Hermetic Packaging Market By Configuration (Multilayer Ceramic Packages, Pressed Ceramic Packages, Metal Can Packages) By Type (Passivation Glass, Reed Glass, Transponder Glass, Glass-Metal Sealing (GTMS), Ceramic-Metal Sealing (CERTM)) By Application (Transistors, Sensors, Lasers, Airbag Ignitors, Photo Diodes, Oscillating Crystals, MEMS Switch, Others) By Industry -Growth, Share, Opportunities & Competitive Analysis, 2016 -2028

How does the Ability to Protect from Various Environmental Conditions Play an Important Role in the Hermetic Packaging Market?

Hermetic packaging prevents various environmental phenomena such as dust, humidity, changes in pressure and temperature, and other biological threats from harming fragile electronics or disrupting electrical references under hermetic items. Product applications that are subject to extreme external circumstances and whose functionality may be compromised must be hermetically sealed. As a result, the adoption of hermetic packaging is at an all-time high and is anticipated to increase over the projected period to protect particularly sensitive electrical components. It is one of the factors that propel the market for hermetic packaging.

hermetic-packaging-market

What is the Market Size of Hermetic Packaging in terms of value?

The global Hermetic Packaging Market is projected to increase at a significant CAGR of 4.1% in the coming years. In 2021, the global hermetic packaging market was valued at USD 3.7 billion and is projected to reach the value of USD 4.708 billion by 2028. The demand for hermetic packaging is projected to increase substantially in the coming years and is presumed to generate revenue opportunities for the key industry players worth USD 1.008 billion over the forecast period between 2022 and 2028.

How does the Rising Digital Industry Supports the Growth of the Hermetic Packaging Market?

Market growth is being driven by two factors: an increase in consumer electronics demand and widespread use in packaging processes in new industries. The worldwide consumer electronics sector is expanding as a result of a variety of factors, including shifting lifestyle preferences and a greater propensity to use smart electronic devices. The demand for electronic devices will also expand over the projected period due to rising consumer disposable income and the need for internet connectivity. Governments from all over the world are accelerating the digitization process to promote the usage of various electronic devices. This is anticipated to boost the global consumer electronics market and raise the demand for hermetic packaging products.

Interesting Facts about the Hermetic Packaging Industry

  • Rising energy demand in emerging economies such as India and China, combined with high GDP growth rates, are creating new opportunities for Asia Pacific manufacturers of hermetic packaging technology.
  • Increasing middle-class income, shifting lifestyle preferences, and growing use of smart electronic devices are a few of the major drivers of market revenue development throughout the forecast period. Moreover, growing consumer electronics and product technological developments are further drivers anticipated to fuel market expansion.
  • One of the main elements anticipated to have a negative impact on the market's revenue growth during the forecast period is the accessibility of substitute packaging options. 
  • The demand for high-frequency applications, including wireless communication, data communication, and optical communication, will drive multilayer ceramic packages to maintain their position as the most popular arrangement.
  • Asia Pacific region had a major share in terms of volume as well as value in the global hermetic packaging market in 2021 and is projected to continue its dominance over the forecast period.
  • Reed Glass segment to witness high growth during the forecast period due to millions of switching cycles, reed glasses offer extremely dependable encapsulation of reed switches.

Who are the Top 10 players/companies in the hermetic packaging market in terms of value and volume?

The key players in the global hermetic packaging market in terms of value and volume include SCHOTT (Germany), Amkor Technology Inc. (US), AMETEK Inc. (US), Texas Instruments Incorporated (US), Kyocera Corporation (Japan), Teledyne Technologies (US), Materion Corporation (US), Egide (France), Legacy Technologies Inc. (US), SGA Technologies (UK), Hermetics Solutions Group (US), Rosenberger (Germany), and Willow Technologies (UK). These key players are concentrating on new product developments as well as technological innovation to enhance their production of hermetic packaging to gain competitive market share at a global level. Furthermore, several national and regional firms are making significant investments to diversify their product offerings and boost sales. For instance, in May 2021, AMETEK MOCON introduced new analytical equipment for measuring complete packages' oxygen transfer rate (OTR) of complete packages in ambient environmental settings. On the other hand, in May 2021, Micross Components, Inc. and Avalanche Technology, two industry leaders, collaborated to provide the smallest and minimum power Hi-Rel Non-Volatile specific memory for Aerospace Industries.

Who are the Top 10 Countries in the Hermetic Packaging Market?

In the global hermetic packaging market, the major countries are China, Japan, South Korea, India, the U.S., Canada, the U.K., Germany, France, Russia, and Taiwan. The need for hermetic packaging for delicate electronic components is increasing as a result of the growing military prowess of emerging nations like China, India, Japan, and South Korea. The country's expanding consumer electronics industry, along with greater government financing for China's aerospace and defense industries, are expected to spur market expansion.

Which is the Key Application Area in the Hermetic Packaging Market?

Reed Glass segment is expected to hold a significant share in the global hermetic packaging market. Over millions of switching cycles, Reed Glasses offers extremely dependable encapsulation of reed switches. Glass tubes are used in many electronic applications where discrete electronic components need sealing, isolation, or protection. However, this glass frequently serves as a hermetic seal or an electrical insulator for passive components. Automotive centralized locking systems, hot water boiler switches, and belt sensors are all applications in places where reed glass has been used. The electrical circuits are opened and closed by the reed switches without any external mechanical influence.

When two metal contacting blades are forced together inside of a tiny glass tube by a weak magnetic field, contact is made. This is crucial for low-power devices since reed switches do not require electricity when they are in their resting state. Reed switches can withstand countless make-and-break cycles without wearing out since they have no mechanical control. To ensure operation, the metal blades must be free from dust & hermetically sealed within the glass tubes using inert gas and high tolerances.

What are the Major Driving Factors for Hermetic Packaging Market?

Rising consumer electronics demand and widespread use in packaging operations across a range of end-use industries are two key factors driving the hermetic packaging market's revenue growth. Increasing middle-class income, shifting lifestyle preferences, and growing use of smart electronic devices are a few of the major drivers of market revenue development throughout the forecast period. In addition, growing consumer electronics and product technological advances are further drivers anticipated to fuel market expansion.

What are the Major Restraints for the Hermetic Packaging Market?

Several unfavourable factors are hampering the worldwide hermetic packaging market's growth. One of the major factors expected to have a negative impact on market revenue growth during the forecast period is the accessibility of alternative packaging solutions. This packaging solution, despite its advancement, runs the risk of being surpassed by several alternatives that are viewed as more dependable and protective. One of these alternatives is plastic packing, which is used in the military and the Defense sector as a secure sealing technique when extreme temperatures make components difficult to use.

Which Region Dominated the World Hermetic Packaging Market?

Asia Pacific dominated the global hermetic packaging market in 2020. The region's market is expanding primarily due to rising energy demand, growing economies, and rising defense spending. The demand for the hermetic packaging for sensitive electronic components is increasing as a result of the expanding military prowess of emerging nations like India, China, Japan, and South Korea. Rising energy demand, combined with high GDP growth rates in developing markets such as China and India, is creating opportunities for the Asia Pacific hermetically packaged component manufacturers.

However, North America is also projected to witness substantial growth in the coming years. Rising defense spending in nations like the United States, the existence of top aircraft manufacturers, and a thriving medical sector are the primary factors driving growth in revenue in the North American market. For instance, the U.S. military budget increased by 4.4% from 2019 to an expected USD 778 billion in 2020. Aside from this, the US is home to many of the biggest automotive companies in the world, which are investing in electric automobiles and the possibility of self-driving cars, both of which require high-performance ICs. Hermetic is used in the automotive sector to guarantee sensor performance in rollover systems and airbag systems. Therefore, the market can necessitate hermetic packaging as airbag equipment grows in the region.

Segmentation of Global Hermetic Packaging Market -

Global Hermetic Packaging Market – By Configuration

  • Multilayer Ceramic Packages
  • Pressed Ceramic Packages
  • Metal Can Packages

 Global Hermetic Packaging Market – By Type

  • Passivation Glass
  • Reed Glass
  • Transponder Glass
  • Glass-Metal Sealing (GTMS)
  • Ceramic-Metal Sealing (CERTM)

Global Hermetic Packaging Market – By Application

  • Transistors
  • Sensors
  • Lasers
  • Airbag Ignitors
  • Photo Diodes
  • Oscillating Crystals
  • MEMS Switch
  • Others

 Global Hermetic Packaging Market – By Industry

  • Military & Defense
  • Aeronautics & Space
  • Automotive
  • Energy & Nuclear Safety
  • Medical
  • Telecommunication
  • Consumer Electronics
  • Others

Frequently asked questions about global hermetic packaging industry

Hermetic Packaging market also suffered from COVID 19 pandemic. The market has begun to develop as a result of the rise in demand for electronic devices like smartphones and laptops brought on by the adoption of the work-from-home approach.

Asia Pacific accounted for the highest share in the global hermetic packaging market in terms of value as well as volume.

The increased usage of hermetic packaging for protecting extremely fragile electronic components and rising demand from end-user sectors have resulted in a rise in the worldwide hermetic packaging market.

Reed Glass segment had a major share in 2020 with more than 51% of the market revenue share. Besides, Ceramic-Metal Sealing (CERTM) is also projected to witness the fastest growth.

Airbag Ignitors had a major share in the global market in 2020 and are projected to continue their dominance over the forecast period.

Hermetic Packaging Market Scope

Report Attribute Details
Market Value in 2021 USD 3.7 billion
Market Value in 2028 USD 4.708 billion
CAGR 4.1%
Benchmarking Year 2021
Past data 2016 – 2021
Forecast period 2022 – 2028
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Published Date:  Aug 2022
Category:  Semiconductor & Electronics
Report ID:   60592
Report Format:   PDF
Pages:   190
Rating:    4.7 (70)
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