Electronic Materials Market

The global market value of the electronics materials market was USD 62.1 billion in 2024 and is projected to grow at 5.9% during the forecast period. Increasing demand from microelectronics and chip manufacturing is driving growth in the market. Rapid industrialization and expanding electronics manufacturing are fueling the market growth. The demand for smaller, and efficient electronic devices for the future is fueling the market growth significantly. The demand for electronic materials like automotive, and semiconductors is fueling the market growth significantly.

The healthcare industry is relying heavily on the Electronics material market. The need for specialized electronic materials with biocompatibility, sterilization resistance, and other medical-grade qualities is fueled by the healthcare industry’s growing reliance on electronic devices for monitoring, diagnosis, and treatment. Technological advancements like the integration of AI, IoT, and 5G are significantly creating new opportunities for electronic materials in various applications.

Increasing installations of solar panels and rising demand for electric vehicles all over the world are driving growth in the market. Growing demand for eco-friendly and low-carbon footprint materials in electronics manufacturing is driving the market significantly towards growth.

Growth Drivers

The integration of AI, ML, IoT, and 5G has propelled the growth in the market significantly. There is an increasing focus on energy efficiency these days. The demand for small, and efficient devices like smartphones, Smart TVs, laptops, and portable devices is increasing. Advancements in assembly technologies and miniaturization of these electronic products are achieved through innovation in new materials and associated process techniques. The market for electronic materials can be greatly impacted by several factors such as price, supply chain resilience, production capacity, and geopolitical tensions, as well as the availability of raw materials and manufacturing costs.

Increasing demand for electronic materials and chemicals used for the production of consumer and industrial electronic products is fueling the market growth significantly. Increasing demand for lithium-ion batteries due to the increasing number of electric vehicles in the market, and growing demand for electronic materials in energy storage technologies is fueling the market growth significantly.

Segmentation

Electronic Materials Market by Product

·         Solid

·         Liquid

·         Gas

Electronic Materials Market by Application

·         Silicon Wafers

·         PCB Laminates

·         Specialty gases

·         Wet chemicals and solvents

·         Photoresists

·         Others

 Electronics Material Market by End-user

·         Semiconductors & Integrated Circuits

·         Printed Circuit Boards

By Region

·         Asia Pacific

·         North America

·         Middle East and Africa

·         Latin America

·         Europe

Electronic Material Market by Product

Based on the products, the electronic material market is segmented into solid, liquid, and gas. Solid materials are leading the market and are expected to dominate the market during the forecast period. Solid materials such as silicon wafers, PCB laminates, photoresists, CMP pads, and advanced packaging materials are essential for semiconductor and electronics manufacturing. Silicon wafers alone account for the major share in the market. Liquids like wet chemicals, solvents, and photoresist developers are also in use and contributing to market growth. Gases are an important segment, but they have a smaller share in the market.

Electronics Material Market by Application

Based on the application, the electronics market is segmented into silicon wafers, PCB laminates, specialty gases, wet chemicals and solvents, photoresists, and others. Silicon wafers are the leading market segment because they are a fundamental substrate for semiconductor device fabrication, which is the backbone of almost all electronic devices. Their higher unit cost and essential role in semiconductor manufacturing make them the largest contributor by value.

 PCB laminates are another leading segment. The printed circuit board laminate market is a significant and steadily growing segment within the broader electronics materials industry. The Asia Pacific region is dominating the PCB laminate market, accounting for over 50% of the global share. The continuous development of electronic devices and the rising need for high-speed and high-frequency applications are driving the demand for advanced PCB laminates. As electronic devices become smaller in size and more intricate, the demand for laminates is increasing, facilitating high-density interconnects and downsizing. There is a discernible shift towards environment-friendly PCB laminate materials, driven by environmental sustainability concerns and regulation.

Regional Outlook

The electronics materials market is analyzed into five types based on regions: Asia-Pacific, North America, Latin America, the Middle East and Africa, and Europe. Asia-Pacific is the leading region in the electronics manufacturing market and is expected to dominate it during the forecast period. Increasing industrialization and numerous electronic device manufacturers in the region are fueling the market growth significantly. The region leads the global market for printed circuit boards. Rapid urbanization in most of the countries in the Asia Pacific region, coupled with government support, is driving demand in the market significantly. The region is a major center for research and development activities related to new materials and devices for electronic applications. Increasing demand for small-sized and efficient devices in the market is driving growth significantly.

The North American market is second to the Asia Pacific market. Market growth is the result of advancements in consumer electronics, and integration of AI, ML, and 5G. Recent tariffs on imports from Canada are affecting the market badly. The European market, including countries like Germany, France, Russia, the UK, Italy, and the Nordic region, is witnessing growth during the forecast period. The presence of key players in the market is significantly contributing to the growth in the region. Strategic investments and policy support are enhancing manufacturing capabilities and infrastructure, positioning Europe as a significant player in the global semiconductor landscape.

The Middle East and Africa region is witnessing moderate growth due to the adoption of smart devices, particularly in the UAE, Saudi Arabia, and South Africa. Investments in smart city initiatives in the region, industrial electronics, and consumer electronics are propelling demand. Egypt’s burgeoning semiconductor startup ecosystem further propels the growth in the region.

The Latin American market is experiencing moderate growth, and Mexico’s electronics industry, being the second largest exporter to the U.S., plays a pivotal role. The region’s focus on semiconductor manufacturing and LED technologies is contributing to market expansion.

Key Players

·         BASF SE

·         Solvay

·         Mitsui Chemicals America, In

·         Albemarle Corporation

·         Cabot Corporation

·         Monsanto Electronics Material Co.

·         Moses Lake Industries Inc.

·         High Purity Products

·         Air Products and Chemicals, In

·         Sumco Group

·         Songwon

·         Fujifilm Corporation

·         Merck KGaA

·         Covestro AG

·         Air Liquide

·         Shin-Etsu Chemical Company Ltd.

·         Linde Plc

·         Resonac Holding Corporation

·         Other Players