Wang Yuanyuan: the growth rate of China's Optical Fiber Market in the Future will be slower than that of the past five years

Published: May 25, 2018 17:13

SMM: "in 2017, the number of optical cables laid in the world was 4.8 to 490 million fiber kilometers, an increase of 12 percent over the same period last year, so from the point of view of the amount of laying, multi-mode optical cables account for a relatively small number of total, but they are high value-added products." Wang Yuanyuan began to introduce the current situation of the global optical fiber and cable market at the small Metal Summit.

"in terms of value, multi-mode optical cables account for about 10 percent of the world's consumption," she said. "China not only accounts for 58 percent of the world's consumption, it has contributed nearly two-thirds of the world's growth in consumption growth," she said. China's consumption for the whole year reached 2.8 to 2.9 fiber kilometers, an increase of 14 percent over the same period last year. in addition to China, there are other regional increments that are also very good. In addition, in other regions, such as Western Europe and the Asia-Pacific region other than China, the demand for optical cables is also very considerable. "

With regard to the demand for single-mode optical cables, Wang Yuanyuan said that after two quarters of development, the original expected value was found to be too conservative. because the market expectations were very good, after the December procurement bulletin was issued, It was determined that the demand situation in the second half of 2017 would be much better than in the first half. The laying of 5G in China will boost global demand for optical cables, and China Mobile is already one step ahead. under the leadership of China Mobile's 5G plan, other suppliers in China and around the world may have more aggressive 5G plans than originally expected. That's why we adjust our expectations.

She believes that 2018 will continue the strong momentum, in 2015, China Mobile announced a distribution plan, this is a 110 million plan, combined with the needs of other telecommunications companies in China, It is expected that the consumption of optical cables in China will reach 340 million kilometers in 2018, an increase of as much as 24 per cent. in terms of volume, it will exceed 60 percent of the total global consumption, led by this strong demand from China. Global consumption will also grow by 18 per cent in 2018, in the range of 85 million kilometres, and there will be different increases in other regions.

Finally, there are two main points that affect the amount of optical cable laying, one is the amount of data transmitted by optical cable in optical fiber, and the process of planning and capital of each operator's own network construction.

She expects China's fiber market to grow at a slower rate from 2018 to 2022 than in the past five years, and reminds everyone that China's current fiber consumption has exceeded 250 million fiber kilometers. It is also unrealistic to maintain double-digit growth in this volume.

Data Source Statement: Except for publicly available information, all other data are processed by SMM based on publicly available information, market communication, and relying on SMM‘s internal database model. They are for reference only and do not constitute decision-making recommendations.

For any inquiries or to learn more information, please contact: lemonzhao@smm.cn
For more information on how to access our research reports, please contact:service.en@smm.cn
Related News
A mine in Henan opened bids for a 300 mt tungsten concentrate auction on February 6.
21 hours ago
A mine in Henan opened bids for a 300 mt tungsten concentrate auction on February 6.
Read More
A mine in Henan opened bids for a 300 mt tungsten concentrate auction on February 6.
A mine in Henan opened bids for a 300 mt tungsten concentrate auction on February 6.
[Tungsten Concentrate Tender Information] SMM February 7: A mine in Henan conducted an online tender on February 6 to sell 300 metric tons of low-grade tungsten concentrate. Lot A had an average WO3 grade of ≥25%, while Lots B and C had an average WO3 grade of ≥22%. The tender results for each lot are as follows: Lot A: 100 metric tons, tender price of 10,155 yuan/mtu. Lot B: 100 metric tons, tender price of 10,160 yuan/mtu. Lot C: 100 metric tons, tender price of 10,155 yuan/mtu.
21 hours ago
Ganzhou Tungsten Association Significantly Raises Tungsten Price Forecast for February 2026
21 hours ago
Ganzhou Tungsten Association Significantly Raises Tungsten Price Forecast for February 2026
Read More
Ganzhou Tungsten Association Significantly Raises Tungsten Price Forecast for February 2026
Ganzhou Tungsten Association Significantly Raises Tungsten Price Forecast for February 2026
[Ganzhou Tungsten Industry Association's February Tungsten Price Forecast] The Ganzhou Tungsten Industry Association's forecast prices for the tungsten market in February 2026 are as follows: 55% black tungsten concentrate at 670,000 yuan per metric ton unit, up 210,000 yuan per metric ton unit MoM from the January price, an increase of 45.65%; ammonium paratungstate at 970,000 yuan/mt, up 300,000 yuan/mt MoM, an increase of 44.78%; medium-grain tungsten powder at 1,630 yuan/kg, up 480 yuan/kg MoM, an increase of 41.74%.
21 hours ago
Tungsten Market Rallies Strongly, Long-Term Contract Prices Surge & Domestic-Overseas Markets Link Up
21 hours ago
Tungsten Market Rallies Strongly, Long-Term Contract Prices Surge & Domestic-Overseas Markets Link Up
Read More
Tungsten Market Rallies Strongly, Long-Term Contract Prices Surge & Domestic-Overseas Markets Link Up
Tungsten Market Rallies Strongly, Long-Term Contract Prices Surge & Domestic-Overseas Markets Link Up
Driven by tight spot raw material supply, a sharp hike in corporate long-term contract prices and festive effects, the tungsten market saw price rises on shrinking volumes this week with domestic and overseas markets moving up in tandem; the strong short-term trend is set to continue, and attention should be paid to the resumption of cemented carbide production, scrap tungsten supply and downstream demand release after the Spring Festival.
21 hours ago