Electronics

The Global Electronics Market, valued at USD 1.32 trillion in 2024, is advancing at a CAGR of 9.5%. Growth is being driven by accelerated adoption of consumer electronics, wearable devices, smart home automation, automotive electronics, industrial electronics, and industrial automation systems, each powered by semiconductors, microcontrollers, integrated circuits (ICs), PCBs, passive and active electronic components, connectors, sensors, and power modules. Asia-Pacific has become the fastest-growing hub, expanding at 11% CAGR, supported by China, India, and South Korea, where electronic exports, electronic components trade, and semiconductor shipments surged 22% in FY24, surpassing the 7–8% global average. North America and Europe continue to dominate high-value IC design, semiconductor manufacturing, and electronic module exports, while India imported USD 52 billion worth of electronic components in 2024, including over 12,000 IC consignments from Hong Kong. The electronic market pricing remains uneven, with U.S. tariffs on Chinese electronics exports at 10–35%, while Southeast Asia retains an 8–10% cost advantage through electronics supply-chain clustering.

The electronic industry CAPEX is accelerating, with leading OEMs, EMS providers, and contract manufacturers investing USD 150 billion in 2024 toward semiconductor fabs, AI-enabled chips, EV electronics, quantum-ready processors, flexible displays, GaN power transistors, and IoT devices. OPEX remains concentrated in raw materials (~48%) and skilled labor (28–32%), while component shortages widened the demand-supply gap by 10–12%, particularly in advanced semiconductors and microcontrollers. Venture funding in electronics startups crossed USD 25 billion, supporting eco-friendly sensors, automotive electronics, medical electronics, and green IoT devices, with regulatory frameworks such as RoHS, REACH, and WEEE promoting sustainable production and compliance. The electronic market is highly consolidated, with Samsung, Foxconn, Intel, Murata, and Infineon dominating contracts, while niche players in medical electronics, automotive chips, and industrial modules gain traction.

Looking ahead, the semiconductor segment expected to dominate with 57% market share in 2024, while automotive electronics is the fastest-growing sub-segment, projected at 12% CAGR through 2032. Regional adoption of consumer electronics, industrial IoT devices, and connected smart devices already exceeds 70%, expected to reach 85% by 2032.Growth is driven by AI-driven automation, miniaturization, 6G-ready communication chips, flexible electronics, and green IT infrastructure, reinforcing electronics and electronic components as the strategic backbone of the global digital economy. Electronic industry tariff harmonization, deeper cross-border trade integration, and regulatory alignment, the industry is poised not only for expansion but for transformation into a core enabler of global innovation, technology adoption, and competitiveness.