Passive Electronic Component Devices Market Size, Share, Opportunities, And Trends By Type (Capacitors (Ceramic Capacitors, Tantalum Capacitors, Aluminum Electrolytic Capacitors, Paper And Plastic Film Capacitors, Supercapacitors), Resistors (Surface-mounted Chips, Network, Wirewound, Film/Oxide/Foil, Carbon), Inductors (Power, Frequency, Others)), By End-user (Automotive, Industrial, Aerospace And Defense, Energy, Communications/Servers/Data Storage, Consumer Electronics, Medical), And By Geography - Forecasts From 2023 To 2028

The Passive Electronic Component Devices Market is projected to grow at a compound annual growth rate (CAGR) of 7.40% to reach US$12.446 billion in 2028 from US$7.551 billion in 2021.

The passive electronic component does not require any electrical power to operate. Although they cannot produce energy, passive components can store or release energy and comprise coils, inductors, transformers, and capacitors. The market for passive electronics has expanded dramatically in recent years because of the increasing digitalization of many industries and the excess use of consumer electronics. The complexity of electrical items has also increased due to these improvements.

The use of passive electronic components has also increased in the telecom and automotive industries. The constant growth of inductors is currently due to several factors, including an increase in product releases, developments in the consumer electronics sector, an increase in the use of inductors in automotive electronics, and a rise in smart grid adoption. Passive components with premium voltage, capacity, and reliability are in demand in electric vehicle (EV) charging stations. The market is expanding favorably due to the increased miniaturization of passive electrical components employed in consumer devices like speakers, cameras, and smartphones.

Passive Electronic Component Devices Market Drivers

• The rising demand for passive electronic components will boost the market

Electronic gadgets are growing more complex due to technological breakthroughs, largely due to consumers' rising need for compact or thin equipment. Different types of electronic devices, including computers, mobile phones, laptops, and industrial and medical equipment, use passive electronic components.

The huge expansion of the global vehicle sector is producing a positive outlook for the market. Passive electronic components are frequently used in specialized and high-performing components like infotainment and emergency braking assistance systems. Accordingly, market expansion is aided by the rising demand for EVs, which is brought on by worries about emissions and the environment.

According to the International Energy Agency (IEA), about 1.8 million EVs were registered in the United States in 2020, more than three times as many as in 2016. As per the same source, Europe experienced the largest rise in EV sales from 2016 to 2020, with a CAGR of 60%, compared to gains of 36% in China and 17% in the United States. Smaller package designs with the same capacitance or resistance as earlier, bulkier versions are becoming increasingly necessary for 5G chip manufacturers. To meet this need, producers of passive components provide larger choices in smaller-size designs. Extreme temperatures, vibration ratings, dust and liquid resistance requirements, and other harsher environments all place demands on passive components to perform. This technology is most commonly used in the oil and gas, aerospace, and automotive sectors. Demand is expected to rise due to several developments in the healthcare sector, including creating larger hospital equipment and medical wearable devices. 

The market for passive components is anticipated to continue being dominated by the Asia Pacific region. The swift expansion of the consumer electronics and automotive industries across nations like China, India, and Japan is a significant element driving demand for passive components.

Passive Electronic Component Devices Market – Geographical Outlook

• The Asia Pacific area is anticipated to rule the market over the forecast period.

India, China, Japan, and South Korea are the leading nations with promising growth possibilities due to the presence of various market participants in the Asia-Pacific region, which is predicted to dominate the market. Technological enhancements, the exponential growth of smartphones in regional countries, and smart city initiatives that boost digitalization growth are expected to boost the regional market growth over the forecast period. According to the Groupe Speciale Mobile Association (GSMA), the Asia-Pacific region is on the path to becoming the world's largest 5G region by 2025, fueling the passive electronic components market growth.

Passive Electronic Component Devices Market Key Developments

• May 2022: A new high-precision thin film circuit chip resistor for industrial, military, and aerospace applications was unveiled by Vishay Intertechnology Inc. The Vishay Sfernice PEP could give higher power ratings in smaller case sizes than rival devices and have the broadest resistance value range on the market. This allowed for miniaturization and improved reliability by lowering the mechanical stress on solder joints.
• April 2022: A joint venture between Amperex Technology Limited and Contemporary Amperex Technology Co., Limited was announced by TDK Corporation as having a finalized agreement. The announcement was made on April 28, 2021, on a business partnership and creating a joint venture with CATL. TDK Corporation now offers a new series of EPCOS MKP-Y2 capacitors for the suppression of interference. The new capacitors have a maximum allowed working temperature of 125°C. Automotive applications are typical domains of application for the new Y2 capacitors.

Passive Electronic Component Devices Market Scope:

The Passive Electronic Component Devices Market is segmented and analyzed as follows:

• By Type
  • Capacitors
    • Ceramic Capacitors
    • Tantalum Capacitors
    • Aluminum Electrolytic Capacitors
    • Paper and Plastic Film Capacitors
    • Supercapacitors
  • Resistors
    • Surface-mounted Chips
    • Network
    • Wirewound
    • Film/Oxide/Foil
    • Carbon
  • Inductors
    • Power
    • Frequency
    • Others
• By End-User
  • Automotive
  • Industrial
  • Aerospace and Defense
  • Energy
  • Communications/Servers/Data Storage
  • Consumer Electronics
  • Medical
• By Geography
  • North America
    • United States
    • Canada
  • Europe
    • Germany
    • France
    • United Kingdom
    • Italy
    • Spain
    • Russia
    • Others
  • Asia-Pacific
    • China
    • Japan
    • India
    • South Korea
    • Australia
    • Indonesia
    • Others
  • South America
    • Brazil
    • Others
  • Middle East and Africa