SAN FRANCISCO, Jan. 12, 2021 /PRNewswire/ -- The global ultra high purity silicon carbide market size is expected to reach USD 79.0 million by 2027, according to a new report by Grand View Research, Inc. It is expected to expand at a CAGR of 14.8% from 2020 to 2027. The rising penetration of electric vehicles and the growth of the renewable energy sector are projected to provide growth opportunities to market vendors.
Key suggestions from the report:
In terms of both revenue and volume, semiconductor was the largest application segment in 2019. The growth of the segment is attributed to rising requirements of the increasing middle-class population, and thus indirect demand for electronics
By application, LEDs are projected to expand at the fastest CAGR of 15.6% in terms of revenue from 2020 to 2027. Increasing awareness regarding global warming has created a positive impact on the demand for LEDs due to their energy efficiency
The COVID-19 pandemic has created a severe impact on the end-use industries of ultra-high purity silicon carbide (UHPSiC). In terms of volume, demand for UHPSiC is projected to decline by nearly 10% in 2020 from 2019
Asia Pacific was the largest regional market and accounted for a volume share of 48.0% in 2019. High volume production of electronics and LEDs in China, South Korea, and Taiwan is a key growth factor for the regional market
Power supplies and photovoltaic inverters are among the significant application areas of silicon carbide (SiC) semiconductors. Moreover, SiC power electronics are adopted in electric vehicle charging products, wind energy infrastructure, and industrial motor drives. Thus, the demand for electric vehicles is expected to boost the growth of ultra-high purity silicon carbide semiconductors. The growing utilization of renewable sources of energy for power generation around the globe is anticipated to drive the market for SiC power semiconductors.
The development of emerging technologies, such as quantum computing, artificial intelligence, and 5G technology, is also anticipated to provide new opportunities for market vendors. Increasing penetration of these technologies, particularly in the U.S., is likely to remain a key factor contributing to the market growth. Companies in the U.S. have invested large sums in these technologies, thereby positively impacting the development of semiconductors required for artificial intelligence, supercomputers, and data centers. For instance, R&D investments in the U.S. semiconductor industry have increased at a CAGR of 6.6% from 1999 to 2019. In the U.S., R&D investments for 2019 amounted to USD 39.8 billion, which was around 17% of its sales, the highest among all the countries.
The increasing demand for light-emitting diodes (LEDs) is another key factor projected to fuel market growth over the coming years. Ultra-high purity silicon carbide is used to remove the impurities in LEDs. The LED lighting market is anticipated to register a growth rate of 13.4% from 2020 to 2027 owing to the decline in prices, stringent regulations related to lighting technologies, and efforts taken by various governments in the direction of sustainable development.
Companies in South Korea are involved in the development of silicon carbide technology, which is projected to remain a key driving factor in the long term. For instance, POSCO, one of the leading steel manufacturers in the globe, invested 10 years in the development of SiC single-crystal. In this project, POSCO is working on the development of 150-mm and 100-mm SiC substrate technology, which is close to commercialization. Another manufacturer SK Corporation (SKC) is likely to commercialize 150-mm SiC wafers.
Grand View Research has segmented the global ultra high purity silicon carbide market on the basis of application and region:
Ultra High Purity Silicon Carbide Application Outlook (Volume, Kilotons; Revenue, USD Million, 2016 - 2027)
Ultra High Purity Silicon Carbide Regional Outlook (Volume, Kilotons; Revenue, USD Million, 2016 - 2027)
Central & South America
Middle East & Africa
List of Key Players of Ultra High Purity Silicon Carbide Market
Electric Vehicle Market– The global electric vehicle market demand was estimated at 2,373.5 thousand units in 2019 and is expected to witness a CAGR of 41.5% 2020 to 2027.
Silicon Carbide Market– The global silicon carbide market size was valued at USD 2.52 billion in 2019 and is expected to register a CAGR of nearly 16.1% from 2020 to 2027.
Thin Film Battery Market– The global thin film battery market size was valued at USD 454.1 million in 2019 and is expected to register a compound annual growth rate (CAGR) of 35.5% from 2020 to 2027.
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About Grand View Research
Grand View Research, U.S.-based market research and consulting company, provides syndicated as well as customized research reports and consulting services. Registered in California and headquartered in San Francisco, the company comprises over 425 analysts and consultants, adding more than 1200 market research reports to its vast database each year. These reports offer in-depth analysis on 46 industries across 25 major countries worldwide. With the help of an interactive market intelligence platform, Grand View Research helps Fortune 500 companies and renowned academic institutes understand the global and regional business environment and gauge the opportunities that lie ahead.