The electronic chemicals market primarily involves in the production of chemicals used in the electronics industry such as semiconductors, integrated circuits, printed circuit boards etc. Some key uses of electronic chemicals include act as solvents & reagents for cleaning, etching and deposition in electronic components manufacturing.

The electronic chemicals market is estimated to be valued at US$ 67.92 Bn in 2023 and is expected to exhibit a CAGR of 6.4% over the forecast period 2023 to 2030, as highlighted in a new report published by Coherent Market Insights.

Market Dynamics:
The growth of the electronic chemicals market is driven by growing demand for consumer electronics across the world. Expanding middle class population in emerging economies has increased the demand for smartphones, tablets, TVs and other electronic products which require electronic chemicals in their manufacturing. Additionally, surge in demand for electric vehicles is also supporting the market growth as electronic chemicals are used in manufacturing batteries and other electronic components of EVs. However, stringent regulations around the use of electronic chemicals may hamper the market growth.

SWOT Analysis

Strength: The electronic chemicals market benefits from strong demand from the electronics industry. Growing consumer electronics demand is driving volume growth. Manufacturers are continuously developing advanced chemicals to improve the performance and functionality of electronics.

Weakness: Stringent environmental regulations around the world increase compliance costs for players. High R&D costs associated with developing new chemicals pose financial challenges for small players.

Opportunity: Miniaturization trends in electronics open up opportunities for development of specialized chemicals. Emerging technologies such as IoT, autonomous vehicles and 5G offer scope for new chemical applications.

Threats: Volatility in raw material prices can squeeze margins for producers. Increasing environmental activism may lead to more stringent legislation around hazardous chemicals used in electronics.

Key Takeaways:

The global electronic chemicals market is expected to witness high growth, exhibiting CAGR of 6.4% over the forecast period, due to increasing demand for smartphones and consumer electronics. Miniaturization of devices is driving demand for specialty chemicals with enhanced properties.

Regional analysis: Asia Pacific dominates the global market and is expected to maintain its leading position during the forecast period. This can be attributed to large production bases of electronic goods in countries such as China, Taiwan and South Korea. Japan and South Korea are innovators in electronic chemicals.

Key players operating in the electronic chemicals market are BASF SE, Air Products and Chemicals Inc., The Dow Chemical Company, Merck KGaA (known as EMD Performance, Materials in North America), SUMCO Corporation, JSR Corporation, Shin-Etsu Chemical Co., Ltd., Cabot, Microelectronics Corporation, Tokyo Ohka Kogyo Co., Ltd., and Honeywell International Inc.