According to a new market research report published by Transparency Market Research , titled ‘Chip Resistor Market – Global Industry Analysis, Size, Share, Growth, Trends, and Forecast, 2019–2027,’ the global chip resistor market was valued at US$ 1,555.3 Mn in 2018 and is expected to expand at a CAGR of 6.14% from 2019 to 2027, to reach value of US$ 2,647.8 Mn by the end of the forecast period.
Technological advancements in sensors, robotics, data capture, connectivity, and computing power are enabling organizations to make improvements in materials to enhance the efficiency of their production, service and supply chain organizations. Furthermore, advancements in telecommunication, robotics, and software are also accelerating the level of automation in industries. These advanced systems employ chip resistors, as they are increasingly being used for efficient operation of devices for limiting the current and for measuring purposes. Thus, the rising level of digitization in industries is expected to propel the global chip resistor market during the forecast period.
Electronics is increasingly being applied in automobiles so as to offer the driver an enhanced experience and make automobiles safer and more intelligent. Application of electronics in automobiles is increasing with advancements in technologies in automotive electric and electronic systems. This would improve the overall system efficiency with high operating temperature, increased flexibility and reliability, and reduced overall size of the circuitry.
Thin-film resistor segment to expand at a rapid pace throughout the forecast period
Based on type, the chip resistor market has been segmented into thick-film resistor, thin-film resistor, current-sensing resistor, and others. The thin-film resistor segment is anticipated to expand at a significant CAGR during the forecast period. This growth can be attributed to higher accuracy, precision, and stability offered by thin-film resistors, which makes them a suitable choice for high-precision applications.
Asia Pacific to be a rapidly expanding market led by rapid industrialization
In terms of geography, the global chip resistor market has been segmented into North America, Europe, Asia Pacific, Middle East & Africa, and South America. In 2018, Asia Pacific was the leading market, followed by North America. The market in Asia Pacific is expected to expand at the maximum CAGR from 2019 to 2027, due to rapid industrialization and growing consumer electronics industry in the region.
Key players focusing on expanding their footprint worldwide and gain a competitive edge
Key players operating in the global chip resistor market are focusing on the introduction and development of new products to gain a competitive edge and improve their brand positioning in the market. For instance, in November 2018, Yageo Corporation announced the launch of a new high-power anti-surge chip resistor called SR High-power Series.