Surface Mount Technology Market Summary

The global surface mount technology (SMT) market was valued at USD 5.27 billion in 2022 and is projected to reach USD 8.22 billion by 2030, expanding at a compound annual growth rate (CAGR) of 5.8% from 2023 to 2030. The primary factor driving market growth is the rapid miniaturization of electronic devices worldwide. The growing preference for compact, lightweight, and portable electronic products such as smartphones, laptops, tablets, and wearable devices has significantly increased the demand for surface mount technology, which enables high-density circuit assembly and efficient production processes.

The shift toward smaller and more multifunctional electronic components has further fueled the adoption of SMT. Miniaturization refers to the reduction in size of components like resistors, capacitors, and transistors, which are then integrated into densely packed circuit boards. SMT plays a crucial role in achieving this by allowing smaller components to be precisely placed close together on circuit boards, thereby optimizing space utilization and reducing the overall size of the final device. This method also enhances production efficiency, performance, and reliability of electronic assemblies, making it indispensable in modern electronics manufacturing.

Key Market Trends & Insights

• The North America region captured a significant share of the global SMT market in 2022, accounting for 24.3% of the total revenue. This dominance is attributed to the strong presence of advanced manufacturing facilities, growing investments in research and development, and the rising adoption of automation technologies in electronics production. Furthermore, increasing demand for automotive electronics and consumer gadgets in the region continues to support market expansion.
• The Asia Pacific region is projected to grow at the fastest CAGR of 6.4% during the forecast period. The region’s growth is driven by the increasing concentration of electronic manufacturing hubs in countries such as China, Japan, South Korea, and India. The availability of low-cost labor, rapid industrialization, and government initiatives promoting domestic manufacturing are contributing to the region’s leadership in SMT production and assembly services.
• By equipment, the placement equipment segment dominated the market in 2022 with a revenue share of 27.7%. This segment’s growth is largely driven by technological advancements in precision component placement, improved speed, and higher automation levels. Placement machines are essential in ensuring the accuracy and efficiency of component positioning, which directly impacts the overall performance and yield of electronic devices.
• By application, the consumer electronics segment held the largest market share of 32.5% in 2022. The proliferation of smart devices, along with the rapid advancement in technologies such as Internet of Things (IoT) and 5G, has increased the need for compact and high-performance components, thereby driving SMT adoption in this segment. By service, the supply chain services segment is expected to register the fastest CAGR of 6.8% over the forecast period, owing to the growing emphasis on efficient logistics, material management, and integrated manufacturing solutions.

Order a free sample PDF of the Surface Mount Technology Market Intelligence Study, published by Grand View Research.

Market Size & Forecast

• 2022 Market Size: USD 5.27 Billion
• 2030 Projected Market Size: USD 8.22 Billion
• CAGR (2023-2030): 5.8%
• North America: Largest market in 2022
• Asia Pacific: Fastest growing market

Key Companies & Market Share Insights

The surface mount technology market is fragmented and is anticipated to witness increased competition due to several players' presence. Major players are spending heavily on new product launches to integrate advanced technologies used in surface mount technology. For instance, in October 2022, Keystone Electronics increased its product offering of ultra-flat surface mounting thread inserts, with the introduction of metric and inch-threaded variants.

Key players in the market are pursuing several strategic initiatives, such as mergers & acquisitions and new product launches, in order to strengthen their foothold in the market, capture a significant market share, and improve overall profitability. For instance, in February 2023, Yamaha Motors announced the launch of a brand new surface mounter YRM20DL, a premium highly efficient modular that achieves improved per-unit area of productivity with a dual lane conveyor, thereby reducing transport losses.

Key Players

• ASM Pacific Technology
• Seika Corporation
• Panasonic
• Nordson Corporation
• Cognex Corporation
• Fuji Machine Manufacturing Co., Ltd.
• Teradyne Inc.
• Mycronic
• Kulicke & Soffa Industries, Inc.
• Neoden SMT

Explore Horizon Databook – The world's most expansive market intelligence platform developed by Grand View Research.

Conclusion

The global surface mount technology market is expected to experience steady growth over the coming years, driven by the rising demand for compact and efficient electronic devices, advancements in manufacturing automation, and ongoing miniaturization trends. Increasing adoption of SMT in industries such as consumer electronics, automotive, and telecommunications will further enhance market expansion. With North America maintaining a strong presence and Asia Pacific emerging as the fastest-growing region, the market is set to witness technological innovations and strategic collaborations. Continuous improvements in placement accuracy, production speed, and cost efficiency will shape the future of the SMT industry worldwide.