The global electronic chemicals market generated a revenue of nearly $22,000 million in 2018 and is predicted to generate a revenue of $35,056.9 million by 2026 supported by a CAGR of 6.0%.
The market has witnessed a considerable growth earlier, but due to the unexpected COVID-19 outbreak, the market will observe decreased growth rate in 2020. Electronic chemicals are widely utilized in the electronic industry for manufacturing and packaging of electronic products. Electronic chemicals are used in the production of semiconductors, solar cells, flat panel displays, and others. Our analysts have estimated the condition of the global electronic chemicals market during the COVID-19 outbreak and have come to the following conclusions.
|Recovery By||Realtime BPS||*Estimate market Size, 2020,
|**Real Time market Size, 2020,
|6.3%||6.0%||Q2/Q3 2022||29||USD 24,735.9 Million||USD 18,551.9 Million|
* The numbers are estimated prior to the COVID-19 Pandemic in 2020
** The data will vary depending on upcoming developments announced by the operating players
KEY ASPECTS OF THE INDUSTRY
BOOMERS AND DECLINERS
Electronic chemicals such as CMP slurries, conductive polymers, silicon wafers, wet chemicals, and others are widely utilized for etching and cleaning of electronic devices. Globalization & digitization has increased the use of mobile phones, computers, and consumer electronic goods. Electronic chemicals are used to remove minute impurities from these devices to enhance high end performance. KMG Chemicals manufactures electronic chemicals that are utilized in the manufacturing of semiconductors, solar cell panel, and flat panel displays. These factors are driving the market growth in the projected timeframe.
However, availability of alternative chemicals such as urethane, acrylic, and epoxy are decreasing the demand of electronic chemicals. Besides, some electronic chemicals such as Parylene may cause failure in mechanism owing to the formation of parylene coating on electronic devices. Nonetheless, acrylic and epoxy are preferred for conformal coating instead of electronic chemicals owing to their low cost. These factors are hampering the market growth in the projected time period.
The COVID-19 pandemic has impacted the global electronic chemicals market negatively. Electronic chemicals market is facing a significant problem during this pandemic due to shortage of raw material supply and delayed shipment from various countries. For instance, according to ET Markets, production of electronic chemicals has been impacted nearly by 20% due to shortage of raw material supply from China. In addition, major electronic chemical manufacturers have reduced their operation capacity due to disruption in the supply of raw materials and labor shortage.
Moreover, many companies are facing tough situations due to temporary discontinuation of operations owing to the decrease in the demand from various end-users. For example, according to Independent Chemical Information Services (ICIS), there was 15-20% decrease in the production of electronic chemicals due to logistic and supply chain disruption. In addition, China is the major supplier of raw materials utilized for the production of electronic chemicals. Various restrictions put down by the government have negative impact on the profit margin in the electronic chemicals market.
MANAGING SUCCESS AMIDST
THE PANDEMIC STRESS
In accordance with the recent publication by Research Dive, the global electronic chemicals market is predicted to show a decline in growth during the projected period. Owing to the drastic declination in the year 2020, the global electronic chemicals market will gain profit by Q2/Q3 2022. Recent development in artificial intelligence, augmented reality, and memory chips is foreseen to increase the demand of electronic chemicals as they are used for itching and cleaning. Electronic chemicals are widely used in the semiconductor industries for increasing the efficiency and performance of products. Advancements in the utilization of electronic chemicals for flimsy electronic components and during manufacturing process are foreseen to increase the demand of electronic chemicals.
Moreover, recent advancements in electronic chemicals are predicted to improve the performance of electronic devices. For example, Angus Chemical Company offers electronic chemicals offers increased cleaning capacity, efficacy in electronic devices with low copper corrosion and removes minute dust particles with improving product functionality. In addition, CMP slurries are gaining importance due to its selectivity, tunable removal rates, and increased use in advanced packaging sector. For instance, DuPont offers TSV CMP slurry that is utilized for integration of silicon interpose and chip-on-wafer-on-substrate (CoWoS). These factors are predicted to have positive impact on the market after the end of this pandemic situation.
How can we help you?
Our group of skilled analysts provide a solution to help the companies to survive and sustain in this global pandemic. We support companies to make informed decisions based on our findings resulting from the comprehensive study by our qualified team of experts. Our study helps to acquire the following:
- Long-Term and Short-Term impact of Covid-19 on the market
- Cascading impact of Covid-19 on Electronic Chemicals Market , due to the impact on its extended ecosysytem
- Understanding the market behavior Pre- and Post-Covid-19 pandemic
- Startegy suggestions to overcome the nagative impact or turn the positive impact into the opportunity