LTCC and HTCC Market Report: By Product Type (LTCC, HTCC), Application (Automotive, Telecommunication, Aerospace & Defense, Consumer Electronics) – Global Industry Size and Growth Forecast to 2030

Market Overview

The global LTCC and HTCC market was valued at $2,919.0 million in 2021. This number is expected to increase to $4,125.6 million by 2030, advancing at a CAGR of around 3.9% during 2021–2030. The market growth is driven by the wide usage of ceramic substrates in various industries, such as automotive, telecommunications, and consumer electronics. Moreover, the rising demand for developing advanced, small circuit boards for electronic components at low costs will drive the consumption of these products in the coming years.

LTCC Contributes Higher Revenue

LTCC held over 70% revenue share in 2021, and this category is expected to remain dominant during the forecast period. LTCC is a ceramic substrate and the technology of choice for high-frequency circuits. It has excellent electrical properties, which allow for unlimited stacking. Further, its mechanical properties support form-and-fit versatility, as well as excellent mechanical performance under extreme environments, which makes it more useful than HTCC.

Furthermore, the rising demand for high-speed internet in urban and semi-urban locations is projected to result in increasing investments in wireless technologies and RF modules. These modules use LTCC products for stable communication quality; therefore, such investments further boost the growth of the market.

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Market players Engaging in Extensive Research and Development

LTCC and HTCC manufacturers are increasingly investing in R&D activities for optimizing their production process. For instance, Kyocera Corporation’s electronic devices group segment invested $174.8 million in R&D in 2021, which was an increase of around 17% from 2020. This investment was aimed at expanding its electrical and electronic device portfolio, which includes a variety of capacitors, crystal devices, connectors, thermal printheads, inkjet printheads, power semiconductors, sensors, and wireless communications antennae.

Furthermore, in August 2021, MiniCircuits developed a new series of filters based on the LTCC technology that caters to the millimeter-wave 5G market. The company also received a patent for the same.

Surge in Demand for Automotive Electronics

The automotive industry accounts for the majority of the LTCC and HTCC market, with over 40% revenue share in 2021, and this dominance is likely to continue over the forecast period. The adoption of telematics, surging focus of consumers on the safety of vehicles, and governments’ safety norms are driving the demand for automotive electronics.

Moreover, the growing demand for vehicles across several countries, such as Russia, Argentina, India, Brazil, and Thailand, have created a high-volume demand for these ceramics due to their adoption in the devices and sensors of vehicles.

Electronic equipment is frequently used in tight confines inside a vehicle, where it is subject to extreme stress and temperature. To merge the package, interconnect, and embed passive parts into one structure, LTCC, a multilayer ceramic system as a substrate, adopts a cubic arrangement. It is found in the engine and gearbox control systems. LTCC fulfills the packing needs of high-bandwidth, high-speed networks, while also maintaining mechanical and environmental safety. Thus, the increasing penetration of electronic devices/sensors in vehicles and the rising production of EVs are set to offer new paths for the growth of the market in the coming years.

Growth in Wireless Communication Networks

The key aspects that attribute to the expansion of wireless communication networks are cost-effectiveness, ease, flexibility, speed, accessibility, and constant connectivity. The use of the LTCC technology in the microwave and millimeter-wave frequency bands is quickly expanding in areas such as Bluetooth, mobile phone front-ends, and WLAN.

Furthermore, as different companies develop advanced LTCC technologies, new opportunities will arise, allowing these companies to expand their position in the 5G space. For instance, in April 2022, KYOCERA Corporation introduced the transmissive metasurface technology, which can redirect wireless network signals in a particular direction, to enhance the coverage and efficiency of 5G and 6G networks. The transmissive metasurface will aid in the delivery of high-frequency millimeter-wave 5G and 6G to areas where connectivity is difficult owing to obstructions, thus extending service areas beyond the capabilities of traditional reflecting metasurface technologies.

APAC Dominates Market

APAC contributed the highest revenue to the market in 2021, and it is projected to maintain its position during the forecast period, growing with a CAGR of over 4.0%. The growth is attributed to the rapidly flourishing automotive, consumer, and industrial electronics sectors in India, China, South Korea, and Japan.

Co-fired ceramics are in significant demand in the region because of the rise in the manufacturing of technologically advanced electronic products, which are themselves heavily used in the automotive and telecommunications industries. Further, the vast number of co-fired ceramic manufacturers makes the region important in the market.

Moreover, globally, North America was the second-largest regional market, accounting for around 30% revenue share in 2021. The demand for LTCCs and HTCCs in North America is driven by the rising sale of consumer electronic products, expanding automobile industry, and modernization of the power evacuation infrastructure in the U.S. and Canada. In recent years, the scenario of power generation in the U.S. has witnessed a rapid transition, as rooftop solar panels and wind farms are increasingly being integrated into the country’s power grid network.

The current grid network, which was developed decades ago, lacks the capability to accommodate the new energy sources. This has encouraged power utilities in the U.S. to modernize and upgrade the power transmission and distribution network. The upgradation is being carried out through the development of smart grids and set up of smart power transmission and distribution lines. The expansion of power transmission and distribution lines is expected to boost the demand for capacitors, primarily those manufactured using electroceramics, including LTCCs and HTCCs, which are widely used for power factor correction.

Furthermore, the market in North America is driven by the high demand for capacitors (manufactured using electroceramics) in motor vehicles. The U.S. is one of the largest producers of motor vehicles in the world, with a total production of 11.2 million units in 2017, and it has a large domestic market for passenger cars and trucks. The large-scale production of motor vehicles continues to aid the demand for capacitors manufactured using electroceramics, thereby boosting the growth of the North American market.

Strategic Developments of Market Players to Attain Competitive Edge:

Market players are engaged in facility expansions and product development to gain a competitive edge. For instance:

• In October 2021, KYOCERA Corporation announced that it will construct two additional production facilities at its Kokubu Plant Campus in Kagoshima, Japan, to serve customers worldwide. The new facilities will double the campus' production capacity for the fine ceramic components used in semiconductor manufacturing equipment.
• In August 2021, Murata Manufacturing Co. Ltd. started the mass production of the GCM033D70E105ME36, a multilayer ceramic capacitor available in the 0201inch-size (0.6 mm × 0.3 mm) for powertrain and safety applications in automobiles; it features a maximum electrostatic capacitance of 1.0 µF.

Key Players in LTCC And HTCC Market Are:

• KYOCERA Corporation
• DuPont de Nemours Inc.
• Murata Manufacturing Co. Ltd.
• KOA Corporation
• TDK Corporation
• Hitachi Metals Ltd.
• Yokowo Co. Ltd.
• NGK SPARK PLUG CO. LTD.
• MARUWA Co. Ltd.
• Nikko Co. Ltd.

Market Size Breakdown by Segment

The research offers market size of the global LTCC and HTCC market for the period 2017–2030.

Based on Product Type

• LTCC
• HTCC

Based on Application

• Automotive
• Telecommunication
• Aerospace & Defense
• Consumer Electronics

Geographical Analysis

• North America
  • U.S.
  • Canada
• Europe
  • Germany
  • France
  • U.K.
  • Italy
  • Spain
• Asia-Pacific
  • China
  • India
  • Japan
  • Australia
  • South Korea
• Latin America
  • Brazil
  • Mexico
• Middle East and Africa
  • Saudi Arabia
  • South Africa