Electronic Wet Chemicals: Why a Cleaning Support for Growing Consumer Electronics Industry is Crucial
The global electronic wet chemical market was evaluated at US$2393.468 million for the year 2020, growing at a CAGR of 4.73%, reaching a market size of US$3308.455 million by the year 2027.
Electronic wet chemicals are extensively used in cleaning and etching applications during semiconductor production and processing. These electronic wet chemicals are used to maintain the clean environment required for the manufacturing process of chips. Additionally, the use of electronic wet chemicals has increased in the electronics and semiconductor industries. These chemicals are highly utilized in modern industries like new energy, computers, information network technology, microcomputer, modern communications, and industrial automation among others. Therefore, it is anticipated that the widespread usage of electronic wet chemicals in many industries, along with the increasing demand for consumer electronics, will drive the market for electronic wet chemicals as a whole over the forecast period.
The increasing adoption of consumer electronics and the rising demand for semiconductors is expected to drive the electronic wet chemicals market during the forecast period
Over the years, consumer electronics are being widely used worldwide for a variety of purposes. At the same time, different types of new consumer electronics products are being introduced in the market which is simultaneously expected to further push the demand for semiconductors throughout the course of the projection period. Additionally, the growing household consumption expenditure is a significant factor in driving up consumer electronics demand, which in turn is expected to drive up wafer demand. For instance, as per the US Bureau of Labor Statistics: Consumer Expenditure-2021 which was released in September 2022, the average annual expenditures for all consumer units in 2021 were US$66,928 in the US. These statistics noted a 9.1% increase from the last year. Henceforth, it is expected that with the rising disposable income and increased consumer expenditure the demand for consumer electronics will grow during the forecast period. Consequently, the rising demand for consumer electronics will propel the electronic wet chemical market globally.
Additionally, the global investment in the development of internet infrastructure is likely to increase in tandem with the anticipated commercialization of 5G and the focus on offering high-speed internet services during the forecast period. For instance, in October 2022 Indian Prime Minister launched 5G services in India (Source: Ministry of Communication). Moreover, the 5G infrastructure companies are also taking initiatives for the development of 5G infrastructure. For instance, Viettel and Qualcomm announced a collaboration to commercialize massive MIMO RU and DU for the next-generation 5G mobile infrastructure in May 2022. Such infrastructural development and collaborative measures are expected to further boost demand for consumer electronics which in turn will support the growth of the electronic wet chemical market.
The hydrogen peroxide segment is expected to hold a notable share in the electronic wet chemicals market
Based on type, the market for electronic wet chemicals is broadly categorized into phosphoric acid, hydrogen peroxide, ammonium hydroxide, sulfuric acid, and others. It is anticipated that the hydrogen peroxide segment will hold a notable share of the electronic wet chemicals market during the anticipated period. Hydrogen peroxide is a prominent wet chemical used in the semiconductor industry. The surging demand for hydrogen peroxide from the semiconductor industry has influenced the overall growth of the electronic wet chemicals market. The principal applications of hydrogen peroxide in the semiconductor sector are the SC1 and SC2 standard cleaning chemicals. SC1, a solution of hydrogen peroxide and ammonium hydroxide, cleans silicon wafers of organic debris and particulates. The mixture of hydrogen peroxide and hydrochloric acid, called SC2 aids in the removal of residual trace metals and metal hydroxides. The demand for electronic wet chemicals, specifically pure hydrogen peroxide, is further aided by the ongoing trend of shrinking and the concomitant rise in chip complexity. Furthermore, the fast-paced technological growth and higher demand for semiconductors in the market are additional factors for the lucrative growth of the hydrogen peroxide wet chemicals segment during the forecast period.
According to the analysts, the Asia-Pacific region is expecting significant growth opportunities during the forecast period owing to the substantial growth in the manufacturing facilities in the developing countries in this region
Based on Geography, the electronic wet chemicals market is divided into North America, South America, Europe, and the Asia Pacific. The countries like India, China, Japan, Taiwan, and South Korea among others have noticeably seen positive growth in their manufacturing sector in the past few years. Furthermore, the manufacturing of electronics and electric vehicles has grown substantially in China. The strong growth ambitions of the country have paved the path for the continuous growth of the concerned sector in China. As per the IEA’s Electric Vehicles report, the sale of EVs increased from 5% in 2020 to 16% in 2021 in China. Such exponential growth in the EV market is expected to drive the electronic wet chemical market during the forecast period in Asia Pacific.
Furthermore, the analysts anticipate that the memory industry in the North American region is expected to witness cyclical growth during the forecast period, due to the low growth of domestic manufacturing within the consumer electronics and communication industry. Nevertheless, it is anticipated that the recent effort taken by the government of the United States to revive domestic manufacturing will propel the manufacturing market in the country. For instance, in March 2022 President of the United States of America delivered on Made in America Commitment (Source: The White House- Briefing Room). The same source highlighted recent announcements such as Intel’s announcement of a US$20 billion semiconductor manufacturing fab outside Columbus, and a new investment of US$7 billion by General Motors to create 4,000 EV manufacturing jobs across Michigan among others. These strategic investments and manufacturing facility developments across the US have propelled the country’s manufacturing sector. Consequently, this will propell the growth of the electronic wet chemical market in the North American region.
COVID-19 Insights
The outbreak of COVID-19 had a significant impact on the global electronic wet chemicals market due to the overall shutdown of most important industries. The global economy witnessed a declining trend during the pandemic. Furthermore, the consumer electronics segment was also affected due to the severe shortages owing to the interruptions caused by the pandemic in most significant supply and manufacturing lines temporarily. In particular, the electronic sector was impacted by the lack of semiconductors and wet chemicals during this period. However, with the improving pandemic conditions and relaxation of harsh COVID protocols, the market demand for electronic wet chemicals has risen. Moreover, the electronic industry is booming after the resumption of manufacturing units and is anticipated to drive the electronic wet chemical market during the forecast period.
Electronic Wet Chemical Market Scope:
| Report Metric | Details |
| Market Size Value in 2020 | US$2,393.468 million |
| Market Size Value in 2027 | US$3,308.455 million |
| Growth Rate | CAGR of 4.73% from 2020 to 2027 |
| Base Year | 2020 |
| Forecast Period | 2022 – 2027 |
| Forecast Unit (Value) | USD Million |
| Segments Covered | Type, Application, And Geography |
| Regions Covered | North America, South America, Europe, Middle East and Africa, Asia Pacific |
| Companies Covered | Solvay, BASF SE, Kanto Chemical Co., Inc., Honeywell International, Inc., Linde Plc, Fujifilm Holding Inc., Eastman Chemical Company, Technic, Inc., Mitsubishi Chemicals Holdings Corporation |
| Customization Scope | Free report customization with purchase |
