May 25, 2024
Wet Chemicals for Electronics and Semiconductor Applications Market

Wet Chemicals for Electronics and Semiconductor Applications Market is Expected to be Flourished by Growing Semiconductor Industry

Wet chemicals are extensively used in various cleaning and etching processes in the semiconductor and electronics manufacturing industry. Wet chemicals find applications at various stages of semiconductor fabrication such as cleaning, etching, and deposition. They are used to remove unwanted material and impurities from wafer surfaces. The growing semiconductor industry globally is driven by the increasing demand for electronics such as smartphones, laptops, tablets, and other consumer electronic devices. With advancements in technologies such as artificial intelligence, 5G, cybersecurity, Internet of Things, and cloud computing, the demand for semiconductors is projected to rise significantly.

The global wet chemicals for electronics and semiconductor applications Market is estimated to be valued at US$ 2 Mn in 2024 and is expected to exhibit a CAGR of 9.9% over the forecast period 2024 to 2031, as highlighted in a new report published by Coherent Market Insights.

Market Dynamics:

One of the key drivers for the growth of the global wet chemicals for electronics and semiconductor applications Market is the growing semiconductor industry driven by the rise in demand for electronic devices. The increasing requirement of more advanced and enhanced semiconductor chips in various electronic gadgets is propelling the demand for wet chemicals. Semiconductor foundries are investing enormously in capacity expansion and advanced technologies to meet the burgeoning demand from end-use industries such as consumer electronics, automotive, industrial, and telecommunication. This is expected to boost the consumption of wet chemicals for diverse semiconductor fabrication processes over the forecast period. Furthermore, technological advancements in wafer cleaning technologies such as spray cleaning and single wafer processing are also augmenting the market growth.

Segment Analysis

The global wet chemicals for electronics and semiconductor applications market is dominated by two main segments – industrial/specialty gases and CMP slurries. The CMP slurries segment currently holds around 65-70% market share and is expected to remain the dominant segment during the forecast period. CMP slurries are critical in various stages of semiconductor fabrication like planarization and etching. With growing complexity of chip designs and miniaturization of components, the demand for high-quality CMP slurries with precise composition is increasing rapidly.

PEST Analysis

Political: The market is significantly impacted by trade policies and regulations governing imports/exports of chemicals. Governments provide subsidies and incentives to boost local semiconductor manufacturing.

Economic: Growth in electronics consumption globally is driving demand. Higher investments in semiconductor fabs manufacturing advanced chips positively impacts market. Supply constraints and volatile raw material prices pose challenges.

Social: Miniaturization of devices and proliferation of IoT/connected devices are key trends shaping demand. Need for improved compute power and performance is a major factor.

Technological: Advancements in chip design like 3D stacking and shortening of node sizes necessitate new solutions with higher purity levels. Emerging applications in areas like 5G, AI, and EV also present opportunities.

Key Takeaways

The Global Wet Chemicals for Electronics and Semiconductor Applications Market Size was valued at around US$ 2 Bn in 2024 and is projected to reach nearly US$ 4 Bn by 2031, expanding at a CAGR of 9.9% during the forecast period.

Regional analysis: The Asia Pacific region is expected to witness the fastest growth during the forecast period attributed to the rising electronics production in major economies like China, Taiwan, South Korea and Japan. The governments in Asia are also focusing on developing a robust semiconductor manufacturing ecosystem through initiatives like Made in China 2025, which is expected to drive the demand for wet chemicals from the region.

Key players operating in the wet chemicals for electronics and semiconductor applications market are Novartis AG, Merck & Co. Inc., F-Hoffmann La Roche, Eli Lilly and Company, Bayer AG, AstraZeneca, Astellas Pharma Inc., Amgen Inc., OSE Immunotherapeutics SA, and Bristol- Myers Squibb Company, among others. These players are focusing on developing advanced solution through R&D and expanding their footprint in high growth markets.

1. Source: Coherent Market Insights, Public sources, Desk research
2. We have leveraged AI tools to mine information and compile it