DC Link Capacitor Market Trends: Driven by Global Electronics Manufacturing Growth
Monday,22 Apr,2024
Capacitors, as core components of electronic devices, have always been an important part of the electronics market.DC link capacitors, in particular, play an integral role in energy conversion devices, and their market demand is directly driven by the growth of the global electronics manufacturing industry.
Several leading brands such as Samsung Electro-Mechanics, Murata Manufacturing, and TDK have established themselves in the market. For instance, Samsung Electro-Mechanics has recorded global sales of $120 million for DC link capacitors in 2023, a 5% year-on-year growth. Murata Manufacturing and TDK also performed well with sales of $100 million and $90 million, respectively.
Samsung Electro-Mechanics' success can be attributed to its continuous product innovation and global market expansion strategy. The company has not only invested a large amount of R&D resources in its home country of Korea, but has also set up production bases in major markets such as the United States and China, which has greatly shortened its supply chain and improved its market response time.
Compared to Samsung Electro-Mechanics, Murata Manufacturing has a more pronounced advantage in miniaturization technology.2023, the company introduced a new miniature DC link capacitor, which received an enthusiastic response from the market due to its wide range of applications in high-end smart devices.
The key drivers of market demand include the continuous iterative and intelligent trend in electronic products and growing demand for electronic devices in emerging markets. The renewal of smartphones and portable electronic devices is providing strong market demand for DC link capacitors. The development of electric vehicles and their charging facilities is also continuing to increase the demand for related electronic components.
Expansion of the smartphone market is directly driving the growth in demand for DC link capacitors. Growth in smartphone production is expected to drive the DC link capacitor market by approximately 10% by 2023, according to market research firms.
The rise in electric vehicles has also contributed to the surge in the demand for DC link capacitors. Companies such as Tesla are procuring high-performance DC link capacitors in large quantities to meet the power requirements of their electric vehicles, and the demand for this market is expected to grow by approximately 20% over the next five years.
The Asian market leads in the production and consumption of DC link capacitors. China and South Korea are major producers as well as consumers. The United States and Europe are more limited in terms of production but are active in the consumer market.
In China, the local demand for DC link capacitors has grown by 15% year-on-year in 2023 as a result of the rapid growth of the local electronics manufacturing industry. The high volume of production activities has also made China one of the largest suppliers of DC link capacitors in the world.
In Europe and the US, although production activities are not as active as in Asia, demand for high-performance DC link capacitors is very stable due to the high-end nature of the technology. For instance, the demand for high-end servers market in the U.S. is growing by 5% in 2023, which is directly driving the demand for high-performance products.
The market for DC link capacitors is expected to continue to grow considering the continuous expansion of the global electronics market and technological advancements. Investors should focus on companies with strong technological innovation and market expansion capabilities, which are more likely to gain an edge in future market competition.
Several leading brands such as Samsung Electro-Mechanics, Murata Manufacturing, and TDK have established themselves in the market. For instance, Samsung Electro-Mechanics has recorded global sales of $120 million for DC link capacitors in 2023, a 5% year-on-year growth. Murata Manufacturing and TDK also performed well with sales of $100 million and $90 million, respectively.
Samsung Electro-Mechanics' success can be attributed to its continuous product innovation and global market expansion strategy. The company has not only invested a large amount of R&D resources in its home country of Korea, but has also set up production bases in major markets such as the United States and China, which has greatly shortened its supply chain and improved its market response time.
Compared to Samsung Electro-Mechanics, Murata Manufacturing has a more pronounced advantage in miniaturization technology.2023, the company introduced a new miniature DC link capacitor, which received an enthusiastic response from the market due to its wide range of applications in high-end smart devices.
The key drivers of market demand include the continuous iterative and intelligent trend in electronic products and growing demand for electronic devices in emerging markets. The renewal of smartphones and portable electronic devices is providing strong market demand for DC link capacitors. The development of electric vehicles and their charging facilities is also continuing to increase the demand for related electronic components.
Expansion of the smartphone market is directly driving the growth in demand for DC link capacitors. Growth in smartphone production is expected to drive the DC link capacitor market by approximately 10% by 2023, according to market research firms.
The rise in electric vehicles has also contributed to the surge in the demand for DC link capacitors. Companies such as Tesla are procuring high-performance DC link capacitors in large quantities to meet the power requirements of their electric vehicles, and the demand for this market is expected to grow by approximately 20% over the next five years.
The Asian market leads in the production and consumption of DC link capacitors. China and South Korea are major producers as well as consumers. The United States and Europe are more limited in terms of production but are active in the consumer market.
In China, the local demand for DC link capacitors has grown by 15% year-on-year in 2023 as a result of the rapid growth of the local electronics manufacturing industry. The high volume of production activities has also made China one of the largest suppliers of DC link capacitors in the world.
In Europe and the US, although production activities are not as active as in Asia, demand for high-performance DC link capacitors is very stable due to the high-end nature of the technology. For instance, the demand for high-end servers market in the U.S. is growing by 5% in 2023, which is directly driving the demand for high-performance products.
The market for DC link capacitors is expected to continue to grow considering the continuous expansion of the global electronics market and technological advancements. Investors should focus on companies with strong technological innovation and market expansion capabilities, which are more likely to gain an edge in future market competition.
