Film Capacitor Market - Forecasts from 2024 to 2029

The film capacitor market is evaluated at US$2.364 billion for the year 2022 growing at a CAGR of 3.29% reaching the market size of US$2.967 billion by the year 2029.

The capacitors are used across industry verticals including automotive, manufacturing, consumer electronics, and communication and technology among various others. The growth of these industries directly influences the demand for these capacitors. Growing demand for various consumer electronics including smartphones, tablets, and laptops coupled with increasing demand for electric vehicles will boost the demand for film capacitors. Geographically, Asia Pacific is a very attractive market on account of favorable government policies promoting the manufacturing industry and the demand for electric vehicles. In addition, improvements in the standard of living and rising disposable income is anticipated to further add to the demand for these capacitors in the APAC region over the forecast period.

MARKET DRIVERS:

Growing number of smartphone users.

The growing number of smartphone users worldwide will strengthen the market growth since smartphone users are likely to propel the demand for film capacitors used in these devices. Growing access to technology empowers Indian youth. The nation is seeing a revolution in mobile and data usage. A total of 810 million people have broadband connections, up from 60 million in the previous eight years, and 750 million people use smartphones. The internet is expanding more quickly in rural than in urban regions.

The increase in sales and adoption of electric vehicles.

An increase in the sales and adoption of electric vehicles is expected to drive the demand for the capacitors used in these vehicles. Key markets for electric vehicles like the US, China, and Germany have been investing substantially in the EV charging infrastructure along with investments in research & development for the innovation of faster and energy-efficient charging methods. Significant investments by automakers are also projected to aid the rising demand for these vehicles and thus, play a huge role in the development of the market. Key EV market players like Tesla, Ford, Nissan Volkswagen, BMW, and General Motors have allocated significant budgets to R&D for the development of industry-leading EVs. Back in 2020, the EV market saw an increase of 41% in sales with approximately 3 million EV sales worldwide, despite the impact that COVID-19 had on the automotive market, as the overall automobile market size decreased by 6%. This factor shows an inclining demand for electric vehicles, which, in turn, is expected to boost the market for film capacitors worldwide.

Nanolayer cells are predicted to have a sizable share of the market.

Nanolayer cells that can withstand temperatures of up to 150°C have been developed. The structure's dielectric strength is the most crucial component of this capacitor. Enhancing the dielectric's energy density is crucial for increasing its dielectric strength and doing so will also enable making a component smaller by reducing its size. These capacitors also need to be able to operate at elevated temperatures because this will enable them to be used in industrial settings. Additionally, it has a high energy density, a quality necessary for the creation of next-generation capacitors, and offers the film capacitor industry significant potential on a global scale.

Asia Pacific is anticipated to be the major regional market.

The Asia Pacific region is anticipated to be the largest market due to favorable government policies promoting the manufacturing industry. The sector has emerged vastly in this region due to government initiatives across various countries. For instance, in India, manufacturing has emerged as one of the sectors with high growth due to the government. The ‘Make in India’ program by the government has entrenched India on the world map as a manufacturing hub and provides worldwide recognition to the Indian economy. Thus, to make this program a success, manufacturers in India have been adopting more efficient methods and technology to stay competitive. Manufacturing solutions like the application of film capacitors is considered a viable option to achieve that, hence posing promising growth for the market. Further, with the Made in China 2025 initiative by the Chinese government which allows the relocation of manufacturing back to China, Southeast Asian countries are under immense pressure to minimize the risk of labor issues and Industry 4.0. This is currently driving demand for manufacturing development in the region, which is likely to drive the film capacitor market to ease the manufacturing processes.  

Key Developments:

• In December 2023, Metalized Electrical grade BOPP films for capacitor use were introduced by Cosmo Films, a leading global provider of specialty films for packaging, labeling, synthetic paper, and lamination applications. These films are employed in the production of capacitors.
• In November 2023, The BTD1RVFL family of silicon capacitors was produced by ROHM. Wearable technology and cell phones are using the gadgets more and more. Long-term development of silicon semiconductor processing technology has made it possible to achieve greater performance in smaller packages.
• In October 2022, to produce multilayer ceramic capacitors (MLCCs), Toray Industries, Inc. announced that it has increased its production capacity for LumirrorTM biaxially oriented polyester release films by 60%. The Gifu Plant refurbishment will cost the corporation ¥8 billion. In 2025, the new facilities will be operational.

Segmentation:

By Voltage

• Low Voltage
• High Voltage

By Type

• Paper Film Capacitor
• Plastic Film Capacitor

By End-User Industry

• Automotive
• Manufacturing
• Consumer Electronics
• Communication and Technology
• Others

By Geography

• North America
• USA
• Canada
• Mexico
• South America
• Brazil
• Argentina
• Others
• Europe
• Germany
• France
• United Kingdom
• Spain
• Others
• Middle East and Africa (MEA)
• Saudi Arabia
• UAE
• Isreal
• Others
• Asia Pacific
• Japan
• China
• India
• Australia
• South Korea
• Indonesia
• Thailand
• Taiwan
• Others