Market for conformal coating in electronics anticipates growth
Global demand for smart wearables a major factor in propelling market
The global conformal coating in the electronics market size is expected to grow by USD $978.13 million during 2020-2024, progressing at a CAGR of almost 8% during the forecast period, according to a report from research group Technavio.
The increasing demand for smart wearable is one of the major factors propelling market growth. However, factors such as regulations on high emissions of VOC will hamper market growth. Consumer electronics and communication devices constitute a major application area for conformal coating in electronics. The sales of smartphones, smart wearables, and IoT devices will have a direct impact on the demand for conformal coatings. Therefore, the demand for conformal coating in consumer electronics will grow with the growing demand for smartphones.
However, with the introduction of wireless communication standards, such as 3G, 4G, WiMax, and near-field communication (NFC), the number of bands has become fragmented, requiring multiple modules for different standards. Additionally, the demand for conformal coating in electronics is also expected to witness growth due to the increasing adoption of smart wearables and IoT devices, such as smartwatches, fitness trackers, virtual reality (VR) headsets, wireless sensors, and monitoring devices.
Coatings type landscape
The acrylic conformal coating segment will account for the largest market share. Some of the major factors fueling the market segment’s growth is the prevention of possible damage to heat-sensitive components and its low cost in comparison with other coating materials. Market growth in this segment will be slower than the growth of the market in the silicone, urethane, and epoxy segment.
APAC was the largest conformal coating in the electronics market in 2019, and the region will offer several growth opportunities to market vendors during the forecast period. Factors such as rapid growth in automotive, aerospace and defense, and consumer electronics segments and increased government spending in these segments will significantly drive conformal coating in electronics market growth in this region over the forecast period. 40% of the market’s growth will originate from APAC during the forecast period. China and Japan are the key markets for conformal coating in electronics in APAC. Market growth in this region will be faster than the growth of the market in other regions.