Electrical and Electronics Materials Market Report 2025

The electrical and electronics materials market size has grown rapidly in recent years. It will grow from $2.77 billion in 2024 to $3.07 billion in 2025 at a compound annual growth rate (CAGR) of 10.6%. The growth in the historic period can be attributed to miniaturization demand, semiconductor evolution, energy efficiency requirements, advancements in printed circuit boards (PCBS), demand for high-performance polymers.

The electrical and electronics materials market size is expected to see rapid growth in the next few years. It will grow to $4.64 billion in 2029 at a compound annual growth rate (CAGR) of 10.9%. The growth in the forecast period can be attributed to shift towards advanced semiconductor materials, demand for flexible electronics, expansion of IoT and wearable devices, focus on electric vehicles (EVs), demand for sustainable materials. Major trends in the forecast period include advancements in nanotechnology, flexible and printable electronics, focus on energy storage materials, emergence of wide bandgap semiconductors, advanced dielectric and insulating materials.

The rising production of electric vehicles (EVs) is expected to drive growth in the electrical and electronic materials market. An electric vehicle is defined as a vehicle powered by an electric motor that draws energy from a battery and can be charged externally. Various electrical and electronic materials are essential components of electric vehicles; thus, the increase in EV production leads to higher demand for these materials. For example, in March 2024, the International Energy Agency, a France-based intergovernmental organization, reported that approximately 14 million electric cars were registered worldwide in 2023, representing a 35% increase from the 10.5 million registered in 2022. In 2023, electric vehicles accounted for 18% of total car sales, up from 14% the previous year. This trend indicates strong momentum in the EV market, with weekly registrations surpassing 250,000 in 2023. Furthermore, battery electric vehicles constituted 70% of the total electric car stock in 2023. Therefore, the growing demand for electric vehicles is fueling the expansion of the electrical and electronic materials market.

The escalating demand for consumer electronics is poised to be a significant driver propelling the growth of the electrical and electronic materials market. Consumer electronics, encompassing devices tailored for personal use - such as smartphones, laptops, and wearables - rely extensively on electrical and electronic materials to enable functionality, connectivity, and device miniaturization. Data from the Japan Electronics and Information Technology Industries Association highlights the substantial growth in total electronic equipment production, reaching $6.72 billion (¥771,457 million) in Japan. Specifically, the production value for consumer electronics soared to $280 million (¥32,099 million) in May 2023, marking a notable increase from $230.9 million (¥25,268 million) reported in May 2022. This burgeoning demand for consumer electronics augurs well for the electrical and electronic materials market, driving its growth trajectory.

Technological advancements emerge as a pivotal trend fostering innovation within the electrical and electronic materials market. Major companies operating in this sector are directing their efforts towards developing cutting-edge technologies to fortify their market presence. Notably, DuPont, a prominent US-based chemical company, introduced the CYCLOTENE DF6000 PID dry film material in December 2022. This innovative dry film material, photo-imageable (PID) in nature, is specifically engineered for sophisticated semiconductor packaging. Its extensive photolithography latitude renders it suitable for intricate circuit layouts. Furthermore, to meet the escalating demands of high-frequency data transmission applications, this material guarantees signal integrity across a wide frequency spectrum, encompassing 5G frequencies, while also offering high thermal stability. Such advancements in technology contribute significantly to the evolution and growth of the electrical and electronic materials market.

Prominent companies within the electrical and electronic materials market are dedicatedly focusing on pioneering innovations, exemplified by the development of cutting-edge solutions such as multi-layer circuit board materials, aimed at securing a competitive edge and augmenting revenue streams. Multi-layer circuit board materials pertain to substances employed in fabricating multi-layer printed circuit boards (PCBs) boasting multiple conductive material layers separated by insulating layers. These materials enable more intricate and compact circuit designs compared to single or double-layer PCBs. Notably, in January 2022, Panasonic Corporation, a renowned Japanese electronics firm, introduced the MEGTRON 8 Multi-Layer Circuit Board Materials specifically engineered for high-speed communication networking equipment, including routers and switches. Leveraging Panasonic's prowess in resin design and material compounding, MEGTRON 8 delivers exceptional dielectric properties and minimizes transmission loss - a critical aspect for high-performance, high-layer-count circuit boards. By integrating ultra-low dielectric dissipation factor glass cloth and low-profile copper foil, MEGTRON 8 attains the industry's lowest transmission loss within its category. This achievement significantly enhances data communication capacity and speed while potentially reducing power consumption through lowered transmission loss, marking a significant stride in circuit board material advancements.

In July 2022, Entegris, a US-based company specializing in advanced materials and process solutions for the semiconductor industry, acquired CMC Materials for $5.7 billion. This acquisition aimed to enhance Entegris' expertise in advanced materials and broaden its range of solutions for the semiconductor sector, with a focus on improving yield and performance in semiconductor manufacturing. CMC Materials is a US-based manufacturer and supplier of electronic materials.

Major companies operating in the electrical and electronics materials market include 3M Company, E.I. du Pont de Nemours and Company, Nitto Denko Corporation, Illinois Tool Works Inc., KREMPEL GmbH & Co. KG, Elantas GmbH, Dow Inc., CMC Materials Inc., Von Roll Holding AG, Kanto Chemical Co. Inc., Showa Denko Materials Co. Ltd., Weidmann Holding AG, BASF SE, Honeywell International Inc., Air Products and Chemicals Inc., Shin-Etsu Chemical Co. Ltd., AZ Electronic Materials S.A., Cabot Microelectronics Corporation, Hitachi Chemicals Co. Ltd., JSR Corporation, Sumitomo Chemical Group Corporation, Tokyo Ohka Kogyo Co. Ltd., Mitsubishi Chemical Corporation, Samsung Electronics Co. Ltd., Siemens AG, LG Electronics Inc., Taiwan Semiconductor Manufacturing Company Limited, Panasonic Corporation, Thermo Fisher Scientific Inc., Haier Smart Home Co. Ltd., Schneider Electric SE, SK Hynix Inc., Intel Corporation, Agilent Technologies Inc., Texas Instruments Incorporated, Analog Devices Inc.

Asia-Pacific was the largest region in the electrical and electronic materials market in 2024. Asia-Pacific is expected to be the fastest-growing region in the electrical and electronic materials market report during the forecast period. The regions covered in the electrical and electronics materials market report are Asia-Pacific, Western Europe, Eastern Europe, North America, South America, Middle East, Africa. The countries covered in the electrical and electronics materials market report are Australia, Brazil, China, France, Germany, India, Indonesia, Japan, Russia, South Korea, UK, USA, Canada, Italy, Spain.

Electrical and electronic materials are essential components widely utilized in various device applications across industries. These materials play a crucial role in the electrical, electronic, and microelectronics sectors, contributing to the production of packaging materials, communication cables, optical fibers, displays, as well as various controlling and monitoring devices.

Key product types within the realm of electrical and electronic materials encompass silicon wafers, PCB laminates, photoresists, and other related products. Silicon wafers, for instance, are thin slices of crystallized silicon integral to the manufacturing of microchips and electronic devices. Voltage types, including low voltage, medium voltage, and high voltage, find applications in diverse areas such as semiconductors and integrated circuits (IC), printed circuit boards (PCB), among other electronic applications.

The electrical and electronic materials market research report is one of a series of new reports that provides electrical and electronic materials market statistics, including electrical and electronic materials industry global market size, regional shares, competitors with an electrical and electronic materials market share, detailed electrical and electronic materials market segments, market trends and opportunities, and any further data you may need to thrive in the electrical and electronic materials industry. This electrical and electronic materials market research report delivers a complete perspective of everything you need, with an in-depth analysis of the current and future scenario of the industry.

The electrical and electronic materials market consists of sales of conductors, isolators, and magnetic materials. Values in this market are ‘factory gate’ values, that is the value of goods sold by the manufacturers or creators of the goods, whether to other entities (including downstream manufacturers, wholesalers, distributors and retailers) or directly to end customers. The value of goods in this market includes related services sold by the creators of the goods.

The market value is defined as the revenues that enterprises gain from the sale of goods and/or services within the specified market and geography through sales, grants, or donations in terms of the currency (in USD, unless otherwise specified).

The revenues for a specified geography are consumption values that are revenues generated by organizations in the specified geography within the market, irrespective of where they are produced. It does not include revenues from resales along the supply chain, either further along the supply chain or as part of other products.

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