by The Global Passive Electronic Components Market is estimated to be valued at US$ 36.16 Mn in 2023 and is expected to exhibit a CAGR of 5.0% over the forecast period 2023 to 2030, as highlighted in a new report published by Coherent Market Insights.
Market Overview:
Passive electronic components are an integral part of any electronic circuit and provide basic connectivity between active components. Some of the key passive components include resistors, capacitors, inductors, and transformers. Passive electronic components play an important role in controlling signals, storing charge, filtering noise, and providing isolation in circuits. Rapid growth in consumer electronics, industrial automation, automotive electronics, and smart homes is driving the demand for passive electronic components globally.
Market key trends:
One of the major trends driving the passive electronic components market is the growing adoption of smart home devices. Smart homes integrate household appliances, lighting, security systems, HVAC and other systems with connectivity and control using internet and wireless technologies. The growth in smart home adoption is fueling the demand for various passive components such as resistors, capacitors, and inductors that are integral parts of these connected devices. According to a study, the smart home market is expected to grow from US$ 78 Bn in 2018 to over US$ 150 Bn by 2023. This rising adoption of smart home devices and systems will augment the demand for passive electronic components over the forecast period.
Porter’s Analysis
Threat of new entrants: The passive electronic components market requires high initial investments in manufacturing and production facilities which poses a moderate threat of new entrants.
Bargaining power of buyers: The presence of many established manufacturers of passive electronic components increases the bargaining power of buyers.
Bargaining power of suppliers: The availability of raw material suppliers like silicon, aluminum and other metals lowers the bargaining power of suppliers in this market.
Threat of new substitutes: There exist no close substitutes for passive electronic components and established network effects make it difficult for substitutes to emerge.
Competitive rivalry: The passive electronic components market is highly competitive with major players differentiating based on quality, technology, service and pricing.
Key Takeaways
The Global Passive Electronic Components Market is expected to witness high growth, exhibiting CAGR of 5.0% over the forecast period, due to increasing demand for smartphones, laptops, household appliances and industrial equipment.
North America dominates the passive electronic components market currently owing to presence of major manufacturers and high demand from automobile and telecommunication industries in the US and Canada. Asia Pacific is expected to grow at the fastest pace during the forecast period with China and India emerging as major manufacturing hubs.
Key players operating in the passive electronic components market are Honeywell International Inc., KEMET Corporation (Yageo Company), Arcol UK Limited, Panasonic Corporation, Susumu Co. Ltd., TDK Corporation, Ohmite Manufacturing Company, Vishay Intertechnology Inc., TE Connectivity Ltd., Murata Manufacturing Co. Ltd., KOA Speer Electronics Inc., AVX Corporation (Kyocera Corp.), TT Electronics PLC, Taiyo Yuden Co. Ltd., Coilcraft Inc., Sagami Elec Co. Ltd., Eaton Corporation, WIMA GmbH & Co. KG, API Delevan (Fortive Corporation), Cornell Dubilier Electronics Inc., Wurth Elektronik Group, Yageo Corporation, Bourns Inc., Lelon Electronics Corp., and United Chemi-Con (Nippon Chemi- con Corporation).
*Note:
1. Source: Coherent Market Insights, Public sources, Desk research
2. We have leveraged AI tools to mine information and compile it
