Market Perspective

The global Multi-Layer Ceramic Capacitor (MLCC) Market was valued at USD 13.17 billion in 2022 and is projected to reach USD 27.10 billion by 2030, growing at a CAGR of 8.90% from 2023 to 2030.

The multi-layer ceramic capacitor (MLCC) market is growing rapidly owing to the growing popularity of energy-efficient and green technologies. The expansion of the Internet of Things (IoT) and interconnected devices, along with the rise of applications in medical implants and aeronautics, contribute to the increasing growth of the market. Additionally, the launch of 5G acts as an enabler for these emerging technologies, resulting in a massive increase in demand for computer electronics. Manufacturers are integrating more components and circuits due to the possibility of miniaturization. Advances in materials and manufacturing technologies have made it possible to develop MLCCs with larger capacities that enable more efficient energy storage and better efficiency. This innovation allows the MLCC to be used in applications that require higher voltage levels, such as power electronics and high-voltage systems.

However, there has been substantial growth and widespread adoption of multilayer ceramic capacitors (MLCC) in the electronics industry.; however, they also face certain challenges and problems related to material reliability. MLCC failures have increased in recent years due to several factors such as changes in materials, production processes, and a lack of standardization between different manufacturers.

Analyst’s Review on Multi-Layer Ceramic Capacitor (MLCC) Market

The increasing use of multilayer ceramic capacitors (MLCCs), particularly for infotainment systems, car bodywork, and powertrains, is expected to have significant effects on market expansion. This has prompted numerous manufacturers to focus on developing MLCCs specifically designed for automotive applications, offering a diverse selection of power options, charge capacities, and pricing. Moreover, MLCCs are increasingly used in electric vehicles because they can withstand the normal temperature control circuits of such vehicles. They are also used in tools such as military communication systems, lasers, communication channels, and high-frequency RF applications. The growing use of these capacitors is due to their ease of mounting on printed circuits, better integration efficiency, and shorter circuit traces with less inductance. The temperature stability of MLCCs has improved, ensuring that their efficiency is maintained over a wider operating temperature range. This innovation is crucial for applications exposed to extreme temperatures. MLCCs with a higher number of layers have been developed to accommodate higher capacitance in smaller sizes. These innovations have helped MLCCs keep pace with the demands of modern electronic devices such as smartphones, wearables, automotive electronics, and IoT applications.

Market Definition

A multilayer ceramic capacitor (MLCC) is a type of capacitor that uses multiple ceramic layers as an insulating material. It is a compact and widely used electronic component that stores and releases electrical energy. MLCCs are commonly used in a variety of applications, including consumer electronics, telecommunications, automotive, and industrial equipment. They are known for their small size, which enables high component density on printed circuits, which offer a wide range of capacitance values ​​from picofarads (pF) to microfarads (µF), allowing flexibility in circuit design. MLCCs have a low leakage current, which ensures that the stored charge remains stable over time and minimizes current losses. They are designed to withstand various environmental factors such as temperature fluctuations, humidity, and mechanical stress.

Market Dynamics

The growth of multilayer ceramic capacitors (MLCC) is due to several factors that have contributed to their popularity in the electronics industry. They have become an essential component of many electronic devices, from smartphones and laptops to automotive electronics and medical devices. MLCCs have made significant progress in reducing size while maintaining high capacitance values. This miniaturization has enabled a higher component density on printed circuits, which allows the development of smaller and more elegant devices. Additionally, the introduction of technologically advanced devices such as smartphones and IoT devices has propelled the demand for MLCCs. These devices require reliable and efficient capacitors that can withstand demanding operating conditions. With better temperature stability, better reliability, and higher voltage response, MLCCs have become the preferred choice for such applications. These capacitors, which have the ability to withstand high temperatures and harsh environments, have become crucial components in automotive electronics. The increasing electrification and connectivity of vehicles have further driven the growth of MLCCs in this sector.

The potential for supply chain interruptions is the main constraint on market expansion. With various parties engaged in the manufacturing and distribution of these components, the MLCC supply chain is intricate and extensive. Geopolitical conflicts among nations can also affect the availability of the necessary raw materials for manufacturing MLCCs. The cost and accessibility of these materials, which are crucial for producing MLCCs, are highly dependent on their availability and demand, leading to fluctuating prices. The inherent vulnerabilities of MLCCs, such as susceptibility to heat stress, voltage stress, and mechanical stress, can result in failures. Consequently, these challenges can hinder market expansion by compromising the reliability of MLCCs and escalating the expenses associated with maintenance and repairs.

Segmentation Analysis

The global multi-layer ceramic capacitor (MLCCs) market is segmented based on type, voltage range, dielectric type, end-use, and geography.

Based on type, the multi-layer ceramic capacitor market is categorized into general capacitor, array, serial construction, mega cap, and others. General capacitor dominated the market in 2022, mainly due to the growing need for general capacitors in products such as DC-DC converters, mobile phones, gaming systems, memory modules, and others. Additionally, because of their small size and ability to reduce noise in electronic circuits, universal capacitors are simple to install in electronic equipment.

Based on voltage range, the multi-layer ceramic capacitor market is classified into low range, mid-range, and high range. The high-range segment dominated the market in 2022 owing to the proliferating use of multi-layering technologies and advanced ceramic dielectric thin-layers, which offer high capacitance and voltage to electronic devices.

Based dielectric type, the multi-layer ceramic capacitor market is divided into X7R, X5R, C0G, Y5V, and others. The X7R dielectric has an operational temperature limit and is regarded as temperature stable, which is augmenting its adoption. These capacitors are suitable for bypass and decoupling applications as well as frequency-discriminating circuits. Additionally, filtering and transient voltage suppression are used with these dielectric MLCCs.

Based on end-use, the multi-layer ceramic capacitor market is segmented into electronics, automotive, industrial, telecommunication, data transmission, and others. The automotive segment dominated the market in 2022, as these capacitors are used in the powertrains, infotainment systems, and car structures of these automobiles. Advancements in automotive applications have driven the growth of multi-layer ceramic capacitors. Manufacturers are employing new strategies and technologies to cater to the specific requirements of this industry. They are available in a diverse range of voltage options, case sizes, and capacitance values. They are also being utilized more frequently in electrically powered automobiles due to their ability to withstand the high temperatures characteristic of control circuits in such vehicles.

Geography Analysis

Based on region, the global multi-layer ceramic capacitor (MLCC) market is classified into North America, Europe, Asia Pacific, MEA, and Latin America.

In 2022, North America had a significant market presence due to the increasing demand for these capacitors in various industries. The ongoing trend of condenser miniaturization and the advancements in multi-layer ceramic capacitor (MLCC) capacity rates fuel market expansion. Furthermore, the use of multilayer ceramic capacitors is anticipated to increase along with the rising demand for electronic items. These capacitors can survive the high temperatures that are typical of the control circuits in such cars. MLCCs are also being employed more frequently in electrically powered vehicles, which fuels market expansion.

The Asia Pacific region is set to experience rapid growth in the forecast period due to the presence of numerous local businesses and the continuous expansion of the automotive sector. These factors have propelled the demand for MLCCs, making them an integral part of modern electronic devices. Consumer electronics have experienced rapid expansion in the region as these MLCCs are widely used in consumer electronics such as smartphones, laptops, tablets, wearables, and other devices for energy storage, noise filtering, and voltage management. These devices need larger capacitance values and more complex MLCCs as they get more advanced and feature-rich. The adoption of 5G technology and the Internet of Things (IoT) has significantly contributed to the rising demand for MLCCs in a range of interconnected devices. As governments and companies in the Asia-Pacific region focus on reducing greenhouse gas emissions and promoting sustainable transportation, the market for electric vehicles is predicted to grow. As a result, the region's electric car market needs to grow, which calls for high-quality, high-capacity MLCCs, thereby supporting market growth.

Competitive Landscape

The global multi-layer ceramic capacitor (MLCC) market study report will provide valuable insight, with an emphasis on the fragmented nature of the global industry. Prominent players are focusing on several key business strategies, such as partnerships, mergers & acquisitions, product innovations, and joint ventures, to expand their product portfolios and increase their respective market shares across different regions. The major players in the multi-layer ceramic capacitor market are:

• Murata Manufacturing Co. Ltd
• Walsin Technology Corporation
• Nippon Chemi-Con Corporation
• TDK Corporation
• KEMET Corporation
• KYOCERA Corporation
• HIOKI E.E. CORPORATION
• SAMSUNG ELECTRO-MECHANICS
• TAIYO YUDEN CO., LTD.

Key Developments

• May 2023 (Launch): Murata launched the multilayer ceramic capacitor (MLCC), which addresses the growing need for components with high capacitance combined with small form factors and improved temperature. These MLCCs are highly suitable for integration into the decoupling and debugging circuits of smartphones, mobile devices, wearables, home appliances, servers, and IoT devices.
• May 2023 (Launch): Samsung Electro-Mechanics developed a powerful multi-layer ceramic capacitor, CL31Y226MOK6PJ, which can be used in an excellent propulsion assistance system and an autonomous driving (AD) car.

The global Multi-Layer Ceramic Capacitor (MLCC) Market is segmented as:

By Type

• General Capacitor
• Array
• Serial Construction
• Mega Cap
• Others

By Voltage Range

• Low Range
• Mid-Range
• High Range

By Dielectric Type

• X7R
• X5R
• C0G
• Y5V
• Others

By End-Use

• Electronics
• Automotive
• Industrial
• Telecommunication
• Data Transmission
• Others

By Region

• North America
  • U.S.
  • Canada
  • Mexico
• Europe
  • France
  • UK
  • Spain
  • Germany
  • Italy
  • Russia
  • Rest of Europe
• Asia Pacific
  • China
  • Japan
  • India
  • South Korea
  • Rest of Asia Pacific
• Middle East & Africa
  • GCC
  • North Africa
  • South Africa
  • Rest of Middle East & Africa
• Latin America
  • Brazil
  • Argentina
  • Rest of Latin America