by The High Purity Silica Market is estimated to be valued at US$ 7.50 Bn in 2023 and is expected to exhibit a CAGR of 15% over the forecast period 2023 to 2030, as highlighted in a new report published by Coherent Market Insights.
Market Overview:
High purity silica or ultrapure silica has wide applications in production of fiber optics, liquid crystal displays, and photovoltaic cells. It is produced through process of purifying raw silica to remove physical and chemical impurities. Silica with purity levels of 99.999% to 99.99999% is mainly used in these applications due to stringent quality requirements.
Market Dynamics:
Increasing demand for fiber optic cables driven by growing data traffic is a major factor driving growth of the high purity silica market. Fiber optic cables require high purity silica or ultrapure silica in their core, which acts as a transmission medium. Growing internet penetration, increasing number of connected devices, and rising mobile data consumption are promoting large scale optical fiber deployments worldwide. This is positively impacting growth of the global market. In addition, rapid expansion of the semiconductor industry is also fueling consumption of high purity silica. Semiconductor manufacturing processes require ultrapure silicon feedstock with minimal impurities to produce integrated circuits with higher precision and quality. Therefore, growing semiconductor industry will continue to generate high demand for high purity silica over the forecast period.
Segment Analysis
The high purity silica market is dominated by the electronic-grade segment. This segment requires the highest purity levels of around 99.99% and finds major usage in semiconductors manufacturing where silica is used as a dielectric insulator in integrated circuits. With growing demand for electronic devices and surge in digitization, the need for high-performance semiconductors has increased significantly thereby propelling the growth of electronic-grade silica.
PEST Analysis
Political: The industry is favored by governments across regions as it supports local manufacturing and job creation. However, increasing trade wars and protectionist policies can impact sourcing and supply chains.
Economic: Growth in end-use industries such as electronics and solar will drive demand for high purity silica. Recovery of global economy post COVID-19 pandemic will further support industry expansion.
Social: Increasing usage of mobile devices and consumer electronics has fueled growth. Shift towards renewable energy may increase solar PV installation boosting silica consumption.
Technological: Continuous R&D is undertaken for developing new grades and improving purity levels to meet stringent performance standards of modern manufacturing technologies. New applications in battery technologies offer prospects.
Key Takeaways
The global high purity silica market size was valued at US$ 7.50 Bn in 2023 and is expected to reach over US$ 13.40 Bn by 2030, expanding at a CAGR of 15% during the forecast period. Geographically, the Asia Pacific region dominates the market and is expected to witness the fastest growth due to large electronic industry bases in countries such as China, South Korea, Taiwan and continued government emphasis on solar energy.
The electronics segment is the major end-use industry for high purity silica due to its extensive use in manufacturing semiconductors, microchips, and other electronic components. Growth in this segment is driven by rising demand for consumer electronics such as smartphones, computers, and increasing adoption of AI and IoT-based technologies. Emerging applications in electric vehicles and energy storage offer lucrative opportunities.
Key players operating in the high purity silica market are Wacker Chemie, Evonik Industries, Cabot Corporation, Solvay SA, PPG Industries, Madhu Silica, Fuji Silysia Chemical, Tosoh Silica Corporation, Oriental Silicas Corporation etc. These companies are focusing on expanding production capacities and introducing new high-grade silica variants to cater to evolving needs of end-use sectors.
*Note:
1. Source: Coherent Market Insights, Public sources, Desk research
2. We have leveraged AI tools to mine information and compile it
Money Singh is a seasoned content writer with over four years of experience in the market research sector. Her expertise spans various industries, including food and beverages, biotechnology, chemical and materials, defense and aerospace, consumer goods, etc.
