Semiconductor Materials Market Size, Share, Opportunities, And Trends By Type (Fabrication, Packaging), By Material (Silicon, Germanium, Selenium, Others), By End-Users (Automotives, Consumer Electronics, Medical, Communications, Others), And By Geography - Forecasts From 2023 To 2028
- Published : Nov 2023
- Report Code : KSI061614633
- Pages : 145
Semiconductor Materials Market Size:
The semiconductor materials market is projected to grow at a CAGR of 3.29% over the forecast period, increasing from US$55.941 billion in 2021 to US$70.180 billion by 2028.
Semiconductor Materials Market Trends:
The automotive industry significantly impacts the semiconductor materials market as manufacturers incorporate more electronic components into vehicles. This surge in demand results from the need for semiconductor materials like microcontrollers, sensors, and power devices. Global vehicle production and sales data indicate substantial growth, emphasizing the industry's influence on the semiconductor materials market.
Semiconductor Materials Market Geographical Outlook:
The Asia Pacific region displays significant growth potential in the semiconductor materials market due to the robust electronics and automotive sectors. For instance, as per the January 2023 data released by IBEF, India's local electronics market is anticipated to reach approximately US$150 billion to US$180 billion in the next 4 to 5 years. The growth of the electronics industry in developing economies is anticipated to raise the market potential for semiconductor materials as well.
Additionally, the medical industry utilizes semiconductor materials, particularly in medical lasers, for various applications, which will drive demand. Furthermore, the production of smartphones in the region is expected to boost semiconductor materials demand. These factors position the Asia Pacific region as a key driver of growth in the semiconductor materials market.
Semiconductor Materials Market Growth Factors:
- Growth of the automotive industry to be a driving factor
The automotive industry plays a pivotal role in driving the semiconductor materials market. In 2022, 85.4 million motor vehicles were produced around the world, an increase of 5.7% compared to 2021. It is for reasons such as increasing electronic integration of hybrid and electric vehicles, autonomous vehicles, growth of EV charging infrastructure, safety and efficiency, and consumer demands.
The development of autonomous vehicles requires advanced sensor arrays, communication systems, and processing units, all reliant on semiconductor materials. These technologies are pivotal for achieving self-driving capabilities, a key focus in the automotive industry, necessitating the precision and reliability provided by semiconductor materials.
Automotive manufacturers continuously aim to enhance vehicle safety and energy efficiency. Semiconductor materials are crucial for features like advanced driver assistance systems (ADAS), collision avoidance, lane-keeping, and fuel-efficient engine control systems. Consumers now anticipate advanced infotainment, connectivity, and comfort features in their vehicles, all reliant on semiconductor materials.
- It is projected that the semiconductor materials market in the USA will grow steadily.
The increasing demand for cutting-edge technologies, such as 5G, artificial intelligence, and the Internet of Things (IoT), has created a strong need for advanced semiconductor materials. These materials are essential for developing faster, more efficient, and smaller electronic components to power these technologies. For example, in February 2023, Transcelestial received a $10 million funding injection to enhance laser technology, facilitating the advancement of internet infrastructure in both Asia and the United States. The U.S. government has recognized the importance of semiconductor manufacturing to national security and economic competitiveness. Initiatives like the CHIPS Act of 2022 (Creating Helpful Incentives to Produce Semiconductors for America) have provided financial incentives and funding for semiconductor research, development, and domestic production. This support has encouraged investments from both the public and private sectors.
Furthermore, the USA is at the forefront of semiconductor innovation, with many leading semiconductor companies and research institutions located in the country. Continuous research and development efforts have led to the creation of new materials, manufacturing processes, and semiconductor designs, further driving growth in the sector. For instance, in September 2023, the U.S. National Science Foundation revealed 24 research and educational initiatives, backed by a $45.6 million investment, which includes contributions from the "CHIPS and Science Act of 2022." These projects aim to accelerate advancements in semiconductor technology, manufacturing, and workforce development. The NSF Future of Semiconductors (FuSe) program supports these initiatives through a collaborative effort involving NSF and four corporations: Ericsson, IBM, Intel, and Samsung.
Semiconductor Materials Market Scope:
| Report Metric | Details |
| Market Size Value in 2021 | US$55.941 billion |
| Market Size Value in 2028 | US$70.180 billion |
| Growth Rate | CAGR of 3.29% from 2021 to 2028 |
| Base Year | 2021 |
| Forecast Period | 2023 – 2028 |
| Forecast Unit (Value) | USD Billion |
| Segments Covered | Type, Material, End-Users, and Geography |
| Regions Covered | North America, South America, Europe, Middle East and Africa, Asia Pacific |
| Companies Covered | BASF SE, Indium Corporation, Showa Denko Materials Co., Ltd., Kyocera Corporation, Henkel AG and Co. KGaA, Sumitomo Chemical Co., Ltd., DuPont, Nichia Corporation, ShinEtsu Microsi, CAPLINQ Corporation |
| Customization Scope | Free report customization with purchase |
Semiconductor Materials Market Segmentation:
- By Type
- Fabrication
- Packaging
- By Material
- Silicon
- Germanium
- Selenium
- Others
- By End-Users
- Automotives
- Consumer Electronics
- Medical
- Communications
- Others
- By Geography
- Americas
- By Type
- By Material
- By End Users
- By Country
- USA
- Others
- Europe Middle East and Africa
- By Type
- By Material
- By End Users
- By Country
- Germany
- UK
- France
- Others
- Asia Pacific
- By Type
- By Material
- By End Users
- By Country
- China
- Japan
- Taiwan
- South Korea
- Others
- Americas
Frequently Asked Questions (FAQs)
The semiconductor materials market is projected to grow at a CAGR of 3.29% during the forecast period.
The global semiconductor materials market is projected to reach a market size of US$70.18 billion by 2028.
Semiconductor Materials Market was valued at US$55.941 billion in 2021.
The semiconductor materials market growth is closely linked to the expanding automotive industry.
Asia Pacific is expected to show the maximum growth potential for the semiconductor materials market.
1. INTRODUCTION
1.1. Market Overview
1.2. Market Definition
1.3. Scope of the Study
1.4. Market Segmentation
1.5. Currency
1.6. Assumptions
1.7. Base, and Forecast Years Timeline
2. RESEARCH METHODOLOGY
2.1. Research Data
2.2. Assumptions
3. EXECUTIVE SUMMARY
3.1. Research Highlights
4. MARKET DYNAMICS
4.1. Market Drivers
4.2. Market Restraints
4.3. Porter’s Five Force Analysis
4.3.1. Bargaining Power of Suppliers
4.3.2. Bargaining Power of Buyers
4.3.3. Threat of New Entrants
4.3.4. Threat of Substitutes
4.3.5. Competitive Rivalry in the Industry
4.4. Industry Value Chain Analysis
5. SEMICONDUCTOR MATERIALS MARKET BY TYPE
5.1. Introduction
5.2. Fabrication
5.3. Packaging
6. SEMICONDUCTOR MATERIALS BY MATERIAL
6.1. Introduction
6.2. Silicon
6.3. Germanium
6.4. Selenium
6.5. Others
7. SEMICONDUCTOR MATERIALS MARKET BY END-USERS
7.1. Introduction
7.2. Automotives
7.3. Consumer Electronics
7.4. Medical
7.5. Communications
7.6. Others
8. SEMICONDUCTOR MATERIALS MARKET BY BY GEOGRAPHY
8.1. Introduction
8.2. Americas
8.2.1. By Type
8.2.2. By Material
8.2.3. By End Users
8.2.4. By Country
8.2.4.1. USA
8.2.4.2. Others
8.3. Europe Middle East and Africa
8.3.1. By Type
8.3.2. By Material
8.3.3. By End Users
8.3.4. By Country
8.3.4.1. Germany
8.3.4.2. UK
8.3.4.3. France
8.3.4.4. Others
8.4. Asia Pacific
8.4.1. By Type
8.4.2. By Material
8.4.3. By End Users
8.4.4. By Country
8.4.4.1. China
8.4.4.2. Japan
8.4.4.3. Taiwan
8.4.4.4. South Korea
8.4.4.5. Others
9. COMPETITIVE ENVIRONMENT AND ANALYSIS
9.1. Major Players and Strategy Analysis
9.2. Market Share Analysis
9.3. Mergers, Acquisition, Agreements, and Collaborations
10. COMPANY PROFILES
10.1. BASF SE
10.2. Indium Corporation
10.3. Showa Denko Materials Co., Ltd.
10.4. Kyocera Corporation
10.5. Henkel AG and Co. KGaA
10.6. Sumitomo Chemicals Co., Ltd
10.7. DuPont
10.8. Nichia Corporation
10.9. ShinEtsu Microsi
10.10. CAPLINQ Corporation
BASF SE
Showa Denko Materials Co., Ltd.
Kyocera Corporation
Henkel AG and Co. KGaA
Sumitomo Chemicals Co., Ltd
DuPont
Nichia Corporation
ShinEtsu Microsi
CAPLINQ Corporation
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