by Silicon carbide, also known as carborundum, is a semiconductor compound made of silicon and carbon. It possesses unique properties such as high thermal conductivity, high electric field breakdown strength, high maximum current density, resistance to corrosion, and reliability at high temperatures. Owing to these favorable properties, silicon carbide is extensively used in electronic gadgets, steel manufacturing, automotive components, renewable energy components, and others. It is used as a substrate material in high-powered devices, heating elements in industrial furnaces, lighting emitting diodes, and electric vehicle charging stations. The global demand for renewable energy is growing exponentially, propelling the need for power devices, semiconductors, and power modules. As silicon carbide demonstrates superior conductivity than silicon and can withstand high voltages and currents efficiently, the demand for these semiconductors in the renewable energy sector is projected to grow rapidly over the next few years.
The global silicon carbide market is estimated to be valued at US$ 9.12 Bn in 2023 and is expected to exhibit a CAGR of 11% over the forecast period 2023 to 2030, as highlighted in a new report published by Coherent Market Insights.
Market Dynamics
The growth of the global silicon carbide market is attributed to the demand from the renewable energy sector and properties of silicon carbide that allow it to withstand high operating temperatures compared to silicon. Silicon carbide is an ideal material for handling high voltages in electric vehicles, wind turbines, photovoltaic cells, and other renewable energy equipment. It provides higher efficiency, reducing component size and power losses. Owing to strong corrosion resistance and high thermal conductivity, silicon carbide semiconductor devices cool themselves without cooling mechanisms even at high operating temperatures, resulting in minimal component failure. Its unparalleled hardness also allows manufacturing durable products with less wear and tear. All these properties make silicon carbide suitable for developing newer and innovative renewable energy technologies, propelling its demand. Additionally, silicon carbide devices produce less noise and require simple gate drive circuits compared to silicon or gallium nitride devices. Hence, original equipment manufacturers prefer adopting silicon carbide for solar panels, wind turbines, and other such equipment.
Segment Analysis
The silicon carbide market can be segmented into black, green and others based on product type. Black silicon carbide is the dominating segment holding around 70% market share owing to its wide use in abrasives, refractories and metallurgy applications due to high hardness and strength. It is used as an abrasive in sandpaper and is also used for cutting and grinding.
PEST Analysis
Political: The silicon carbide market is expected to grow at a healthy rate led by rising government investments in infrastructure, renewable energy projects and automotive sector in major economies. However, trade barriers and geopolitical risks can restrict the market’s potential.
Economic: Strong economic growth in emerging countries coupled with growing spending power is driving demand for automobiles, renewable energy sources and electronics which uses silicon carbide. However, rising costs of raw materials can adversely impact the market.
Social: Growing population, urbanization and focus toward clean energy sources are creating opportunities for silicon carbide applications in automotive, wind turbines, photovoltaics and fuel cells. However, availability of substitutes is a challenge.
Technological: Advancements in SiC material properties, fabrication and device engineering are enabling SiC to replace traditional semiconductors in high power applications. R&D investments are undertaken to reduce costs and improve performance.
Key Takeaways
The Global Silicon Carbide Market Growth is estimated to be valued at US$ 9.12 Bn in 2023 and is expected to exhibit a CAGR of 11% over the forecast period 2023 to 2030.
Regional analysis:
North America dominates the global silicon carbide market led by the US and is expected to grow at a CAGR of around 10% during the forecast period owing to high demand from automotive and aerospace industries in the region.
Key players operating in the silicon carbide market are Kempinski Residences & Suites Doha, The Ritz-Carlton Doha, Sheraton Grand Doha Resort & Convention Hotel, Hilton Doha, Shangri-La Hotel Doha, Marriott Marquis City Center Doha, Qatar National Convention Centre, Doha Exhibition and Convention Centre, Four Seasons Hotel Doha, Movenpick Hotel Doha, Wyndham Grand Regency Doha, Ezdan Hotel, Grand Hyatt Doha Hotel & Villas.
*Note:
1. Source: Coherent Market Insights, Public sources, Desk research
2. We have leveraged AI tools to mine information and compile it
