February 22, 2024

The global Electronic Chemicals Market Growth Accelerated by Strong Demand from Semiconductor Industry

Electronic chemicals are extensively used in manufacturing of semiconductors, integrated circuits (ICs), and printed circuit boards (PCBs). These chemicals play a crucial role in cleaning, etching, deposition, and planarization processes involved in semiconductor manufacturing. Increasing demand for electronics such as smartphones, computers, and consumer electronics has been driving the electronic chemicals market growth.

The global Electronic Chemicals Market is estimated to be valued at US$ 67.92 Bn in 2024and is expected to exhibit a CAGR of 6.4% over the forecast period 2024 to 2031, as highlighted in a new report published by Coherent Market Insights.

Market key trends:

The demand for electronic chemicals from the semiconductor industry has been growing strongly over the past few years. Factors such as rising penetration of electronic devices globally, increasing adoption of IoT based devices, and miniaturization of electronics components are translating into increased semiconductor manufacturing. This in turn is driving the need for electronic chemicals that are extensively used across semiconductor manufacturing processes like cleaning, etching, and deposition. The global semiconductor industry has been witnessing rapid capacity expansion over the recent years in order to meet the surge in demand for electronics. According to the Semiconductor Industry Association, the global semiconductor industry capital spending reached US$ 176 Bn in 2024, an increase of 23% over previous year. This strong growth trend in the global semiconductor industry is likely to accelerate the demand for electronic chemicals consumed in semiconductor manufacturing during the forecast period.

Segment Analysis

Electronic grade chemicals find applications in semiconductors, solar panels, flat panel displays, printed circuit boards and microelectrons applications. Within electronic chemicals, semiconductor processing holds the dominating sub-segment. This is because semiconductors have widespread usage across various end-use industries like computers, smartphones, automotive electronics. Semiconductor devices are manufactured using deposition, doping and etching processes which require high purity solvents, gases and chemicals.

Key players: Key players operating in the electronic chemicals market are Albemarle Corporation, Air Liquide S.A., Air Products and Chemicals Inc., BASF SE, Cabot Microelectronics Corporation, Hitachi Chemical Company Ltd. These companies have established manufacturing facilities across major electronics hubs to cater to the growing demand from OEMs and semiconductor foundries. Albemarle Corporation specializes in high purity process chemicals for semiconductor industry. Air Liquide is a global leader in providing electronic grade industrial gases for fabrication processes.

Regional analysis: Asia Pacific region currently dominates the global electronic chemicals market and is expected to maintain its leading position during the forecast period. This is due to the large scale manufacturing of consumer electronics happening in China, Taiwan, South Korea and other Asian countries. The availability of raw materials and low production costs have made Asia Pacific an attractive manufacturing destination for electronics.

Key Takeaways

The global Electronic Chemicals Market  is expected to witness high growth over the forecast period. The miniaturization trend in electronics is driving the demand for advanced manufacturing processes which in turn fuels the consumption of electronic grade chemicals. The global Electronic Chemicals Market is estimated to be valued at US$ 67.92 Bn in 2024and is expected to exhibit a CAGR of 6.4% over the forecast period 2024 to 2031.

*Note:

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