Multi-Layer Ceramic Capacitor Market

Multi-Layer Ceramic Capacitor Market Size, Share, Growth (2023-2028)

Multi-layer ceramic capacitor market is expected to value USD 25.8 billion by 2028, growing at a CAGR of 6.08% from 2023-2028.

Multi-Layer Ceramic Capacitor Market Overview

A multi-layer ceramic capacitor (MLCC) is a type of capacitor made up of alternating layers of ceramic and metal. It is a passive electronic component that stores an electrical charge and is used in various electronic circuits to block direct current while allowing alternating current to pass or filter out unwanted frequencies. MLCCs are widely used in electronic devices because they are small, lightweight, and have a high capacitance relative to their size. They are also relatively inexpensive and can withstand high temperatures and high-frequency signals. As a result, MLCCs are often used in circuits where small sizes and high capacitance are required, such as in mobile phones, laptops, and other portable electronic devices.

Multi-Layer Ceramic Capacitor Market Drivers

The usage of MLCCs is growing significantly in various industries, such as automotive, consumer electronics, data transmission, and others, which is one of the major factors propelling the market growth. MLCCs are widely used in consumer electronics such as smartphones, laptops, and tablets, where they are used for filtering, bypassing, and decoupling purposes. MLCCs are used in automotive electronics for various purposes, including power supply filtering, noise suppression, and EMI/RFI reduction. MLCCs are used in various military and aerospace applications, including radar systems, communication systems, and guidance systems, where they are used for filtering and decoupling purposes. The growing demand for electronic devices and the need for smaller, more efficient components are driving the increasing use of MLCCs in various industries.

The increasing usage of MLCCs in manufacturing electric vehicles is further promoting the market’s growth rate. Multi-layer ceramic capacitors (MLCCs) are used in manufacturing electronic vehicles (EVs) for various purposes. In EVs, MLCCs are used for power supply filtering, noise suppression, and EMI/RFI reduction. One of the primary uses of MLCCs in EVs is in the onboard charger (OBC), which is responsible for converting alternating current (AC) from the grid into direct current (DC) that can be used to charge the vehicle's battery pack. MLCCs are used in the OBC to filter out unwanted frequencies and provide a stable DC voltage to the battery pack. MLCCs are also used in the inverters of EVs, which are responsible for converting the DC power stored in the battery pack into AC power that can be used to drive the electric motor. MLCCs are used in the inverters to filter out unwanted frequencies and provide a stable AC voltage to the electric motor. In addition to these uses, MLCCs are also used in other electronic systems in EVs, such as the powertrain control module (PCM) and the motor control module (MCM), where they are used for filtering and decoupling purposes.

Multi-Layer Ceramic Capacitor Market Restraints

The scarcity of MLCCs is one of the major factors hampering the market growth. One major factor has been the rapid growth in demand for electronic devices, such as smartphones and laptops, which has increased the demand for MLCCs. This has put pressure on manufacturers to increase production, which has sometimes led to shortages. Another factor contributing to the shortage of MLCCs has been the difficulty in increasing production capacity due to a lack of raw materials and equipment. In addition, developing multi-layer ceramic capacitors (MLCCs) requires advanced micro-level technical competence in various areas, which is further expected to inhibit the growth rate of the multi-layer ceramic capacitor market Growth during the forecast period.

Multi-Layer Ceramic Capacitor Market Opportunities

The growing adoption of the Internet of Things (IoT) is anticipated to offer lucrative growth opportunities to the MLCCs market. MLCCs (multi-layer ceramic capacitors) play a critical role in the development of IoT devices and systems. Many IoT devices rely on sensors to collect data, and MLCCs are often used in the circuits that power and control these sensors. Many IoT devices use wireless communication technologies, such as Bluetooth, WiFi, and cellular networks, to transmit data. MLCCs are used in the circuits that power and control these wireless communication technologies. MLCCs are used in the power management systems of IoT devices to store and regulate the power supply, helping to ensure that the device has a stable power supply.

COVID-19 impact on the MLCCs market

The COVID-19 pandemic has significantly impacted the multi-layer ceramic capacitor (MLCC) market. One of the main impacts has been the disruption of global supply chains, which has led to delays in the production and delivery of MLCCs. Various factors, including travel restrictions, quarantine measures, and the closure of factories and transportation hubs, have caused this. Another impact of the COVID-19 pandemic on the MLCCs market has been the change in demand for MLCCs. The initial lockdowns and economic downturn caused by the pandemic led to a decrease in demand for electronic devices, such as smartphones and laptops, which has negatively impacted the demand for MLCCs. However, the demand for other types of electronic devices, such as medical and telecommunication equipment, has increased during the pandemic, which has positively impacted the demand for MLCCs. Overall, the COVID-19 pandemic has had a mixed impact on the MLCCs market, with some negative impacts due to supply chain disruptions and changes in demand and some positive impacts due to increased demand for specific electronic devices.

Key developments in the market

• Viiyong, a Chinese manufacturer of multi-layer ceramic chip capacitors, has raised almost $295 million in its Series B and B+ financing rounds to expand production capacity and invest in research and development of auto-grade MLCCs. The company's shareholders include smartphone brands Xiaomi and Oppo.

Multi-Layer Ceramic Capacitor Market Segmentation

By Type

• General Capacitor

• Array

• Serial Construction

• Mega Cap

• Others

Based on type, the general capacitors segment dominated the market in 2021, and the segment’s lead in the market is anticipated to continue throughout the forecast period. The growing demand for general capacitors will likely drive the demand for multi-layer ceramic chip capacitors (MLCCs). Capacitors are widely used in various electronic devices and systems, including computers, smartphones, automobiles, and industrial equipment, to store electrical charge and help regulate voltage and current flow. MLCCs are a type of capacitor made using layers of ceramic material, which offer high levels of stability, reliability, and durability.

By Rated Voltage Range

• Low Range (Up to 50V)

• Mid Range (100V to 630V)

• High Range (1000V & above)

Based on the rated voltage range, the high-range segment led the MLCCs market in 2021.

By Dielectric Type

• X7R

• X5R

• C0G

• Y5V

• Others

Based on dielectric type, the X7R segment is anticipated to lead the market during the forecast period.

By End-Use

• Electronics

• Automotive

• Industrial

• Telecommunication

• Data Transmission

• Others

Multi-Layer Ceramic Capacitor Market Regional Analysis:

• North America

• Europe

• Asia-Pacific

• Latin America

• Middle East and Africa

Europe dominated the market for MLCCs in 2021. Europe's multi-layer ceramic chip capacitor (MLCC) market is expected to experience significant growth in the coming years due to increasing demand from various end-use industries, including electronics, telecommunications, automotive, and renewable energy. The growing demand for electronic devices and systems and the increasing adoption of electric and hybrid vehicles are expected to drive the demand for MLCCs in Europe. Additionally, adopting renewable energy technologies, such as solar and wind power, is expected to drive the demand for MLCCs in Europe. These technologies require electronic components, such as capacitors, to store and regulate electrical energy. Several factors are expected to contribute to the growth of the MLCC market in Europe, including technological advancements, increasing demand for high-performance and high-reliability components, and favorable government policies and initiatives.

On the other hand, the APAC region is expected to progress at the fastest CAGR during the forecast period. The multi-layer ceramic chip capacitor (MLCC) market in the Asia Pacific (APAC) region is expected to experience significant growth in the coming years due to increasing demand from various end-use industries, including electronics, telecommunications, automotive, and renewable energy. The APAC region is home to many electronics manufacturers, and the increasing demand for electronic devices and systems is expected to drive the demand for MLCCs in the region. In addition, the APAC region is a significant market for the automotive industry, and the increasing adoption of electric and hybrid vehicles is expected to drive the demand for MLCCs. Furthermore, adopting renewable energy technologies, such as solar and wind power, is also expected to drive the demand for MLCCs in the APAC region.

Multi-Layer Ceramic Capacitor Market Key Players

• Murata Manufacturing Co., Ltd.

• Taiyo Yuden Co., Ltd.

• Walsin Technology Corporation

• Samsung Electro-Mechanics Co., Ltd.

• Kyocera Corporation

• Future Electronics

• TDK Corporation

• Vishay Intertechnology, Inc.

• Yageo Corporation