The development of smaller and more efficient passive components, such as multilayer ceramic capacitors and chip inductors, is expected to drive market growth. The automotive sector is seeing increased demand for high-reliability passive components due to the shift towards electric vehicles (EVs) and the integration of advanced driver assistance systems (ADAS) and automated driving systems (ADS). According to the Governor’s Highway Safety Association, over 95% of all new models sold need at least one ADAS feature to recover the initial investment. Currently, over 90% of vehicles on sale in the U.S. offer at least one advanced system, with a commitment to making Automatic Emergency Braking standard by 2022.
Industrial Sector Surge
The industrial sector is also experiencing a surge in demand for passive and interconnecting components due to the increasing adoption of automation and advanced manufacturing technologies. The need for reliable and efficient components in industrial automation and robotics applications is driving market growth. The electrical and electronic industries are major contributors to the robotics market, projected to provide a revenue of USD 2.62 billion by 2024. Although growth will be at a modest CAGR of 1.31% over the next four years, the market is expected to generate a revenue of USD 2.76 billion by 2028. China will lead this industry, generating a significant share of the global revenue, approximately USD 761.3 million by 2024.
This continued growth in both the automotive and industrial sectors underscores the increasing importance of passive and interconnecting electronic components in supporting technological advancements and market demands.
Source: globenewswire.com
