The multilayer ceramic capacitor (MLCC) market is signaling a significant rebound, propelled by the Chinese smartphone sector and burgeoning electric vehicle demand. Industry giant Murata reports a 30.8% increase in orders for the first quarter of 2024, a sign that a recent downturn may be reversing course.
This resurgence aligns with wider forecasts from the Business Research Company, which projects the global MLCC market to expand to $15.6 billion by 2028, driven by electrification trends, electronics markets, and growing demand across multiple sectors.
“Component shipments for China’s smartphone demand are recovering, with demand from low-end models and high-end models from specific customers increasing,” remarks Murata. The company plans to increase MLCC factory utilization toward the 90% mark in response to rebounding demand.
This market revival dovetails with the wider electronics landscape. Global smartphone sales are predicted to rebound slightly in 2024, while 5G handset sales show significant growth potential. Automotive electronics, driven by increasing electric vehicle adoption, remain another key demand driver for advanced MLCC technology.
What this means for electronics professionals
The MLCC market surge is a positive indicator for the electronics industry. Engineers should anticipate a rise in orders and renewed pressure on MLCC supplies as device manufacturers look to capitalize on recovering demand.
Those working within the automotive sector, particularly on electric vehicle technology, may see a strong demand increase. This could lead to new design challenges as smaller, high-performance MLCCs become increasingly sought after. Proactive planning and effective communication within the supply chain will be crucial for navigating this dynamic landscape.
While this outlook remains subject to global economic forces and potential supply chain disruptions, the underlying trends indicate an MLCC market shifting into higher gear with exciting opportunities throughout the electronics industry.
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