Copper Paste Market Size, Share, Growth, Forecast 2030

Copper Paste Industry Prospective:

The global Copper Paste market size was worth around USD 231 million in 2022 and is predicted to grow to around USD 513 million by 2030 with a compound annual growth rate (CAGR) of roughly 10.5% between 2023 and 2030.

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The report analyzes the global Copper Paste market drivers, restraints/challenges, and the effect they have on the demands during the projection period. In addition, the report explores emerging opportunities in the copper paste industry.  

Copper Paste Market: Overview

The copper paste is an anti-seize lubricant for high temperatures. A smooth, copper-colored paste made of synergistic anti-oxidant, anti-corrosion, and anti-wear ingredients suspended in premium-quality stable oil. It works well as an anti-seize formulation to stop metal-to-metal contact, seizing, galling, and fretting corrosion. With excellent conductive qualities and low cost, it is also used in the power electronics and solar industries. The copper paste market is being driven by several factors such as the increasing solar industry, growing industrialization, and the rising utilization of protection in industrial equipment.

Key Insights

• As per the analysis shared by our research analyst, the global Copper Paste market is estimated to grow annually at a CAGR of around 10.5% over the forecast period (2023-2030).
• In terms of revenue, the global Copper Paste market size was valued at around USD 231 million in 2022 and is projected to reach USD 513 million, by 2030.
• The global Copper Paste market is being driven by the growing automotive and electronics industry.
• Based on the type, the low temperature sintered is expected to dominate the market over the forecast period.
• Based on the application, the PV industry segment is expected to grow at the fastest rate over the forecast period.
• Based on region, the Asia Pacific is expected to hold the largest market share over the forecast period.

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Copper Paste Market: Growth Drivers

The increasing automotive sector drives the market growth

The increasing automotive industry across the globe is expected to drive the global copper paste market growth over the forecast period. The automobile industry witnessed extensive usage of copper paste, particularly in maintenance and repair tasks. It was frequently used to avoid seizing, lessen friction, and extend the lifespan of parts including brake pads, spark plugs, exhaust systems, and fasteners. For instance, according to Invest India, Passenger vehicle exports increased from 404,397 to 577,875 units from April 2021 to March 2022, while commercial vehicle exports increased from 50,334 to 92,297 units, three-wheeler exports increased from 393,001 to 499,730 units, and two-wheeler exports increased from 3,282,786 to 4,443,018 units in April 2021 to March 2022 compared to the same period in 2017. Thereby, driving the market growth over the forecast period.

Copper Paste Market: Restraints

Availability of substitutes hamper the market growth

The market for copper paste faced competition from the development of substitute lubricants and anti-seize remedies such as synthetic greases, ceramic-based lubricants, and improved coatings. Some of these substitutes addressed environmental and toxicological issues while providing equivalent or even better performance. Thus, this is expected to be a major restraining factor to the copper paste industry growth over the forecast period.

Copper Paste Market: Opportunities

Growing infrastructure development offers a lucrative opportunity for the market growth

The increasing infrastructural development across the globe is expected to provide enormous opportunities for copper paste market growth over the forecast period. Reliable lubrication solutions were necessary for infrastructure projects, such as building and transportation systems, to maintain the durability and efficiency of numerous mechanical components. Copper paste contributed to decreasing wear & tear and guaranteeing smooth functioning. For instance, in November 2021, the "Infrastructure for Resilient Island States" initiative was launched, giving India an enormous opportunity to help other vulnerable countries across the world. By 2024–2025, the government intends to invest over INR 102 lakh crore in infrastructure projects. Energy (24%), Roads (19%), Urban (16%), and Railways (13%) make up the majority of the IBEF's expected capital spending on infrastructure in India for the fiscal years 2020 to 2025. Therefore, the aforementioned facts offer a lucrative opportunity for market revenue growth.

Copper Paste Market: Challenges

High material cost act as a major challenge to the market growth

The price of copper, which is a key ingredient in copper paste, may vary depending on the market. This influences the copper paste's total manufacturing costs and may make it more expensive for some uses. For instance, by the end of 2021, the spot price for copper is predicted by the World Bank to be $8,500 per metric ton on average. The cost is anticipated to drop to $7,500 in 2022 before rising to $8,250 by 2035. Moreover, the Australian Department of Industry, Science, Energy, and Resources anticipates a substantial increase in copper prices to $8,257 in 2021, followed by a minor decline to $7,724 in the next two years, then a subsequent increase to $8,876 by 2026. Thus, the fluctuation in the price of copper is expected to pose a major challenge to market growth.

Copper Paste Market: Segmentation

The global Copper Paste industry is segmented based on type, application, and region.

Based on the type, the global market is bifurcated into low-temperature sintered, medium-temperature sintered, and high-temperature sintered. The low-temperature sintered is expected to dominate the market over the forecast period. The low-temperature sintering of Cu nanoparticles with a formic acid treatment results in highly conductive Cu-Cu interconnections of SiC dies with Ti/Ni/Cu metallization and directly attached copper substrate for high-power semiconductor devices. Long-range sintering produced Cu-Cu joints with excellent strength and strong electrical conductivity. Cu nanoparticle layer showed a low resistivity of 5.65 cm and joints showed a high shear strength of 43.4 MPa when sintered at 260 °C. The resistivity reduced to 3.16 cm and the shear strength rose to 51.7 MPa when sintered at 320 °C. Thereby, driving the segment expansion.

Based on the application, the copper paste market is segmented into printed electronics, PV industry, and industrial protection. The PV industry is expected to grow at the fastest rate over the forecast period. The segment growth is attributed to the increasing investment in these sectors. For instance, according to the International Energy Agency, in 2022, global investments in solar PV capacity expansions climbed by more than 20% and topped USD 320 billion. Solar PV accounted for roughly 45% of all investments made in the world's energy generation, which is three times more than was spent on all fossil fuel technologies combined. On the other hand, the printed electronics segment is expected to capture the largest market share over the forecast period.

The segment growth is owing to its wide application ranging from flexible electronics, RFID tags, touch sensors, and solar cells. For instance, in flexible electronics, copper paste is used to print conductive traces on flexible substrates like plastic or fabric, enabling the production of flexible and bendable electronic devices. Therefore, this is expected to drive segment revenue.

Copper Paste Market: Report Scope

Copper Paste Market: Regional Analysis

The Asia Pacific is expected to hold the largest market share over the forecast period

The Asia Pacific is expected to hold the largest global copper paste market share over the forecast period. The regional growth is attributed to several factors which include the growing automotive sector, increasing investment in the solar industry, and rising infrastructural projects. In the region, countries like India and China are responsible for significant revenue to the market. For instance, by April 2022, India’s automobile sector will be valued at more than $100 billion, 8% of all exports, and 7.1% of the country’s GDP. Only 8% of Indian households, according to the 2021 National Family Health Survey, have a car. Government figures show that just 22 cars are owned by every 1,000 individuals in India.

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In addition, China is one of the nations with the biggest solar capacity in the world, according to the International Energy Agency. By the end of 2020, they will have built 253 GW of solar capacity, as opposed to the 151 GW of the European Union. China added 54.9 gigawatts of solar electricity to its system in 2021, exceeding the previous record. China's energy regulator reports that the nation gained 31% of its overall capacity increases for the year while managing to boost capacity by 14% over the previous year. According to the National Energy Administration (NEA), the country will have a total solar capacity of 306.56 GW by the end of 2021, enough to power all of Germany. Thus, the aforementioned facts support the market growth over the forecast period.

Copper Paste Market: Competitive Analysis

The global Copper Paste market is dominated by players like:

• Tatsuta
• Shoei Chemical
• Sumitomo Metal Mining
• Kyoto Elex
• TDK Electronics (EPCOS)
• Chang Sung Corporation
• Fenghua Advanced Technology
• Ampletec
• NAMICS
• Mitsuboshi Belting
• Heraeus
• Sinocera
• Asahi Chemical
• Material Concept

The global Copper Paste market is segmented as follows:

By Type

• Low Temperature Sintered
• Medium Temperature Sintered
• High Temperature Sintered

By Application

• Printed Electronics
• PV Industry
• Industrial Protection

By Region

• North America
  • The U.S.
  • Canada
• Europe
  • France 
  • The UK
  • Spain
  • Germany
  • Italy
  • Rest of Europe
• Asia Pacific
  • China
  • Japan
  • India
  • South Korea
  • Southeast Asia
  • Rest of Asia Pacific
• Latin America
  • Brazil
  • Mexico
  • Rest of Latin America
• Middle East & Africa
  • GCC
  • South Africa
  • Rest of Middle East & Africa