The electronic components market - Germany

1.1 Scope of the studying

The market for electronic components is a very broad one. An electronic component is an element designed to be assembled with other elements to achieve electronic functions. There are very many different kinds and categories of components that meet different industrial requirements, especially due to their electrical characteristics. The assembly of these electronic components is specified in advance in a layout scheme, and this precedes the arrangement of these components in an electronic circuit.

Traditionally, the electronic components are divided into two categories:

• active components (the diode, the transistor, the integrated circuit, etc.): electronic components that can be used to increase the power of a signal (voltage or current),
• passive components (resistors, capacitors, etc.): electronic components that do not increase the power of a signal, and in certain cases even decrease it.

The global electronic components market has developed well for a few years. Worldwide, the market has a volume of almost 1.4 trillion US dollars.

Indeed, the PCB and semiconductor sectors are relatively dynamic, driven by how quick the development of several innovations was, such as 5G, and e-cars, or how quickly innovations spread, such as renewable energy. Thanks to the complexity of production methods, the electronic components market is largely concentrated, with a few international firms sharing the majority of market shares. For example, the market leaders include Intel, Samsung Electronics, Qualcomm, and TSMC.

In Germany, the market experienced a significant increase and strong growth - until the COVID-19 pandemic - because of the increasing demand for electronic products. The COVID-19 pandemic impacted the market significantly. Actually, it led to disrupted supply chains and high unsatisfied demand for certain components [Assel].

The demand is reflected in a projected compound annual growth rate (CAGR) of 7.1% through 2026 [elektronik.net].