Editorial Feature

Why the Technical Ceramics Industry is Growing in China

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The technical ceramics market in China is showing rapid growth, which is linked to its booming electronics market. This is expected to continue to grow over the coming years. China is responding to increased demand for electronics products by increasing its production capacity, having the impact of driving growth in the closely linked technical ceramics market through its reliance on ceramic components in the form of microchips, circuit boards and other essential electrical parts.

Technical ceramics is a booming industry

The global ceramics industry is experiencing rapid growth. Recent reports valued it at around $84.33 billion in 2018, and predict this figure to continue to rise, growing at a rate of 6.68% from 2019 to 2027.

Rising consumer demand for electronics around the world is fueling this rapidly expanding industry, which is showing particular growth in the Asian market, most notably in China. Increased demand is coming from a rising need for technical ceramics in the medical and electronics sectors. The huge global electrical & electronics equipment industry was valued at around $2.8 billion in 2017; activity in this industry is also linked with technical ceramics industry, which produces components for electronics equipment products.

China currently accounts for over 40% of global production in the technical ceramics market, which is unsurprising given that its manufacturing industry is the largest in the world. Key growth drivers in the Chinese market are expected to continue to support growth in the production of technical ceramics in the coming years.

Key drivers of growth in China

China has been highlighted as a major growth area within the technical ceramics industry. Not only does it account for a significant portion of the market, but it also represents a major area of growth.

The technical ceramics industry produces components that are essential to electrical & electronics equipment such as smartphones, laptops, tablets, and other modern digital appliances. Technical ceramics have become fundamental to the electronics industry because of their use in microchips, circuit boards, circuit breaker technology, ceramic substrates, circuit carriers, and core materials due to their fantastic electrical insulation properties. Therefore, as consumer demand for electrical products rises, as does demand for products manufactured in the technical ceramics industry. The two are closely intertwined.

This link is one of the main factors for why growth in the technical ceramics sector is showing particularly strong growth in the Chinese market. China has become a key area for electronics production, with recent reports demonstrating that China is a major global player in this sector.

Statistics show that China’s electronics production accounts for more than a third of global production, representing 38% of all products from the period of 2012 to 2017. With China producing such a huge portion of electronics products, they also rely on a significant portion of the supply produced by the technical ceramics market to include in their electronics. Therefore, the increasing production of electronics in China is boosting the technical ceramics market in this area.

Further to this, the Chinese government is planning on making a huge investment in its electronics industry with plans to further strengthen its leading position in the global market. Over the next few years, the Chinese government is expected to invest around $150 billion into the industry, supporting initiatives to drive the production of high-quality electronic devices. This investment will also have the impact of further boosting the technical ceramics industry in this region, as increased electronics production drives demand for technical ceramics products as components in its products.

In addition to this, the fact that China has low costs for both labor and materials is also helping to encourage production in the region.

Finally, the demand for Chinese electronics around the world is further helping to drive growth in the Chinese electronics market, influencing growth in the technical ceramics market in the same region. Figures show that China is, in fact, the largest global exporter of electronics products, accounting for around 24% of global expiration revenues for this market.

These strong growth drivers are expected to continue to boost the technical ceramics market in China for the coming years, establishing it as a leading global player.

References and Further Reading


Disclaimer: The views expressed here are those of the author expressed in their private capacity and do not necessarily represent the views of AZoM.com Limited T/A AZoNetwork the owner and operator of this website. This disclaimer forms part of the Terms and conditions of use of this website.

Sarah Moore

Written by

Sarah Moore

After studying Psychology and then Neuroscience, Sarah quickly found her enjoyment for researching and writing research papers; turning to a passion to connect ideas with people through writing.


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