Carbon Nanotubes Market - Growth, Trends, COVID-19 Impact, and Forecasts (2023 - 2028)

Carbon Nanotubes Market - Growth, Trends, COVID-19 Impact, and Forecasts (2023 - 2028)

The Carbon Nanotubes Market is expected to reach over USD 4,200 million by the end of this year and is projected to register a CAGR of more than 20% during the forecast period.

The COVID-19 pandemic slowed down the growth of the electronics industry in 2020, which hurt the market for carbon nanotubes.However, global demand for semiconductors has been increasing post-pandemic owing to surging teleworking and high demand for data centers.

• Over the next five to ten years, the main things that will drive the growth of the carbon nanotubes market are the growing use of nanotubes in technological advances in medicine, electronics, engineering, and other fields.
• Concerns about the environment and health and safety are likely to slow the growth of the studied market.
• The increasing use of electronic and storage devices is likely to act as an opportunity in the future.
• Asia-Pacific was the biggest market in the world, with countries like China and Japan using the most.

• In terms of revenue, the electronics industry is the largest end user of carbon nanotubes.Carbon nanotubes (CNTs) have gotten a lot of attention because they have unusually good electrical properties for organic materials. They have a huge amount of potential in electrical and electronic applications like photovoltaics, sensors, semiconductor devices, displays, and conductors.
• According to SIA, global semiconductor sales increased from USD 139.0 billion in 2001 to USD 555.9 billion in 2021, with a CAGR of 7.18 percent per year.
• Japan has the third-largest electronics manufacturing industry in the world and is the United States' fourth-largest export market for semiconductor manufacturing equipment (SME). According to JEITA, the total production of the electronics industry in Japan was valued at USD 89.7 billion by November 2022. The current market growth in the electronics industry is expected to increase demand for carbon nanotubes (CNTs).
• In 2022, Japan will account for around 9% of global semiconductor production, according to the Japanese Electronics and Information Technology Industries Association (JEITA). Additionally, according to the Semiconductor Equipment Association of Japan ("SEAJ"), semiconductor manufacturing equipment sales in Japan reached USD 33 billion in 2021. Semiconductor equipment sales in Japan have grown fourfold in the last ten years. Moreover, SEAJ forecasts stable 5% annual growth in semiconductor sales in FY2024.
• Moreover, in June 2021, Japan signed off on a JPY 37 billion (USD 349 million) semiconductor research project to develop chip technology in the country with TSMC. About 20 Japanese companies, including Hitachi High-Tech Corp., will work with TSMC on the project, with the Japanese government paying just over half of the cost.
• Growth can also be expected for electronic components and devices across regions due to the transition to electric vehicles and the growing percentage of electrical componentry in automobiles, as well as rising demand for eco-friendly products in the automotive and aerospace industries.
• Furthermore, the United States semiconductor industry is a key driver of America’s economic strength, national security, global competitiveness, and technological leadership. The United States' exports of semiconductors were worth USD 62 billion in 2021, the fifth-highest among U.S. exports, behind only refined oil, airplanes, crude oil, and natural gas. Additionally, according to the Semiconductor Industry Association, the semiconductor industry has announced around USD 80 billion in new investments in the United States through 2025.
• Therefore, these factors are projected to boost the consumption of carbon nanotubes in the electronics industry.

• Asia-Pacific was the biggest market in the world, and China and Japan were the two countries that used the most.
• Electronic industry growth in Asia has been as apparent as ever over recent years. Asia has emerged as the leader in global electronic industry growth, with several major markets registering some of the world’s fastest growth rates for consumer technology. Consumer electronics industry statistics and electronics industry growth rates are changing rapidly, and Asia’s top markets are at the forefront of this movement.
• It is expected that Asia’s electronics industry, led by China, India, and Malaysia, will continue to grow and further strengthen its share in the global market over the coming years. China's main growth driver is the production of electronic boards and parts, and chip makers have started to speed up production to make up for a lack of supplies.In 2021, the total profit of electronics manufacturing enterprises in China grew by 38.9 percent from the previous year, reaching yuan 828.3 billion (USD 122 billion), and the growth rate hit the highest point of the given period.
• In 2021, India’s electronic goods exports will be valued at USD 11.7 billion. Electronics product exports totaled USD 950.17 million in May 2021. In 2022, India's 5G smartphone momentum continued to gain ground. 5G smartphone shipments increased by a significant 74 percent year over year in 2022, resulting in a 5G smartphone shipment share of 31 percent. Thus, growth in the electronics segment is expected to drive the market for carbon nanotubes (CNTs) used in the Asia-Pacific region.
• Additionally, the Japanese aerospace industry manufactures aircraft components mainly for commercial aircraft and defense aircraft. Commercial aircraft production has been increasing over the last couple of years, owing to increasing cargo demands.
• Japan makes the F-35A, a fighter jet of the next generation, as well as other military planes. This helps the country's aerospace industry grow. The country is also a leader in the development of planes and engines, such as the V2500, Trent1000, GEnx, GE9X, PW1100G-JM, etc., and the Boeing 767, 777, 777X, and 787.
• The market in the region is likely to be driven by the growing demand from end-user industries.

In nature, the carbon nanotubes market is partially consolidated. The major players are constantly focusing on R&D for product innovation and capacity expansions, along with collaborations with local or regional distributors and manufacturers. Some of the major players in the market include (not in any particular order) Chengdu Organic Chemicals Co. Ltd. (Timesnano), Cabot Corporation, Jiangsu Cnano Technology Co., Ltd., Showa Denko KK, and LG Chem, among others.

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