IC Packaging Substrate Producers and IC Packaging Substrate Market Trend
The global market for Integrated Circuit (IC) packaging substrates has witnessed significant expansion from 2019 to 2024, with a compound annual growth rate (CAGR) of 19.3%. This growth trajectory is expected to continue, albeit at a slightly moderated pace, with a projected CAGR of 5.2% from 2024 to 2029. According to HDIN Research, the IC packaging substrate market surged from $8.1 billion in 2019 to $19.6 billion in 2024, showcasing the increasing demand and adoption of IC packaging substrates across various industries.
IC packaging substrates, serving as the core materials in the chip packaging process, exhibit characteristics such as high density, precision, performance, miniaturization, and thinness. They complement chips and leads after packaging and testing, forming an integral part of the chip assembly. These substrates come in various types, including rigid, flexible, and ceramic, with rigid substrates being the most prevalent due to their wide-ranging applications.
The upstream suppliers for IC packaging substrate manufacturers primarily consist of material manufacturers such as Gold Circuit Electronics, copper-clad laminates, and polypropylene (PP) producers. Downstream, these substrates find extensive utilization in consumer electronics, industrial control, communication, computing, automotive electronics, and military aviation sectors, underscoring their versatile applications across diverse industries.
China emerges as the dominant player in the global IC packaging substrate market, capturing a substantial share of 41.7%, followed by South Korea at 26.9%, and Japan at 25.7%. This regional distribution highlights the concentration of manufacturing and technological capabilities in East Asia, particularly in China, where a significant portion of global IC packaging substrate production is centered.
Looking ahead, the IC packaging substrate market is poised for further growth, driven by escalating demand for advanced electronic devices across industries worldwide. With continuous technological advancements and innovations in chip packaging processes, coupled with increasing investments in research and development, the market is expected to reach $25.2 billion by 2029, sustaining its upward trajectory and offering lucrative opportunities for industry players and stakeholders globally.