Market Overview:
The global Through-Hole Passive Components market was valued at USD 35.68 billion in 2022 and expected to grow at a CAGR of 6.5% during the forecast period. Through-hole passive components are electronic components that are mounted onto printed circuit boards (PCBs) using holes drilled into the board. These components are essential for the proper functioning of electronic devices, and include resistors, capacitors, inductors, and diodes. The through-hole passive components market has been experiencing steady growth in recent years, driven by increasing demand for electronic devices across a wide range of industries. The market is highly competitive, with a large number of players offering a variety of products at different price points.
One of the key drivers of growth in the through-hole passive components market is the increasing demand for smaller, more efficient electronic devices. As technology continues to advance, there is a growing need for components that can be integrated into smaller and more compact devices, without sacrificing performance.
Another factor contributing to the growth of the market is the increasing adoption of renewable energy sources, such as wind and solar power. Through-hole passive components are essential for the proper functioning of the electronic control systems used in renewable energy applications, which has led to increased demand for these components.
Geographically, Asia Pacific is the largest market for through-hole passive components, due to the presence of a large number of electronic device manufacturers in the region. North America and Europe are also significant markets, driven by the high demand for electronic devices in these regions.
Overall, the through-hole passive components market is expected to continue to grow in the coming years, driven by increasing demand for electronic devices and the ongoing development of new technologies.
Covid-19 Impact:
The Covid-19 pandemic has had a significant impact on the electronics industry, including the production and supply of through-hole passive components. Through-hole passive components are electronic components that are inserted into holes on a printed circuit board (PCB) and soldered on the opposite side of the board. Examples of through-hole passive components include resistors, capacitors, and inductors.
The pandemic has caused disruptions in the global supply chain, leading to shortages and price increases for many electronic components, including through-hole passive components. The lockdowns and travel restrictions implemented by many countries have affected the production and transportation of these components.
Additionally, the increased demand for electronics products, such as laptops and smartphones, due to the shift towards remote work and learning has further strained the supply chain for through-hole passive components. The pandemic has also led to an increase in the cost of raw materials used to manufacture these components, such as copper and aluminum.
Overall, the impact of the Covid-19 pandemic on the production and supply of through-hole passive components has led to delays, shortages, and increased prices. As the pandemic continues, it is likely that the supply chain for these components will continue to be affected.
Market Dynamics:
Drivers:
Through-hole passive components, such as resistors, capacitors, and inductors, are essential electronic components that are widely used in a variety of electronic circuits. The demand for through-hole passive components is driven by several factors, including:
Growth in the electronics industry: The growth of the electronics industry is a significant driving factor for through-hole passive components. The increasing demand for consumer electronics, such as smartphones, tablets, and laptops, has resulted in a high demand for through-hole passive components.
Advancements in technology: Technological advancements, such as the Internet of Things (IoT), artificial intelligence (AI), and 5G wireless networks, require sophisticated electronic circuits that use a wide range of through-hole passive components.
Industrial automation: Industrial automation, which includes robotics, automation, and control systems, relies heavily on through-hole passive components. The increasing adoption of industrial automation in various industries is driving the demand for these components.
Renewable energy: The growing demand for renewable energy sources, such as solar and wind power, requires a significant amount of electronic components, including through-hole passive components, to convert and control energy.
Automotive electronics: The automotive industry is increasingly incorporating electronic components in vehicles for various applications, including safety, entertainment, and performance. This has resulted in a high demand for through-hole passive components.
Medical electronics: The medical industry uses a wide range of electronic devices, from wearable sensors to complex diagnostic equipment, that rely heavily on through-hole passive components.
Restraints:
Availability of surface-mount technology (SMT): Surface-mount technology is an alternative to through-hole technology, and it is increasingly being used in the electronics industry due to its smaller size and lower cost. The availability and lower cost of SMT components can restrain the demand for through-hole passive components.
Short product life cycle: The electronics industry is characterized by short product life cycles, which can lead to a rapid decline in the demand for certain types of through-hole passive components. Manufacturers may have to discontinue certain products due to low demand, resulting in a loss of revenue.
Cost: The cost of through-hole passive components can be higher than that of SMT components due to the additional manufacturing steps involved in the through-hole process. This can restrain the demand for through-hole passive components, especially in price-sensitive markets.
Lead time: The lead time for through-hole passive components can be longer than that for SMT components, which can result in longer product development cycles and delays in product launches.
Environmental concerns: Through-hole passive components require the use of lead-based solders, which can be harmful to the environment. The increasing focus on sustainability and environmental concerns can result in restrictions on the use of these components, leading to a decline in demand.
Industry consolidation: The electronics industry has seen a consolidation of manufacturers and suppliers, resulting in reduced competition and fewer options for consumers. This consolidation can lead to increased prices and reduced availability of certain through-hole passive components.
Regional Analysis:
North America: North America is a significant market for through-hole passive components, primarily driven by the presence of major electronics manufacturers, including IBM, Intel, and Apple. The growing demand for renewable energy and electric vehicles is also driving the demand for through-hole passive components in this region.
Europe: Europe is another major market for through-hole passive components. The demand for these components is primarily driven by the automotive industry, which is the largest end-user industry for through-hole passive components in this region. The presence of major automotive manufacturers, including BMW, Audi, and Volkswagen, is driving the demand for these components.
Asia-Pacific: The Asia-Pacific region is the largest market for through-hole passive components, driven by the presence of major electronics manufacturers, including Samsung, LG, and Sony. The region is also a major producer of electronic components, with countries such as China, Japan, and South Korea being significant suppliers of through-hole passive components.
Middle East and Africa: The demand for through-hole passive components in the Middle East and Africa region is primarily driven by the oil and gas industry. The growing adoption of automation in the oil and gas industry is driving the demand for through-hole passive components.
Latin America: The demand for through-hole passive components in Latin America is primarily driven by the automotive industry, with countries such as Brazil and Mexico being significant producers of automobiles.
Competitive Landscape:
The global Through-Hole Passive Components market is highly competitive and fragmented with the presence of several players. These companies are constantly focusing on new product development, partnerships, collaborations, and mergers and acquisitions to maintain their market position and expand their geographical presence. Some of the key players operating in the market are:
• Vishay Intertechnology, Inc.
• YAGEO Group
• Murata Manufacturing Co., Ltd.
• KYOCERA AVX Components Corporation
• Panasonic Holdings Corporation
• Bourns, Inc.
• TDK Corporation
• TE Connectivity
• Microchip Technology Inc.
• Others
Segments
By Component
• Resistors
• Capacitors
• Inductors
• Diodes
• Transducers
• Sensors
• Others
By Leads Model
• Axial Leads
o Resistors
o Capacitors
o Inductors
o Diodes
o Transducers
o Sensors
o Others
• Radial Leads
o Resistors
o Capacitors
o Inductors
o Diodes
o Transducers
o Sensors
o Others
By Application
• Consumer Electronics
o Mobile Phones
o Personal Computers
o Home Appliances
o Audio and Video Systems
o Storage Devices
o Others
• IT & Telecommunication
o Telecom Equipment
o Networking Devices
o Automotive
o Driver Assistance Systems
o Infotainment Systems
o Others
• Industrial
o Industrial Automation and Motion Control
o Mechatronics and Robotics
o Power Electronics
o Photovoltaic Systems
o Others
• Aerospace & Defense
o Aircraft Systems
o Military Radars
o Others
• Healthcare
o Medical Imaging Equipment
o Consumer Medical Devices
o Others
• Others
By Geography
• North America
o U.S.
o Canada
o Mexico
• Europe
o U.K.
o Germany
o France
o Italy
o Spain
o Russia
• Asia-Pacific
o Japan
o China
o India
o Australia
o South Korea
o ASEAN
• Latin America
o Brazil
o Argentina
o Colombia
• MEA
o South Africa
o Saudi Arabia
o UAE
o Egypt