LTCC And HTCC Market Growth & Trends
The global LTCC and HTCC market size is estimated to reach USD 3.7 billion by 2027, expanding at a CAGR of 2.5%, according to a new report by Grand View Research, Inc. The rising demand from the consumer electronics industry is projected to be the key driver for the growth of the industry over the coming years.
The ceramic substrates including LTCC and HTCC are widely used in the consumer electronics such as laptops and microwaves. The rising challenge to constrict the size of the circuit board while enhancing performance and lowering manufacturing cost is predicted to drive the market over the coming years. The key advantages of employing LTCC and HTCC technology in consumer electronics are that it reduces the physical volume and footprint as compared to other traditional technologies. The product produced using these ceramic substrates has lower weight and enables enhanced electrical characteristics such as thermal permittivity, dielectric constant, and reduced transmission losses. Thus, owing to the aforementioned properties, the product is projected to observe steady demand over the forecast period.
However, due to the ongoing global pandemic, the demand for the substrates is likely to observe slow growth owing to the total shutdown of manufacturing facilities around the globe. The impact of pandemic is projected to reduce trade and production of the substrates over the short term period. Another key challenge for the growth of the industry is due to the downturn in automotive production across Europe. Until this trend overturns, the demand for these ceramic substrates in Europe is projected to remain stagnant over the next few years. Similar trends were observed in the automotive sector of North America. Thus, static growth of end-use sectors mentioned above is expected to hamper market growth in the aforementioned regions over the forecast period.
The industry comprises of multinational vendors as well as few regional vendors. Industry participants are forming joint ventures to enhance their regional presence and to cater to large industrial demand.
LTCC And HTCC Market Report Highlights
- The LTCC segment is projected to remain the dominant process segment owing to its efficient capability to reduce transmission and enhance thermal permittivity. The segment accounted for more than 73.0% of the revenue share in 2019
- The HTCC segment is expected to observe slower growth compared to its counterpart. The slow growth of the segment is due to the rising prominence of LTCC process in telecommunication and automotive sector, respectively
- Automotive application segment is projected to observe slow growth owing to the stagnant production rates of vehicles in North America and Europe
- The telecommunication segment is projected to observe swift growth in terms of compounded annual growth rate owing to the upcoming launch of 5G technology around the globe
- Asia Pacific is projected to remain the key regional market over the forecast period. Presence of manufacturing power houses such as India, Japan, and China is expected to play a key role in promoting market growth.