, 5G backhaul, and data-center interconnection. It also has less direct exposure to copper and aluminum commodity cycles.

The shift toward optical materials enables manufacturers to diversify their portfolios. Fiber cable demand depends on network deployment, building connectivity, and data traffic rather than metal costs. Corning announced a new optical connectivity plant in Stryków, Poland, in April 2026. The facility is expected to become the European Union’s largest optical cable and connectivity campus upon opening in the second half of 2026. This added regional capacity may reduce reliance on imports and support deployment schedules in Italy. Copper will remain central for high-performance electrical applications because no substitute can meet all technical specifications. The Italy wire and cable industry can therefore pursue optical products for growth while retaining copper products for critical electrical applications.

By Installation: Submarine Projects Create Higher-Value Demand

Underground cables accounted for 50.72% of the Italy wire and cable market in 2025. Urban distribution networks and renewable-energy connections rely on this installation method. Replacement of aging infrastructure in sensitive areas also supports underground deployment. Overhead lines remain cost-effective for long-distance transmission in less densely populated locations. Tratos Group agreed in 2026 to supply carbon-fiber composite conductor cores to Exel Composites under a 2026-2029 framework agreement with a minimum value of GBP 22 million (USD 28.2 million). This agreement points to ongoing overhead modernization. Submarine installation is projected to grow at a CAGR of 7.08% through 2031. These investments also support demand for maintenance, testing, connectors, and related installation services nationwide.

Submarine cables are used for inter-island power transfer and Mediterranean connectivity. These projects require marine surveys, specialized vessels, offshore terminations, and qualified installation crews. As a result, a submarine project can create demand beyond the cable itself. Nexans completed the Tyrrhenian Link installation at a depth of 2,150 meters in 2025. This achievement expanded the technical range of commercially installed submarine cable systems. Underground cable will continue to provide the larger base of demand because it serves many local distribution projects. Submarine systems, however, carry a higher level of technical value and are a key driver of faster growth in the Italy wire and cable market.

By End-User Vertical: Power Infrastructure Gains Priority

Construction accounted for 30.18% of the Italy wire and cable market in 2025. Residential and commercial projects use cable for power, control, connectivity, and safety systems. The 2025 Superbonus provided a 65% deduction for qualifying renovation expenses, which supported electrical rewiring in existing homes. The lower rate compared with earlier versions of the program moderated incremental construction demand. Industrial manufacturing, automotive and mobility, telecommunications and data centers, and oil and gas also create demand across the Italy wire and cable market. Power infrastructure, utilities, and renewables are projected to grow at a CAGR of 6.51% through 2031.

Grid connection requirements provide the primary basis for the faster growth of power infrastructure. Italy’s renewable-energy targets require network additions even when wider economic conditions are less favorable. Telecommunications and data-center demand are supported by fiber and connectivity investment. Industrial manufacturers are also increasing their use of automated equipment and connected production systems. ANIE Automazione reported that 72% of Italian automation companies had invested in artificial intelligence during the preceding 2 years. These applications require industrial Ethernet and signal cable infrastructure. Construction will retain its leading position due to its large installed base, but regulated energy investment will drive the fastest expansion in the Italy wire and cable market.

By Insulation: Certified Insulated Products Keep Their Lead

Insulated cables represented 92.06% of the Italy wire and cable market in 2025 and are projected to grow at a CAGR of 5.34% through 2031. Their large share reflects the use of insulated products across almost all voltage levels and end uses. Non-insulated cables accounted for 7.94% and are used mainly in overhead transmission, grounding, and bonding applications. Their role is more specialized, and no comparable demand catalyst is expected to raise their relative share. Standard PVC insulation is increasingly being replaced by halogen-free flame-retardant, HFFR, and low-smoke zero-halogen, LSZH, compounds. The change is linked to Italy’s application of the European Union Construction Products Regulation and the CEI UNEL 35016 standard. 

The regulation requires minimum Euroclass ratings in buildings with high occupancy density. Cca or B2ca ratings are commonly specified for main power circuits, while B1ca is required for emergency systems in commercial properties. These requirements limit the use of the least expensive import products in many building projects. Certified domestic and European suppliers can therefore compete on safety performance rather than solely on price. The addressable shift toward HFFR and LSZH compounds in Italian building cables was estimated at 20-30 kilotonnes over the forecast period. This change raises the importance of test records and third-party certification in purchasing decisions. It also strengthens the position of suppliers that can provide compliant insulated products across the Italy wire and cable market.

Geography Analysis

Northern Italy is the main center of domestic cable manufacturing and accounts for the largest share of national cable consumption. Lombardy, Piedmont, Veneto, and Emilia-Romagna combine automotive production, precision engineering, food processing, and machinery manufacturing. These industries require industrial Ethernet, signal and control, and medium-voltage power cables. The region also has production strength in grid distribution, rubber-insulated industrial cable, and automotive specialty cable. Prysmian and Tratos Cavi provide domestic capacity in fiber-optic and high-voltage products. More than 72% of Italian automation companies had invested in artificial intelligence in the preceding 2 years, supporting the need for connected factory infrastructure. 

Southern Italy, Sicily, and Sardinia represent a different demand area centered on grid infrastructure, renewable-energy connections, and submarine landing points. The SA.CO.I.3 project modernizes the Sardinia-Corsica-Italy interconnection to integrate renewable generation with the national grid. The Tyrrhenian Link connects Sicily, Sardinia, and Campania through 970 km of subsea HVDC cable. These projects address north-south grid congestion that can otherwise limit the transfer of southern renewable energy to northern demand centers. The EUR 1 billion (USD 1.13 billion) FiberCop agreement directs 40% of its planned connections to southern special economic zones. This spreads fiber deployment beyond the country’s traditional industrial concentration.

Italy’s position supports its role as a production base, a Mediterranean cable transit point, and an investment destination for energy transition. The country’s grid reinforcement cost per gigawatt was reported to be half that of Germany, France, and the United Kingdom. The National Recovery and Resilience Plan allocated EUR 11.18 billion (USD 12.61 billion) to REPowerEU energy network investment. Coastal landing stations connect Italian ports to routes involving North Africa, the Levant, and the Balkans. This creates demand for submarine cable landing stations, terminations, and related terrestrial networks. The Italy wire and cable market is likely to benefit as more energy and data routes take advantage of the country’s Mediterranean location. Northern manufacturing capacity and southern infrastructure need to complement each other to provide the country with a balanced source of demand.