Utility Poles Market Expected to Reach $67.0 Billion by 2032

According to a new report published by Allied Market Research, titled, “Utility Poles Market," The utility poles market was valued at $51.5 billion in 2022, and is estimated to reach $67 billion by 2032, growing at a CAGR of 2.7% from 2023 to 2032.

Introduction

Utility poles are also called power poles or electricity poles, which support wires and electric cables that carry electricity from power companies to end users. These support three facilities including electric power, cable television, and telephone. Material used in the production of utility pole is wood, concrete, composite, and steel, and depending on the use of the material, life span of typical utility pole varies.

The dynamic utility poles market outlook is a pivotal sector crucial for supporting the ever-growing energy consumption, telecommunication infrastructure, and environmental sustainability initiatives. Utility poles, serving as essential components of electrical and telecommunication networks, play a vital role in ensuring efficient and reliable transmission and distribution of energy and communication signals.

 Market Dynamics

The global energy consumption is driving a rise in demand for utility poles, necessitating efficient and reliable power distribution networks. The telecommunication industry is expanding, necessitating infrastructure support, and utility poles are crucial for deploying cables and equipment. Steel is recognized as a green material due to its recyclability, durability, and potential for reduced environmental impact. This makes steel a preferred choice for utility pole construction.

Another challenge is the growing preference for underground wire or cable networks, influenced by aesthetics, urban planning, and visual impact. This shift poses a challenge for traditional utility pole usage. Environmental concerns and regulations against deforestation also impact the utility poles market. Traditional wooden poles may be limited, prompting the industry to explore alternative materials and construction methods.

The utility sector is also shifting towards using composite materials for utility pole construction, offering advantages such as lightweight construction, environmental resistance, and longevity. This presents an opportunity for the market to address traditional challenges and meet evolving industry needs.

Segments Overview

The utility poles market scope is segmented based on type, material, pole size, application, and region. By type, the market is divided into transmission poles and distribution poles. On the basis of the material, it is segmented into wood, steel, composites, and concrete. Depending on pole size, the market is categorized into below 40ft, between 40 & 70ft, and Above 70ft. On the basis of application, the market is categorized into electric transmission & distribution, telecommunication, street lighting, heavy power lines, sub-transmission lines, and others. Region-wise, the market is studied across North America, Europe, Asia-Pacific, and LAMEA.

In terms of application, the distribution pole segment holds the largest share in utility poles market, driven by the surge in global energy demand. On the other hand, the transmission pole segment is anticipated to witness the fastest Compound Annual Growth Rate (CAGR) growth from 2023 to 2032. This growth is attributed to the increasing demand for power supply and the imperative for safe electricity transmission, with a focus on upgraded designs to withstand changing climatic conditions and global weather patterns. The abovementioned utility poles market trends will boost the demand for transmission poles during the forecast period.

The concrete pole segment is expected to exhibit the fastest CAGR growth from 2023 to 2032 in utility poles market. This utility poles market growth is attributed to the introduction of composite materials in the utility sector, promoting longer lifespan compared to other types. Meanwhile, the wooden pole segment, accounting for nearly half of the market in 2022, remains dominant due to the simultaneous increase in energy consumption and broadband users.

The Asia-Pacific region, followed by North America, dominates the global utility poles market, contributing nearly two-fifths of the market share in 2022. The region is poised to register the fastest CAGR growth from 2023 to 2032, driven by increased demand for telecom services, a focus on technological advancements, and the presence of new players. The utility poles market report also includes market analysis for other regions, such as Europe and LAMEA.

Competitive Analysis

Major players in the utility poles market analysis include Stella-jones Inc., El Sewedy Electric Company, Fuchs Europoles GmbH, RS Technologies Inc., Omega Factory, Nippon Concrete Industries Co., Ltd., Hill & Smith Holdings Plc, Valmont Industries Inc., Skipper Ltd., Pelco Products Inc, and others. These players contribute to the competitive landscape of the market, driving innovation and advancements in materials and designs to meet the evolving needs of the utility poles industry.

Key Findings of the Study

• By type, distribution poles dominated the market accounting for more than three-fifths of the utility poles market share in 2022.
• Based on pole size, below 40ft is the fastest growing segment with a CAGR of 3.1% from 2023-2032.
• By Application, energy transmission and distribution dominated the market accounting for more than two-thirds of the utility poles market size in 2022.
• Based on the material the steel segment segment is expected to grow at a CAGR of 2.7%, in terms of revenue, during the utility poles market forecast period.
• Region-wise, Asia-Pacific garnered a major share in 2022 in terms of revenue.