Multilayer Ceramic Capacitor (MLCC) Market Thrives on Automotive and 5G Expansion
The global is poised for robust expansion, projected to surge to a value exceeding US$ 17.9 billion by the end of 2032, according to recent industry insights. This growth marks a healthy compound annual growth rate (CAGR) of 5.3% between 2025 and 2032, up from a 4.8% CAGR registered between 2019 and 2024.
With a market size of US$ 12.5 billion in 2025, MLCC demand is riding a wave of technological shifts spanning automotive electrification, telecommunications advancements, and the exploding demand for consumer electronics.
Automotive Electrification Fuels Demand
The automotive industry, particularly the electric vehicle (EV) segment, is emerging as the single largest driver of MLCC demand. Multilayer ceramic capacitors are essential components in electric and hybrid vehicles, supporting systems ranging from power management to safety electronics.
“Over 10,000 multilayer ceramic capacitors are embedded into a modern electric vehicle,” reports the Henry Royce Institute. “Most are used in engine management systems, battery packs, and critical computing systems.”
This surge is tied directly to the rapid adoption of EVs and sophisticated automotive technologies like Advanced Driver Assistance Systems (ADAS). In battery electric vehicles, the number of MLCCs required is five times higher than in traditional internal combustion engine vehicles.
As global concerns over pollution and fossil fuel dependency intensify, the transition to electric mobility continues to accelerate. For instance, North America alone is experiencing a production increase in battery electric vehicles, forecasted to grow from 1,050,000 units in 2020 to approximately 2,612,000 units by 2025. This spike in production is expected to significantly elevate MLCC consumption.
Telecommunications and 5G: A New Frontier
Beyond automotive, MLCCs are critical in telecommunications infrastructure, particularly with the rollout of 5G networks. These capacitors play a vital role in radio frequency (RF) circuits and high-speed data applications, providing the stability and miniaturization required for advanced telecom equipment.
The rapid global deployment of 5G networks is expected to fuel demand for high-performance MLCCs. These capacitors enable smoother data transmission and support the growing number of connected devices across smart cities, industrial IoT, and advanced consumer applications.
Consumer Electronics and IoT Applications on the Rise
The consumer electronics sector remains another vital end-user of MLCCs. From smartphones and laptops to smart wearables and home automation systems, MLCCs enable miniaturization while delivering high capacitance in compact dimensions.
Emerging trends like the Internet of Things (IoT), artificial intelligence (AI), and cloud computing are expanding the range of electronic devices reliant on advanced components. The ability of MLCCs to resist voltage surges and ensure circuit stability makes them indispensable across these new technologies.
Regional Outlook: North America Leads, Asia Pacific Holds Strong Position
North America: A Growing Hub
North America is expected to be a lucrative market for MLCC manufacturers, driven by robust automotive and telecom industries. Total MLCC sales across North America were valued at US$ 5.43 billion in 2025 and are forecast to climb to US$ 18.09 billion by 2032.
The United States, in particular, remains a dominant player, projected to achieve a market size of US$ 14.1 billion by 2032. From 2019 to 2024, U.S. MLCC sales soared at a CAGR of 14.8%, with future growth anticipated at 11.6% CAGR through 2032.
Factors fueling U.S. demand include the presence of major EV manufacturers like Tesla, Rivian, and Li Auto, alongside telecom giants such as CISCO, Motorola, and ABB Installation Products.
Europe: The UK Steps Forward
In Europe, the United Kingdom stands out, with its MLCC market set to reach US$ 2.1 billion by 2032, expanding at an 11.9% CAGR. Growing adoption of MLCCs across telecommunication, healthcare, and automotive sectors is propelling the UK market forward.
Moreover, significant research investments in capacitor technology are enhancing product performance. Notably, the Functional Materials and Devices Group at the University of Sheffield, leveraging Henry Royce Institute facilities, has developed high-energy-density, lead oxide-free MLCCs aimed at sustainable electronics solutions.
Asia Pacific: Japan Remains a Strong Contender
Japan continues to be a pivotal player in the global MLCC market, driven by its strong electronics manufacturing base. The country’s MLCC market is projected to achieve a valuation of US$ 3.3 billion by 2032, growing at a 12.2% CAGR.
Japanese manufacturers like Murata Manufacturing Limited are spearheading innovation. Murata’s GRM series capacitors, offering a wide range of voltages (2.5Vdc to 3150Vdc) and capacitance (0.10pF to 330 μF), cater to diverse applications in both general electronics and automotive systems.
Technology Trends: High-Voltage MLCCs in Demand
Among product categories, high-voltage MLCCs are increasingly in demand, especially for applications in automotive and telecommunications. These capacitors, typically rated from 2kV to as high as 100kV, are essential for handling higher power levels required in modern electronic designs.
The high-voltage MLCC segment registered an impressive 16.3% CAGR between 2019 and 2024 and is expected to expand at a 12.7% CAGR through 2032. Their reliability under harsh conditions makes them indispensable for both electric vehicles and high-frequency telecom equipment.
Automotive Segment Dominates End-Use Market
Among end-use industries, automotive remains the largest consumer of MLCCs. From 2019 to 2024, automotive MLCC demand grew at 16.2% CAGR, with future growth forecasted at 12.6% CAGR through 2032.
The growing sophistication of modern vehicles—including EVs, hybrids, and autonomous driving systems—requires capacitors with higher capacitance, miniaturization, and reliability. MLCCs are crucial for everything from battery management systems to the complex electronics required in ADAS and infotainment systems.
Competitive Landscape: Innovations and Expansions
The global MLCC market is highly competitive, featuring prominent players like Murata Manufacturing Co. Ltd, Kyocera Corporation, TDK Corporation, Taiyo Yuden Co. Ltd, Vishay Intertechnology, Yageo Corporation, Walsin Technology Corporation, and Samsung Electro-Mechanics.
Leading manufacturers continue to invest in capacity expansions and technology advancements to meet surging global demand. Recent developments include:
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Murata Manufacturing Corporation initiated construction of a new MLCC factory in Wuxi, China, in November 2022, with an investment of US$ 300 million, targeting completion by April 2024.
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Torey Industries announced an expansion of Lumirror biaxially oriented polyester release film production in July 2022, crucial for MLCC manufacturing.
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Murata also introduced new MLCC product lines in March 2022 specifically designed for automotive applications, underlining the sector’s significance.
Future Outlook
As the world accelerates toward electrification, digitalization, and sustainable technologies, MLCCs are expected to remain a cornerstone of modern electronics. Their capacity to offer high performance in miniature packages, withstand harsh operating conditions, and support emerging technologies positions them for sustained growth.
Industry experts forecast significant revenue pockets in automotive electronics, 5G infrastructure, and IoT applications over the next decade. Meanwhile, ongoing research into higher energy density and environmentally sustainable materials promises further evolution in MLCC technology.
With a solid CAGR forecast and broad applications across critical industries, the global MLCC market stands as a vital segment of the future electronics ecosystem, poised to surpass US$ 17.9 billion by 2032.
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