The Global Surface Mount Technology Market size is expected to reach $8.6 billion by 2028, rising at a market growth of 8.0% CAGR during the forecast period.
SMT, which stands for surface-mount technology, is a technique that allows electronic components to be put directly on the top layer of a printed circuit board (PCB). Surface mount technology allows for producing various electronic devices referred to as "surface mount devices." The traditional soldering through-hole technology is much different from this newer technology.
In comparison to through-hole soldering, surface mount technology (SMT) utilizes soldering equipment as well as principles that are substantially distinct from those used for traditional soldering, resulting in increased electrical conductivity and dependability. Surface mount technology (SMT) is currently the approach that is utilized the most frequently for the assembly of consumer electrical products since it is both low-cost and high-production.
Surface mount technology can be broken down into its parts, which include integrated circuits, passive surface mount devices, as well as transistors and diodes. These materials have reduced the costs involved in the beginning stages of production. Furthermore, under conditions of vibration and stress, the implementations of these technologies enable improved mechanical efficiency (partly because of lower mass and partly because of less cantilevering).
The exponential increase of the electronics sector, the miniaturization of current electronic components, the enhanced usage of flexible PCBs, and the rising interest in electric vehicles are some of the key drivers boosting the growth of surface mount technology. Another key driver is the exponential growth of the semiconductor industry, which is driving the increase of surface mount technology.
The COVID-19 pandemic had a big influence on the market for surface mount technologies. A fall in demand for analog semiconductors was caused by the worldwide stagnation of new projects. In addition, workers stayed at home, making it difficult for factories to adopt new surface mount technologies, disrupting supply chains worldwide. However, due to a short halt in the manufacturing process and supply chain, COVID-19's effects on this market were only transitory. Surface mount technologies progressively saw a rise in manufacturing, supply chains, as well as demand as the situation became better. The COVID-19 accelerating the market's growth.
Urbanization is increasing in developing countries as the worldwide middle class grows. So, these rising markets are significantly influencing the market. Technology advancement has led to the digital transformation age and the emergence of creative solutions. Companies are concentrating on promoting solutions to emphasize particular competitive dynamics related to digital transformation. Also, a growing number of low-power CPUs for portable devices are being developed. In the upcoming years, increased digital content, better connectivity, and mobility will allow further market expansion in the coming years.
Printed circuit boards are mostly developed using SMT to incorporate more components on a single board. Most of the equipment in manufacturing and distribution facilities, as well as other industrial settings, is powered by electronic components. Since they may be exposed to rough handling, extreme temperatures, vibrating machinery, or harsh chemicals, PCBs in industrial contexts need to be highly resilient and powerful to handle difficult situations. Many of them are thicker than standard PCBs and constructed of robust metals that are thermally resistant. Therefore, the rising use of PCBs in numerous sectors and equipment is driving the growth of the surface mount technology market.
SMT components can cause signal integrity issues, resulting in lower performance or overall failure of the board if they are not placed properly for their circuits. Designers of PCB layouts must arrange their components in accordance with the signal routes shown in the schematics and separate digital and analog components in the design partitions. When placing components, a clear signal return channel on the reference frame must be allowed. These factors collectively hinder the market for surface mount technology from expanding.
Based on equipment, the surface mount technology market is segmented into inspection equipment, placement equipment, soldering equipment, screen printing equipment, cleaning equipment, and repair & rework equipment. The inspection equipment segment procured a significant revenue share in the surface mount technology market in 2021. Improvements in product technology, responsiveness, dependability, and inspection quality drive the demand for SMT inspection equipment. Over the projected period, the inspection equipment's demand is anticipated to rise due to the rising need in the industries of automotive, consumer electronics, telecommunication, computer, and storage.
Based on the industry, the surface mount technology market is bifurcated into consumer electronics, telecommunication, aerospace & defense, automotive, medical, industrial, and energy & power systems. The medical segment procured a promising growth rate in the surface mount technology market in 2021. Surface mount technology is expanding rapidly, which is being made possible by the increasing importance of PCBs in the sector and the explosive growth of applications in the healthcare industry. Recent years have seen the automation of processes, including diagnostic, therapeutic, and research strategies. PCBs are needed for additional monitoring devices, just like for implanted devices.
| Report Attribute | Details |
|---|---|
| Market size value in 2021 | USD 5.1 Billion |
| Market size forecast in 2028 | USD 8.6 Billion |
| Base Year | 2021 |
| Historical Period | 2018 to 2020 |
| Forecast Period | 2022 to 2028 |
| Revenue Growth Rate | CAGR of 8% from 2022 to 2028 |
| Number of Pages | 228 |
| Number of Table | 334 |
| Report coverage | Market Trends, Revenue Estimation and Forecast, Segmentation Analysis, Regional and Country Breakdown, Competitive Landscape, Companies Strategic Developments, Company Profiling |
| Segments covered | Equipment, Industry, Region |
| Country scope | US, Canada, Mexico, Germany, UK, France, Russia, Spain, Italy, China, Japan, India, South Korea, Singapore, Malaysia, Brazil, Argentina, UAE, Saudi Arabia, South Africa, Nigeria |
| Growth Drivers |
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| Restraints |
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Region-wise, the surface mount technology market is analyzed across North America, Europe, Asia Pacific, and LAMEA. The Asia Pacific region witnessed the maximum revenue share in the surface mount technology market in 2021. The market for surface mount technology in this region is expanding, with China and Japan among some of the key contributors. The regional SMT market is predicted to be driven by an increase in industrial activity as well as the region's growth as a center of efficient production. Asia Pacific is anticipated to continue being a market with strong growth for SMT equipment because numerous new electronics manufacturing initiatives are planned in the region.
Free Valuable Insights: Global Surface Mount Technology Market size to reach USD 8.6 Billion by 2028
The major strategies followed by the market participants are Acquisitions. Based on the Analysis presented in the Cardinal matrix; KLA Corporation, and Hitachi High-Tech Corporation (Hitachi, Ltd.) are the forerunners in the Surface Mount Technology Market. Companies such as Yamaha Motor Co., Ltd., Nordson Corporation, and Mycronic AB are some of the key innovators in Surface Mount Technology Market.
The market research report covers the analysis of key stake holders of the market. Key companies profiled in the report include Nordson Corporation, KLA Corporation, Yamaha Motor Co., Ltd., Juki Corporation, Viscom AG, Hitachi High-Tech Corporation (Hitachi, Ltd.), Saki Corporation, Electro Scientific Industries (MKS Instruments, Inc. ), Fuji Machinery Co., Ltd. and Mycronic AB.
By Industry
By Equipment
By Geography
The global Surface Mount Technology Market size is expected to reach $8.6 billion by 2028.
Significant usage of SMT in the consumer electronics industry due to the high demand are driving the market in coming years, however, Issues regarding the designing of surface mount components restraints the growth of the market.
Nordson Corporation, KLA Corporation, Yamaha Motor Co., Ltd., Juki Corporation, Viscom AG, Hitachi High-Tech Corporation (Hitachi, Ltd.), Saki Corporation, Electro Scientific Industries (MKS Instruments, Inc. ), Fuji Machinery Co., Ltd. and Mycronic AB.
The expected CAGR of the Surface Mount Technology Market is 8.0% from 2022 to 2028.
The Placement Equipment segment acquired maximum revenue share in the Global Surface Mount Technology Market by Equipment in 2021 thereby, achieving a market value of $2.9 billion by 2028.
The Asia Pacific market dominated the Global Surface Mount Technology Market by Region in 2021, and would continue to be a dominant market till 2028; thereby, achieving a market value of $3.5 billion by 2028.
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