Electric Capacitor Market Analysis

Electric Capacitor Material Market Analysis

Film capacitors or film dielectric have witnessed growth on account of their higher stability and lower inductance cost. It offers capacitance ranging from 1nF to 30µF and are characterized by long service life & high extent of reliability. These units have gained extensive penetration which can be attributed to their suitability across applications where high temperatures may be encountered, and frequency stability is of paramount importance. These capacitors are pursuing opportunities in the growing environment-friendly market, specifically the power and automotive sectors. Their increased utilization across Electric Vehicles (EVs), Hybrid Electric Vehicles (HEVs), and wind & solar power systems due to slower aging and low average failure rate is anticipated to replace its counterparts in the coming years.
 

The suppliers of film capacitors are focusing on building high temperature & electrical characteristics to boost the penetration across emerging and established applications. The propensity to perform stable operations at high power, temperature and vibrational automotive environments will instigate a favorable electric capacitors market scenario. The constant adoption of these products is characterized by a large number of players prevailing in the industry focused on continual enhancement of the film materials including polyester, polypropylene, and others. These capacitors hold a significant amount of industry penetration and finds its extensive deployment across power applications owing to their high dielectric strength, low dielectric constant, and volumetric mass.
 

The demand for electric capacitors across the consumer electronics industry is gaining an appreciable market penetration owing to the escalating demand from smartphones, portable computing, and automotive industries. The increasing functionality & complexity of the electronic devices coupled with growing utilization of these products in large volumes to provide on-demand energy, noise filtering, decoupling of signals, and increased operational frequency has triggered industry players to streamline their product line.
 

The need to enhance fuel efficiency, level of safety, driving performance, and convenience has augmented the use of electronic assemblies & modules used in automobiles. The number of these assemblies and modules including capacitors is predicted to increase as automakers are focusing on advanced propulsion technologies to meet new emission regulations. The extensive adoption of automotive grade capacitors in a variety of car systems including accessory, engine control, safety, wiper control circuits, lighting, vehicle navigation, speech recognition, and body control structures impart a positive electric capacitor market scenario. In addition, the growing electrification of the commercial vehicles and focus on fuel economy standards and incentives for low or zero emission vehicles will foster the industry growth.
 

North America electric capacitor market has witnessed an inclination in the product demand due to the ongoing modernization of electrical transmission & distribution systems. The increasing adoption of smart grids to encourage energy conservation and integration of renewable energy will stimulate the product deployment. The market is further driven by growth in renewable energy and retrofitting & replacement of aging infrastructure.
 

Utilities across North America are adopting strategies to limit the transmission & distribution losses by installing distribution capacitors. The stringent framework on grid modernization coupled with support mechanisms and endowments provided by state-owned utilities will propel the industry growth. In addition, advancements of robotics & drone technology require a large number of aluminum, tantalum, and ceramic chip capacitors to operate and their connection with the IoT is expanding the growth prospects for the industry. There has been massive investment for fiber optic buildout and 5G wireless network technology that act as an avenue for new technologies prospects.
 

In addition, the government across the region, specifically the U.S. has proposed agendas including deregulation and significant cut in corporate tax that benefits the telecommunication industry, hence directly propelling the capacitor demand. Technological advancements and continued pursuit of customer centricity are at the core of this industry and will continue to act as an avenue for growth over the forecast period.