The global thin film material market revenue is projected to reach close to USD 30.7 billion by 2028. The demand for thin film materials is predicted to rise at a healthy CAGR of around 12% over the coming years. These products are used mainly in solar photovoltaic, MEMS, electronic, semiconductor, and optical coating. The industry of solar photovoltaic cells is rising at a fast pace while the MEMS industry is experiencing steady growth. In terms of equipment, technologies, man-hours, the R&D costs involved in the thin film materials are high. In the industry, increases research and development is needed to produce a high-quality product. Industry market growth involves continuous innovation and the implementation of advanced products to meet market needs.
The factors driving growth in the market for thin-film materials involve strong demand from existing & new applications, growing demand for performance & miniaturization, technological development, and government policies. Incentives offered by the government have been influential in the development of the solar energy sector. Thin film materials have a solution to the factor because they are inexpensive, safe, and durable. The miniaturization features provided by the thin film materials is one of the key factors for the usage of micro components in the Micro-Electro-Mechanical Systems industry.
The downtime associated with their deployment and addition to the already installed infrastructure applications often causes considerable losses in the industry. However, the numerous advantages of thin film materials provided such as durability and the potential to operate under low light will continue to fuel the sales growth.
Key Segments of the Global Thin Film Material Market
Deposition Process Overview, 2018-2028 ((USD Billion, Million Tons))
- Chemical deposition process
- Physical deposition process
Type Overview, 2018-2028 ((USD Billion, Million Tons))
- Amorphous silica (a-Si)l
- Cadmium telluride (CdTe)
- Copper indium gallium selenide (CIGS)
Application Overview, 2018-2028 ((USD Billion, Million Tons))
- Photovoltaic solar cell
- Semiconductor and electrical (circuit board)
- Optical coating
Regional Overview, 2018-2028 ((USD Billion, Million Tons))
- Rest of Europe
- Rest of Asia-Pacific
Middle East and Africa
- South Africa
- Rest of Middle East and Africa
- Rest of South America
Reasons for the study
- The purpose of the study is to give an exhaustive outlook of the global thin film material market.
- Thin film material is widely used for various end uses owing to their excellent properties and the market is expected to gain traction over the coming years
- With the growing solar and semiconductor applications, there is a rise in the demand for thin film material which is further expected to have a positive impact on the overall market growth
What does the report include?
- The study on the global thin film material market includes qualitative factors such as drivers, restraints, and opportunities
- The study covers the competitive landscape of existing/prospective players in the thin film material industry and their strategic initiatives for the product development
- The study covers a qualitative and quantitative analysis of the market segmented based on solution, service, and end use. Moreover, the study provides similar information for the key geographies.
- Actual market sizes and forecasts have been provided for all the above-mentioned segments.
Who should buy this report?
- This study is suitable for industry participants and stakeholders in the global thin film material market. The report will benefit: Every stakeholder involved in the thin film material market.
- Managers within the thin film material industry looking to publish recent and forecasted statistics about the global thin film material market.
- Government organizations, regulatory authorities, policymakers, and organizations looking for investments in trends of global thin film material market.
- Analysts, researchers, educators, strategy managers, and academic institutions looking for insights into the market to determine future strategies.
The factors that impede the thin film materials market growth are its poor conversion performance and massive investment in R&D and advancement in technology. The increasing threat arising from climate change and global warming has attracted attention from numerous policymakers across the world in sustainable and green energy sources. Countries such as Germany, India, the US, and the UK provide monetary benefits and programs for promoting and facilitating the usage of clean energies. The lower performance of thin film materials restrains their overall development as opposed to their traditional equivalents. The thin film PV cell provides a very low performance than that of crystalline PV cells with higher efficiency. However, the cost of materials differs based on the scale, form, and applications thereby rising the product demand in the market. This has also led to improving the manufacturing firms' emphasis on R&D to put in innovative goods with greater performance as well as to reduce manufacturing costs through the introduction of emerging technology.
Cadmium, gallium, copper, indium, telluride, selenide are the raw materials used by the thin film components. Thin film materials are preferred by the producers which provide a range of applications and efficiency in the industry. The growing sales for solar PV cells are expected to drive the growth for thin film materials in the market over the coming years. The benefits of thin film materials are durability and the ability to work under low light is expected to fuel demand growth in the coming years. Large research and development requirements coupled with the low-performance factors are expected to harm the thin film material industry.
Deposition Process Segment
Based on the deposition process, the market is segmented into the chemical deposition process and physical deposition process. The chemical deposition process leads the market growth in 2019 and it is anticipated to hold its position during the forecast years. These materials are formed by the chemical deposition method at a comparatively higher speed than their physical equivalent. It also provides greater productivity, contributing to the expanded use in this segment by the manufacturers. Physical deposition technology can develop at a faster rate since it is a method of low temperature and easier technology as opposed to the chemical deposition process.
In terms of the application segment, the market is segmented into Amorphous silica (a-Si)l, Cadmium telluride (CdTe), Copper indium gallium selenide (CIGS), and Others. In 2019, the copper indium gallium selenide (CIGS) segment accumulated the major market share and is expected to continue the trend over the forecast years. Copper indium gallium selenide is used in thin film solar cells used to convert sunlight into electricity. It is made by depositing on glass, along with electrodes and a thin layer of gallium, indium, copper, and selenium. The material has a high absorption coefficient and strongly absorbs sunlight, and requires a much thinner film than other semiconductor materials. The above factors contribute to the growing demand in the global industry.
In terms of the end-use segment, the market is segmented into Photovoltaic solar cell, Microelectromechanical Systems (MEMS), semiconductors, and electrical (circuit board), Optical coating, and Others. In 2019, the photovoltaic solar cells segment accumulated the major growth rate and is expected to continue the trend over the forecast years. Thin film solar cells are the new trend in the solar cells industry containing several thin film products made of photovoltaic materials. Thin film solar cells have better ways than any other means of generating electricity from sunlight. These panels can be installed in forest areas, traffic, street lights, and solar fields,. Moreover, the cost of thin film solar cells is much lower than the silicon wafer cells.
The Europe region dominated the overall market with a share of more than 34% in 2019 and it is projected to keep its position during the forecast years 2018-2028. Europe dominates the global market, owing to the heavy usage of thin film products in its numerous end-user sectors. However, the Europe economy has not yet emerged from the euro crisis, the sector is likely to continue to lead, led by Asia-Pacific and North America.
Moreover, the growing foreign investment in the region is expected to boost the demand for products across the Asia Pacific region. The abundant supply of raw materials along with its lower-cost in the economies including China, Indonesia, South Korea, and India is projected to boost the sales of the industrial and commercial sectors in Asia Pacific. This is forecasted to increase the demand for thin-film material and thus drive industry sales over the forecast period.
Copper and Cadmium used as a raw material is likely to increase the demand but due to their harmful nature, the metals are hard to be used as a source in the industry. Europe Union banned the use of cadmium in the industry, but the recent lift of the ban has uplifted the use of metal in some of the thin film photovoltaic cell applications. The higher efficiency and easy manufacturing process of cadmium as a thin film material have uplifted the global sales in the market.
The major players of the global thin film material market are Anwell Solar, First Solar, Avancis GmbH & Co., Ascent Solar, Cicor Group, and Hanergy. Moreover, the market comprises several other prominent players in the thin film material market as Kaneka, Suntech Power Co. Ltd., Moser Baer, Masdar PV, Solar Frontier, and Trony Solar Holdings Co. Ltd. The thin film material market consists of well-established global as well as local players. In addition to this, the previously recognized market players are coming up with new and advanced strategic solutions and services to stay competitive in the global market.