by Electrically conductive adhesives are unique materials that are capable of forming a strong mechanical bond and also providing electrical conductivity between the joined components. ECAs find wide use in the electronics industry for applications such as bonding FPCs, heat sinks, LEDs, displays, touch panels and others. They eliminate the need for soldering connections and are utilized to create electrical interconnections without additional components like wires or cables. Compared to soldering, ECAs provide flexibility in design, enable joining of dissimilar materials and improve impact resistance of assemblies. Their curing process is also simpler compared to soldering or crimping.
The global Electrically Conductive Adhesives Market is estimated to be valued at US$ 3.2 billion in 2023 and is expected to exhibit a CAGR of 6.7% over the forecast period 2024 to 2031, as highlighted in a new report published by Coherent Market Insights.
Market key trends:
One of the major trends in the ECA market is the increasing demand for miniaturization of electronic devices. Device manufacturers are focusing on developing more compact devices which require precise interconnect solutions for their circuitry. ECAs help achieve miniaturization goals as their cured thickness can be controlled accurately to just a few microns. They also have excellent gap-filling properties. Another noteworthy trend is the growing adoption of ECAs in applications related to flexible and printed electronics. Products like wearables, smart labels and conformal electronics utilize flexible or stretchable interconnects which ECAs are well-suited for. Their ability to accommodate dimensional changes during flexing or stretching makes them favorable for flexible electronics over conventional soldering methods.
Porter’s Analysis
Threat of new entrants: Low barrier for new players to enter the market owing to the availability of raw materials. However, established players have strong brand recognition and distribution network.
Bargaining power of suppliers: Suppliers have medium bargaining power due to the availability of substitutes. However, R&D capabilities by few suppliers increase their power.
Bargaining power of buyers: Buyers have medium bargaining power due to the availability of substitute products. However, customized product requirements increase buyers’ power.
Threat of new substitutes: Threat from new substitutes is medium to high as new advanced materials are enabling the development of new generation substitutes.
Competitive rivalry: Intense competition among the major players to gain higher market share. Players focus on product development and strategic alliance to differentiate their products.
Key Takeaways
The Global Electrically Conductive Adhesives Market Size is expected to witness high growth.
The Asia Pacific region dominates the market and is expected to maintain its leading position during the forecast period. Factors such as extensive manufacturing base for electronics and increasing number of R&D centers augment the conductive adhesives demand in the region.
Key players operating in the electrically conductive adhesives include Henkel, H.B. Fuller, Dow, Panacol-Elosol, 3M, Aremco Products, Mereco Technologies, Holland Shielding, M.G. Chemicals, Masterbond and others. These players focus on new product development strategies using advanced materials to cater to diversified industrial application
*Note:
1. Source: Coherent Market Insights, Public sources, Desk research
2. We have leveraged AI tools to mine information and compile it
