LTCC and HTCC Market Size & Share Analysis - Trends, Drivers, Competitive Landscape, and Forecasts (2024 - 2030)

LTCC and HTCC Market Trends & Growth Drivers

Research and Development Is Trending in Market

• LTCC and HTCC manufacturers are increasingly investing in R&D activities for optimizing their production process.
• For instance, Kyocera Corporation spent JPY 104.3 billion in R&D in FY 2024, compared to JPY 94.3 billion in 2023.
• 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.
• Moreover, the company launched a venture capital fund of around USD 40 billion in April 2024 to expand its capabilities in the fields of information & communications, environment & energy, medical & healthcare, advanced materials, mobility, software, semiconductors, aerospace & defense, and nuclear fusion.

Growth in Wireless Communication Networks Drives Market

• 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.

High Capital Investment and Product Limitations Are Biggest Restraint for Market

• The high investment needed to set up a factory for LTCCs and HTCCs is the biggest factor hampering the growth of the market.
• The high costs are primarily due to the high-temperature sintering required for HTCCs.
• This means only well-funded, globally operating corporations can produce these materials, while smaller firms are discouraged at this possibility.
• This has the potential to limit innovation and, in turn, restrict the products to a few already-well-understood applications.
• Further, after being fired in all the dimensions, the ceramic that is embedded into the basic design of the LTCC reduces in size.
• Therefore, the size of the printed circuit boards that incorporate these components can be limited as well.
• Further, the passive components face restraints as fabricating a PCB with cavities becomes difficult.
• In addition, despite their low-temperature sintering, heat dissipation is necessary, and a heat spreader must be incorporating after the ceramics are fired.

LTCC and HTCC Market Analysis

Insights by Product Type

LTCCs hold over 65% revenue share in 2024, and this category is expected to witness the higher CAGR during the forecast period, of 2.4%. 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.

The following product types have been studied:

• LTCC (Larger and Faster-Growing Category)
• HTCC

Insights by Application

The automotive industry dominates the majority of the LTCC and HTCC market with an over 40% revenue share in 2024, 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.

The telecommunications category will likely witness the highest CAGR, of 2.6%, during the forecast period. This is attributed to the government efforts to expand the 5G infrastructure, of which LTCCs are a critical component for the millimeter wave and microwave bands. As digitization continues to reshape future technologies, be it personal communications or industrial production, the telecommunications industry must adapt to the changes in people’s demands with advanced components.

The report offers insights for the following applications:

• Automotive (Largest Category)
• Telecommunications (Fastest-Growing Category)
• Aerospace & Defense
• Consumer Electronics
• Others

Geographical Analysis

• APAC will hold a share of 45% in 2024, and it is projected to maintain its position during the forecast period, growing with the highest CAGR, of 2.7%.
• 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 is the second-largest regional market.
• 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           10,611,555 units in 2023, as per OICA.
• 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.

The following regions and countries are covered in the report:

• North America
  • U.S. (Larger and Faster-Growing Country Market)
  • Canada
• Europe
  • Germany (Largest and Fastest-Growing Country Market)
  • France
  • U.K.
  • Italy
  • Spain
  • Rest of Europe
• Asia-Pacific (APAC) (Largest and Fastest-Growing Regional Market)
  • China (Largest and Fastest-Growing Country Market)
  • India
  • Japan
  • Australia
  • South Korea
  • Rest of APAC
• Latin America
  • Brazil (Largest Country Market)
  • Mexico (Fastest-Growing Country Market)
  • Rest of LATAM
• Middle East and Africa
  • Saudi Arabia (Largest Country Market)
  • South Africa (Fastest-Growing Country Market)
  • Rest of MEA

LTCC and HTCC Market Share

The market is consolidated on account of the wide-ranging applications of LTCCs and HTCCs, each of which have distinct requirements. This leads to a significant variation in the types of products available with different players. Additionally, end users often request customization; hence, no single company or product type has a straightforward lead. Moreover, the manufacturing of these products has at least three main hubs: APAC, led by China, South Korea, and Japan; North America, dominated by the U.S.; and Europe, with a key role of Germany.

LTCC and HTCC Company News

• In May 2024, DuPont de Nemours announced intentions to split into three companies, which will trade publicly. The aim behind the spin-off is to allows its water and electronics businesses to focus more strongly on their respective industries.
• In May 2024, Murata Manufacturing Co. Ltd. launched ECASD40E477M4R5KA0 polymer–aluminum electrolyte capacitors, which boast a low equivalent series resistance of 4.5 Ohms, a minimum 2-mm design, and large capacitance (470 μF) in a 7.3 x 4.3-mm D case.
• In May 2024, KOA Corporation unveiled multilayer-type metal-oxide varistors with surge current ratings of up to 6,000 Amperes.
• In October 2023, DuPont de Nemours exhibited some of its latest circuit materials at the Taiwan Printed Circuit Association (TPCA) Show.