Industrial Electronics Packaging Market

Top 3 Factors Shaping the Industrial Electronics Packaging Market

• Evolving Electronics Industry to Bolster the Demand for Efficient Packaging

  The burgeoning demand for high-performance, flexible circuits has resulted in hike in the demand for PCBs, ICs, and other electronic components. Tier 1 manufacturers operating in the industrial electronics industry have observed a sharp increase in the demand from both, developed and developing countries.

  Moreover, research underlines that nearly 33% of electronic components get damaged due to lack of suitable packaging solutions, which signals the need for efficient packaging solutions that have been specifically designed for electronic devices and components. This factor will foster adoption of industrial electronics packaging solutions.

• Use of Advanced Packaging Material for Industrial Electronics Packaging

  When electronic components are packed together, static electricity is generated between them due to electrostatic induction, which can cause potential damage to packaged components. Therefore, ESD packaging solutions are used to protect ESD-prone electrical and electronic components during storage and transit. ESD packaging is the ideal protective packaging solution for the packaging of industrial electronics, as it eliminates the possibility of damage due to the generation of static charge in them.

  However, manufacturers of industrial electronics packaging are using innovative materials, such as new static dissipative thermoplastics, to achieve superior packaging solutions for the industrial electronics industry. This material contains polymeric materials and carbon black that produce a constant and multiphase thermoplastics composite with highly consistent electrical and mechanical properties.

• Device Miniaturization to Accelerate Demand for Individual Pack Sizes

  Manufacturers of industrial electronics are leveraging their expertise across a wide range of manufacturing technologies to be competitive, which has pushed the demand for cutting-edge, lighter, and faster devices. With each new generation of electronic devices, consumers expect to receive more and more features in the smaller package than the one they already possess.

  Manufacturers are focusing more on the research & development of new manufacturing technologies for micro-scale components. The overall scenario will benefit industrial electronics packaging manufacturers, as the miniature devices will need more individual pack sizes for storage and transport.

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Industrial Electronics Packaging Market Structure Analysis

• The global industrial electronics packaging market is classified on the basis of three-tier analysis, where tier-1 companies hold a prominent market share, and hold strong presence across the globe.
• A few of the leading companies operating in the industrial electronics packaging market include DS Smith Plc., Smurfit Kappa Group Plc., and Sealed Air Corporation.
• Most of the key players in the global industrial electronics packaging landscape are based out of the US or Europe, as electronics production is high in these regions.
• Moreover, it has been observed that, a majority of the organized players operating in the global industrial electronics packaging market are focusing on strategic M&A activities to broaden their product portfolios, to eventually strengthen the global foothold in industrial electronics packaging market.

Digitalization for All-weather Packaging – Big Picture Rendering Future of the Market

An upsurge in demand for fragile and sensitive industrial electronic products in various end-user industries will continue to prevail, giving rise to the need for all-weather protective packaging. Manufacturers will leverage increasing growth of the Internet of Things (IoT) market to stay ahead of the curve with the advent of fourth industrial revolution. The ongoing trend of digitalization will continue to transform the packaging industry, expanding the scope for implementing the IoT technology for offering sophisticated industrial electronics packaging solutions.

Replacing Plastic as a Packaging Material—Not-so-low Hanging Fruits

The world is developing intolerance to plastic with growing awareness about the negative environmental impacts of plastic pollution. With plastic being banned in most countries, market players are aiming to shift from plastic to paper-based packaging materials in industrial electronics packaging solutions. However, the performance characteristics of plastic are unmatched by any other alternatives, which is likely to translate into the steadily increasing adoption of plastic in the industrial electronics packaging market.

North America will Maintain the Lead with South Asia Creating New Growth Opportunities

North America is expected to hold nearly one-third revenue share of the industrial electronics packaging market with the United States registering remunerative growth in consumption of packaging products. Ever-growing demand for next-generation electronic products in North America’s industrial landscape will continue to enhance sales potential of industrial electronics packaging in the region.

Meanwhile, South Asia’s electronics industry and increasing growth of the industrial sector in India and ASEAN countries will generate new sales opportunities for manufacturers in the region.

What Does it Mean for Manufacturers?

Rigid packaging solutions will continue to remain high in demand in the industrial electronics packaging market with the high suitability of corrugated boxes, containers, and shippers as a packaging types of industrial electronic products. Innovations in flexible packaging materials is expected to emerge as an important trend in the market as bags & pouches are steadily increasing in popularity among end-users. Albeit small, the revenue share of flexible industrial electronics packaging solutions will increase steadily in the upcoming years.

Key Segment

By Product Type

• Testing & Measuring Equipment
• Process Control Equipment
• Industrial Controls
• Power Electronics
• Industrial Automation Equipment
• Others

By Material

• Plastic
  • Polyethylene (PE)
  • Polyethylene Terephthalate (PET)
  • Polypropylene (PP)
  • Polystyrene (PS)
  • Poly Vinyl chloride (PVC)
• Paper & Paperboard

By Packaging Type

• Rigid
  • Corrugated boxes
  • containers & shippers
  • Protective packaging
  • Trays
  • Clamshells
  • Bins & totes
  • Others
• Flexible
  • Bags & Pouches
  • Tapes & Labels
  • Films & Others

Region

• North America
• Latin America
• Europe
• South Asia
• East Asia
• Oceania
• Middle East & Africa