Surface Mount Technology (SMT) Market to Hit USD 10.83 Billion by 2030 due to Global Expansion of Electronics Manufacturing and Advancements in Semiconductor Technology | by SNS Insider
SNS Insider pvt ltd
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SNS Insider pvt ltd
As per SNS Insider’s research, as the industry continues to evolve, SMT stands at the forefront, offering a versatile and efficient solution for the assembly of complex and compact electronic systems, thereby contributing substantially to the robust growth of the surface mount technology (SMT) market
Pune, Jan. 10, 2024 (GLOBE NEWSWIRE) -- The Surface Mount Technology (SMT) Market, as per the SNS Insider report, achieved a valuation of USD 5.9 billion in 2022. Projections indicate a substantial growth, with expectations reaching USD 10.83 billion by 2030, reflecting a Compound Annual Growth Rate (CAGR) of 7.9% during the forecast period from 2023 to 2030.
Market Overview
Surface Mount Technology (SMT) represents a revolutionary approach to electronic component assembly, revolutionizing the landscape of printed circuit board (PCB) manufacturing. In essence, SMT involves the mounting of electronic components directly onto the surface of the PCB, as opposed to the traditional through-hole technology. This innovative methodology has gained immense popularity in the electronics industry due to its numerous advantages. One key benefit is the reduction in the size of electronic devices, as SMT allows for the placement of components on both sides of the PCB, thereby optimizing space utilization.
Market Analysis
The efficiency of the manufacturing process is heightened by the automation capabilities inherent in SMT, enabling high-speed and precision assembly. Furthermore, the growth drivers for the Surface Mount Technology (SMT) market are multi-faceted. Firstly, the increasing demand for miniaturized and lightweight electronic devices, such as smartphones, tablets, and wearables, propels the adoption of SMT. Manufacturers are compelled to produce compact yet powerful gadgets, driving the need for smaller components and intricate designs achievable through SMT. Secondly, the escalating trend toward smart technologies and the Internet of Things (IoT) further stimulates the SMT market. As these advanced applications require densely populated PCBs with numerous components, SMT emerges as the preferred assembly method due to its ability to accommodate high component density efficiently. Moreover, the automotive industry's technological evolution plays a pivotal role in the expansion of the SMT market. Modern vehicles are equipped with an array of electronic systems, from advanced driver assistance systems (ADAS) to infotainment units, necessitating the utilization of SMT for streamlined and compact PCB designs.
Increasing demand for consumer electronics items that are smaller
Market Opportunities
Growing adoption in new technology
The popularity of smart devices is rising
Impact Analysis
We Cover,
Impact of COVID-19
Impact of Russia-Ukraine War
Impact of Recession
Key Takeaway from Surface Mount Technology (SMT) Market Study
In the rapidly evolving SMT, the Inspection Equipment segment stands out as a pivotal player. The demand for high-quality electronic assemblies has intensified, necessitating advanced inspection technologies to ensure precision and reliability.
The Active Component segment is another cornerstone of the SMT market's trajectory. With a growing emphasis on compact and energy-efficient electronic devices, the demand for advanced active components has witnessed a substantial upswing.
Recent Developments
Hyve Solutions, a prominent player in the technology solutions industry, has announced the expansion of its US-based operations through the incorporation of new Surface Mount Technology (SMT) production lines. By incorporating state-of-the-art manufacturing technologies, Hyve Solutions aims to maintain its competitive edge in delivering high-quality, innovative products to the market.
Panasonic, a global leader in electronics and automation technology, has introduced its NPM-G Series Surface Mount Technology (SMT) machines. The NPM-G Series SMT machines bring forth a new era of precision and speed in electronics assembly, catering to the increasing demand for sophisticated manufacturing processes.
Market Dynamics Analysis
The Surface Mount Technology (SMT) market has been experiencing dynamic shifts driven by a multitude of factors that shape its landscape. One of the primary drivers fueling the growth of the SMT market is the ever-increasing demand for miniaturization and high-density electronic components across various industries. As consumer electronics, automotive, and telecommunications sectors continually push for smaller, lighter, and more efficient devices, the adoption of SMT becomes imperative. The technology's ability to facilitate the placement of electronic components directly onto the surface of printed circuit boards (PCBs) enhances space utilization and allows for intricate designs, fostering innovation in product development. Furthermore, the rise of Industry 4.0 and the Internet of Things (IoT) has propelled the demand for SMT, as it aligns seamlessly with the requirements for smart and connected devices. However, amidst these drivers, the SMT market is not without its challenges and restraints. One notable challenge is the intricacy of the assembly process, which demands advanced equipment and highly skilled technicians. This complexity can lead to increased production costs and longer development cycles, affecting the overall market growth.
Key Regional Developments
The North American region holds a prominent position in the global surface mount technology (SMT) market, driven by the presence of key players, technological advancements, and a robust electronics manufacturing ecosystem. The United States, in particular, stands out as a major contributor to SMT market growth. Europe is another significant player in the SMT market, with countries like Germany, the United Kingdom, and France leading the way. The region's commitment to sustainable and environmentally friendly manufacturing processes aligns well with the principles of SMT, which emphasizes efficiency and waste reduction. The Asia-Pacific region emerges as a powerhouse in the SMT market, with China, Japan, and South Korea at the forefront. The rapid expansion of the electronics manufacturing sector, driven by consumer demand and the proliferation of smart devices, fuels the adoption of SMT in the region.
Impact of Recession
The surface mount technology (SMT) market is intricately connected to global supply chains, relying on the timely delivery of components from various regions. The ongoing recession has disrupted these supply chains, causing delays and shortages of essential SMT components. Manufacturers are grappling with challenges ranging from increased lead times to fluctuating prices, further complicating their operational landscape. While the recession presents formidable challenges, the SMT market is not without resilience. Companies are adapting by exploring alternative supply chain strategies, renegotiating contracts, and diversifying their product portfolios. Additionally, a shift towards sustainable practices and green technologies within the SMT market is emerging as a strategic response to both economic challenges and environmental concerns.
